<p>As Edinburgh Community Schools continues to lose students, its budget is showing signs of suffering.</p>
<p>This year, the school district will ask the Department of Local Government Finance to approve a budget of less than $10 million. With just 814 students, it has the least money to work with of any Johnson County school district.</p>
<p>For Edinburgh schools, the lack of funds has meant teachers are only making about $350 more than they did last year, compared to significantly higher raises of thousands of dollars at the county’s larger school districts. A full-time teacher with no previous experience makes $36,450 at Edinburgh schools this year, while their counterparts at Center Grove, Clark-Pleasant and Greenwood Community Schools all make more than $40,000. With money from a referendum, Franklin schools also has the money to pay all of its teachers at least $40,000 starting next year.</p>
<p>The budget constraints are further exacerbated by property tax caps in Indiana, which cost the district $315,000 in potential property tax revenue this year.</p>
<p>Property tax caps reduce the amount of money that school districts collect. Beginning with 2010 tax bills, the state of Indiana capped property tax rates at one percent for homestead properties, two percent for residential properties, agricultural land and long-term care facilities, and three percent for non-residential properties and personal property, according to the state department.</p>
<p>Edinburgh schools lost 10 students this year, and the district got $19,591 in additional funding from the state, compared to $156,000 in additional funding last year. Edinburgh schools had to use $420,000 from its reserves to bolster the education fund, for a 2020 budget of $9.6 million, compared to $9.5 million this year, pending review by the state, Superintendent Doug Arnold said.</p>
<p>Edinburgh schools’ budget is minuscule compared to budgets of school districts in northern and central Johnson County. Center Grove schools, the wealthiest school district in the county, recently passed an $89 million budget, with a potential of about $3.5 million in additional money if voters pass a referendum next week.</p>
<p>The amount of money Edinburgh schools has reserved for unexpected expenses is decreasing, Arnold said. Those reserves are down to $1.6 million. In 2015, it had about $2.5 million, he said.</p>
<p>Despite losing students, Edinburgh schools got a slight bump in funding from the state, because the state’s funding per student has gone up. Next year, the state will pay Edinburgh schools $6,335 per student, compared to this year’s $6,203, Arnold said.</p>
<p>At almost $6 million, the education fund makes up the largest portion of the district’s budget, covering salaries of teachers and some support staff.</p>
<p>Because of its ongoing need for more money, most notably increasing teacher pay, school officials are considering a referendum. If officials pursue it, the county and state sign off on it and it is approved by voters, the referendum would use property tax money to primarily fund teacher salary increases. Additional monies from the referendum would fund bus replacement and capital projects, Arnold said.</p>
<p>Along with the education fund, Edinburgh schools has allocated $2.3 million for its operations fund, pays for all non-education expenses, such as salaries for administrators and some support staff, any costs related to transportation, repairs and maintenance. </p>
<p>The school district has also set aside $194,826 for pension debt, which it incurs paying for the pensions of retired former employees, and $62,931 for its rainy day fund, which is used to cover unexpected expenses.</p>
<p>It will also pay almost $1.1 million in bonds for debt from various projects next year.</p>
<p>Edinburgh schools will pay off some of its remaining debt for the school’s middle and high school locker room and the football field. The school is scheduled to pay off part of its debt for its press box and athletic fields, as well as textbook fees and trust fees.</p>[sc:pullout-title pullout-title="By the numbers" ][sc:pullout-text-begin]<p>Edinburgh schools budget 2019 vs 2020</p>
<p>Fund;2019;2020</p>
<p>Education;$5,892,143;$5,951,658</p>
<p>Operations;$2,222,442;$2,325,801</p>
<p>Pensions;$202,659;$194,826</p>
<p>Debt Service;$1,077,587;$1,086,485</p>
<p>Rainy Day;$62,931;$62,931</p>
<p>Total;$9,457,762;$9,621,701</p>
<p>Source: Edinburgh Community School Corporation</p>[sc:pullout-text-end]
