The Calhoun city school board recently approved a budget decision to work with less money for the 2009-2010 school year.
According to Superintendent Michelle Taylor, the schools will minimize spending by cutting out approximately $350,000 worth of expenses. This cut, said Financial Director Don Hood, will be a result of officials’ decision to lower the millage rate.
Taylor said the school system is planning to roll back to a 13.86 millage rate from last year’s rate of 14.08.
“We want to be honest and transparent and creative and not cut programs and personnel,” Taylor said.
“The decision is to cut supplies, textbooks, expenditures, computers and repairs,” Hood said. “These items just won’t be purchased, and with the repairs it’ll be on essential repairs.”
Hood said these are tough decisions.
“You can’t solve an equation with two unknowns,” said Hood. “It’s really a guessing game trying to fund your budget and keep it operating.”
The two unknowns are state and local funding: the schools cannot receive local funds from prop-erty taxes the board officially sets a millage rate based on county digest numbers, which have yet to be approved by the state.
Taylor said the city schools were able last year’s millage rate in mid September.
“We expect the City Council to set the (school system’s) millage on Dec. 7,” Taylor said. “Hope-fully, the taxpayers will receive the bill prior to Dec. 31.”
The school system has been hit repeatedly by financial hardships, and has had to rely on bor-rowed money, an option officials opened up last year.
The school system via the City of Calhoun has a $1 million loan through Regions bank, which was approved in January 2009.
“We used some of it in January and February last year and then we paid it back then,” Hood said. “We’ve had to draw on it, and it gives us a bridge to walk over before we get the tax revenues in,” Hood said.
“Last year was the first year we’ve ever had to do it, and that’s not out of the ordinary for a school system in this economic situation,” he added.
Gordon County schools are currently operating with borrowed money from two major loans.
Hood explained that the loan, which is known as a Tax Anticipation Note (TAN), allows the schools to borrow money without any collateral or down payment. The money is due by Dec. 31.
The loan money helps pay salaries and maintenance and operation, said Hood.
“During this very difficult time, the success of our students remains our top priority,” Taylor said. “We are committed to doing everything we can to preserve teaching positions while providing the best educational opportunities for our students.”