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Legislature Delays Special Session Until '09

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Published: December 5, 2008

The bad economic news just keeps getting worse.

Last year, Florida legislators learned the state would lose about $1 billion in revenue. Before they could act on that news, it turned out the state had actually lost $2 billion.

This month, they're learning that the 2008-09 budget year is another $2.1 billion in the hole.

Now the crucial question: why should Highlands County care?

"None of this is good for education," said Mike Averyt, assistant superintendent of business and operations, for the Highlands County School Board. "All this will affect kids eventually."

The county school district may have already lost $3.9 million in funding from its $96 million annual budget, Averyt said.

"We hired all these people," he said. "It's difficult to cut in mid-year."

So instead, the school board, in its November workshop, considered a list of options the state suggested:

•Close schools, don't build or delay opening new schools.

•Eliminate the seven-period day in middle and high schools.

•Increase class sizes in elementary physical education and alternate education classes.

•Deplete financial reserves.

•Shorten athletic seasons.

•Eliminate lawn maintenance.

•Don't buy band uniforms.

More budget sessions are scheduled, Averyt said.

"It's a tough, tough situation," Averyt said.

And his sources are telling Averyt that the next move by the state may be to return schools to the 2005-06 funding levels. That would be another $8.6 million loss.

Although she said protecting education is the No. 1 priority, state Rep. Denise Grimsley also sounded unconcerned. The 2008-09 school census is down 96 students from the previous year.

"So why do they need more money?" Grimsley asked.

Don't expect a special session in December, said Grimsley and state Sen. J.D. Alexander.

"That would be difficult," Alexander said. "The senate hasn't fully organized yet." The new senate president must appoint committee heads and members.
City governments aren't even asking for grants and special projects this year.

"We're not requesting anything from the state," said Lake Placid Mayor Tom Katsanis. "We told our department heads, if you need it, go ahead and buy it. If you want it, forget it."

If there's a bright spot in the economy, it's gasoline. Prices topped $4.10 per gallon this summer, but today, they're under $1.80. And that means more money could be spent on retail goods like groceries and automobiles. Sales tax revenues were off 4 percent this year, Alexander said.

Grimsley is heading back to Tallahassee Dec. 16-18 for a presentation on the budget. Health care consumes 35 percent of the taxes collected by the state, education gets 32 percent.

The Medicaid budget is also facing cutbacks, said Grimsley, a registered nurse. Even so, she said, there are 200,000 more people on Medicaid now than in 2004, when she took office.

"You have to set your priorities," Grimsley said.

Republicans are in control of the House and the Senate, and so far they've balked at a special session, particularly in the House, saying the governor can use reserves to fill the hole.

That strategy will only work for so long, though, Alexander pointed out.

"It depends on how we fill the holes," he said. If the state merely spends its reserves and doesn't reduce expenses, there will be an even bigger hole in the 2009-10 fiscal year budget. He suggests the budget deficit may be $5 billion by then.

Grimsley said the Legislature must "drill down into the base, and see what's there." Some projects were funded decades ago which may not be relevant in the 21st century.

The conventional wisdom is that the Legislature shouldn't go into a special session without knowing how they'll get out. That is, without a plan for exactly what should be done to the budget, lawmakers fear getting bogged down in a session that goes on too long as details are worked out, or worse, one where an agreement isn't reached at all.

"This is one of the worst budget years we've ever been involved in," Averyt said. "We need to get the community and the parents involved. They need to get that message to the Legislature."

News Service Florida contributed to this story.

The school board considered a list of options the state suggested:

Close schools, don't build or delay opening new schools.

Eliminate the seven-period day in middle and high schools.

Increase class sizes in elementary physical education and alternate education classes.

Deplete financial reserves.

Shorten athletic seasons.

Eliminate lawn maintenance.

Don't buy band uniforms.

Senior Reporter Gary Pinnell can be reached at gpinnell@highlandstoday.com or 863 386-5828

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