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AIR-9337 Discussion   1.       
  
Meeting Date: 10/07/2019  
Title:    Hold Hearing and Consider Approval of Mohawk Valley School District's Request to Incur Liabilities in Excess of Budget
Submitted By: Susan Thorpe Prepared by: Desarae Doten
Department: County Administration  
Special District:

Information
1. REQUESTED BOARD ACTION:
County Administration: Hold a hearing to consider whether to allow, allow after revision, or deny Mohawk Valley School District's Request to Incur Liabilities in Excess of Budget, in accordance with A.R.S. §15-907.
2. SUMMARY:
Mohawk Valley School District No. 17 has submitted a petition to increase its budget capacity to cover excessive and unexpected expenses due to an emergency situation and safety concern with the School's water treatment plant. The budget for FY2018-19 was exceeded by about $25,000 due to these expenses. The attached letter from Mohawk School District Superintendent/Administrator Shanna Johnson provides more detail.

In accordance with ARS §15-907, the School District requested assistance from the Arizona School Facilities Board. The School Facilities Board has approved funding of a new water plant to replace the failing one. The new plant should be in operation by June 2020. In the meantime, additional expenses have been and will continue to be incurred by the School District to make interim repairs and provide an alternative water source. These expenses are not capital item deficiencies and therefore cannot be covered by the School Facilities Board.  

On September 26, the Mohawk School District Board voted to approve an increase not to exceed $25,000 to cover these unexpected water treatment plant related expenses. The Mohawk Superindent  submitted a petition to the Yuma County School Superintendent, Tom Tyree. Superintendent Tyree has forwarded the petition with his recommendation for approval to the Board of Supervisors. According to ARS §15-907, the Board "shall hold a hearing on the petition within twenty days after receipt and shall determine whether the petition shall be allowed, allowed after revision or denied." Superintendent  Tyree's recommendation is to allow the petition and authorize the expenditure.

If the Board approves the petition, the tax rate needed to fund the project will be calculated and included in the subsequent tax year's rate, on a one-time basis.
3. RECOMMENDED MOTION:
Hold a hearing to allow, allow after revision, or deny the Mohawk Valley School District's petition to incur liabilities in excess of the school district budget.
4. FISCAL IMPACT: (Finance, OMB, & Human Res.)
Approved, Gil Villegas, Jr.
5. COUNTY ATTORNEY:
Approved as to form and authority once a copy of Mohawk Valley's budget has been attached for BOS review per A.R.S. §15-907(B).  TWF  9/30/2019
6. COUNTY ADMINISTRATOR:
Approved, Susan K. Thorpe 9/30/19

Fiscal Impact
Attachments
Letter from Mohawk Valley School
Letter from School Superintendent


    

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