With Congress unable to agree on a balanced deficit reduction, President Obama was required by law yesterday to order $85 billion in federal spending cuts. Although figures from the White House estimate Oregon schools will lose more than $10 million in grants for schools with large numbers of students from low-income homes, and $6.4 million in special education funds, the cuts will not be felt immediately in local schools.
“It does not appear we will have any reduction in our funds for this year; next year is when we will see an impact,” said Siuslaw School District’s business manager Kari Blake earlier this week.
From information currently available, the business manager estimates a cut of about 5 to 8 percent of federal funds to the district, or approximately $40,000 to $50,000.
Funds received by the Oregon Department of Education are “front-loaded,” said Blake, and come in at the beginning of the budget cycle.
She said it could be worse.
“We are not going to see the effect on our budget that big school districts will have,” said the business manager.
Another squeeze on next year’s budget is employer rate hikes to the state’s Public Employees Retirement System (PERS). The district is projected to pay an additional $511,000 next year, up from $460,000 this year, bringing the total to $971,000. For the complete article see the 03-02-2013 issue.
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