Soaring food prices have placed the Cherokee County School District on track for a $1 million deficit at the end of the school year.

School trustees received the report on the financial health of the district’s food service department at Monday’s board meeting. The school board transferred $750,000 from the district budget in August to eliminate a $577,000 food service deficit at the end of the 2008-2009 fiscal year.

The food service department has struggled with deficits because of higher labor costs and a 10 percent increase in food costs since 2007. Food service director Roland Cabading said the district has spent an additional $300,000 on food purchased from vendors for school meals.

“It is definitely a challenge to operate the food service program. We have to be creative with what we do with meals,” Cabading said. “Our primary goal is to support the education process by serving nutritious meals to students.”

The school district has not raised meal prices since 2006.

Student lunch prices are $1.30 for elementary schools, $1.40 for middle schools and $1.60 for high schools. Gaffney Middle is among several schools where free breakfasts are served to students.

School districts receive much of their revenue from federal government reimbursements. Cabading noted 70 percent of Cherokee County students are presently eligible for free and reduced price meals under federal family income guidelines.

The school district is reimbursed $2.70 per meal for students who qualify for free and reduced-price lunches. In comparison, the district only receives 27 cents per student who eats a regular-price meal.

The district has generated additional revenue from a summer lunch program supported by the federal government over the past two years.

School cafeteria workers served an average of 800 students per week this summer, compared to 200 students in 2008.

District finance director Ben Childs said government reimbursements for free and reduced-priced meals have not kept pace with the district’s food and labor costs.

“School food service departments are not designed to turn a profit,” Childs said.

“Most school districts do well to break even with their meal programs,” the finance director added.

NED & OPERATED