District 6 school board facing budget shortfall

As expected, there is a disagreement on what part of the Montana state budget should go toward public education.

That quandary was discussed at length during Monday’s Columbia Falls School District 6 board meeting.

Superintendent Michael Nicosia outlined Gov. Brian Schweitzer’s budget proposal, comparing it with what the Office of Public Instruction (OPI) believes the budget should be. OPI has legislation the state is being asked to consider.

The governor’s general fund budget for education includes:

• An inflation adjustment of 3 percent in the Basic and Per-ANB (enrollment) Entitlements and Special Education. (The latest reported inflation rate is 4.9 percent.)

• An increase of $0 (zero) in the Quality Educator Payment in each of the next two school years.

Outside the general fund, Schweitzer’s budget states:

• $0 million (zero) for a year-round virtual high school within the University of Montana School of Education.

• $5.6 million over the biennium for a new Quality School Facility Program to be administered by the Department of Commerce (to be operated similarly to the Treasure State Endowment Grant Program).

“We’re not getting our share of the increase (in funding),” Nicosia said, pointing to larger increases — in terms of percentage — in funding for such things as prisons and health and human services.

Schweitzer’s original proposal called for an increase of $100 in Quality Education Payments.

There had been $1.45 million in the budget for a virtual high school within the UM School of Education. The original budget had $14.3 million for a new Quality School Facility Program.

District 6’s FY 2009 adopted elementary general fund budget is about $9.78 million. According to Nicosia, the additional funds for the budget is only 1.44 percent, or $141,206. The FY 2010 elementary budget, without a mill levy added, would be about $9.92 million.

With mandated teacher raises through “steps and lanes” of about $75,000, the district’s elementary budget for the 2009-10 school year would see at least a $33,676 shortfall. With cost increases, such as in utilities and building expenses, of as much as 3 percent, the elementary budget could face a $313,000 deficit.

Last May, a $69,608 mill levy for elementary general fund was passed, but a $142,091 mill levy for the high school general fund failed by a narrow margin.

Without a mill levy, the district’s high school budget potentially could see a shortfall of as much as about $176,000, with anticipated cost increases considered. That budget would get a 1.49 percent increase in funding, according to Nicosia, or $80,508, and the FY 2010 budget, without a mill levy and with “steps and lanes” included, would be about $5.5 million.

Nicosia believes this is not a good time, in light of the economic downturn, to ask district patrons for more money via a bond election.

If the OPI budget proposal would be adopted, school general funds would fare much better.

There would be a 4.11 percent increase in funding for elementary districts, and a 4.52 percent increase for high school districts.

In the District 6 elementary budget, with a cost increase of 2 percent figured in, there would be just enough money so that no teacher or staff reductions would have to be made.

“We do have a bill we can hitch our wagon to,” Nicosia said of the OPI proposal.