MUNCIE, Ind. (AP) - A central Indiana school district that lost its bid to end bus service at the end of this year will have to continue to provide transportation longer than it thought because of a misunderstanding on when the clock started ticking on a required notification period.
Muncie Community Schools requested a waiver from a three-year notification rule from the Indiana Department of Education in June. The department denied the request, meaning the district would have to provide the three years’ notice that it would end bus service.
District Chief Financial Officer Mark Burkhart told The Star Press (https://tspne.ws/1fqsMlr ) that school officials thought the clock started when the waiver petition was filed. They learned instead that the school board must pass a resolution to officially start the clock.
That won’t happen until Feb. 11, which means the district won’t be able to end bus service until the end of the school year in 2017.
Muncie schools stand to lose almost 90 percent of the district’s transportation fund because of a state law that requires districts to apply property tax revenue to debt payments before parceling it out to other needs. The district asked voters to approve a property tax increase to continue to fund transportation in November, but the measure was rejected.
Board President Tony Costello said the district has become the “poster child” for school systems struggling as a result of statewide property tax caps and the new protected taxes rule. Dozens of districts are dealing with similar transportation cuts, he said.
Districts are hoping that lawmakers provide some relief before adjourning in mid-March. But if they don’t, Burkhart said, Muncie schools would have to shift money for capital projects and transportation to the general fund.
He said the capital projects fund includes money for electric bills, 10 members of the technology staff, some maintenance staff and in-house bus operations.
In all, the district would need to cut $7.7 million to cover additional costs that would shift to the general fund, he said.
“We know we are going to have to have staff reductions above and beyond whatever we generate through the merger,” Burkhart said.
The district is looking for ways to offset those cuts. Burkhart said ideas such as “corporate sponsorships” of stadiums, moving graduation ceremonies and putting up more cellphone towers are possible options.
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Information from: The Star Press, https://www.thestarpress.com
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