Fulton County Schools chief financial officer Robert Morales said Tuesday as the district prepares for budget season it is facing a $41.9 million funding gap that it could handle without teacher layoffs or furlough days.
Conservative management through the economic downturn, has placed Fulton Schools in a favorable position to be able to absorb its budget shortfall by using a combination of reserve funds and strategies to save money. In early talks, the district’s proposed fiscal year 2013 budget is the same as the current year’s, $811.6 million.
School officials expect about $769.7 million in budget revenues, giving the district a $41.9 million gap that could be met without teachers losing jobs or missing paychecks.
“In the last three years, y’all have made some tough decisions that have allowed us to be in this spot,” Morales told the school board Tuesday at a business retreat.
Staff will not get raises. Last month, however, the school board did approve spending $9.4 million on one-time staff bonuses to make up for missed raises during tough times. The money was slated to be paid by March 2.
Classroom teachers received $1,000. All other full-time employees in support roles and in central office got $500. Part-timers got payments ranging from $250 to $990.
Fulton's budget stability comes at a time when some metro Atlanta school districts are considering more staff furlough days.
“While others are still struggling, we find ourselves in a position to weather the storm,” said Fulton Schools Superintendent Robert Avossa.
Fulton's anticipated budget gap is a result of a combination of the district’s growing enrollment, the opening of a new school and health insurance costs for non-certified employees, which together would add $14 million to expenditures, among other things. At the same time, some savings have been realized. Morales said unemployment claims are down by $2.2 million and the rejection of a start-up charter school renewal saved $3.9 million.
Estimates could change once tax digest figures are announced.
“We are expecting it to decrease by 7 percent,’’ Morales said of the digest. “Sixty-five percent of our revenue comes from local sources, not from the state. That hurts us a lot.”
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