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Finance update: district projects a March tax inflow and may dip into reserves before then
Summary
Finance staff told the board the district began the fiscal year with about $9.9 million, expects a pre‑March low near $2 million before a large property‑tax payment in March, and will monitor weekly; dipping into appropriated reserves is expected and a zero‑interest state loan is an available backstop.
The district's finance director briefed the board on cash‑flow and near‑term reserve needs.
Eric (finance director) said the district started the fiscal year with roughly $9.9 million at the end of July and that a large portion of program revenue now arrives through local property taxes concentrated in March, May and June. He told the board that without the March property‑tax inflow the district could see an available cash balance drop to about $2 million just before the March payment, and that staff will monitor weekly and report monthly to the board.
"We started the year with ... at the end of July we had $9.9 million of balance," Eric said, and added that the March property‑tax payment will be approximately $7.5–8 million. He said dipping into the district's authorized reserves is part of the plan to bridge the gap and that those reserves are available because they were appropriated in the budget; if reserves were insufficient, staff noted an option exists for a state zero‑interest short‑term loan for districts in similar positions.
Board members asked how capital improvements and maintenance priorities intersect with cash‑flow; Eric and the superintendent said they are coordinating closely to avoid pulling funds from essential projects. The board also discussed the idea of setting a targeted reserve cap and agreed staff should develop a model to recommend an appropriate percentage of reserves the board should retain as policy.
No formal action was taken; finance staff will continue weekly monitoring and provide monthly updates to the board.
