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About those taxes... The fact that the Early County Board of Education had to turn to property owners for an additional million dollars to make ends meet at the local schools hasn't set very well with a number of taxpayers - especially those who feel they were sucker punched by the recent revaluation. The following is an outline of some points of discussion this week with BOE chairman William Davis, superintendent Kenneth Hall and assistant superintendent and CFO Stella Smith. When asked why the BOE needed an additional $1,011,456 in local revenues this year, the following costs were pointed to: mandated increase in salaries and benefits, transportation costs and the state's austerity cuts. Smith noted that people need to know that one percent of those taxes are considered uncollectible by Tax Commissioner Sylvia Hood. And, that another 2.5 percent goes to the county for administrative costs Salaries and Benefits The following figures reflect increases only in salary and benefits in the BOE general fund - excluding positions paid with federal program funds. The state's mandated three percent salary increase cost $357,153, resulting in a health insurance premium increase (mandated at 18.534% of salary) of $223,296, an increase of $33,144 in contribution to the teacher retirement system and a ed AYP requirements. Transportation Costs The school system has seen considerable increases in the cost of transporting students to and from school each day over 30 bus routes. FY 2008 transportation costs are projected at approximately $833,000. The state, which does not fund transportation costs for any student living within 1.5 miles of the school, is funding only $410,664 for transportation. Of that $41,000 is earmarked for a new school bus which will cost between $65,000 and $90,000. The remainder funds slightly less than 80 percent of 25 of the 30 drivers salaries which range between $11,000 and $12,000. State Austerity Cuts When Gov. Purdue took office the state was facing dire revenue problems, one of the areas they began cutting was education. Since 2002 those austerity cuts by the state have cost Early County $1.8 million - $232,692 in FY 2008. "During conference calls with the state superintendent's office you can hear people hollering," Smith said. "'Tell them to give us back those austerity cuts." One Bright Problem "Everyone is wanting to come to our schools," Hall stated in discussing out-ofcounty students. This school year 205 students from adjoining counties are attending Early County schools. Of those 110 are paying the $500 non-refundable tuition fee which was implemented in 2003. The others were already attending and were "grandfathered" in and don't pay the tuition fee. However, all of the out-ofcounty students bring with them $5,035 in state FTE monies, totaling over $1 million. Smith noted that the costs associated with the out-of-county students are minimal as they are accepted on a first come, first serve basis only into grades where there is room for them without hiring an additional teacher. Local property taxes represent approximately 31 percent of the BOE's FY 2008 budget. State and federal funds represent the remaining 69%. The state mandates that at least 65% of revenues be spent exclusively on instruction. Locally, approximately 67 percent of school revenues are spent exclusively on instruction.
Hall noted that with a few exceptions, the state portion of education revenues are dwindling. "They are passing more and more to the local taxpayers."
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