CITY SCHOOL BOARD OKs $20;1 MILLION BUDGET FOR '93-34

Prior to approving the 1993-94 fiscal-year budget Monday, the Cape Girardeau Board of Education was cautioned that the budget may be subject to constant review under Missouri's new school funding formula.

Last year's budget came within a few percentage points of being right on the money, Business Manager Larry Dew told the board.

"But the biggest change in the planning of this year's budget was the changes we must undergo to be in compliance with Senate Bill 380," Dew said.

Previously, 80 percent of the district's revenue was channeled into a teachers fund and 20 percent was allotted to incidental expenditures. With the passage of SB 380, only 61 percent of the district's revenues can be placed under the teachers heading; 39 percent will be allotted to a incidental fund.

Dew said that because of SB 380 and the ratio differences, the state will keep track of the district's bottom-line numbers now, requiring heightened attention by the board's finance committee.

"In the past, our expenditures always came close to equalling our receipts by the end of the year," said Lyle Davis, chairman of the finance committee. "Now we will be under closer scrutiny by the government and must keep the right totals in the right columns."

The main difference is the accounts from which the teachers' salaries will now be drawn. With the 61-39 split, some money must be moved to the incidental account which will still be paid out in teachers' salaries.

"I'm sure that there will be some concern expressed about the teachers fund," Dew said. "So what we've done is planned to maintain a teacher expense ratio -- allowing 64 percent of the budget to be paid out in teachers' salaries."

John Campbell, president of the Board of Education, made clear that the former methodology used for the teachers fund in the yearly budget was made moot by SB 380. Teachers will continue to claim 64 percent of the annual budget in salaries, which this year will be more than $11.9 million -- almost $600,000 more than last year.

Davis promised the board that his committee will be meeting regularly to monitor receipts and expenses in the upcoming budget.

"In the past, it has not been necessary to change the budget during the course of the fiscal year," Davis said. "But this year, in light of SB 380, the board needs to expect the definite possibility that this could happen. We just don't want anyone to be surprised if it does.

"I sincerely hope that these projections come as close as the numbers have in years past, but this is a new game we've never played before," he continued. "This budget might be quite a bit different by the end of the next fiscal year."

Davis said the finance committee will meet more than once a month to review the budget, if necessary.

The board unanimously approved the $20.1 million budget at the close of the finance committee's presentation.

In other business, the board delayed the issue of redistricting Cape Girardeau's public schools until the next meeting, due to Superintendent Neyland Clark's absence from the meeting.

But Clark did leave the board a memo that promised to have a committee ready to report on the redistricting planning at the board's next meeting, Nov. 8.

"The redistricting is not meant to be a punitive measure which has fallen on the city as a result of a failed bond issue," said Davis. "It's a necessary to be able to facilitate the future services this district can provide to its children."

Near the close of the meeting, the board discussed last week's failed tax levy vote.

"We were all very disappointed the measure didn't pass," Campbell said. "I don't really know what we have to do to convince those who voted against the measure that these improvements are desperately needed.

"But we were much closer this time. Had 344 more people voted yes, it would have passed," he said.

Campbell and other board members vowed that the issue would return to the ballot as soon as possible. The board will holding a special planning meeting at 6 p.m. Oct. 20 to discuss its newest strategy for passing a measure to pay for structural improvements within the district.

"I've heard that issues of consequence have been voted on several times before they passed," Campbell said.

"One person told me that the city pool in Capaha Park took 12 appearances on the ballot to finally pass," he continued. "I hope it doesn't take that long for us, but if it does, we'll do it that way."

Board member Pat Ruopp said the biggest heartache of the tax levy not passing was the $900,000 per year in state revenues denied to the district over the next 20 years.

Davis wondered aloud if the voters simply did not trust the board's recommendations when it came to capital improvements for the district.

"I don't understand how people can be so grossly misinformed about the needs of this district as to vote against such a proposal," Davis said.

"We have nothing to gain personally by our proposals. When we go to the voters and tell them what we need and they deny our request, that tells me that there exists some sort of lack of trust or lack of belief in the competency of the board members," he said.