Lafourche schools eyeing tax collections

Despite facing a sales-tax shortcoming of nearly $1 million, Lafourche Parish School Board officials say they have enough money to make it through the fiscal year.

At its meeting last Wednesday, Don Gaudet, Business Manager for Lafourche schools, said the October collections are in and the numbers are down roughly $900,000 from last October.

However, there is a $500,000 cushion left in the sales tax account thanks to the board managing things properly.

“It’s not a budget issue yet, but at this rate, in a couple of months it is going to be a budget issue,” Gaudet told the board. “There is no way to shelter anybody from the pain. What goes on in the classroom has to be protected first.”

Superintendent Jo Ann Matthews said the board has done a good enough job of being able to pay bills by watching it’s spending.

“We’re comparable and better than most,” she said. “It’s a very real and very serious problem throughout Louisiana and not just here. Because the board has been very fiscally responsible, we can maintain and pay our bills.”

Gaudet said the board levies a 2-cent monthly sales tax that was expected to bring in nearly $28 million for this fiscal year. The fiscal year ends in June.

However the natural recession has caused a downturn in retail sales.

“A year and a half ago we came out better,” Gaudet said. “We were making substantial progress but we can’t fight the economy. I wouldn’t look to the state for any help.”

As a precaution, the board spends a few million dollars below its projected intake just to be on the safe side, Gaudet said. The money left over is then rolled over into the following year’s budget, resulting in the cushion the board currently has.

But $4 million less slated for next year and with employee retirement payments increasing, health care costs rising and the continued depression of sales tax collections, officials are a little concerned about what 2010-11 will bring.

Board member Robert Naquin requested that the board review the budget closely not to fall behind.

“We need to keep our eye on the ball,” he said. “We really need to take our budget under a microscope and look at our debts.”

Gaudet assured the board that the money woes would clear as the economy begins to recover.

“Mrs. Matthews has already started investigating areas we can cut,” he said. “We’ll hear some griping and things when we put the squeeze on it but there is no way to shelter anybody from it. It’s something everybody across the state is dealing with right now.”