CROSWELL — The board of education at Croswell-Lexington Community Schools has been tightening its belt in the face of anticipated cuts in state aid caused by COVID-19.
The school board conducted a budget hearing 30 minutes before the start of its regular June 22 meeting. At both meetings, the board wrestled with the financial ramifications of the governor’s stay-at-home order, which shut down much of Michigan’s economy for months, and drastically reduced the state’s revenues.
In an email to the News dated June 24, Superintendent Dan Gilbertson and Chief Financial Officer Keith Bishop said that despite a revenue loss to the district’s current fiscal year budget of $1.4 million dollars, due to an anticipated $700 per pupil reduction in state aid, the 2020 millage rate was not changed.
Bishop stated, “There were no changes in the amount levied in the current year compared to last year.
“Cros-Lex budgeted for a reduction of $700 in per pupil funding for the current 2019-20 school year…This approach was recommended by (business leaders) and is consistent with all Michigan Department of Education officials as well…We will likely know more about state funding dollars and any federal assistance by September 30.”
Cros-Lex has been receiving $8,111 from the state of Michigan for each student. The October 2019 count determined that the district has 2,051 students. In October of 2018, it had 2,140.
In May, the school board approved the layoff of six teachers in response to the double-whammy of anticipated reductions in state aid and declining enrollment. Further savings were realized from the board not renewing the contracts of the school resource officer and an administrator in Pioneer High School.
Gilbertson cautioned that the 2020-2021 recommended budget revenue figure of $20,062.338 is a very soft number because of the lack of definitive information from the state.
Expenditures are anticipated to be $20,560,873.
The $498,535 deficit is covered by the dwindling fund balance carried over from previous years. This scenario would leave fund equity at 5.93 percent
The fund balance in the 2018-2019 audited budget was 15.36 percent.
Regarding the expected re-opening of school in September, Gilbertson wrote, “The District COVID-19 Return to School Planning Committee, comprised of teachers, parent(s), administrators, and board members, has met multiple times as we plan for the re-opening of our schools in the fall.
“On June 30th, we anticipate Governor Gretchen Whitmer to release ‘Michigan’s Return to School Roadmap,’ which is intended to provide more specific guidance to school districts across the state as we plan for the re-opening…Beginning July 1, (our committee) will convene to align our plans with the document from the state.”
Gilbertson went on to say, “The well-being, health, and safety of everyone remains the most important priority, not only during normal times, but, even more so, as we continue to face the challenges of the global Coronavirus pandemic.”
Gilbertson then explained what the committee has been up to thus far. “The district committee has reviewed parent and staff surveys, networked with other school districts in our region, regularly monitored the latest information from the Michigan Department of Health and Human Services and the Michigan Department of Education, and has developed three broad contingency plans.
“The hard-working and dedicated committee members are focused on providing a challenging educational learning environment for all students to achieve their maximum potential in a safe and welcoming environment. However, once we receive more direction from (state education and health authorities), we will finalize and adopt our plans accordingly and share them with our families,” said Gilbertson
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