The cash-strapped Nampa School District got some relief in court Monday. According to the Idaho Statesman, District Judge George Southworth said the district could borrow to cover current year expenses.
“We expect we’ll need to borrow to meet our spring cash flow needs – pay our people and our bills – through the end of the year,” district spokeswoman Allison Westfall told the Statesman. “That amount has not been determined.”
According to the Statesman, Southworth’s ruling allows the district to borrow against future state payments — and perhaps against a voter-approved property tax levy.
On March 12, the district will seek its second voter-approved levy in seven months: a one-year, $4.3 million proposal that is not expected to increase the district’s property tax rate. In August, voters said yes to a two-year, $3.2 million levy.
The March levy is designed to cover a corresponding $4.3 million shortfall, resulting from a series of budgeting errors dating back to 2010-11. The district says the errors included double-counting some one-time state and federal funds, and overestimating state funds to cover salaries.