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 pummeling Nevada, is the Clark County school board being fiscally prudent?
Last November, the Clark County School District 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 capital improvement plan 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.
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