A new bulk fuel terminal is helping, but schools are still reeling from fuel costs, Dr. James Price, Vicksburg Warren District superintendent, said Thursday at a public hearing to explain the district’s next spending plan.

Even though fuel cost increases were anticipated in this year’s plan, the cushion has been used and money has been needed from other accounts, he said, adding that the district’s all-diesel bus fleet uses 6,000 gallons a week.

The budget hearing was required as school trustees plan for the 9,100-student district’s new spending year that starts July 1. The plan does not call for an increase in tax rates, but does anticipate $1.5 million more in local property tax revenue from new construction and higher valuations on existing private property.

The only speaker at the hearing was local NAACP President John Shorter, who urged the trustees, elected from supervisor districts, to cut expenditures, not increase them, in anticipation of a downturn in the economy.

Overall, the budget projects $77.38 million in revenue, up from $75.93 million received this year. Most of the money comes from the state through per-student allocations under the Mississippi Adequate Education Program. An increasing proportion comes, however, from taxes on businesses, industries, homes, vehicles and other personal property countywide.

The overall spending plan shows $80,320,940, but that includes beginning balances on July 1, the start of the fiscal year. It could rise, via more revenue from the state, if 3 percent teacher pay raise legislation being considered is passed by the Legislature.

Once school board members adopt a budget, they send a funding request to the Warren County Board of Supervisors, which is required to calculate the tax rate needed and impose the new rate to be effective Oct. 1. The school budget did not require an increase in rates for this year, but did in 2006.

Initially, total valuation of real and personal property was set at $3.1 billion by the Warren County Tax Assessor’s Office in 2007, an increase of about 7.6 percent over the previous year. Homestead act abatements and other commercial adjustments mandated by the Legislature dampen the increase somewhat.

Price said to try to control costs 11 jobs at the district’s main offices have been cut over the past three years, but he said he does not plan on reducing staff at any schools.

“The biggest cost reduction you can make is in personnel. We’ve done that in administrative positions as opposed to instructional positions,” he said, pointing out that most cuts were made by leaving vacated positions open, rather than firing anyone.

“I don’t see any place right now that we can cut personnel,” he said.

After Hurricane Katrina in 2005 kicked off a new round of fuel price surges, the district purchased and installed a fueling station at its bus maintenance facility on Mississippi 27. Of the 140 buses the district owns, 42 refuel there. Also, while diesel bought in bulk was expected to save 9 or 10 cents a gallon, savings have been closer to 30 cents per gallon, he said. Too, while retail prices for diesel are now about $4 per gallon, the district’s purchases are exempt from state and federal taxes.

Price said school officials pondered creating another station to serve as a fueling hub for buses elsewhere in the county, but the fuel expended driving buses to another hub would offset savings too much.

“Buses go to Eagle Lake and all four corners of the county,” Price said. “It costs you more money to drive buses there to fuel it than just drive into a neighborhood store.”

Instead, Price said officials are considering filling more buses at the fueling station on Mississippi 27, which has a 12,000-gallon tank.

At their meeting, trustees also re-elected Jerry Boland board president, Tommy Shelton vice president and Betty Tolliver secretary.

At a glanceREVENUEAmountPercentLocal$25,548,56233.01State$39,906,38951.57Federal$11,024,08814.2516th Section$906,0881.17Total$77,385,127100EXPENDITURESSalaries/Benefits$59,878,91874.5Professional Services$1,439,2811.86Property/Purchased Services$7,937,5779.88Supplies$7,220,7088.98Equipment/Renovations$1,119,4671.39Other$2,724,9893.39Total$80,320,940100