Caddo officials outline budget, warn of dependence on restricted federal and state grants

Chief Financial Officer Jeffrey Howard presented an overview of the district’s special revenue, capital projects and debt service funds at the June 3 budget work session, emphasizing that many dollars are legally restricted and some recent federal pandemic funds have expired.

Howard said the district’s general fund is balanced for 2025–26 with revenues and expenditures “right at $426,000,000” and an anticipated fund balance of around $162,000,000. He reported special revenue funds with combined revenues and expenditures of a little more than $87,000,000 and an anticipated special‑revenue fund balance of about $11,100,000; those funds often reflect multi‑year grants and are budgeted for the life of the grant.

Howard gave examples of special revenue accounts: the CIF operating account used for teacher classroom reimbursements, the child nutrition fund, IDEA (special education), and federal Title I–IV programs. He noted the Elementary and Secondary School Emergency Relief (ESSER) funds have expired for 2024–25, and this marks the district’s first budget cycle in several years without ESSER effects.

Capital projects funds were reported at roughly $32,700,000 in revenues and expenditures with an anticipated fund balance of $11,200,000; that total reflects the regular capital millage (a little over 11 mills) and part of a voter‑approved 5‑mill debt millage that funds projects such as HVAC replacements. Howard said debt service funds show about $11,900,000 in revenue and roughly $11,100,000 in expenditures with an anticipated year‑end fund balance around $14,400,000, though some large debt payments occur shortly after the fiscal year end.

Board members raised questions about the durability of grant funding. Board member Bell noted the district relies on dozens of federal grants (she cited 56) and several state grants (she cited seven); she warned loss of grants would “hurt us” and asked whether certain state early childhood funds are essential to current program levels. Howard clarified many grants are restricted and some can be used for salaries; others cannot.

Members also discussed child nutrition reimbursements: Howard said nearly all child nutrition revenue comes from federal reimbursements based on meals served, with revenue of about $21,900,000 and expenses slightly under that amount. Other specific program references during Q&A included Carl Perkins (career and technical education), No Kid Hungry (expired in prior years), and CCAP seats referenced in the budget tables.

Howard said the budget document is available for public review in the finance department and online and reminded the board the next step is a public hearing on June 17 before final adoption. No fund transfers or budget adoptions occurred at the June 3 work session.