More budget cuts for Okaloosa schools

Anticipating additional state budget cuts, Okaloosa County School District officials are preparing for more hard times.

The Florida School Boards Association has warned that an additional 2- to 3-percent budget cut could be in store for this fiscal year. That is on top of the 2 percent already stripped from local schools.

Okaloosa will be forced to cut $1.9 million from its budget for every 1 percent in cuts handed down by the state.

Cutting additional funds after the first semester is difficult, said Rodney Nobles, Okaloosa's deputy superintendent of schools.

"The later in the year cuts come, the more impact it has on us," Nobles said. "Being asked to cut when we've already committed those funds is like a double whammy. They are asking us to take money from this year's budget, but we've already spent half of it."

Florida schools' $66 billion budget was balanced based on the projection that the state would be able to earn $25 million from general revenue. Those funds have not come.

Funding for public education comes from sales tax revenue and ad valorem taxes, both of which are down drastically.

In August, the Revenue Estimating Conference announced a general-revenue shortfall of about $1.7 billion. At that time, schools were forced to cut 2 percent from their budgets while other state agencies cut 4 percent. Those cuts covered about $1 billion of the shortfall. The remaining $700 million was covered by state reserves.

A second Revenue Estimating Conference in November revealed an additional $1.5 billion in revenue shortfalls for Florida. The state's reserves are not sufficient to offset the latest deficit.

The Legislature will meet in special session Jan. 5 to determine the effects on state agencies.

"At this time, if there is no new influx of revenue, it is expected that K-12 education will be cut by AT LEAST $500 million - and this does NOT include reductions that may occur in local funding due to reduced property tax revenue," Ruth Haseman Melton, director of legislative relations for the Florida School Boards Association, said in an e-mail to school board members across the state. "In general, school districts are advised to brace for an ADDITIONAL 2-3% budget cut for THIS fiscal year."

Where to cut Okaloosa's budget is a decision for the School Board, Nobles said. And in tough economic times, nothing is sacred.

"You can only cut to a certain point. Well, we have. We're there," Nobles said. "Everything's got to be available to be looked at."

"Everyone will have different opinions as to what is most valuable," said Rita Scallan, the school district's chief financial officer. "It takes a partnership to get there."

The school district is committed to keeping cuts as far away from students as possible, but services will be affected eventually, Superintendent of Schools Alexis Tibbetts said.

"Eighty-four percent of the school system budget is salaries. You can't cut the largest part of your budget without impacting some services."

Economic instability creates a difficult climate for financial planning, Scallan, said.

"Every time the Revenue Conference meets, all we know is revenue is going to go down," Scallan said. "A majority of school districts don't have sufficient funds to anticipate a budget cut and hold back those funds in a reserve."

Okaloosa already has faced $20 million in reductions since August 2007. To curb the losses, cuts have been implemented district-wide.

Two school facilities have been closed, administrative departments have been downsized, instructional positions are being eliminated through attrition and educational support positions are being eliminated. Also, energy-saving measures are being developed and the central kitchen has been shut down, among many other things.

That leaves little room to maneuver.

"We are going on the third year of reductions. I'm pretty much numb to it," Nobles said. "It is something we will face and will have to face. We have to do it. We don't have a choice."