VIENNA — Maries County R-1 Superintendent Teresa Messersmith on May 26 projected a $189,618.68 deficit for the 2026-27 school year.

Messersmith said the district is sitting at 50 percent in its unrestricted fund balance (reserves), up from 49.33 percent ($2.67 million) last year, to cover the overspending but said that the board may have some difficult decisions in a few years. While they aren’t for sure what the exact balance of the reserves account will be, Messersmith said it would be close to last year’s budget.

“We are sitting right on top of where we were last year,” she said. “It would pay our expenses for 50 percent of the year if we need it.”

She said that when she joined the district, it had a comfortable 22-percent reserve in the unrestricted fund, but she prefers it to be at 30 percent. Therefore, the district can deficit spend the next few years to reduce it to the desired amount.

While Messersmith reviewed the budget, it will not be approved until the June 23 meeting. She said she accounted conservatively for the district’s revenue for covering expenses.

“I didn’t shortcut anything to try to make this look better,” she said. “This is what it is.”

David Long, board president, appreciated that.

“That’s what we like about you. Tell us straight,” he said.

However, she expects there to be $100,000 to 115,000 in unspent money, reducing the deficit to about $80,000 at the end of the school year.

This is because she budgeted extra for utilities and did not include revenue from new construction property taxes because that amount could add $26,000 to $65,000 more. She also has an added bus route, but if the district can’t hire a driver for $50,000, then that will free up that expense.

Messersmith also thinks that next school year might be the last time the state will subsidize the career ladder program because of the state’s finances. The program allows for teachers to dedicate educational time outside of normal school hours to earn more. She said that will free up $60,000-$70,000 in budget.

The district may also have to move staff around, cut positions or cut extracurricular and sports programs.

“It’s not going to be things we like to do or that we want to do,” Messersmith said. “It may not even be things that are the best thing for kids.”

Messersmith added that she is not going to recommend raises for the 2027-28 school year beyond the tenured steps. However, raises will be required by law for the 2028-29 school year, and she would like to give an inflation-based raise for non-certified staff if the district can afford that.

Missouri Senate Bill 727 in 2024 increased the minimum salary requirement for teachers. During the 2024-25 school year, the base salary was $25,000 and $33,000 for teachers with a master’s degree and at least 10 years of public teaching experience.

The following year (2025-26), the minimum was $40,000 for full-time teachers and $46,000 for experienced master’s degree holders. The amount increases to $47,000 in 2026-27 and $48,000 in 2027-28 for master’s degree holders.

Afterwards, the minimum salaries for both increase at the rate of inflation if it is at least 1 percent, but the increase is capped at 3 percent.

Messersmith told the board to keep those increasing costs in mind because those raises may be difficult to sustain in the future.

Pay increases

The board also approved a 6-percent raise for non-certified staff and an 8-percent raise for certified staff.

The certified staff schedule includes a $400 raise every year for teachers with at least a bachelor’s degree with significant jumps for master’s and doctorate degrees after year 10 to comply with SB 727.

Messersmith also said she decompressed the certified staff schedule because in previous years, some employees would receive $400 raises while others would receive $3,400 raises.

The board also approved increasing homebound instruction pay from $25 to $35 per hour. This program is for when students are unable to come to school during normal hours and have a doctor’s note. Messersmith said that when she worked for the program 25 years ago, the pay was $25, and the current tutoring baseline is $30 for the career ladder.

The board also approved extra-curricular contracts and salaries, but the discussion occurred in closed session.