CFO: District revenues roughly on track but encumbrances and diesel costs raise watch items

Christine Jewett, the districts chief financial officer, presented an update on unrestricted revenues and expenditures representing the first eight months of the fiscal year.

"Total revenues received year to date are approximately $179,100,000 which represents about 62% of our total budgeted revenue of $288,100,000," Jewett said, adding that state revenues of $73,700,000 represent approximately 67% of that component of the budget and are influenced by the state's payment schedule. Year-to-date expenditures totaled about $164,600,000 with $108,100,000 in encumbrances; combined that equates to roughly 95% of the $288.1 million budget being spent or committed.

Jewett highlighted that the transportation category currently reflects a budget deficit of approximately $47,000 tied to a prior calculation error and volatile diesel prices; she reported fuel-price surveys showing a February price per gallon minus taxes of $3.21 and a March figure of $4.26. She said the Department of Transportation is monitoring diesel prices and assessing the impact on bus contractor costs.

Board members asked for clarifications on encumbrance totals (confirmed at $108,100,000) and whether state payment timing is sufficient to avoid drawing on cash balances; Jewett said the payment timing is adequate to support expenditures. She said staff will return next month with an inter-category budget transfer to address the transportation shortfall and projected diesel-fuel increases.

Next steps: CFO will prepare the inter-category transfer and a more detailed projection after reviewing encumbrances and planned expenditures; board members may receive additional comparative-year analysis upon request.