Employee raises, million-dollar construction projects, and much more defines Tallapoosa County Schools’ budget for the coming year.
October 1 marked the transition to a new state fiscal year, which means that millions of dollars will soon flow into local school systems. For Tallapoosa County Schools (TCS), the school district’s board of education finalized a budget last month that will fund salaries, school operations and capital projects for the 2022-23 school year.
The Tallapoosa County Board of Education approved the multi-million dollar budget for the school district in September. School leaders will now distribute the funds to over six operational sectors throughout the school system, including employee compensation, transportation and classroom instruction.
At first glance, TCS Chief Financial Officer Tommy Thweatt noted that projected expenditures this year appear to outstretch revenues, but explained that simply is not the case.
“We have $54 million in expenses, and only $48 million in revenue coming in, but we have millions on the side in our fund balance,” Thweatt said. “So we're going to be fine, but it just looks like it's out of whack.”
The exact budget has expenditures at $54,125,067 and revenues at $48,034,976. However, an additional $15 million currently resides in the school district’s fund balance, according to Thweatt, for a combined amount of around $63 million in total revenue.
State and federal dollars comprised a majority of the $48 million, with 45.2 percent from the state and 27.2 percent in federal funds. Local revenues supplemented the remaining amount, with property and sales taxes contributing 26.9 percent of the overall budget.
Figure shows breakdown of federal, state and local revenue contributions to the new budget. Source: Tallapoosa County Schools
Data represents the four major tax sources for school revenues.
The local revenue is broken down by the 7.5 mill district tax, which equals $4,120,000; 4.5 mill countywide tax equaling $1,708,000; three mill district tax of $1,600,000 and the two-cent county sales tax at $3,581,161. All together, local taxes add to over $11 million.
According to Thweatt, 85 percent of the total budget will be dedicated to employee compensation, including payroll and fringe benefits.
Tallapoosa County Schools along with school systems statewide will receive additional salary funds this year following Alabama lawmakers enacting education reforms, which significantly adjusted compensation for teachers.
State funds for public schools will also be allocated based on the average daily membership (ADM) system, which represents the total average daily enrollment. The state calculates enrollment during the first 20 days of school after Labor Day, according to Thweatt.
This year, Tallapoosa County Schools’ ADM is 2,703.05, a gain of 18 students for the school system. Thweatt explained that the school district suffered an enrollment decline during the COVID-19 pandemic, but said that students have slowly returned.
“I think we've gained most of our kids back. We had a lot we did lose during COVID, and it was not just us. The numbers are down statewide,” Thweatt said. “Probably this coming year, those numbers will start rising.”
According to Thweatt, both Horseshoe Bend and Reeltown experienced the most significant uptick in student enrollment.
ADM determines state funding for teaching units throughout a school system, with units used to calculate the cost of salaries for 187-day contracts. This year’s adjusted ADM will translate into 176.75 teacher units throughout the school district's five schools.
Among the most lofty expenses this year include construction costs for new gymnasiums at both the Dadeville and Reeltown high schools, with Thweatt estimating over $10 million for the two school capital projects.
“I think Dadeville is going to be about $5.9 million and down at Reeltown, we are building a gym and eight new classrooms, and that is going to be about $7.2 [million],” he said.
The next chapter for Reeltown High School began on Wednesday, June 16, as school leaders broke ground on construction of a new gym facility, replacing the school’s decades-old athletic buildings.
Overall, during his 22 years overseeing the school system’s finances, Thweatt described school funds as the steadiest it has been in years, with expenses likely trending downward next year as the school district completes construction projects.
