Harsh winter, buyout costs school system

Niles Community Schools spent about $278,000 more than it brought in this school year because of increased costs associated with the harsh winter and the buyout of former Supt. Richard Weigel.

Tom Skarbek, the district’s director of finance, said the district spent

approximately $87,000 more on plowing this year than it did during the previous school year. The district also paid $147,000 more in utility bills when compared to the previous winter.

Former Supt. Richard Weigel, who resigned in February, is due to receive a severance payment of $115,000 at the end of the month.

All three circumstances helped expenses ($35,998,000) exceed revenue ($35,720,000) by approximately $278,000 in the 2013-14 school year, which ends June 30.

“Those things hurt,” said Skarbek, adding that the shortfall would be paid for with the school’s fund equity.

For the 2014-15 school year budget, the district is projecting a loss of 40 students.

Skarbek said the estimate is based on student counts taken in the fall of 2013 and spring of 2014. There was a loss of 55 students between the two counts, which is much more than the loss of 5 to 10 students the district typically sees, he said.

The district is projecting $34,270,000 in revenue and $34,060,000 in expenses for 2014-15 — a surplus of about $200,000.

For the budget, the district estimated per pupil funding based on an early proposal by Gov. Rick Snyder. It is likely, however, that the district will receive more per pupil funding based on a school aid package passed this month by the state legislature that is awaiting the governor’s signature.