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Schools face lean means

State pay raises for teachers could threaten contingency

January 30, 2008|Katheran Wasson

This could be another lean financial year for Clark County Public Schools and school districts across the state.The Clark County Board of Education on Tuesday reviewed a draft budget for 2009 that includes the state-required 2 percent contingency fund - unless the Kentucky General Assembly mandates teacher raises.

Clark County Financial Director Stacey Clark said a 3 percent pay raise could leave the district with just 1 percent in its contingency fund, and a 5 percent raise could send it into a deficit.

State allocations for public schools through the Support Education Excellence in Kentucky program still face a decision by the legislature. In early January, Gov. Steve Beshear asked school districts to prepare for a 7 percent cut in SEEK, which uses a formula based on average daily attendance to determine funding.

Yesterday, Beshear proposed a budget plan that included no cuts to SEEK funding and no teacher raises.

Clark said the Kentucky Department of Education recommended that the district not budget for the cut, saying "they do not think it will occur."

In a Jan. 14 letter to Beshear, Kentucky Education Commissioner Jon Draud said reductions in SEEK funding could force districts to cut teaching positions, eliminate full-day kindergarten, stop offering foreign language, art, music and physical education classes, and put textbook and technology updates on hold.

Draud said less SEEK money could also "place some districts very close" to the 2 percent contingency requirement. Last year Clark County landed on the state's financial watch list for dropping below the required contingency fund, but cuts in teaching positions and programs brought the district back up this year.

The board also approved revisions to the 2008 budget Tuesday, including a reduction of the district's contingency fund to 3 percent. In September, the board approved a $41 million working budget for the year, which included a 4 percent contingency. Clark said the district's SEEK revenue was reduced by about $606,399 in the fall, necessitating the cut.

The Board of Education meets again Thursday, Feb. 7, for a special meeting.

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