Dec 11, 2003 By Steve Ostrosky 4 min read

The Laurel Highlands School District’s financial picture has improved since it was forced to take out a $2.97 million bond issue in 2002 to cover outstanding debt, according to the district’s auditors. As of the end of the 2002-03 academic year, the district had a fund balance of approximately $800,000 after revenue and expenditures during the past year were virtually the same, according to Mike Revak of McClure and Wolf Certified Public Accountants.

He said Wednesday the bond issue wiped out all of the district’s debt, and some rental reimbursements from renovation projects 1998 and 1999 brought money into the district.

Revak and associate Greg Hensh gave a brief report on the district’s finances during the board’s monthly work session, in advance of the presentation of the district’s annual audit during the school board’s January session.

He said the record keeping within the district’s business office has improved, but stressed that the bond issue will be paid back over the next 10 years. The district has included that debt service in its overall millage rate placed on property owners.

“The numbers you are working with now are more realistic,” Revak said. “The system is moving along the way you expected.”

Revak said there will be recommendations included in the audit report next month, but said many of the problems and questions about the prior years’ financial status have been resolved.

During the board meeting that followed the work session, Superintendent Dr. Ronald Sheba presented a lengthy report about the plan the district’s administrative team developed for the district to address several areas, including personnel, renovations and technology.

Much of his report dealt with the district’s finances, noting that increases in health insurance and contributions to the Public School Employees Retirement System had to be absorbed in the 2003-04 budget.

He discussed staffing after “misleading information” had been circulated about district employees that have retired. Over the past three years, 34 people have retired and the student population has decreased by 180 students.

Among the personnel actions Wednesday were several positions that had not been filled, and Sheba said those moves would help to replace all but 15 of the retired positions.

The board approved all of Sheba’s requests, including the posting of a middle school sixth grade position with a certification in secondary English, posting a social studies teacher position at the senior high school, taking over a speech program presently run by Intermediate Unit 1 and posting that position and creating four part-time class size reduction positions at the elementary schools.

On the issue of elementary schools, Sheba said the district needs to plan for the renovation of Hutchinson Elementary School, which could begin as early as summer.

He proposed moving the Hutchinson students to Kennedy and Marshall Elementary schools during the 2004-05 year while the school is being renovated and then closing Kennedy after the renovation is complete, which would more evenly distribute students among the remaining four schools. Those moves are outlined in the district’s strategic plan, which directors approved earlier this year.

Sheba estimated that the closure of one elementary school could save the district approximately $500,000 annually.

On Wednesday’s agenda was a motion to select an architect for the Hutchinson renovation project, but directors voted to table it. Directors Beverly Beal and Cathy Rice were absent.

He said the district will continue to keep a close eye on finances, noting a number of factors that could have a positive financial impact on the district, but cautioned that they are possible and not certain at this point.

“We are ever mindful of the taxpayers of the school district, realizing that only 20 percent of families in the district have children in school and that many taxpayers are on a fixed income,” Sheba said. “We hope that the financial picture of the district will be bright.”

In other matters, the board voted to name Leonard Kralik as instructor for the temporary after school driver’s education program and named Jessica Scott as part-time Title I math coach for the Pennsylvania System of School Assessment.

They named Bradley Takach as head varsity boys soccer coach and named Thomas Walls as head varsity girls soccer coach.

Directors also approved a student attendance policy and a policy on family educational trips.