City district's finances hold up -- for now

The district could save $1.5 million by not filling 20 teaching vacancies.
By HAROLD GWIN
VINDICATOR EDUCATION WRITER
YOUNGSTOWN -- The Youngstown City School District's finances looked pretty good at the end of August, but that trend may not hold up for the rest of the school year.
Carolyn Funk, district treasurer, handed the school board a financial report Tuesday that showed the district took in nearly $19.3 million in general fund receipts in July and August, the first two months of the school year, and spent just under $18.1 million.
"We're in the black this month, anyway," Funk said, warning that the positive financial picture may not last.
The first two months of receipts reflect tax revenue that comes in only at this time of year and temporarily inflates the revenue side of the budget, she said.
Several worry
Several school board members have repeatedly expressed concern about the district's finances, wanting to know where the budget stands and whether the district can afford all of the new programs implemented this year.
Funk gave the board details of proposed expenditures for the year Tuesday, showing $120.3 million in general fund spending, up $8.3 million from last year.
A final version of the revenue side of the budget won't be ready until the Oct. 11 board meeting, she said.
Funk had given the board an informal report earlier this month, estimating that total general fund revenues would be in the $105 million to $106 million range. The district already has about $12 million in carryover funds from last year, she said.
She told the board at the time that it will be close, but the district should be able to make it through this year. She offered no similar prediction Tuesday.
Employees' pay
The district may have to appropriate more money than anticipated for employee salaries, Funk said.
Youngstown has spent 25 percent of its projected $59.5 million for fiscal year 2006 salaries as of this week. That represents 25 percent of the fiscal year that began July 1 , but the number shouldn't be that high, Funk said, explaining that payrolls over the summer months are traditionally lower than the rest of the year.
Salary spending should only be at the 23.5 percent mark, she said.
The district may be able to tap some federal Title 1 money for some teaching salaries and that will help, Funk said.
Good news
Dr. Wendy Webb, superintendent, offered the board some positive financial news.
She said the district was able to eliminate 20 teaching positions through attrition this year, a savings that could amount to $1.5 million. They were held by people who retired at the top of the salary scale and the savings will amount to about $75,000 per position, she said.
Several administrative posts are also vacant and likely won't be filled, generating additional salary savings, Webb said.
The district has about 1,200 employees, including 800 teachers.
Low bids
The board also got some positive financial news when it came time to award contracts for the renovation/expansion of Kirkmere Elementary School on South Schenley Avenue, though the savings are in the construction account and won't directly affect the general fund.
Anthony DeNiro, assistant superintendent of school business affairs, said all but one of the bids came in substantially lower than estimated.
The general trades contract, in particular, is $600,000 below the engineering estimate, he said.
The fire protection bid came in about $40,000 over estimate, primarily due to the increasing price of steel, he said.
Work on the project should begin in a few weeks, he said.
All Kirkmere contracts were awarded to the lowest bidders. They are:
*General Trades: Kreidler Construction Co. of Poland: $2,418,780.
*Heating, ventilating and air conditioning: York Mahoning Inc. of Youngstown: $814,700.
*Plumbing: Prout Boiler Heating & amp; Welding of Youngstown: $361,400.
*Electrical/technology: Roth Brothers Inc. of Youngstown: $818,285.
*Fire protection: Prout Boiler Heating & amp; Welding of Youngstown: $169,900.
gwin@vindy.com