With fuel prices at an all-time high, trustees with Prairie South School Division are hoping to make life easier for employees by increasing the mileage rate for out-of-town trips by six cents.
During the recent April board meeting, trustees voted unanimously to increase the mileage rate to 50 cents per kilometre from 44 cents per kilometre, retroactive to April 1. This increase will likely cost the division an extra $25,000.
“… I don’t feel it is appropriate that our staff that are driving on behalf of the school division have additional expenses that right now they’re covering themselves. (Whereas), it’s our responsibility as an employer to make sure that we’re covering their expenses,” said trustee Robert Bachmann, who introduced the motion.
This motion does present some challenges to the existing budget, he acknowledged. By giving staff this increase in travel coverage, the division office will have to charge schools with higher rates when using transportation services.
Bachmann added that it was important to bring forward this motion now so staff didn’t pay high gas prices for another month.
Trustee Lew Young took issue with how the board report didn’t say how much this would cost the division. He wanted to see hard numbers so he knew how much this decision would affect the division this year and next year.
“Are we looking at $25,000? $50,000?” he asked. “If administration can say it has enough money, then so be it. But it’s a fair question to ask when it’s dropped on us like this (without the necessary financial information).”
Business superintendent Ron Purdy explained that PSSD budgets roughly $210,000 in yearly travel costs, including food, accommodations and mileage. Of that number, he acknowledged — using another trustee’s calculations — that actual mileage costs are roughly $160,000. This means — based on a 15-per-cent increase in coverage — the financial hit would be $25,000.
A recent survey went out to all 27 school division chief financial officers asking what their organizations charged for mileage, with only eight CFOs responding, he said. Prairie South and Sun West offered 44 cents per kilometre, while five divisions charged the provincial mileage rate of 50.78 cents per kilometre.
Board chair Giselle Wilson said she appreciated the motion since it now costs her money to drive into Moose Jaw for board meetings, whereas it didn’t before.
“… and that’s OK. That’s part of the responsibility I took on,” she said, noting she didn’t want to see students suffer for lack of services considering Saskatchewan is geographically large and most services are outside Moose Jaw.
“I do not think it is fair for our staff to be paying out of pocket to go to Glentworth or Mankota or Bengough. … it shouldn’t cost them money to do their job,” Wilson continued. “So, if we can alleviate some of that — even if it is just for a short time until our next budget is passed — I think it is the cost of doing business.”
Ryan Boughen, director of education, noted that the division had not incurred major expenses during the past two years because of the pandemic. Therefore, PSSD likely could afford to cover this extra cost.
Trustee Shawn Davidson agreed that it was important to support staff, especially if they must travel to rural schools to help students. He pointed out that Prairie South is roughly the size of Denmark, so it was unreasonable to have staff pay for “exorbitant” fuel costs.
He added that even though the transportation department was $70,000 over budget in March for fuel costs, it is important to treat employees who use their vehicles for work properly.
The next PSSD board meeting is Tuesday, May 3.