Chamber Forum on Education Funding Sobering

In an effort to educate the community on the complex issues of education funding, the Chamber presented a forum on October 2nd featuring a very knowledgeable panel of key national, state, and local speakers, each with particular expertise in education funding. Following their presentations, the speakers were available for a question and answer session.

To begin at the national level, Mr. Dennis Bega, Senior Policy Advisor, US Department of Education, spoke about the No Child Left Behind congressional statute (NCLB). The intent of NCLB was to ensure that all students had the opportunity to receive an education that would allow them to maximize their potential. Despite an increase in federal funding to help school districts comply with requirements, NCLB has created budget challenges at the local level.

Representative Jan Jones, Vice Chairman, House Appropriations Committee – Education, gave an informative overview of the State Education Budget. Funding for education is a primary responsibility of state government with 39% of the total budget going to K-12 education. Due to the economic slowdown, a 3.5% reduction in education funding will likely occur next year. State Funds account for a little over 50% of public school funding on average. The remainder is funded by Federal (7.19%) and local (41.27%) dollars. Local funding statewide consists of property tax and E-SPLOST (optional) revenues.

The local perspective was given by Dr. John DeCotis, Superintendent, Fayette County Board of Education. Dr. DeCotis spoke on the excellence of the Fayette County public school system based on a variety of state and national standards, detailed current needs and where cuts have already been made. The Fayette County Board of Education is asking Fayette County residents to consider a Special Purpose Local Option Sales Tax (SPLOST) to help make up budget shortfalls as state funding for education is reduced. Based on declines in sales tax receipts, the Governor’s office anticipates a K-12 funding reduction of 2% for this year ($153 million) and 3.5% ($229 million) for 2010.

Dr. DeCotis also outlined the projects that would be funded by the E-SPLOST if it passes.

The forum provided an opportunity for citizens to gain a broad perspective on the issue before they vote in November. The entire forum will be posted on the Chamber website at www.FayetteChamber.org.

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Public Input Sought on Proposed SPLOST

The Fayette County Board of Education is exploring the possibility of asking voters to approve a one percent SPLOST (Special Local Option Sales Tax) in November to help the school system maintain its high level of education while lowering property taxes.

A public input session will be held at the Fayette County Board of Education (210 Stonewall Avenue, Fayetteville) on July 31st at 7 p.m. Residents wishing to make comments on the proposal will need to sign up that evening prior to the beginning of the session. Each person will be limited to two minutes in order to ensure that everyone who wants to speak has an opportunity to do so. Doors will open at 6 p.m.; the sign-in sheets will be removed promptly at 7 p.m. Written and emailed comments are also welcome.

Austerity cuts over the last several years have resulted in a loss of approximately $21 million in state funding. That, coupled with rising fuel costs and increased prices for basic supplies, has forced the school system to make some tough funding decisions that could have a direct impact on students.

A one percent SPLOST would generate approximately $100-115 million over a five-year period to help fund needs that have been postponed as well as address future needs. Specifically, the SPLOST would fund debt service ($38 million), which will lower property taxes; technology ($35 million); security ($2.5 million); textbook adoption ($2.5 million); facilities five-year plan and warehouse relocation ($17 million); transportation ($10 million) and an aquatic facility ($10 million) for school swim teams and swimming lessons.

It is estimated that the SPLOST would lower property taxes through a reduction of the school system’s bond millage rate ranging between 0.83 mills to 1.59 mills during the time it is in place. This would lower the property tax bill on a $250,000 home between $83 and $159 each year.

The board of education has until August 4 to adopt a resolution for the SPLOST. If a resolution is adopted by the board and approved by voters in November, the new tax will take effect April 1, 2009.