Schools Could Lose Millions In Federal Funding

Cuts Would Impact Services For Students In Need

School districts in Northwest Arkansas could lose millions of dollars that provide critical services to students in need, depending on the level of federal spending cuts Congress makes in the coming weeks.

Cuts in federal education money are not imminent, but school officials said the decline in revenue could impact their 2013-14 budgets.

By The Numbers

Education Expenses

The number of students identified as special education and Title I for the 2011-12 school year in the four largest districts in Northwest Arkansas. Also listed is the percentage of students in the free and reduced-price lunch program in each district.

School District Enrollment Special Education Title I Free and Reduced-Price Lunch

Bentonville 14,123 1,378 2,484 28 percent

Fayetteville 9,017 1,014 3,951 41 percent

Rogers 14,145 1,541 6,270 59 percent

Springdale 19,372 1,795 9,582 66 percent

Source: Arkansas Department Of Education

Education spending was not part of the “fiscal cliff” plan that passed the U.S. House of Representatives late Tuesday. The House and Senate approved a bill that delayed for two months deep automatic spending cuts in federal spending.

Brandon Sharp, administrator of the budget division for the Arkansas Department of Finance and Administration, said various state agencies receive about $55 million in federal grants.

Of that, $20.4 million comes into the state for education, namely Title I and special education programs. Title I is federal money for socioeconomically disadvantaged children.

Title I and special education money is at stake in Congress.

“The cuts are not necessarily immediate,” Sharp said, noting information he has received from the federal government. “It depends on the granting agency.”

The U.S. Department of Education, for example, notified recipients any cuts it must make will not be effective until the next school year, which begins in August.

The concern among school officials is the needs of children living in poverty and those requiring special education services won’t go away just because the money might.

“Special education and title money targets the kids who need the services the most,” said Vicki Thomas, Fayetteville superintendent. “Those needs haven’t gone away.”

Title I schools are those in which more than 35 percent of the students qualify for free and reduced-price meals.

While the exact amount is unknown, Fayetteville schools could lose about $500,000, Thomas said. Each school would likely experience a 9 percent cut in title funding, Thomas said.

The Rogers School District could lose about $1 million in Title I and special education money, said Kathy Hanlon, district treasurer.

“A good part of that is in personnel costs,” she said.

Any cuts from the Rogers budget would come from programs before personnel. The district spends about $78 million on personnel, which accounts for 80 percent of the budget, Hanlon said.

The title money is used in large part to hire instructional aides or aides to provide medical assistance to special education students, Hanlon said.

“We’re looking at major program changes next year,” Hanlon said. “We are fortunate to have a heads up, but we will have to look at everything.”

Losses to Bentonville and Springdale school districts would be similar to those of Fayetteville and Rogers. Officials in those districts did not return phone calls Wednesday afternoon.

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