Unknowns Surround Budget for Ohio County Schools
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WHEELING -- Ohio County Schools is required to pass its budget before May 31, but figuring out the numbers is nearly impossible amid funding uncertainties at the federal and state level.
Board of education members met this week for a work session to discuss budget issues. They are set to meet at 6 p.m. Tuesday night at the board office to approve the final budget.
Business manager Steven Bieniek provided a rundown of the challenges that are affecting this year's budget.
To begin, the money the school district is to receive through its share of property taxes and excess levy revenue is expected to be $8.788 million less than last year, he said.
On the plus side, because of this decrease in funding, Ohio County Schools will receive an additional $2.5 million in state aid from the West Virginia Department of Education. And the state also has increased the amount of money it gives school districts to pay toward its employees benefits through the Public Employees Insurance Agency (PEIA).
Still, some areas of revenue remain "in flux," according to Bieniek. PEIA could see some changes if the West Virginia Legislature acts in a special session this summer.
Bieniek is projecting the amount of state and federal grants received by Ohio County Schools next year to increase, but he really isn't certain.
"I"ve got it going up a little bit, but just to be honest with you we were told by the state to just budget everything as we have it this year," he said. "We don't know anything right now about the federal budget, so that is purely a guess.
"It's based on this year's information. We have been given no indication whether these will go up or down or stay the same. I don't think we're going to know anything until at least July."
The initial budget for Ohio County Schools for the 2025-2026 fiscal year was initially set at $89.3 million. Because of the unknowns, that has now been revised downward to $83.8 million, Bieniek explained, a $5.5 million decrease.
Also subtracting from the school district's budget is excess levy money in their hands that is now directed to the Wheeling-Ohio County Library. The school district is a pass through for more than $927,000 that will go to the library.
"Every category is going to take a cut just to balance this out," Bieniek said. "There were salaries built in that we know we aren't going to be able to handle now. We're going to be running a little thinner this year."
The school district likely will lose money due to losing students who plan to attend private or parochial schools on the Hope Scholarship.
Ohio County Schools also isn't certain how much federal funding it will receive for its nutrition program. The U.S. Department of Agriculture presently reimburses the district for money spent providing free lunches and breakfast to all children, but this funding mechanism could disappear.
West Virginia law also requires school districts to maintain a carryover each year of between 3-5%.
Bieniek said in past years he has tried to keep the amount of carryover closer to 5%, but that may creep down to 3.5% this year. He estimates this will reduce the carry from about $4 million to about $3 million.
Having the larger carryover "helped when the sky was falling in the past," Superintendent Kim Miller said.
"This year is scary, not knowing what the federal support will be," Board President David Croft said. "The reserve - should we hit the wall, isn't going to be enough - though I don't think we won't get anything."
Bieniek said if the school district does lose federal money, he hopes it's more of a gradual loss than all at once."
Earlier this month, the Education West Virginia teachers union requested a 5% raise for teachers and school service personnel.
"That will be difficult without federal funding, and we still don't know what is happening with PEIA," Croft said. "At least in my thinking, we're half-baked right now. We don't know what the federal (government) is going to do. We don't know what the state is going to do to PEIA."
The board discussed cutting some teaching positions if needed. This would mostly be done through attrition if possible, Miller said.
Board member Molly Aderholt summarized what she had just heard.
"We will have to pass a budget at our next meeting, and then we will find out more information after that, right?" she said, then asking Bieniek, "What's your plan?"
He said he does as much "forward thinking about the budget" as he can, and tries to make certain the school district has reserves.
"That way, if God forbid, the Title 1 budget gets slashed at the federal level ... it may be something we have to look at in the future. The last thing we want to do is lose programs. We have to have as large a reserve as we possibly can."
Bieniek hopes that property tax revenues come back up again, or at the very least stay stable.
"I would love for the state to help out with PEIA," he continued. "That would be huge."