School District Seeks $800K; Moriarty Expects Budget Shortfall

By BETH HAHN Mountain View Telegraph

Despite a "significant" decrease in property insurance and liability costs, the Moriarty school district plans to ask the state Public Education Department for almost $800,000 more in emergency funding.

School district officials announced the decision during a May 2 meeting. The district has already received $480,000 in emergency funding from the state, which will enable the district to keep all eight of its schools open for the 2007-08 year.

The district needs the additional money to correct an expected $1.3 million budget deficit for the 2007-08 year, Superintendent Karen Couch said in a phone interview Monday.

District officials cut nearly $460,000 from the budget by eliminating several teaching positions and cutting corners where possible, business manager Marla Lovato explained to school board members on May 2.

The district will also pay about $227,000 less for property insurance, which Couch said equals an almost 50 percent reduction from the 2006-07 fee.

"It’s pretty significant," she told board members.

The bad news is that several other expenses are expected to increase, including:

$112,000 increase in health insurance.

$118,000 increase in utilities costs.

$129,000 increase in statemandated contributions into the teacher retirement fund.

$1.2 million increase in state-mandated salary raises for teachers.

$5,000 for a bond election.

$16,000 for a student data management system.

$13,000 for academic travel.

$15,000 for redistricting, if a school is closed at the end of the 2007-08 school year.

The district received about $24.4 million from the state for the 2007-08 school year, but has almost $26 million in budgeted expenses, Lovato said.

Couch told board members that about 85 percent of the budgeted expenses are for personnel salaries.

School board president Todd McCarty said that despite the $1.3 million deficit, he does not think the district can cut more financial corners.

"We’ve trimmed the fat off," he said. "We’re getting ready to get out the bone saw. I don’t see how we can cut anymore."

Edgewood Elementary School — or another school in the district – - could still be closed for the 2008-09 year if the district’s financial situation and student enrollment numbers do not improve.

Facing a $1.5 million budget deficit, school board members had voted 3-2 about a year ago to close EES for the 2007-08 school year if student enrollment declined by 1 percent — about 40 students — or more during the 2006-07 year.

District enrollment figures indicate almost 300 students have left the Moriarty school district in that time.

Closing EES would have saved the district about $330,000.

(c) 2007 Albuquerque Journal. Provided by ProQuest Information and Learning. All rights Reserved.