Finance staff reviewed the district's unassigned fund balance and the factors that produced it, and the board approved encumbering FY2025 purchase orders totaling $1,271,056.

Maria (finance staff) told the board the district began the year with an unassigned fund balance carried forward of $16,400,000; this year the district recorded approximately $74,470,000 in revenues and $83,400,000 in expenditures, leaving a reported unassigned fund balance of $7,600,000. Maria and other administrators identified revenue increases (Medicaid collections, grant reimbursements and interest income) and expense savings (vacant positions, lower contracted services and transportation savings) as contributors to the result.

Administrators told the board they had applied about $4.1 million of fund balance late in the fiscal year for projects the board had previously approved, including prepaying phase 1 of a lease (about $3 million), Atkinson Belfry work ($641,000) and fence replacement (about $138,000), and other projects.

Board member Paul moved to approve FY2025 encumbrances in the amount of $1,271,056; the motion was seconded by Jack and carried. The encumbrance represents purchase orders issued in FY2025 that remain legally obligated and will be paid from current or future appropriations.

Board members asked for greater detail on the salaries-and-benefits savings line (about $5.4 million) and on utility savings (about $155,000). Finance staff agreed to provide a breakdown of the savings components at a future meeting. Maria said the capital reserve fund balance as of June 30 was $453,777.

Why it matters: The unassigned fund balance affects tax impact and budget planning. Administrators said most of the $7.6 million will be used to offset next year’s tax rate. The board approved legally required encumbrances for prior fiscal year obligations and asked for follow‑up detail on the composition of savings and revenues.

Provenance: Discussion of the unassigned fund balance begins with Maria presenting numbers (transcript segment s=3323.82,e=3325.20) and continues through the encumbrance motion and vote (transcript segments s=4272.095,e=4284.62 and s=4296.575,e=4303.9497). Evidence excerpts: "The unassigned fund balance this year... the total, unassigned fund balance this year is 7,600,000.0" and "These are POs that have already been written, and that dollar amount is $1,271,056. We do need a motion to encumber those funds."