School Board confirms it's spending money like there's no tomorrow | Eastern North Carolina Now

     Facing a multi-million dollar shortfall, they just keep spending

     Beaufort County Schools officials (Dr. Don Phipps, School Board Chair Robert Belcher and Finance Officer Laurie Modlin) met with the Beaufort County Board of Commissioners in special session Thursday afternoon to review budget matters and for a "get acquainted" session with the new superintendent.

     Most of the time was spent going over details of the financial reports.

     On the page at the link above entitled Capital Outlay Projects the schools reported that they are on track to spend every dime of their $1,995,311 capital outlay money, including all of the $492,245 in fund balance ("savings account"), leaving it with what Modlin estimated was a cash balance of $20,000 at this time. The Commissioners are scheduled to release third quarter capital outlay funds Monday night so the schools should be able to pay the current accounts receivables next week.

     To a series of questions from Hood Richardson Ms. Modlin said that they expect to spend all but about $160,000 for designated projects and the $160,000 is even designated to be applied to additional funds from next year's budget to repair the roof at Washington High School, but they don't know how much it will cost until bids are received. So essentially the School Board is planning on spending all of its facilities money, and then some, without setting aside any for emergencies such as those incurred last year for over a half million dollars. (See "current budget" vs. "beginning budget").

     The report also shows the FY 2010 budget for the infamous Northside "Fieldhouse" project which shows an original budget of $29,000 but a "current budget" of $440,022.

     The John Cotton Tayloe "Media Center/PE (gym)" addition was reported at $520,323 with $355.902 having already been spent but that does not include a recent budget amendment for furnishings and equipment from "other sources" of funds. So we don't know what the total cost final will be.

     The report also shows an expenditure of $71,610 that was not in the original budget at Snowden.

     But the big shocker came in the operating budgets. Here Modlin disclosed that the School System received $1,904,055 in unrestricted Federal "Stimulus" funds this year. But they are projecting to receive only $1,869,514 next year and nothing in 2012.

     Hood Richardson pointed out that state revenue is down with not much hope of improvement in the foreseeable future so he questioned whether the state would "take back" revenue this year as it did last year. He then asked the school people what "plan do you have to reduce expenditures to prepare for the cuts in Federal "Stabliization" funds and reductions in State and local revenue?" Modlin hemmed and hawed a bit and finally revealed that they have no plans for reductions sufficient to cover these projected shortfalls.

     County Manager Paul Spruill opined that "I just can't believe it's going to be as bad as it looks like it's going to be."

    Commentary

     We've been saying it for months now, there's going to be a severe revenue shortfall and the schools should be cutting now rather than waiting until later to face up to those cuts. Yet the school system proceeds to spend as if nothing is amiss.

     Imagine this. You get ready to leave for work tomorrow morning. Your spouse hands you the week's grocery list, complete with frozen food, chips and snacks etc. and asks you to pick up the groceries on the way home. You estimate the list is about like most weeks. But when you get to work your boss calls you in and tells you he is going to have to lay you off in two months, but if all goes well he hopes to offer you a part-time job at a lower salary for a few months after that.

     So you stop at the store on your way home and look at the list. Do you buy everything on the list or just what you absolutely have to have and replace some items with Beannee-Weenies. Our School Board is loading its cart down with its usual list as if nothing has ever happened.

     Bless us and save us.

The new superintendent, Dr. Don Phipps also talked to the Board briefly. You can download an mp3 file to your computer to play on whatever audio player you use to listen to mp3 files. To download the file of Dr. Phipps' comments click here.

But what may have been the most significant educational issue raised in recent years by a commissioner got short shrift. Click here. for a discusison of Beaufort's "busing to achieve racial balance" system.

    Delma Blinson writes the "Teacher's Desk" column for our friend in the local publishing business: The Beaufort Observer. His concentration is in the area of his expertise - the education of our youth. He is a former teacher, principal, superintendent and university professor.