Board sets millage at 5.637 and approves tentative budget; FEMA loan and hurricane relief funds remain under review

Taylor County School Board members approved a tentative millage rate of 5.637 and adopted a tentative budget the board described as balanced, while staff cautioned that several funding lines remain uncertain. Budget presenter Miss Lacey told the board the total millage rate proposal included a required local effort of 3.139 mills, 1.50 mills for capital outlay, 0.748 mills for discretionary operating, and 0.25 mills in additional millage, totaling 5.637—0.045 mills higher than the previous year. The board voted to set the millage at 5.637. Lacey reported estimated general fund revenue of “a little over $30,000,000,” which includes a $3,000,000 appropriation labeled as hurricane relief. She said the district had not yet received written guidance on any conditions attached to that $3,000,000 and had not budgeted expenditures from that amount until such guidance is received. The presenter told the board the district ended the year with an overall fund balance of about $11.2 million (including restricted grants and capital funds) and an unassigned ending fund balance of about 11% of expenditures. With the $3,000,000 appropriation included, the presenter said a projection would show a higher percent in fund balance but cautioned that numbers will change as the district receives further grant determinations. On hurricane-related federal assistance the board heard that the district has a FDIM loan (disaster loan) with $6,100,000 originally obligated; FEMA has returned about $4,300,000 against that loan, leaving a balance of about $1,700,000. The presenter said the district also had $688,000 in FEMA-approved but unpaid projects and about $3,800,000 in FEMA projects currently in appeals; staff are assembling additional documentation and involving insurance and engineers in those appeals. Board members voted to approve the tentative budget and the millage rate and asked staff to provide further detail on how general fund dollars are being spent and the status of grant reductions. The board and staff noted that some state and federal grant awards were in flux during the budget process and that the budget could change before the final adoption date. The board approved the tentative budget by motion and voice vote and directed staff to provide a more detailed breakout of general fund obligations and any conditions on the $3,000,000 appropriation.