Here’s a sneak peek at MCSD’s budget plan, how district will spend millions in COVID relief
The property tax millage rate would remain the same, no employees would be furloughed, and the pay scale would increase.
Those nuggets of news are among the expected highlights when the Muscogee County School District finalizes its fiscal year 2022 budget.
During last week’s school board meeting, MCSD chief financial officer Janice Bloodworth presented an overview of the administration’s thinking as it develops the spending plan for the district educating more than 31,000 students and employing 5,175 Columbus area residents.
The administration is scheduled to present the board its tentative FY 2022 budget during the June 7 work session and called meeting, when the board also will vote on the tentative millage rate for property taxes.
Final adoption of the budget and the millage rate is set for the June 21 meeting.
Bleak outlook last year
MCSD’s financial outlook was bleak last year, when the board adopted a general fund budget of $290,172,672 that would need to take $11.7 million out of the fund balance, leaving $25.2 million in the fund balance. The spending plan included furloughing employees for 5-7 days and superintendent David Lewis for nine days. MCSD also considered raising the property tax millage rate.
Both decisions were based on anticipated decreases in property tax revenue and state funding amid the economic recession caused by the COVID-19 pandemic.
But complaints from residents prompted the board to back off raising the millage rate, and funding from the Coronavirus Aid, Relief and Economic Security Act allowed the board to restore lost pay from the furlough days.
Brighter outlook this year
As the economy recovers, MCSD’s financial outlook is brighter:
- MCSD is projected to finish fiscal year 2021, which ends June 30, with a $13 million increase in revenue compared to its budget.
- Midterm budget adjustments provided MCSD nearly $10 million in additional state funding.
- Expenditures were less than budgeted in areas such as substitute teachers, bus drivers, part-time police, fuel, bus maintenance, professional services and travel.
- The district figures revenue for next fiscal year will be $12.4 million more than this year’s budget.
- CARES Act funding allowed MCSD to receive $12.4 million to cover general fund expenditures in FY 2021 and plan to cover $23.9 million in FY 2022.
All of which has prompted the administration to propose keeping the millage rate at 23.321 for fiscal year 2022, Bloodworth said. And the fund balance is expected to increase by $17.2 million, leaving $42.4 million to start FY 2022.
“The goal is to have zero use of fund balance,” Bloodworth said.
The boost in revenue will help MCSD slightly increase expenditures without dipping into the fund balance. The projected FY 2022 expenditures of $290,886,250 are about $700,000 more than this year’s budget and about $5 million more than the estimated actual expenditures in FY 2021.
Extra spending would come in areas such as:
- A step increase in the pay scale for employees.
- No furlough days.
- Mandatory increase in teacher retirement contribution.
- Increased allotment to the Chattahoochee Valley Libraries from $6.1 million to $7 million.
- More money for maintenance and repairs.
- Returning funding for field trips to the Columbus State University Coca-Cola Space Science Center.
Bloodworth also provided a breakdown of how MCSD used $12,429,400 in CARES Act money for general fund expenditures in FY 2021 and how it plans to use $23,942,700 in CARES Act money in FY 2022:
- Textbooks: $922,300 in FY 2021; $2.9 million in FY 2022.
- Behavior support contract: $5,670,000 in both years.
- Custodial and grounds contract: $2,937,100 in FY 2021.
- Utilities: $5 million in FY 2022.
- Salaries and benefits: $2.9 million in FY 2021; $10,372,700 in FY 2022.
Reflecting on the difference between the two budget years, Bloodworth said, “We were faced with some hard decisions, including furloughs and cutting positions. With the CARES Act funding, we do not have to endure those additional cuts for FY22 while trying to reopen schools and working to close the learning gap. This funding has allowed us time to strategically plan for the necessary changes to truly balance the general fund budget.”
IF YOU GO
Here is the schedule of public hearings and meetings for the Muscogee County School Board’s process of adopting its fiscal year 2022 general fund budget and property tax millage rate:
June 7
11 a.m.: First public hearing on property tax millage rate.
5 p.m.: Second public hearing on property tax millage rate, followed by first public hearing on budget and vote on tentative adoption.
June 21
6 p.m.: Third public hearing on property tax millage rate, followed by second public hearing on budget and vote on final adoption.
How to speak to the board
Residents may speak to the board during the public hearings in person or via videoconference. To register, call board secretary Karen Jones at 706-748-2019 or email Jones.Karen.P@muscogee.k12.ga.us.
This story was originally published May 28, 2021 at 2:42 PM.
