Utility rate hikes threaten school programs
Friday, Feb. 16, 2001 | 11:15 a.m.
Revisions to the Clark County School District budget will continue if the district gets hit with more utility rate increases, district officials said.
If rate hikes are approved, the district would be forced to move $5 million out of other areas of the budget to pay the bills. The district already this year has had to shift about $18 million from programs in its $1.1 billion budget to cover rate hikes and court-mandated pay raises for teachers.
"We may not be home free on our current budget if we get hit with a retroactive power increase," said Walt Rulffes, chief financial officer. "We'll be back out of balance again."
Sierra Pacific Resources Inc., the parent company for Nevada Power, and Southwest Gas Co., are seeking rate increases that would become effective March 1.
"One problem is that there is only four months left in the (fiscal) year in March," Rulffes said. "It will be extraordinarily difficult to make any adjustments. Most of our major expenses have already occurred. Plus, we've already made significant cuts."
Among the $18 million in cuts were a $5 million reduction to the ending fund balance (a reserve account), a total of $880,000 from the elementary education division and $715,000 from the secondary education budget. An estimated $2.4 million in savings resulted from overtime reductions, delays in hiring and utility conservation programs.
Pat Herron, assistant superintendent of the facilities division, said the school district has an energy savings program to offset rising utility costs, but it still isn't enough.
Last year, the program saved the district $933,000 and 43 of the district's 250 schools were commended for their efforts to conserve energy.
Much of the conservation effort centers on using motion detectors to limit energy use and keeping doors closed or lights and computers off, when appropriate.
The potential savings is significant, Herron said, because everyday items like personal computers and soft drink machines chew up a lot of energy.
For example, a district study found:
"We look at it this way," said Herron. "Every dollar we save is one more dollar that could go into the classroom."
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