LAFAYETTE, La. (AP) - The Lafayette Parish School Board discussed changing a policy that sets aside three months of expenses in a rainy day fund, a change that would free up about $20 million to help fill an anticipated budget deficit of about $15 million.
The Advocate reports (https://bit.ly/1jLd8lk ) the board will take action on the policy change at its March 5 meeting.
The policy requires the board to set aside three months’ worth of operating expenses, or roughly $60 million, said Billy Guidry, district chief financial officer. The proposed policy change reduces that to two months or roughly $40 million be maintained in the reserve fund.
The policy change was proposed to help offset a shortfall that the board will tackle when it starts planning the budget for the upcoming school year in March, Guidry said.
“We’re into year four of making cuts, and we’re at a point where those cuts are going to be a lot more noticeable,” Guidry told board members. “It’s going to impact more people, more specifically the classroom. There’s potential for that.”
Guidry and Superintendent Pat Cooper had called a meeting Friday with the board’s executive committee to outline the budget outlook, but after board member Greg Awbrey requested the information be shared with the entire board, a date for a special board meeting to discuss the expected budget shortfall is pending.
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Information from: The Advocate, https://theadvocate.com
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