Jefferson City Public Schools approves 2019-20 budget

Jefferson City Public Schools' Board of Education approved the district's budget for the upcoming fiscal year 2019-20 on Monday, and for the first time, the district's operating fund expenditures will exceed $100 million.

The district's school board unanimously approved the budget for next year presented by JCPS' chief financial and operating officer Jason Hoffman.

The budget for 2019-20 includes an average raise for teachers and all classifications of 3.9 percent; a base salary for teachers of $37,900; and hourly pay rate increases for custodial, nutrition services and paraprofessional staff members to keep up with minimum wage increases.

Missouri's minimum wage will be $9.45 in the coming fiscal year. JCPS' custodial and nutrition services staff will earn $11.40 an hour, up from $10.65; and paraprofessional staff, $11.70 an hour, up from $11.05.

There's a 6 percent, or $3.5 million salary increase in the budget overall, and 26 full-time equivalent certified staff positions are projected to be added, including 12 for Capital City High School.

Hoffman said the new coaching stipend schedule approved last fall, that's tied to the teacher salary schedule, is also included in the budget for 2019-20.

Health insurance benefits and rates remain unchanged.

Hoffman said the approximately $100.7 million in operating expenses is part of $157 million in total expenditures in next year's budget: with $46.2 million for capital projects, including $42.6 million to finish the Capital City High School and Jefferson City High School bond issue projects; and $10.05 million in debt service.

Of the $100.7 million in operating expenses, 61.4 percent are for salaries; 17 percent for benefits; 11.1 percent for supplies and utilities; and 10.5 percent for purchased services.

A 3 percent rate increase for First Student's bus transportation services, or $150,000, will balance out $150,000 in transportation savings from changing school start times. The $69,000 increase in transportation expenses overall is from additional activities trips from having a second high school.

Capital City High School is still planned to open on-time in August.

The approximately $99.3 million in operating revenue in next year's budget is mostly locally-sourced: 49.4 percent from property taxes; 23.4 percent from the state; 9.4 percent from the federal government; 8.4 percent from other local and county sources; and 9 percent from Prop C.

The district's tax levy is $4.6928 per $100 of assessed valuation on property, and a 10-cent increase in the district's operating levy is expected in fiscal year 2021-22.

The $1.4 million deficit is as planned, Hoffman said, as was a budget surplus last year, and the projected 2019-20 operating reserve for the district of 23.7 percent, or $23.8 million, is still above the board's goal of 20 percent.

Operating reserves are kept on hand for unforeseen expenses that could max out the rest of the budget. Hoffman said a minimum of 13 percent would be necessary to keep the district from having to borrow money for payroll in the fall, and the other recommended 7 percent is a buffer.