When Richard Knight motioned to pay district employees a one-time stipend and to pay it now, the room erupted in applause. The Cache County School Board then voted 3-2 to pass the stipend. The final agreement is to pay all teachers and administrators an equal amount of $1035. The classified employees will receive a one-time payment equal to 2.1 percent of their annual pay.

Superintendent Steven Norton presented the proposed payout in Thursday’s meeting as one that would restore a small amount of the pay lost by district employees over the past three years. “This is like giving them a dime back for a dollar they lost,” said Norton.

For three years the economy has forced major cuts in the district budget. According to Norton, two years ago the district employees took a voluntary 4.1 percent pay cut. Then last year the district stopped covering insurance deductibles. Now employees must come up with the $1500 deductible on their own.

“Our goal was to get through the economic downturn without changing the district structure, programs or laying off people,” said Norton. “We are now about three years in the process. I think we’ve pretty much kept the goal intact.”

The federal stimulus funds are an unexpected boost to all schools in the U.S., but there are a few strings attached. Districts can only use the funds to retain existing employees, recall former employees or hire new employees. They cannot use the funds for any other budget shortfalls. Additionally, certain employees are not allowed to receive the funds including human resource employees, certain administrative staff, and technology personnel.

The teachers and administrators agreed to a single payment equally distributed to all employees. Norton pointed out that this is a generous offer because it doesn’t account for seniority. The thinking is that everyone was hit by the same deductible limit of $1500 regardless of income. The classified employees, not all of whom are insured, agreed to a percentage payment based on their salary.

Norton also asked that the district pay the exempt employees — a few administration and technical staff — from the general budget. The total stimulus for teachers and administrators would be over $1 million. For classified employees the stimulus would pay $322,666. And they would need $24,956 from general funds for the exempt staff. Norton and Dale Hansen, District Business Administrator, would not receive any funds from the payout.

Legislature worries

“I think we are on the right path,” said Board Member Jonathan Jenkins. “It’s not so much about how we allocate (the funds) at this point, it’s about the timing.”

Jenkins expressed his concern over the uncertainty with the state budget. Will the district receive more funds this year or will there need to be more cuts? Jenkins expressed a desire to wait another month until the state budget is better understood before committing these funds.

Norton said that the legislature appears to want to increase funding for districts with a growing student population. If the state funds growth, said Norton, it will be the first time in three years.

Most other districts have already distributed funds, added Norton. Logan, Box Elder, Rich, Weber and Idaho have all paid out the federal stimulus to the employees.

Jenkins indicated that he would still like to be “a little bit cautious” and wait another month.

Board President Allen Grunig said he felt the state will increase funding and thinks it will be fine. Knight motioned to pass the stipend, Brian Leishman seconded. Allen Grunig, Brian Leishman and Richard Knight voting for the stipend. Bart Baird and Jonathan Jenkins voting against. Tamara Grange and Garrick Hall did not attend.