Agenda - 04-20-1982 - Laserfiche WebLink

Browse Search

_~��. 00924 Commissioner Willhoit moved, seconded by Commissioner Walker, to appointment three interim trustees for the proposed Damascus Fire District in order that work might proceed on a proposed budget pending the outcome of the referendum; the trustees proposed are: Marvin Poythress, Wade Davis, and Pascal Trohanis. Vote: Ayes, 5; noes,O. E.11. CHAPEL HILL-CARRBORO SCHOOLS' SHORTFALL Commissioner Willhoit moved, seconded by Commissioner Walker, that this Board write a letter to the Chapel Hill-Carrboro Superintendent of Schools and to the Chair of the Chapel Hill-Carrbnro Board of Education which explains the County's understanding of the situation with regard to the shortfall. Commissioner Willhoit enumerated his understanding of the shortfall: 1--a 6% error was made in estimating the re-evaluated tax base of the Chapel Hill-Carrboro School District; 2--the error was discovered by the new County Manager; 3--the School Administration had not discovered the shortfall in — revenue, therefore, its ability to meet budget obligations was not impaired; 4--the revenue shortfall should not have to be made up from the school contigency fund since there was sufficient underspending in various object codes and there were additional revenues; 5--the school budget does not have to be cut since the shortfall is an appropriate use of the unappropriated fund balance; 6--the unappropriated fund balance was estimated at $350,000 prior to this Fiscal Year while latest estimates indicate an unappro- priated fund balance of $600,000; 7--the revenue shortfall is projected to be about $72,000 which should be partially offset by about $66,000 budgeted for salary increases effective October 1, 1981, whichwere not implemented until January 1, 1982; 8--the unappropriated fund balance, contrary to statements indicating otherwise, is very close to a month's payroll for the schools based on 43% coming monthly from local sources and about 46% monthly from the State direct to the chools; 9--the schools had estimated $100,000 investment income and if so, based on a return of about 15% it means their invested funds amount to about two thirds of a million dollars; 10--and according to an article in the Chapel Hill Newspaper on March 2, 1982, there was a windfall of about $122,000 in unexpected revenues for that school district ($60,000 above the $100,000 expected on the interest on the fund balance; $I0,000 in payments in lieu of taxes; $45^000 in indirect cost recovery from the Federal Government; and, income on rental of property $7,200). Commissioner Willhoit said, pending validation of the figures cited, this revenue shortfall will not cause the School Board to default on obligations and teachers and programs will not have to be cut. Vote: Ayes, 5; noes, O. E. 11. JORDAN RESERVOIR ALLOCATION Commissioner Willhoit said the deadline for making allocation requests from the Jordan Reservoir is June 29, 1982, and he suggested that staff con- tact water providers/users in the County to ascertain the feasibility of the