02/19/2009
from the Kennebec Journal
Sport of Kings
New Medicaid billing system inspires doubts among some
Christmas spirit
Guidance counselor: Dismiss complaint based on criticism of same-sex marriage
CHELSEA: 'Practice burn' provides thrill for 9-year-old
Trust eyes orchard purchase
GOLFER OF THE YEAR: Bonenfant rises up Cony ranks
YOUTH SOCCER: Local team gives 'care package' to children in Afghanistan
All of today's:
News | Sports
from the Kennebec Journal
from the Morning Sentinel
YES ON 1 BACKER REBUTS CLAIM
New system for Medicaid payments worries providers
After petition drive, Clinton police force budget will go a third time before voters
A rock musician makes trip home via Black Taxi
MADISON: After revaluation, abatement requests reviewed
Parks to have facelift
GOLFER OF THE YEAR: Sweet does job for Madison
YOUTH SOCCER: Local team gives 'care package' to children in Afghanistan
All of today's:
News | Sports
from the Morning Sentinel
The infusion of $787 billion in federal funds President Barack Obama signed into law Tuesday will also provide millions of dollars to help Maine districts balance their budgets for the 2009-10 and 2010-11 school years.
Gendron said she does not yet have exact numbers, but she estimated Maine would receive $160 million that local school districts as well as public colleges and universities will have to spend by mid-2011.
Nationwide, school districts and public colleges are expecting $39.5 billion from the stimulus package.
"I think, in many instances, we'll be able to reverse pink slips, layoffs that are happening in many districts," Gendron said.
Federal agencies are expected to tell states today how much they will receive.
The $160 million, however, would fall short of filling the gap expected between projected revenues and pre-curtailment spending levels over the next two school years, Gendron told members of the Legislature's Education Committee. The state would need $250 million to fill that hole, she said.
The stimulus money also will fall short of allowing the state to meet the goal set by the 2005 citizen initiative of providing 55 percent of local education funding.
"There aren't enough funds here to do that," Gendron said. "We have to apportion, moving towards that goal."
As the department prepares to hand the funds down to local districts, it faces stringent reporting requirements.
"We have to track how many jobs were saved, how many jobs were created with these funds," Gendron said.
The state will be unable to mix stimulus funds in with general budget allocations, because officials will track the stimulus dollars separately, she said. And school districts need to face the reality, Gendron and legislators said, that these funds are temporary.
"We're pumping all this money into higher education and K-through-12, and then, in 2012, it's gone," said Sen. Justin Alfond, D-Portland. "How are we going to prepare for 2012?"
Gendron said federal and state officials will encourage school districts to invest stimulus money in one-time projects, such as energy efficiency improvements. Such improvements, the commissioner said, could lead districts to long-term savings.
"It appears schools could look at using stabilization funds for things like energy, one-time things, while still keeping employment," Gendron said.
The commissioner said stimulus funds would also be used to "mitigate" rises in tuition at public colleges.
Area superintendents on Wednesday were hesitant to say, without more details, what impact the restored curtailment funds would have on their districts.
"It would certainly help for the school year we're in," Augusta schools Superintendent Cornelia Brown said.
The Augusta school system absorbed a $330,000 cut from the curtailment order by freezing most purchases, Brown said.
"There are things that need to be purchased this school year if the money is released," Brown said.
By limiting purchases, the district avoided layoffs, wage freezes and furlough days for staff members, she said.
Waterville schools Superintendent Eric Haley said he would likely carry over reinstated funds to the 2009-10 academic year budget.
"I would use that as an offset to keep the increases we're talking about for next year down," he said.
Waterville's schools initially faced a $167,000 cut from the curtailment order.
Reinstated funds could allow the Maranacook school district to reduce the size of budget cuts expected for the 2009-10 academic year, Assistant Superintendent Lew Collins said.
The Maranacook district -- which serves Manchester, Mount Vernon, Readfield and Wayne -- faced $231,000 in curtailment-related cuts.
Still, Collins said, it's too early to know for sure what effect the funds infusion could have.
"It sounds preliminarily like it could be very good news," he said.
Matthew Stone -- 623-3811, ext. 435
mstone@centralmaine.com
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