Governor’s Education Cuts Cause School To Spend ‘Rainy Day’ Reserves

Everyone knew it would be coming. With the cuts in education implemented earlier this year by Governor Mitch Daniels which caused one Jackson County School to close and cutbacks in personnel and programs at others, Crothersville would not miss the funding cut cleaver.
However, the bright spot is that local school will not have to cut programs or personnel because of the cuts. But to do so means they will have to cut into reserve money saved for a rainy day.
In this week’s issue of the Crothersville Times, an additional appropriation is published where the school is seeking to spend a little over $1.5 million of its reserves on educators, programs and supplies.
“Instead of laying off teachers or cutting back programs, we opted to use some of our savings to see us through the governor’s funding cuts,” said Crothersville School Superintendent Dr. Terry Goodin. “Because of very frugal school boards, we have been able to save over the years and put some money aside for these lean times.”
Because the current budget was approved anticipating the state would live up to its financial obligations, the school administration opted to spend down cash reserves to make up for the deficit rather than lay off teachers or cut back programs.
Goodin pointed out that the additional appropriation should not be viewed as a request for a tax increase. “This is money that was budgeted in previous years which was not spent. We saved it for use at another time,” said Goodin. “It could be akin to residents who are forced to spend some of their savings for living essentials when a family member is laid off,” said the superintendent.
In order to meet the governor’s funding cuts, Brownstown Central School system closed Freetown Elementary earlier this year. Seymour and Medora systems are facing similar funding dilemmas.