On September 11, 2008, the Board of Education approved the 2008-09 Budget Resolution with the condition that staff monitor expenditures during the first semester of the school year and, if possible, identify dollars that could be used to fund a contract with Piedmont Environmental Center for educational services to be provided in the second semester of the 2008-09 school year.
Subsequent to that action, in December of 2008, the district incurred budget reductions of approximately $3.8 million. Approximately $2.8 million of that amount was our share of a required reversion caused by state revenue shortfalls and approximately $1 million was due to a decrease in our Average Daily Membership (ADM) of students (actual enrollment was less than projected enrollment).
Based on information provided by Piedmont Environmental Center (PEC) Director Richard “Dick” Thomas:
- The PEC curriculum of 38 classes meets or exceeds requirements set forth by the North Carolina Department of Public Instruction.
- The PEC K-12 curriculum is designed for no more than 15 students per PEC class.
- The proposed contract will provide 350 PEC classes for the fee of $13,000.
- The proposed contract will provide PEC classes to a total of 5,250 students
(15 students x 350 classes = 5,250 students).
- The current non contract PEC fee is $3.50 per student.
- The proposed contract represents a potential savings of $5,375.
(15 students X 350 classes X 3.50 per student = $18,375 - $13,000 = $5,375)
RECOMMENDATION: Given (a) the $3.8 million in budget cuts; (b) a February 26, 2009 date for board consideration of this item; (c) an early March date before a contract could be finalized with PEC; and (d) PEC would then have the balance of March and the months of April and May to provide educational services to our students in 2008-09, staff recommends that the board consider approving the expenditure of up to $9,100 in Medicaid Administrative Claim escrow dollars to fund a contract with PEC for the balance of the 2008-09 school year (+/- 63 days left in semester/90 days in second semester = .71 X $13,000 = $9,100).