MCA to dip $200k out of savings
MOUNT CARMEL - Mount Carmel Area's budget deficit for next school year will be erased with reserve funding.
The district school board voted 6-2 Thursday to use up to $200,000 from a reserve account to balance the 2013-14 school year spending plan.
In favor were directors Charles Mannello, Donna James, Robert Muldowney, Michael Rovito, Michael Brinkash and Joe D'Andrea. Opposed were Dr. Raymond Kraynak and Thomas Ditchey. Raymond D. Kraynak was absent.
Dr. Kraynak said he had "reservations" about the move, saying such funding should be saved for "doom's day" scenarios. Deficits will crop up annually as long as pension and health costs continue to rise dramatically, he said, and reserve funding to cover such costs is not the answer.
Charles J. Mannello, district business consultant, said without a 1 mill tax increase, the deficit would be an estimated $200,000. With an increase, the deficit would drop to about $130,000.
One mill represents about $70,000 in revenue for the district.
A preliminary budget is expected to be presented to the school board next month.
In other business, the school board voted to:
- Seek bids for the removal, purchase and installation of the Silver Bowl track;
- Replace the district's 37-year-old cafeteria washing machine with a new system not to exceed $100,000, which Director Charles Mannello estimated at slightly more than $84,000 with installation;
- Hire Herring, Roll and Solomon PC as auditors for local tax collectors at a cost of $3,750;
- Approve separate facility use requests by Anthracite Citizens' Theatre, Kulpmont Lions Club, John Lazicki and Nate's Mates;
- Accept a graduation scholarship from Catawissa Lumber and Specialty Co. Inc. The amount of the scholarship was not discussed.