CULLMAN — The Cullman County Board of Education plans to push payday for employees to the end of December due to budget constraints. The board has also opened a line of credit in case payroll funds are not available from the state on time.
The school board has approved a $4 million credit line with Compass Bank, which can be accessed if operational funds drop too low.
The credit could be needed to bridge the gap between the arrival of monthly state allocations, and the checks being cut for local employees.
“If we do use it, we’ll just be borrowing money for a couple of days while we wait on the state, so that should be all right,” chief financial officer Randy Dunlap said. “This is just for short-term cash flow.”
Superintendent Hank Allen said the credit line is a precaution the system often takes around the holidays, as state funds will not arrive until the last day of the month.
“We will only use that if we have to use it,” he said. “We do this every year, just in case we need it.”
The school system normally pays employees before the holiday break from classes, but will now delay until December 30 because there are not enough reserve funds available.
“We regret having to do this, but we have no choice considering the situation,” Allen said. “We just didn’t have the money to pay before Christmas this year.”
In an average month, payroll for the county system totals approximately $2.7 million.
Reserve funds for the school system have been weakened due to state budget cuts over the past two years.
Currently, the county school system has approximately a two week operating reserve — well below the state recommended minimum one month reserve.
The most recent state cuts have slashed 7.5 percent of the current education budget, which costs the county school system approximately $500,000 per month. More than $5 million was cut from last year’s budget when proration was first declared in 2008.
In other business, the board:
* Held after school and summer program presentations.
* Approved the Nov. 12, 2009 minutes.
* Accepted the resignation of Connie S. Johnson, school nurse at Cold Springs High School for retirement.
* Accepted the resignation of Ruth N. Bradford, writing to read aide at Hanceville Elementary School.
* Approved a leave of absence for Amanda Allen physical education aide at Good Hope Primary School.
* Approved the voluntary transfer of Alan Dunkling from health teacher at Good Hope High School to assistant principal and teacher at Good Hope Middle School.
* Approved the appointment of certified temporary employee Patrick McDonald as a health teacher at Good Hope High School.
* Approved the appointment of substitute nurse Lisa Ann Gilbreath.
* Approved the appointment of after school program substitute Emily Watts.
* Approved the appointment of school bus driver substitutes (pending ABI/FBI background clearances): Heather Allison, Jeremy Ferrell, Jerry Ferrell, Dennis Grove, Tammy Henke, Dean Johnson, Mark Long, Mike Motes, Karen Norman, Misty Partain, Quinton Posey, Rodney Rice, Donny Robertson, Denise Spradlin, Sonya Still, Ron Thurman, Darrell Wilhite, Samuel “Buddy” Wilkins, Bryan Farris.
* Approved contract changes for:
— Tammy West, add varsity softball coach at Cold Springs High School.
— Jay Huddleston, add assistant baseball coach at Holly Pond High School.
— Chris Freeman, add varsity football coach at Cold Springs High School.
* Approved an out-of-state field trip request from Hanceville High School National Honor Society to visit the Nashville Aquarium in Nashville, Tennessee on December, 7 2009.
* Approved an out-of-state field trip request for Hanceville High School band to perform at Six Flags in Atlanta, Georgia on April 22-24, 2010.
* Approved a $2,600 maintenance department bid with Bestway Construction Company to re-roof the Good Hope baseball concession stand. The stand was damaged during a recent storm and the project is covered by insurance.
* Approved October 2009 bills, salaries and financial statements.
* Approved a 403(b) plan document and third party administrator for MidAmerica Administrative Retirement Solutions, in conjunction with Collateral Benefits, to write a 403(b) Plan Document and administer a 403(b) plan. All associated costs will be paid by Collateral Benefits for at least two years.
* Approved funds to pay teacher mentors through the state department teacher mentor program: April Dean, Greg Ennis, Kristie Harbison, Dana Lisle, Michael Parker, Laura Ray, Sharon Reid, Allison Tuggle and Melba Wiegand.
* Granted permission for the superintendent to establish procedures to regulate credit recovery programs and the posting of repeated credits on high school transcripts.
* Approved a request from West Point High School to use local funds to pay for painting and renovations to the field house and locker repairs to: A.J. Lamar, Don Farley, Phillip Miller and Toby Denson.
* Approved a request from West Point High School to pay Candice Harbison $600 for dance team, to be paid by local funds.
* Dismissed into executive session for approximately one hour to discuss a personnel matter.
* Announced the next workshop for Tuesday at 6 p.m. in the central office board room.
* Trent Moore can be reached by e-mail at trentm@cullmantimes.com, or by telephone at 734-2131, ext. 225.
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CCBOE pushes pay to end of Dec.
Hank Allen says board to open line of credit, ‘just in case’
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