By Lori EhdeLuverne School District had a good year in 2002-03, with its general fund balance showing an increase of roughly $863,000 over the previous year's balance.James Gilman of the Conway, Deuth and Schmiesing accounting firm in Morris presented Luverne School Board members with the district's annual audit report during the Thursday, Nov. 20 School Board meeting.The extra money was earmarked for several capital projects underway that weren?t completed in 2002-03, so those capital funds were held over the following year to cover those expenses.While those funds were spoken for and later spent, Gilman said other funds, such as transportation and food service, also did well.Considering many districts are now deficit spending to maintain programs, he said any balance in the black is good news."Having a good year will allow us to keep programs in tact a little longer before we have to make changes," Gilman said.With declining enrollment and subsequent declining revenues, it?s only a matter of time before Luverne joins the ranks of schools out of money.While he doesn?t necessarily advocate competition among rural districts, he said open enrollment has been helping Luverne."Open enrollment is a factor," he said. "If they like your programs over the neighbor?s, you might want to keep it up and market those programs."Other than that, he simply advised the district to try to control its growth of expenditures.Gilman said Luverne?s revenues and expenditures are quite typical of most rural school districts of its size.For example, most districts see about 50 to 53 percent of their expenditures covering salaries and benefits.What?s hurting school districts and employers everywhere, he said, is continually rising health insurance costs. In the Luverne School District, benefit costs ? including health insurance ? rose another 13 percent this year.But Gilman said salaries and benefits aren?t an area school districts should turn to for cuts."You simply can?t balance your budget on the backs of your employees," he said. "The health care industry tried that, and look where it got them," Gilman said, pointing to the current shortage of nurses and other health care professionals.In other business ?oSuperintendent Vince Schaefer told the board the district received $83,000 from the Hills-Beaver Creek School District as partial payment of special education bills owed to the Luverne District.In recent years, some H-BC students with special needs have open-enrolled to Luverne, and the home district is responsible for paying for excess costs.H-BC still owes $55,864.59 in remaining special education bills for services rendered in 1999, 2000 and 2001.oWatched a video lecture from the Minnesota Rural Education Association that projected a state average 10-percent increase in property taxes next year and 12 percent the following year.This is largely due to the fact that the state?s plan to fund education on sales and income tax isn?t working. Because the state economy slowed shortly after this shift two years ago, the state has fallen into deficit spending to keep pace with education funding.oLaDonna Iveland and student Colby Anderson have agreed to take over direction of the spring play, since Carol Ceynowa recently resigned from the position. Ceynowa has agreed to help with casting and some other preliminary work. oThe board approved Henning Construction for snow removal at a base guarantee of $300, $100 per hour for pay loader plus operator, $75 per hour for truck plus driver and $100 per hour for road grader.oThe next School Board meeting was set for 6 p.m. Monday, Dec. 22.Personnel action, the board approvedoMaternity leave for special education teacher Jennifer Radtke starting around April 13oMaternity leave for high school math teacher Becky Rahm starting around May 7oHiring Samantha Vahey and Mary Brinkman as co-cheerleading advisors for the winter season at $865 eachoResignation of Nancy Weir, management assistant, effective Dec. 19oHiring Brad Petersen as assistant wrestling coach at $2,300 for the seasonoMatt Skattum as volunteer wrestling coachoHiring Nick Domagala as assistant girls? hockey coach at $2,000 for the seasonoHiring Tom Cauwels as assistant boys? hockey coach at $2,000 for the seasonoHiring Mark Lundgren as 2004 Summer Recreation Program coordinator at a salary of $7,000.
