Treasurer warns of possible revenue effects from state property-tax changes and outlines cash strategy
Summary
Treasurer reported November financials, replacement of a $150,000 CD to capture 4.05% interest, concern about state property-tax reform timing and potential impact on February revenue and May bond payment, and proposed internal transfers to cover bond obligations.
The district treasurer presented November financial results on Dec. 16 and outlined near-term cash-management concerns tied to state property-tax reform and bond payments.
Treasurer Joyce reported a matured $150,000 CD that the district replaced to capture a 4.05% interest rate and said the district plans to hold more cash in its STAR account for liquidity until the February property-tax advance arrives. The treasurer noted the state legislature passed property-tax reform bills but the timing of governor signature and the distribution of hold-harmless payments is unclear; the treasurer warned that the district could see reduced revenue in the February payment and flagged the district’s bond payment due May 1.
To reduce next-year bond costs for the PreK–8 project, the treasurer proposed transferring $68,567.53 remaining in the high-school bond account into the PreK–8 bond fund; the motion to transfer was moved, seconded and approved by roll-call vote. The treasurer also estimated a possible FY deficit increase tied to state funding changes and suggested convening a committee-of-the-whole after the new year to evaluate options.
