Dollars continue to dwindle
In his weekly message dated Feb. 6, Illinois State Superintendent Christopher Koch issued a reminder to superintendents and administrators across the state, letting them know they would be getting less money from the state this year than they may have hoped.
Koch said the $6,119 general state aid (GSA) foundation level used to calculate the GSA for each district was based on a total budgeted Fiscal Year 2012 appropriation of $4,448,104,514.
However, the GSA net entitlement based upon final local tax revenue and average daily attendance information calculated to $4,679,299,867, which resulted in a shortfall of $231,195,353.
Because of that shortage, districts will receive only 95 percent of the original amount. The cuts range from less than $5,000 at Ohio High School to more than $150,000 in the Bureau Valley district.
The 5 percent cut is not being applied throughout the entire year. Just as in prior years, the reduction will be taken on the two last scheduled payments in June, before the fiscal year ends on June 30.
For most districts, it takes a bite out of the June 10 payment and eliminates the June 20 payment entirely. The biggest cut in the June 10 payment will be seen in the Spring Valley Elementary District, which will receive about $16,000 less than usual.
While the reminder was not unexpected, it also wasn’t appreciated by area superintendents.
Princeton Elementary Superintendent Tim Smith said this was just another area in which his district was losing revenue.
“We have lost $569,000 the past four years in GSA/GSA Hold Harmless,” he said.
Smith said the issue has worsened each fiscal year.
“I truly do not see an end to it,” he said. “It’s not a good thing as this is in addition to the many other areas in which we have experienced cuts.”
Ohio Superintendent Sharon Sweger said the two Ohio districts had adjusted their budgets because the state had communicated a possible cut in GSA prior to budget development.
“This shortfall, coupled with the loss of programs and categorical money over the last several years, is affecting the educational process,” Sweger said.
Other superintendents are more interested in what’s coming next year.
“The Illinois State Board of Education has asked for full funding to be restored,” said Bureau Valley Superintendent John Bute. “The governor’s budget will speak volumes about what we can expect next year.”
Leepertown Superintendent Amber Harper won’t have to worry about cuts for her district next year because Leepertown is closing June 30 due to financial woes. But she is still keeping an eye on the situation.
“We are already hearing that general state aid will be reduced next year,” she said. “In addition, more districts that were flat grant districts now have lower EAV and will now qualify for a greater share, and finally the rumblings that schools may be required to provide more dollars for retirement ... yes, the financial woes list grows.”
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