School budget cuts mostly affect transportation

State cut $24M from K-12 public schools

The $24 million in state funding cuts come as another hit to public schools, just a couple months after the governor announced withholdings in July.

Missouri Gov. Jay Nixon blames $59 million in cuts for schools, roads and other programs on the Legislature, which overrode his veto and enacted special-interest tax breaks, according to a Sept. 16 Associated Press story. He had warned if the tax breaks went through, the lost revenue would have to be made up elsewhere in the budget. Funds were also cut from local highway, river port and transportation projects, higher education and agricultural programs.

Whoever is elected governor in the November election could reinstate the funding or continue the cuts after Nixon's term ends in January, according to the Associated Press.

Jefferson City Public Schools and Blair Oaks School District were already bracing for a 5 percent reduction in transportation revenue from the state withholdings in July, which erased the increase they were expecting. The additional cut carries a 15 percent reduction in their transportation budgets with the $16.5 million restriction from the state.

Of the cuts to the public schools, transportation is the deepest. There were also reductions to the foundation formula and Proposition C sales tax revenue.

JCPS is anticipating a $150,000 loss in transportation funding, dipping even farther into its $1.1 million deficit for the 2016-17 school year, said Chief Financial Officer Jason Hoffman.

"It is significant," Hoffman said. "We talk about our needs. The state is not fulfilling its promises, and it's putting the burden on taxpayers."

Last year, the district received $715,822 for its allowable transportation costs, which only includes school bus routes that bring students to and from school. The allowable costs exclude students bused to school who live a mile or less from school, summer school bus transportation, field trips or sporting events.

Hoffman said the transportation budget will be more than 70 percent underfunded, but the cost to run bus routes isn't getting any cheaper. The transportation contract with First Student has a 3 percent increase built in each year.

Blair Oaks Superintendent Jim Jones said they're looking at a roughly $19,000 reduction in transportation revenue, including the withholdings from July. The district's transportation expenses are more than $500,000 each year. Last year, the district received a little under $90,000 from the state.

The other budget restrictions are $6 million from the foundation formula and $1.9 million from Proposition C. The foundation formula is an equation that dictates how much revenue is filtered to every public school district and Prop C is a state sales tax that is designated partially for public schools.

It's difficult to tell this early on how much money will be cut from JCPS's budget in either of those areas, Hoffman said. Both categories will likely have a marginal effect, he said. He watches what the state sales tax comes in at each month so he can project what they'll receive in Prop C revenue, but it's a very small portion of the district's budget.

Jones forecasts a $10,000 reduction from the district's foundation formula funds, but said he wasn't sure what the impact would be from Prop C.

"The key is not to over react or under react," Jones said. "We're going to react appropriately. The key is we all have to live within a budget and operate within our means, and the state of Missouri is not excluded. At a district level, we'll have to provide a sound education, and we'll do it within our parameters."