The Jackson County School System is facing some grim financial news, the board of education learned on Monday. After cutting $4 million in its proposed 2009-2010 budget through layoffs, furloughs and closing the Regional Evening School, another $3 million cut may be needed. And that may still leave the school system with an estimated $2 million deficit by the end of next fiscal year.
“Make no mistake — we’re between a rock and a hard place,” said Jeff Sanchez, assistant superintendent for finance and support services for the school system.
While there are a number of factors impacting the budget, there are two key problems – less money coming from the state and lower-than-expected revenue from local property taxes.
Superintendent Shannon Adams said those two factors make it the “perfect storm to impact our budget in a very negative way.”
On Monday, the Jackson County Board of Education adopted its tentative 2009-2010 budget for $89.3 million — about $1.3 million less from last year’s budget of $90.6 million. The BOE is expected to adopt a finalized budget in October.
Meanwhile, the school board approved a short-term Tax Anticipation Note (TAN) from Regions Bank for $14.5 million until tax revenue is collected later in the year. But without a miracle, Sanchez said the district’s general fund budget will end the 2008-2009 fiscal year on June 30 with a deficit, although he didn’t know what amount.
For the complete story, the June 10 issue of The Jackson Herald.