School Board Preparing for Massive Budget Shortfall

Just one week after , the Sarasota County School Board is beginning to tackle the potential $14 million budget shortfall it faces next year.

On Tuesday at the monthly school board work session deputy chief financial officer, Al Weidner, said the two biggest contributors to budget problems are the loss of the federal stimulus jobs fund ($7.8 million) and a continued decline of local property taxes ($4.8 million).

Part of the jobs bill proposed by President Barack Obama earlier this month has education funding attached to it, but Weidner said the district is planning conservatively and is not banking on that money.

Weidner added the district could see a $1.2 million cut in state funding because of an increase of students using the John McKay scholarship and additional students enrolling in virtual schools.

The McKay scholarship allows, "students with special needs the opportunity to attend a participating private school." The money that would be allocated to the student's public school then goes to pay for tuition at that student's new private school.

"With these [budget] assumptions, we have to keep in mind we are just at the beginning process and these estimates will in fact change," Weidner said.

The plan presented by Weidner had few specifics in terms of cuts but he did build into the budget the continuation of the district's hiring freeze, two employee furlough days, suspension of step and longevity bonuses and current employee health insurance contributions.

One thing that is certain is that the district will be using millions in reserves for next year's budget. If the current conservative projects hold through, the district would spend more than $14 million in reserves and would still need to cut an additional $14 million from the budget.

"What do we do the year after that and the year after that?" board chair Frank Kovach said.

"I think that these are sobering numbers and that those in our community need to take it to heart," said board member Shirley Brown. She said those numbers show it is important for the public to contact their legislators and tell them education is more important that corporate tax cuts.

"Students need an education more than billionaires need a tax cut," she said.

Weidner said he doesn't know how much Sarasota or other districts in the state could withstand any additional budget cuts.

"[You] can only reduce the level of education so far," Weidner said. "They are really getting down so far to the point where you won’t be able to have a quality education system with the level of funding Florida is appropriating [to local school districts]."

School Board members did not get into specific target cuts or areas that would be off limits. The next school board work session is scheduled for Oct. 18.

Estimated 2012-2013 District Revenues

Description

Budget: 2011-12

Estimate: 2012-13

Increase or (Decrease)

Federal Education Jobs Fund

$7,849,799

$0

($7,849,799)

Medicaid and ROTC Reimbursements

$2,056,131

$2,041,199

($14,932)

State Revenues

$75,626,126

$74,422,599

($1,202,527)

Local Revenues

$254,174,851

$249,316,579

($4,858,272)

Total Revenues

$339,706,907

$325,780,377

($13,926,530)

While not a casualty of the district's current budget problems, Weidner said as many as 65 teaching positions could be eliminated next year because of declining enrollment.

"If you lose students, you lose positions," board member Carol Todd said.