Posted: Nov 10, 2011 8:05 AM by Lauren Wilson & AP
AMITE, La. (AP) - Administrators say the Tangipahoa Parish school system will face a deficit in 2012-13 that would grind the system's general fund down to virtually nil unless cuts are made.
Bret Schnadelbach, the system's financial chief, told the School Board Finance Committee meeting Tuesday that administrators project a $10.1 million deficit for fiscal year 2012-13.
Schnadelbach said that deficit would leave the general fund with $246,949, well below the board-mandated floor of $9.3 million.
He says general fund expenditures are predicted to total about $128 million in 2011-12.
The Advocate reports Schnadelbach attributed the ballooning deficit to increasing health insurance and retirement costs coupled with an expected continued freeze in funding through the state Minimum Foundation Program.