The Coupeville School District avoided major cuts this year, but will need some help to avoid them next year.

The school board approved the $9.9 million budget for the 2006-2007 school year.

To resolve a budget shortfall, school officials are using $200,000 of the school district’s fund balance.

“We had to do it this year to keep on with programs,” said school board member Kathleen Anderson during a recent school board meeting.

The transfer will drop the school district’s fund balance to $740,000. That is less than the school district’s goal of an 8 percent fund balance. The fund balance is important because it gives the school district money to pay for emergency expenses that may creep up throughout a year.

Business manager Janet Fisher said she hopes that higher enrollment next school year will help boost income.

Several factors contributed to the school district’s shortfall this year. The school district had to pay a 3.3 percent raise to school district employees, a $128,000 increase in the school district’s retirement to the state and an increase in health care payments.

The school district eliminated three special education paraeducator positions as a cost-saving measure. Superintendent Bill Myhr said those positions could be filled depending on the needs of special education students.

Despite the budget concerns, two new math teachers will start at the middle and high school this year. One teacher is paid for through I-728 money while the other was hired after the school district didn’t fill a history teacher position and shifted staff around.

“We did a lot of reshuffling to use the skills of the staff to the fullest extent of their abilities,” Myhr said.

The district also hired two high-priority positions that will start in the fall. Those positions are a science materials specialist and an employee responsible for monitoring in-school suspensions. Myhr said additional positions would have to be funded by increased enrollment.

School officials are looking at using the fund balance as a one-time-only solution to balance the budget.

Myhr said he hopes the Legislature will increase school funding in the next biennium and that the school district’s enrollment will continue to climb. The more students enrolled in the school district, the more it receives in funding.

He said if the school district doesn’t find more money, then the school district will have to look at more substantial cuts next year that could include teachers.