SCHOOLS Board addresses revenues

At least three Trumbull districts plan to offer open enrollment next year.
By DENISE DICK
VINDICATOR TRUMBULL STAFF
WARREN -- Maximizing enrollment and stressing public relations are some actions to be taken to deal with the city schools' declining revenue.
Phillip D. Butto IV, district treasurer, presented school board members with the revenue portion of an updated five-year financial forecast at a school board meeting Tuesday. He plans to cover the expenditures side at a board meeting next week.
The district plans to close an elementary school at the end of this school year to stave off a projected $4 million deficit by 2007. Two more schools closed at the end of last year because of the looming financial crunch.
Last year, the district suffered a roughly $20 million hit with the decline of tangible personal property tax. The reduction was due to re-valuations at WCI, Delphi Packard and Alcan. Commercial and industrial personal tangible property has seen a general decline since 1999, Butto said.
Tangible personal property includes equipment and inventory owned by businesses. The inventory tax is being phased out each year until it is completely eliminated, the treasurer said.
Funding sources
Tangible property comprises 23 percent of the school district's valuation. Residential/agricultural makes up 58 percent and commercial/industrial is about 19 percent.
The district gets 70 percent of its revenue from the state, with the remaining 30 percent coming from local sources.
"That tells you where we need to focus; it's on the 70 percent," Butto said.
The district also is expecting a continued decline in enrollment. Some pupils opt to attend charter and community schools. Because the money from the state follows the pupil -- about $5,500 to $5,600 per pupil in Warren -- that also means a monetary loss.
At least three Trumbull County school districts plan to offer open enrollment next year, which could mean the loss of more pupils.
"I'm concerned particularly about LaBrae," said Linda Metzendorf, board president, referring to one of the school districts offering open enrollment. "They have a new facility and are planning to build a new athletic complex."
Until recently, Warren was the only area school with open enrollment. Gordon Hazen, student services supervisor, said between 80 and 90 pupils from other school districts attend the city schools through open enrollment.
In his report, Butto suggested recovering community school pupils and diligently working to prevent the loss of pupils to community schools as ways to address the funding situation.