Struthers schools emerge from fiscal emergency

School officials said
renewing of the 6.9-mill levy in five years is a must.

By WILLIAM K. ALCORN

VINDICATOR STAFF WRITER

STRUTHERS — It was kudos and congratulations all around when the Struthers School District was removed from fiscal emergency status.

The district had been in state-designated fiscal emergency since May 11, 2005. Since then, the board of education has been subject to oversight by the state auditor and under the guidance of a state Financial Planning and Supervision Commission.

On Tuesday, the commission passed a resolution saying the state auditor had removed the school district from fiscal emergency status. The resolution also disbanded the commission.

“We’re thrilled to be out of fiscal emergency. The district has been working bare bones for quite some time, and the board is looking forward to getting back on track and improving our academic report card,” said Sheri Noble, board president.

Noble and other board members said they are grateful to the community for passing a 6.9-mill operating levy, which they said was a major factor in lifting the district out of fiscal emergency.

Renewal of the levy in five years also will be crucial to the continued financial well-being of the district, officials said.

Noble also said the district’s “incredibly talented and dedicated staff” has been patient and committed to helping the district get through the process.

Also critical to getting out of fiscal emergency is a five-year financial forecast, prepared by district Treasurer Michael Evanson, which predicts a positive cash balance at the end of each year of the forecast period through 2012.

In his forecast, Evanson also noted the importance of renewing the 6.9-mill levy in five years, and the increasing need to subsidize federal grant programs from the general operating fund. He said expenses for the programs are increasing about 2 percent a year while he projects that federal grant revenue will decline at about 4 percent a year over the next five years.

“As a citizen of Struthers, I am very happy and grateful to see where we are,” said Thomas Gough, a community member of the Financial Planning and Supervision Commission.

But, while the numbers look good through 2012, Gough emphasized the need for the board to continue to watch and carefully manage finances month to month.

“Hopefully, good times are ahead for a while,” said Daniel Becker, a community member of the state commission along with Gough and Deborah Elias.

Schools Superintendent Sandra DiBacco, who is leaving Friday to become schools superintendent of Beaver Local Schools, said she is proud to leave Struthers schools in good financial, academic and facilities condition.

Joseph Funai, chairman of the commission, said he is “pleased with the reasonable expectations reflected in the five-year forecast,” and called it a “good road map” for the district.

The other commission member was Paul Marshal. George Doney was the on-site monitor.

With Struthers coming off the list, there are nine Ohio school districts still in fiscal emergency (including Youngstown); 13 on financial watch; and 20 in financial caution, said Roger Hardin, assistant director of the Ohio Department of Education’s Office of Funding and Fiscal Support Services. The state has 613 school districts.

alcorn@vindy.com