Mount Vernon board adopts May forecast, creates capital and severance funds and ratifies labor contracts

Mount Vernon City Schools’ board on May 19 approved the district’s May financial forecast, established two new reserve funds for capital projects and termination benefits, and ratified two negotiated bargaining-unit contracts.

Treasurer Judy Vooring presented the forecast and the fund resolutions to the board. “Based on what we know right now … we are expecting to end this fiscal year with the $19,734,000,” Vooring said, summarizing the district’s current projection. She told the board the district had increased supplies and materials appropriations this year to about $2,000,000 — roughly $1.8 million spent so far — and had included a roughly $500,000 textbook-adoption expense in the forecast.

The board approved a resolution to create an 070 capital projects fund for long-lived maintenance and construction items (roofs, furnaces, paving, furniture and similar categories) and a 035-style termination benefits fund intended to isolate severance and sick‑leave payouts. Vooring said the capital fund would be used within state rules (broad categories rather than specific line items) and that interest earned on fund balances would remain in those funds.

Vooring also told the board it would need an end‑of‑year appropriation increase of about $10,000,000 to cover expenses coming due before fiscal-year close. She noted the district’s year‑to‑date interest earnings of about $757,000 and emphasized that later changes to state biennial budget actions could alter multi‑year projections.

In the same session the board ratified two negotiated agreements covering district bargaining units. The board recorded a roll-call vote on the contracts; the motion carried with Mr. Ward recorded as abstaining and other members voting yes.

Superintendent Bill Seager asked the board to consider moving the June meeting one week later (to June 23) to allow more time for state budget reconciliations; the board discussed scheduling and the move remained tentative. Vooring said the district would return in June with more complete carryover and appropriation recommendations if the state budget situation changed.

What the board approved

- May financial forecast as presented by Treasurer Judy Vooring, including the increases in supplies and the textbook-adoption expense. - Resolution establishing a capital projects (070) fund for broad maintenance and construction categories. - Resolution establishing a termination/severance benefits fund to track and pay retirement/severance liabilities. - Ratification of two negotiated bargaining-unit agreements (board vote recorded; one abstention noted).

Why it matters

The creation of a capital projects fund provides the district a mechanism to set aside and track money for building maintenance and larger capital needs over time, rather than paying these costs directly from the general fund each year. The termination‑benefits fund is intended to smooth payments for retirements and other severance obligations. The ratified labor agreements set personnel pay/conditions that are reflected in the multi‑year forecast Vooring presented.

Board procedure and next steps

Board members asked for follow‑up detail on proposed transfers into the new funds and said final transfers would be considered in June after the district closes the fiscal year and assesses how state budget actions affect carryover. Vooring said she would bring recommended amounts and supporting detail at that time.

A more detailed May forecast and supporting schedules remain available from the treasurer’s office for public inspection.