Savannah-Chatham County school district projects small shortfall at first public hearing on 02/1926 budget

At a public hearing on the district’s preliminary 02/1926 budget, Savannah-Chatham County School District finance staff presented revenue and expenditure forecasts that would leave the general fund roughly $1.2 million short, requiring a planned draw from fund balance.

Finance presenter Miss Cooley said the district’s current general-fund revenue estimate is $665,400,000 and that preliminary expenditures total $666,600,000. "We are using a $1,200,000 fund balance," she said, and added that the budget would have shown a small surplus if the board had not previously committed $2,990,000 for textbooks at the Feb. 7, 2024 board meeting.

The budget presentation identified the primary cost drivers: a state-mandated increase in the Teachers Retirement System employer rate from 20.78% to 21.94 (an estimated $3,470,000 cost), a projected state health insurance increase of about $8,400,000, and step increases tied to experience estimated at $4,200,000. Cooley also said the district accounted for 22 additional QBE-funded positions (about $2,500,000) and a net increase of 76 full-time-equivalent positions tied to enrollment and staffing adjustments (about $5,300,000).

Local revenue assumptions included a working projection of a 10% increase in the tax digest that Cooley said "would give us an extra $36,900,000," a figure she noted is "very subject to change" because preliminary digest data had not yet been received from the board of assessors. Cooley presented state preliminary Quality Basic Education (QBE) adjustments that together added roughly $9,000,000 in projected state revenue; federal revenues were left unchanged in the projection because of uncertainty.

Other budget items and adjustments included a proposed 3% cost-of-living increase for employees (estimated $8,700,000), an increase in the vacancy factor of $10,000,000 to reflect positions that remain open, and targeted program additions such as a $805,000 supplemental retirement option for non‑TRS employees and multi‑million-dollar increases for classified hourly employees and teacher compensation as noted in the presentation. Non‑salary per‑pupil allotment increases and other operating adjustments were also included.

Cooley said the district trimmed central office spending by more than $10,000,000 and removed some school start‑up costs (Groves, Pulaski and Godley Station) from next year’s plan while retaining start‑up funds for Windsor High and Bloomingdale. She cautioned that the budget relies on several assumptions that could change and that federal and local figures remain subject to final confirmation.

During board questions, Miss Hall asked whether equipment such as computers could be charged to ESPLOST rather than the general fund. Cooley replied that ESPLOST covers many computer purchases but that some minor or ad‑hoc equipment needs can appear in the general fund; she said staff could research and report back. When legal constraints on ESPLOST were raised, a staff member said the district is "taking the law as written" and consults state contacts and legal guidance before using ESPLOST funds for new purposes.

A single public commenter, Mr. Oney, urged the board not to rely on millage‑rate comparisons between districts as a performance measure. "Millage rate really is a measure of property values, not of district efficiency," he said, and recommended using cost per student as a more meaningful comparison.

The board accepted a motion to adjourn at the close of the hearing. Additional public hearings on the budget and millage rate were scheduled by the presenter for May 14 (6 p.m.), June 11 (11 a.m. and 6 p.m.) and June 17 (6 p.m.), according to the presentation slide deck.