District business office: $12,375 earmarked for athletic field revolving fund; $39,798 extra rental revenue will offset taxes

Kim (Business Administrator) told the Oyster River School Board on June 4 that the district has begun accumulating rental income designated by voters to a new athletic field revolving fund and that other unanticipated rental revenue will reduce the upcoming tax rate.

The board approved a voter-created field revolving fund in March 2024 to collect and reserve athletic-field rental fees specifically for future maintenance and replacement. As of the district financial report through May 21, the business office reported $12,375 in rental receipts that will be allocated to that revolving fund.

Kim also reported the district had received $52,173 in additional rental fees year-to-date compared with the budget estimate; $39,798 of that amount will be treated as unanticipated revenue and used to offset taxes when the district sets the tax rate in the fall. Kim noted the increase included an anomaly: about $30,000 of the additional rental revenue came from a single large spring event (a dance festival) and may not recur annually.

Why it matters: the revolving fund protects rental receipts for future field maintenance, but the larger unanticipated revenue item reduces the tax burden rather than being available for new spending. Kim said that going forward the revolving fund’s expenses will only be charged with board approval.

Board questions focused on one-time versus recurring revenue items and recent encumbrances across buildings; Kim said district staff had encouraged schools to submit purchase orders early to ensure year-end needs were encumbered and clarified some higher-than-usual costs (notably bus rentals for athletics and several building repairs).

What’s next: monthly financial statements will continue to include the field-revenue line and the business office will report fund balances and any board-approved field expenditures.