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Pine Bluff district finds state reporting error, receives $922,000 true-up
Summary
Superintendent told the board the Arkansas Department of Education reported the district using the old millage rate; the state issued $922,000 to correct the record and the district said it effectively gained about $1.5 million compared with earlier estimates.
Superintendent Barley told the Pine Bluff School District board that state reporting of local tax revenue used an old millage figure and led to an incorrect claim that the district had overcollected revenue.
The district received a final foundation funding payment and a $922,000 reimbursement from the Arkansas Department of Education, Barley said, which brought the district’s calendar-year reporting in line with the mills the board approved. "We just got in today. We've got our last foundation funding payment, plus the state has also reimbursed us $922,000 to true up to get us to the 98% collection rate," Barley said during the meeting.
The discrepancy stemmed from how local property-tax revenue is reported (by calendar year) compared with the school fiscal year (July–June), Barley said. The district's millage rate changed after the board vote in August 2023; the state apparently reported receipts using the prior (lower) millage number. Barley said the district had been tracking collections and determined it had collected at 93% of the new 47.7 mills, not the 105% figure the state initially reported.
Why it matters: the mistaken report would have shown an overcollection that could reduce state foundation aid. Barley credited district staff — "I just want to give praise to Jamie Reed for doing the digging" — and outside advisors for resolving the discrepancy and ensuring the district will not owe the state money based on the incorrect report. Barley said the corrected result turned what would have been a $1.2 million liability into roughly a $1.5 million positive difference for local revenue collections.
Finance action: The board moved to approve the financial report for the period as presented; the motion was seconded and the board approved the report by voice vote.
Budget context and next steps: Barley reviewed related fund balances and noted the board will use a 2023 capital-outlay account to pay for a planned warehouse roof repair. She also said the district continues to monitor tax receipts and will show updated numbers in the June board packet.
Sources and attribution: The summary above draws on the superintendent’s presentation and public remarks by Jamie Reed and financial adviser Ray Beardsley during the board meeting.
