Enrollment rising, layoffs may not become necessary

By Kathleen Acuff, Town Crier Staff Writer

The trustees of the Mountain View-Los Altos Union High School District unanimously adopted the 2004-2005 budget as presented by Joe White, associate superintendent for business services on June 14.

Total revenues for all funds are estimated at $40.7 million and expenses at $44.4 million. A beginning balance of $16 million leaves an ending balance of $12.3 million.

The budget assumes enrollment will grow by 130 students this fall and will continue to grow by 75 students in each of the subsequent two years. It also reflects the cost-of-living adjustment of 2.41 percent announced in the governor’s May Revise.

“It’s $3,000 extra but a good sign,” White said. “It proves the economy is going in the right direction, that the governor and the state feel they can provide COLA.”

The budget projects a conservative 4.5 percent growth in secured and unsecured property tax revenues, which give the district 84 percent of its income.

“We are property-tax sensitive,” White said. “We are driven by our residential economy.”

For the general fund, revenues for the new fiscal year are expected to be about $34.6 million, and expenses are estimated at $34.5 million. An unappropriated surplus of nearly $1.7 million is up from the earlier projection of $880,000. Slightly more than $1.7 million is designated for uncertainties.

The board was happy to see the reserve up from 3 percent to 5 percent of the total expense through 2007.

“This is a healthy reserve and will probably save those jobs in January,” White said.

He credited the district’s Budget Advisory Committee with “all the positives that replaced the negatives” in the budget.

“I was very pleased to see this budget,” White told the board. “We rebudgeted a couple of one-time expenses (in an effort to avoid layoffs later in the year).”

At $150,000, state unemployment insurance for 2004-2005 is double last year’s amount. On a more positive note, White and the Budget Advisory Committee do not expect medical insurance costs to continue to grow at a rate of 20 percent per year. Although worker’s compensation is up by 15 percent in this budget, “we were way below the state average,” White said.

Benefits and salaries account for 86 percent of the district’s general fund expenditures. Only 4-5 percent of general funds budgeted for the district’s expenses are discretionary, Superintendent Rich Fischer said.

In other business

Superintendent’s contract. Fischer’s contract has been extended a year and now expires June 30, 2007.

Calendar change. The high schools will observe Washington’s birthday on Feb. 20 as planned but will observe Lincoln’s birthday on Feb. 21 instead of Feb. 13. The first day of school will be Aug. 26, as planned.

Gifts. On behalf of Mountain View High School, the board accepted eight gifts of money amounting to $16,850, of which $7,000 was earmarked for the robotics team.

Tennis courts. Two recent LAHS graduates, Nathan Fenner and Tayler Cox, and junior Tessa Ameri asked the board to bring the tennis courts at the high school up to par with those at Mountain View High School. The LAHS courts are on Fischer’s wish list of renovation projects reported in the Town Crier May 26.