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Automatic cuts in federal aid would hit poor districts
The bipartisan congressional supercommittee’s failure to identify specific cuts to reduce the federal deficit could put millions of dollars to local school districts in jeopardy if automatic cuts take effect in 2013.
About $25 million in Title I grants to improve the educational opportunities for poor students was allocated to Montgomery County’s 16 school districts in fiscal year 2011, state data shows. Dayton Public’s $15.5 million allocation was the largest in the region.
Huber Heights City Schools Superintendent William Kirby, whose district receives about $1 million in Title I funding, said the threat comes at a challenging time — after a $4 million cut in state aid and its second levy defeat this year. The school board will vote Wednesday on making another $3.2 million in cuts, including 47 positions. Thirty of those are certified staff such as teachers and administrators.
The district faces a $2 million deficit in 2013 — when the automatic federal cuts could take place unless Congress finds another solution.
“We are definitely dreading any reduction of funds at a time that we’re already having to do massive cuts in our school district,” Kirby said.
Kirby also voiced concern about other federal funding, including the $1 million it gets annually to help special needs children.
Title I is a provision of the Elementary and Secondary Education Act of 1965, which was passed as part of President Lyndon B. Johnson’s War on Poverty. The U.S. Department of Education distributes the funding to school districts with a high percentage of students from low-income families.
Ohio received $1.24 billion in federal education aid for primary and secondary education for fiscal year 2012, which started in July, according to Ohio Department of Education data. Department spokesman Patrick Gallaway said officials hope Congress may find a solution in lieu of across-the-board cuts.
“We’re well aware there could be looming cuts eventually,” he said. “The good thing is it’s sparked discussion about how we would counter it if it really happens.”
Charlie Graham, Dayton Public’s executive director of state and federal grants management, said district officials aren’t waiting to see what happens.
They’re already discussing possible scenarios because the high-poverty district receives about $18 million in noncompetitive federal grants, the largest of which is Title I. It received $10.6 million in Title I dollars this school year for such things as preschool, reading and math supplemental teachers and after-school programs. Other federal funding, including Race to the Top, is locked in and wouldn’t be affected, Graham noted.
“It’s not a way off. We’re thinking right now what are our plans for next year,” he said. “How do we adjust if this is the scenario? What if it cuts 5 percent or 10 percent? Even 1 percent is a heavy hit for us. What school doesn’t get served?”
The National Educational Association paints a gloomy picture showing the possible loss of thousands of teaching jobs, more than $1 billion in Title I grants and millions more in funding for special education students.
The NEA estimates that the U.S. Department of Education’s budget could be cut by $3.5 billion, but it’s unclear which educational programs could be hardest hit.
U.S. Secretary of Education Arne Duncan said in a recent statement: “Because the supercommittee failed to live up to its responsibility, education programs that affect young Americans across the country now face across-the-board cuts.”
The NEA used the Congressional Budget Office’s estimate of 7.8 percent across-the-board cuts to prepare its projections, while the National Governors Association estimates the cuts could be 8.8 percent.
On Tuesday, Trotwood-Madison City Schools officials will start their budgeting process for next year. The process will last until March and include looking at available federal and state dollars as well as local funding.
Any potential loss of funding would be tough on the district, where officials will be trying to find ways to cut its shrinking budget after its sixth straight levy defeat. Treasurer Janice Allen said the district receives $1.3 million in Title I funding and about $680,000 in special education dollars used to pay for intervention specialists who work with disabled students. “If those dollars went away, the general fund would have to absorb that cost,” she said. “Other reductions would have to be made.”
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