Schools battling hard times

Despite reductions in revenue due to a drop in enrollment and the slow economy, Monroe County’s public schools will “march on,” according to Superintendent Melanie Ryals.

During a special hearing to review the school system’s federal and local funds budgets last Thursday night in Monroeville, Ryals reported the she estimates the system will receive $2,672,645 in federal funds, which represent 8 percent of the system’s total operating revenue for fiscal year 2011 (FY11).A breakdown of the federal funds are as follows: Title I, Part A, $1,377,682; IDEA, Part B-Basic, $834,768; IDEA, Part B-Preschool, $23,339; Vocational, $74,789; Title VII, Indian Education, $33,732; Title II, Part A, $324,236; and, Title II, EETT, $4,449.

Ryals added that the Child Nutrition Program expects to receive total revenue of $2,443,614, which includes a starting balance of $170,253.

She said the system estimates are that the system will receive $5,354,500 in FY11. Those are broken down as follows: county sales tax, $1.6 million; beginning district schools tax balance, $1 million; FY11 district schools tax, $1 million; property tax (4 mils), $800,000; beginning General Fund balance, $800,000; miscellaneous sources, $230,000; carryover of federal funds, $137,300; appropriation from City of Monroeville for Monroeville schools, $50,000; interest earned on certificate of deposits, $21,000; Helping School car license tags, $8,000; rental property, $7,200; and, mineral leases, $1,000.

While the board has not had to layoff any tenured teachers, it has had to not renew contracts for 21 non-tenured teachers for FY11, Ryals said.

“Two years ago we had a reserve fund of $1.9 million,” said Ryals. “Since then we have had two back-to-back years of proration (of state funds). We had 11 percent in 2008-09 and last year we had 7.5 percent. And, along with the recession and a drop in average daily membership (enrollment), we have lost $6.2 million in funding.”

Ryals said she has been told to prepare for a proration of state funds of 3 to 5 percent in FY11, which would cost the system $630,000 to $1 million in state funding.

“But, I do have some good news,” she added. “In May, we thought we would completely exhaust our reserve fund by the end of this fiscal year (Sept. 30), but as it stands it doesn’t look as if we’ll do that. We should not have to borrow any money to finish the fiscal year.”

In addition, Ryals said the Alabama State Department of Education requires all systems to have at least enough funds in reserve to cover a month’s operating expenses. She a month’s operating costs for Monroe County is $2.5 million.

“We are not there yet, but we have come a long way,” said Ryals. “If things go as we’ve estimated, we will end this fiscal year (FY11) with $1.245 million in reserve. We’ll still be short $1.3 million, but considering that two years ago we had $40,000 left in the reserve, it’s a tremendous accomplishment.”

Ryals said there have been some tough decisions made and there may be more that have to be made. She said this has been accomplished because of the determination and dedication of the teachers, administrators, supervisors, the Board of Education, Central Office staff and support personnel to help reduce operating costs.

Ryals said a federal bill was recently passed that could help school systems across the nation in FY11.

“It (the bill) originated as bill to create jobs, but, for us, it will help retain jobs,” she said. “I do not know how much money, if any, we will receive and I’ve been told not to count on it until we have it in hand.”

In regards to the drop in enrollment, Ryals said the system’s total enrollment has fallen below 4,000 for the first time ever. She said as of last Thursday, 3,962 students were enrolled in the system’s nine schools. This is down 50 from FY10.

“Most of the drop in average daily membership can be attributed to the job losses the county has experienced in the last two years,” she said. “Some families have simply had to move to find work.”