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Camden schools propose $1 million working-cash transfer to cover O&M shortfall; public hearing set for Sept. 15
Summary
District administration told the board the operations & maintenance (O&M) fund ended the year about $307,000 in the red and recommended a $1 million transfer from the working cash fund; the board agreed to pursue the legally required public hearing and attorney-reviewed resolution with a target public hearing and approval on Sept. 15.
District officials told the Camden Board of Education that the operations and maintenance (O&M) fund closed the year with a negative balance of about $307,000 and recommended using working cash to restore the fund.
Assistant superintendent Doctor Bogan said the district’s working cash fund currently holds approximately $2,300,000, which has been built up over several years. To address the O&M deficit and to avoid repeated short-term transfers, she recommended the board consider a $1,000,000 transfer from working cash, followed by a plan to replenish working cash over time through conservative levying (about $100,000 per year).
Why it matters: leaving an operating fund negative is not permitted; Bogan said legal steps include publishing notice and holding a public hearing. The earliest schedule that aligns with publication deadlines and board timing is Sept. 15, when the district will also take action on the budget and levy. Bogan said the district’s auditors have been consulted and that the final audited figure for the O&M deficit may change slightly.
Details and board concerns: Board members asked how the proposed transfer interacts with the district’s cash-on-hand policy; staff said the policy applies to overall operating funds and that current cash-on-hand is about 154 days (roughly nine days fewer than the same time last year), comfortably above the 45-day policy threshold. Staff emphasized the transfer is intended as a one-time correction together with operational spending controls so the district does not return to deficit spending in O&M.
Process and next steps: Bogan asked the board whether to proceed with drafting a resolution and publishing the legally required notice; the board signaled support for a $1,000,000 transfer and asked administration to work with the district attorney, publish notice, hold the public hearing on Sept. 15 and return for board approval. No final transfer was executed at the meeting; formal approval will follow the public hearing and required legal steps.
