Lynchburg schools end fiscal year with surplus; board asked about $750 bonus and insurance improvements

The Lynchburg City School Board on Monday received the division’s year-end financial report for June, which showed revenues and expenditures close to budget and a positive net position compared with the prior year. Chief Financial Officer Jamies told the board June activity left the division about $286,580 in receipts over disbursements for the month, and that year-to-date health insurance spending had declined compared with the prior year. Jamies said revenue collection rates for the fiscal year were roughly 99.12% vs. original appropriations overall; by source she reported state revenue collected at about 98.92%, federal at 53.69% (federal timing differs) and local revenues were 100% of the city contribution. She cautioned June numbers are preliminary because payroll and auditor adjustments can shift final figures after the auditors’ visit in mid-August. Board members asked about two personnel-related items. The board approved in June providing a local supplement bonus of $750 for full-time employees (half that for part-time). Jamies estimated extending the governor-authorized $1,000 payment to all employees cost about $500,000 in local funds to ensure the bonus covered non-SOQ positions and school nutrition workers; she confirmed the payments had been disbursed in June. Jamies also noted that, year to date through June 2025, the division’s health-insurance balance improved and was roughly 62.86% lower compared with the same period in 2024. She said the division is self-funded for insurance and that a prior midyear benefit rate increase (18.5% last January) had contributed to stabilizing the fund. She said there is potential the district might not need a significant premium increase in January if current trends continue. The report included line-item variances to watch: several small but over-budget lines (administration personnel, school clinics materials, classroom software such as IXL, school food personnel and community services) pushed those functions over 100% of their original appropriation; Jamies noted some overages represented one-time payments (for example, the locally funded nutrition-worker bonus) or small lines where limited additional spending produces large percentage changes. Board members asked whether positive insurance reserve trends might allow returning funds to employees in future compensation decisions; Jamies said if reserves remain healthy the board could consider reducing premiums charged to employees to increase net take-home pay. The board accepted the financial report and the auditor’s pre-audit work was scheduled for mid-August.