Calvert County Public Schools’ (CCPS) financial officers reported on the ongoing work to craft a budget for the 2014-2015 school years Thursday, Nov. 21. The update was presented to the Calvert County Board of Education (BOE) during a morning work session.

According to Chief Budget and Business Officer Tammy McCourt, the current budget shortfall for the next fiscal year (FY) is now projected at nearly $3 million. McCourt stated that when the budget development timeline began earlier this fall, the deficit was projected to be $5.3 million.

“We’ve addressed $2.4 million of the budget gap,” McCourt stated, citing one component is a proposal from Calvert County Government officials to “hold harmless” CCPS and allocate the same amount of funding in FY 2015–$109.79 million—as is being appropriated for the current fiscal year. Another component is the planned use of $1.6 million in fund balance.

“It helps,” said BOE President Dr. Eugene Karol of the assurance from the county commissioners that funding will be flat. With CCPS dwindling enrollment the allocation to adhere to the state-mandated maintenance of effort would have been $108.99 million in FY 2015. McCourt said change in student enrollment “affects both state and county maintenance of effort funding—a reported $12,130 per fulltime equivalent. She added the state’s projected allocation is due in late December

Interim Superintendent of Schools Nancy Highsmith conceded that the county’s “hold harmless” proposal was good news but added that it doesn’t solve the school system’s budget problems.

The superintendent’s proposed budget is tentatively scheduled to be presented to the BOE at a public hearing in January and the school board’s proposed budget is scheduled to be submitted to the county commissioners in March. That final date might be changed since final state revenue numbers aren’t released until April when the Maryland General Assembly session ends.

The expenditures grid McCourt presented to the BOE has no increases in salaries and wages. That item is subject annually to bargaining with employee representative organizations. Increases in health insurance and pensions are both projected at an amount slightly over $1 million.

Karol indicated closing the $3 million budget gap could impact CCPS’ current workforce.

“There are ways to do it [close the budget gap],” said Karol. “But they aren’t pleasant.”

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