The Board of Education will transfer $3 million in reserves to its capital projects fund.
The board approved the transfer at their monthly work session Thursday, July 9.
Finance Director Melanie Helms reported the system anticipates having about $17.35 million in reserves by the end of this fiscal year.
The reserves have built up due to higher than expected revenues. The reserves come from revenues accumulated in excess of expenditures in the general fund budget each year.
The state recommends each school system keep a quarter of its total budget amount in reserves. Under that formula, the school system’s target reserve would be about $11 million.
The transfer will keep about $14.35 million in the reserve fund.
The transfer will allow for the monies to be used to offset bond payments or work on capital projects. Helms specifically mentioned the transferred funds can be used for upcoming construction projects at Patterson Elementary and at the middle school.
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