When Should Schools Spend Federal Windfall? (OH)
September 1, 2010
Cash-strapped Ohio school districts and charter schools will receive $361 million in one-timefederal aid for teachers and other school personnel.
The money was divvied up today by the state. Now, the question is: When should districts spendit?
Should they use it now to rehire staff members, or hold onto it for next year, when Ohio faces apossible $8 billion budget shortfall that could trigger cuts in state aid to schools?
Save it, said Sen. John A. Carey Jr., chairman of the Senate Finance Committee, who is urgingdistricts to be "very cautious."
"Most people project that there will be a cut in school funding regardless of who wins thegovernor’s race. Ramping up spending with this money could be dangerous because if you hireadditional teachers with this one-time money, you are going to be digging the hole deeper for nextyear," the Wellston Republican said.
But Rep. Stephen Dyer, who helped craft the state’s new school-funding system, said districtsshould spend the money if they have the need.
"What I would like to see (schools do) with the money is to … make the best choices for kids,whether that’s bringing back teachers that had to be let go because a levy failed or ensuringall-day kindergarten," the suburban Akron Democrat said.
It’s a debate that likely will be heard in each of the nearly 1,000 public school districts andcharter schools throughout the state.
The aid was included in a $26 billion bill approved by Congress last month that also will send$530 million to Ohio to help cover costs for Medicaid, the federal-state health-care program forthe poor and disabled. The funding is designed to help states weather the recession, which hasreduced state tax revenue and forced cuts in services.
David Varda, executive director of the Ohio Association of School Business Officials, predictedthat most districts will hold on to the money.
"Some districts already brought people back in anticipation of getting this money, but most willprobably carry it over until next year (because) they are fearful of the next state budget andbecause they’ve already started the school year," he said.
Franklin County school districts and charter schools will receive $32.4 million, with Columbusgetting the largest share, $7.9 million. The Electronic Classroom of Tomorrow, an online schoolserving 10,000 students, will receive nearly $3.3 million.
The money is being distributed based on the state’s school-funding formula. Under federalguidelines, it can be used to pay salaries, performance bonuses and other benefits such as healthcare for teachers, principals, librarians, counselors, coaches, bus drivers and other school staffmembers. It cannot pay administrative expenses.
The Strickland administration will not advise schools on how or when to spend the money.
"It’s totally up to districts as long as they do it in accordance with federal guidelines,&quo t; saidAmanda Wurst, spokeswoman for Gov. Ted Strickland.
Ohio’s allotment is supposed to be enough to "save" 5,500 teaching jobs, the number teachersunions say was lost since last school year. But it’s unclear how many teachers remain unemployedbecause many laid off this past spring have been called back to work.
Columbus, the state’s largest district with about 51,000 students, laid off 113 teachers at theend of last school year. But soon after the teachers received layoff notices, the district beganrecalling them.
As recently as two weeks ago, 96 of 113 teachers – 85 percent – had been offered a job in thedistrict.
District spokeswoman Kim Norris said the district did not rehire teachers in anticipation of thefederal money. Instead, attrition and retirements allowed them to bring laid-off teachers back.