The Cannon Falls Area Schools board received its regular finance report and approved a procedural resolution authorizing transfer from the general fund to the food service fund if needed to eliminate a deficit.
Josh, who presented the cash-flow worksheet, told the board that some receipts reflected funds held for the roof project and tennis court and that large outstanding checks had been paid. He said the district will make an interest-only debt-service payment due Aug. 1 "for about $300,000" and that the property-insurance renewal due July 1 is "about $240,000," both of which contribute to an expected decline in cash balances before state aid and property-tax receipts arrive in mid-August.
On the food-service transfer, Claire read the statutory authority aloud and the board approved a resolution to transfer funds if necessary. The presenter said the district historically has had a positive food-service fund balance and has not needed such a transfer since before the COVID-19 pandemic, but the annual resolution is retained "just in case." Claire identified the statute as "124D.111, subdivision 3," which the board relied on when adopting the resolution.
Action: The board approved the finance report and separately approved the resolution authorizing a transfer from the general fund to the food-service fund "if applicable." The transfer resolution passed by roll call vote with the recorded responses: Rodney yes; Jody yes; Keith yes; Clinton yes; and the presiding member yes.
Why it matters: The finance presentation flagged multiple near-term cash outflows tied to debt service and insurance that shape the district's budget planning for the start of the fiscal year. The transfer resolution preserves an administrative option under state statute to address any shortfall in meal services.
What the board will do next: The presenter noted state new-year aid begins to be released Aug. 15 and the district will monitor cash flow as fiscal 2026 opens.