proposing $6.2 million budget

Wed, 07/08/2020 - 11:45am

ST. GEORGE — With the COVID-19 pandemic bringing uncertainty to the State of Maine and uncertainty over public education funding, the St. George Municipal School Unit is taking steps in its proposed 2020-2021 budget to address those uncertainties.

The proposed school budget reduces the assessment, according to St. George MSU Superintendent Mike Felton, to the Town of St. George by about $40,000.

“The proposed budget is part of a long-term strategy to protect our district from the financial impacts of the pandemic,” Felton wrote in a letter to voters (see attached PDF). “This strategy includes controlled expenditures, thoughtful use of the school fund balance, and establishing several reserve accounts.”

Earlier versions of the proposed school budget did include increases in the budget and local assessment to pay for the cost of adding a Pre-K program, Felton noted.

“While we remain committed to adding Pre-K at some point in the future, the Board, staff, and Early Childhood Education Working Group decided to wait given the financial impact of the pandemic on our community and the uncertainty as to what school will look like next year,” Felton wrote.

One of the top three uncertainties Felton highlighted in his letter was the risk school districts could see a reduction in state subsidy amid projected state revenue shortfalls caused by the pandemic.

To address this challenge, and others, the proposed school budget reduces the assessment to Town by $40,000 and adopts a longer-term strategy to prepare for future financial uncertainty that could extend into other school years.

As such, the district was able to cut its anticipated state subsidy by 20 percent and reduce the Town assessment by reducing expenditures by about $23,000 and utilizing money from the district’s fund balance.

“This means we are less reliant on state subsidy and better able to adapt if, later this summer or in the fall, the state reduces funding for public education,” Felton said.

In further preparation of the pandemic’s possible financial impacts, the school board is asking voters for permission to establish a few reserve funds to cover unanticipated costs that could arise as a result of the pandemic.

“If these [reserve] funds are not needed, they will be available to help offset costs in future budget years,” Felton noted.

A remote school budget public hearing will be held via Zoom on Tuesday, June 30 at 6:30 p.m.

The proposed budget and its nine referendum questions will be voted on at the July 14 polls.

Question One: School Budget

The district school budget submitted in Question 1 totals $6,178,801.51.

It includes locally raised funds in the amount of $5,295,241.87, to be assessed in shares to member municipalities in accordance with the Town’s cost sharing formula and state law.

The locally raised amount exceeds the maximum state and local spending target by $2,71,628.80.

Cost Center	Amount Appropriated
Regular Instruction	$2,948,693.93
Special Education	$1,276,364.55
Career and Technical Education	$10,803.37
Other Instruction	$53,808.55
Student and Staff Support	$381,190.05
System Administration	$342,748.17
School Administration	$172,154.53
Transportation and Buses	$415,786.04
Facilities Maintenance	$443,508.71
Debt Service and Other Commitments	$133,743.61
All Other Expenditures	$0
TOTAL	$6,178,801.51

Question Two: Cost Center Transfers

Shall the school committee be authorized to transfer amounts exceeding 5% of the total appropriation for any cost center to another cost center or among other cost centers for the fiscal year, provided that transfers shall not be permitted to increase the authorized total school budget?