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Thursday, May 15, 2008

Cleveland board amends school budget in face of declining revenue

CLEVELAND, Tenn. — The Cleveland School Board amended its current budget today to reflect plunging revenue from sales and property taxes.

Board members voted to reduce revenue and spending by $145,200 in a total budget of $33.8 million. The fiscal year ends June 30.

Budget director Brenda Carson told board members the amendment makes no actual budget cuts but reflects this spring’s revenue and spending drop.

Board member Max Carroll said a $145,000 amendment on a $33 million budget “is not bad, although I wish it was plus.’’

But Schools Director Rick Denning said the amendment could be a bad sign for the future. State and local tax revenues are plunging and Gov. Phil Bredesen has said schools won’t get any additional BEP funding except an inflation adjustment.

“We’ve got some difficult decisions to make,’’ Dr. Denning said. “Things will be quite difficult if we don’t get enough growth money (from the state Better Education Program), he said.

Cleveland schools expect to receive about $400,000 in BEP growth money, Mr. Denning said.

For complete coverage, see Friday’s Chattanooga Times Free Press.

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