Finance committee flags state budget delay, possible short-term borrowing and METS food-service update

The Whitehall-Coplay finance committee said the ongoing state budget impasse threatens the district's cash flow and may force short-term borrowing if state payments are delayed.

Finance staff said the district is awaiting approximately $36,000,000 in state funds and could exhaust its fund balance in February or March if payments do not arrive. Staff outlined the option of working with PFM or banks to arrange a tax-revenue anticipation note or line of credit if the state budget is not resolved, and cautioned borrowing would incur fees and interest. The flexible benefit plan adoption agreement was presented with only date and carryover-limit corrections (carryover corrected to $680) and will return next month for formal action.

In a separate agenda item, METS food-service staff (Kathy, Derek, Krista) reported no major issues with the school-year opening, full staffing across five schools (22 district employees and 22 METS employees), updated six-week menu rotations and expanded a la carte options. METS reported catering revenue of $25,163 from August to October and meal participation counts for the same period: breakfast 50,970 and lunch 126,925. METS also proposed a junior "Top Chef" competition for Zephyr fourth- and fifth-graders in spring, pending scheduling with building staff.

Finance staff reviewed the Act 1 budget timeline and said the district's base index for 2026–27 is 3.5% with an adjusted index of 4.7%; with state exceptions limited, staff said they will present a preliminary budget to the board on Jan. 12 to determine whether to stay below the index or pursue exceptions.