The Niles Star

Schools to lose some aid to community colleges

By JESSICA SIEFF

Niles Daily Star

School may be off to a fresh start for students, but school officials are facing the same old dismal financial tune.

The Michigan House of Representatives passed a bill last month that would transfer $300 million from the school aid fund to community colleges, reportedly in an effort to free up general fund dollars.

“We certainly have a constitutional duty to balance the budget and I take that duty very seriously, but I didn’t think this is the best way to balance the budget in the current fiscal year,” said state Rep. John Proos, who voted against the bill.

In surplus of approximately $370 million, the bill — operating under provisions of the constitution — would legally transfer $300 million of school aid fund money to community college education, where general fund dollars would normally be used.

The general fund, in deficit of $300 million, would then be able to direct its dollars to other shortfalls.

“I did not support this bill and the move that this bill calls for, which is to transfer school aid fund revenues into the general fund,” allowing for a balancing of the budget through other state departments, Proos said. “Especially when we learned about five weeks ago that the Department of Corrections overspent its budget by $48 million, which is inexcusable given the state of Michigan’s economy and the ability of taxpayers and businesses to pay additional taxes.”

Some school officials see the move as just another way the state is short-changing school districts already in tight financial straits.

“They’re robbing Peter to pay Paul,” said Dennis Cooper, trustee for the Brandywine Community Schools Board of Education.

His district was “conservative” in its budgeting this year, Cooper said, but for the state to take money in surplus and move it out of the school aid fund means there will be no refund to school districts in cut funding and it opens the door to a possible additional cut mid-year.

“They said they were going to give us money back. They said that four years ago; they said it two years ago,” Cooper said. “Hopefully we’re going to be OK for this year, but I don’t think the state has taken on their responsibility” when it comes to school funding.

Brandywine’s superintendent John Jarpe said though districts like his would feel the impact of the bill, the effect could come later, when districts propose their 2011-2012 budgets and “that school aid money in effect has been raided, has been taken.”

“I think it sets a pretty dangerous precedent,” he said.

Proos agrees.

“I would have rather kept the surplus money in the school aid fund,” he said, to avoid the possibility of a mid-year cut to school districts.

“It’s not going to take away money in the foundation grant (which supplies funding to school districts per student), at least this is my understanding for this school year,” Jarpe said. “But it makes it kind of precarious in terms of next year’s budgeting.”

For now it seems like the financial woes for school districts won’t be gone any time soon — and school officials don’t seem to be surprised.

“This isn’t the first time and it won’t be the last time,” Cooper said.

Added Jarpe, “we need long-lasting remedies for school funding in Michigan, more reliable, more stable … so this doesn’t keep happening.”