Submitted by: Myke
Clark County school board
faces capital budget shortfall,
spends reserves anyway
Rush to approve new projects
suggests fiscal irresponsibility
By Karen Gray
Given the Great Recession pummelingLast November, the , is the Clark County school board being fiscally prudent? announced that "Debt service costs are projected to exceed underlying revenues by $138 million in FY 2011." Despite that projected revenue shortfall, however, the Clark County school board has twice revised its to start new projects and spend some of the $106 million it found in reserves — $36 million it "found in the couch" and $70 million it had banked in a "savings account."
In December, the school board and its appointed Bond Oversight Committee met to decide what to do with $36 million left over in the district's new-construction contingencies fund from the 1998 bond.
Staff suggested taking $31.5 million of the $36 million to finance new buildings for the Southeast Career and Technical Academy.