ST. JOHN | Lake Central school officials got their first look at the proposed new district budget totaling $88.4 million.

Tom Dykiel, director of finance, told the School Board the budget is an estimate because the district doesn't have its official enrollment numbers and special education headcount.

Assessed valuations, levies and rates also were not available.

The general fund is budgeted at $60.7 million, which is about $6.4 million higher than last year. Expenses include teacher salaries, special education and fringe benefits.

About $1 million in utilities is expected to be paid from capital projects, resulting in a one-time savings to the general fund.

Dykiel said health insurance continues to be a main concern, but the district is expecting a very small increase for 2008.

Capital projects are budgeted at $9.5 million, which includes the high school physical education addition and roof replacements at five elementary schools and one middle school.

Debt service is budgeted at $8.4 million, about $1.1 million higher than last year. The increase in bonds was for the new Clark Middle School payment.

Pension bond debt service, which is for unfunded liability and doesn't impact taxpayers, is budgeted at $1.5 million.

Also budgeted are $5.3 million for transportation operations, $2.5 million for bus replacement and $412,000 for the special education preschool fund.

Yearly, the district purchases about 155,000 gallons of diesel fuel. The purchase price is $2.35 per gallon -- 8 cents more per gallon compared to the price in 2006, and it continues to rise. The projected cost for 2008 is $2.81 per gallon.

Enrollment growth, rising health insurance costs, late receipt of tax money, property tax bills and tuition support payments, possible future state-mandated budget cuts and the loss of local inventory tax revenue continue to be major concerns for the district.