Board reviews Budget Draft 1, discusses pay-scale adjustments, federal funding and three grants

At a Thursday work session the Cumberland County School Board reviewed Budget Draft 1 and discussed pay-scale adjustments, fund-balance goals and several grants and reallocation requests. Board members repeatedly emphasized a "do no harm" approach to existing positions and benefits while acknowledging the need for a multi-year plan to avoid repeated budget crunches.

Budget overview and fund balance: The board discussed a multi-year strategy to reach a target fund balance (discussed in the meeting as a 17% fund balance, roughly two months of operating expenses). Staff said the district had worked to increase reserves over the past two years but that postponed maintenance projects and other commitments remain.

Salary and raises: The draft budget includes a 2% across-the-board increase. Board members discussed alternative scenarios: a one-time $17.13 adjustment referenced on the slides, a proposal to provide a 10% increase for employees working fewer than 260 days and 2% for 260-day employees, and a 6% option. Staff indicated the 2% scenario was what was currently in Budget Draft 1; the larger (6% or 10%) options would increase the budget and were not included in Draft 1.

Board members and staff discussed the mechanics of pay-scale changes: one board member described the $17.13 figure as a step toward complying with a legal requirement (discussed in the meeting but not cited to a specific statute), while others said moving to a fully balanced pay scale would cost more and would be a multi-year undertaking. A board member described the process as "baby steps," noting full balancing could not be accomplished in a single year.

Federal funding, supplanting and program impacts: Staff (Miss Bray) explained that Title and other federal funds fluctuate by building depending on student counts and services; if the district pays for a service from local funds that was previously federally funded, the federal program may not be able to continue paying for that same service (a supplanting issue). Staff said they will provide detailed answers to specific cost questions on request.

Program-specific grants and reallocations: The board reviewed several small grant and reallocation items that must be entered into the budget so the district can spend the funds: - HVAC equipment and training grant for the CCHS HVAC class (grant recently received; staff said paperwork arrived Monday and the funds must be included so they can be spent). - A SPED "crystal" grant (staff described it as a reallocation to avoid losing unused funding). - Ivy Bird's Learning Center ("baby birds") reallocation: staff said participation has declined and $28,000 must be moved to usable supplies or it will revert to the state; the board approved reallocating that amount to cover supplies used over the next two years.

Other items and next steps: Board members discussed forming two special committees (evaluation committee and a budget committee). The chair said committee appointments will be named at the board meeting. The staff noted that the 2% scenario was currently embedded in Budget Draft 1 and that any changes (6% or 10%) would need to be decided at the regular meeting for inclusion. No formal budget adoption vote was recorded in the work session.

Staff and board members agreed to continue work on a multi-year plan for salaries, benefits, maintenance and capital projects and to re-examine pay-scale structure during the next school year, beginning discussions with the incoming director as appropriate.