Taos board approves $540,000 permanent transfer to athletics; finance director flags structural food-service deficit

At its Dec. 10 meeting the Taos Municipal Schools Board approved financial items and a permanent transfer to fund athletics more transparently.

Director of Finance Dr. Rainier Martins presented BAR approvals and the September and October 2025 financial reports and warned the board of structural deficits in certain enterprise funds. Martins said the food-service fund has an operational deficit driven in part by staffing and that last year's shortfall was roughly in the high six figures (previous journal entries had covered roughly $900,000). He recommended the board consider permanent cash transfers into those funds so school programs and athletics operate with a clear, proportional budget rather than using ad-hoc draws from the general fund.

On the new-business item the superintendent and finance director proposed a permanent cash transfer of $540,000 from the general fund to fund 22000 (athletics). The transfer was presented as a way to give the athletics director a clear year-long budget and avoid muddled expense accounting across general fund lines. Board members discussed bus purchases, the new activity bus funded through capital outlay, and asked for a more detailed athletics budget breakdown; one trustee specifically asked that future budgeting include line items that reflect coach pay and other recurring obligations.

The motion to approve the $540,000 permanent transfer passed by roll-call vote with Board Members Concha, King, Secretary Trujillo, Vice President Sprague and President Flores voting yes.

Martins also reported a successful test transfer into a high-yield state treasurer account and said the district will consider short-term placements of available cash when not needed for operations to earn interest. The board approved the requested BARs and the September/October financial reports by roll call earlier in the meeting.

Next steps: Finance will provide a more detailed athletics budget breakdown and recommendations for permanent transfers to stabilize food-service and athletics funds; staff will continue cash-management work and report back on interest income accounting and restricted-source allocations.