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State-mandated reversions keep coming, but no one sure where the money’s going
by Michael Connolly
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Legislators aren’t certain where nearly a million dollars in reverted state money is going after being redirected from local agencies, but one thing’s for certain, it’s not staying in Sampson County. For months, schools, counties and colleges have been asked to send money back to the state, but no one seems to know where the funds are specifically going.

It started with 3 percent of funds being reverted, said Rep. James Langdon Jr., R-Johnston. Now the latest figure is 7 percent from some agencies.

“It has been growing as things have gotten worse,” the Republican commented.

Money will be used to fill in “holes” in this year’s budget, Langdon said, adding that he wasn’t sure what funds were being used where.

During an interview, the legislator voiced a concern for community colleges. “The thing we need to keep in mind is that some areas we are asking from are not getting as much local money because of the economy.” A bad economy means a lower source of local money, said Langdon, however, enrollment has increased.

Subtract the reverted state money, and places like Sampson Community College will face a challenging budget next year, he said.

Dr. Bill Aiken, president of SCC, said Monday that 4.5 percent of his budget is expected to be sent back to the state. “Any time you have a reduction in your budget, it makes it difficult ... we did anticipate, at the beginning of the year, to hold back 1 percent, so that helped.”

However, a total of $412,361 will have to go back. Supplies in classrooms, Aiken said, will be cut, and money remaining from vacant positions will be used to satisfy the governor’s request for money to be turned back over to the state.

In addition to Langdon, Sampson County’s representative, Larry Bell, D-Sampson, said he wasn’t sure where reverted money is going.

“I don’t know, but I would hope it would go back to the areas they are taking it from ... I just don’t know. That’s the governor asking (for the money).”

“She (Gov. Bev Perdue) did say increasing per pupil expenditures, but if you are taking it from them why would you take it from them and give it right back. (Unless) you are saying you are going to do it without actually moving the money. I am not sure where she is moving the money.”

“And that’s the part we didn’t hear in her speech,” said Bell, referring to the State of the State address given by Perdue last week.

For some school systems, reverting money could cost them teachers and technology. Dr. Gene Hales, Clinton City School superintendents, said 3 percent of his budget was recalled back in November.

“Any funding that has to be reverted does have an impact on our school system and our students because when you try to provide a 21st century classroom, provide supplies, teaching materials ... it does have an impact.

“I mean that was $126,000. That was 20 Smart Boards.”

The Sampson County School system had to give back about $300,000, said one official. No further reversions have been issued. Superintendent Dr. Ethan Lenker could not be reached for comment Monday, nor could finance officer Dale McLamb.

Sen. Charlie Albertson, D-Duplin, said he believes the reverted funds are being “juggled” between a number of different state budget line items and that Perdue is doing “the best she can” to manage what looks like an unmanagable budget deficit.

“What she is trying to do is deal with this crisis we are in,” Albertson said. “I don’t think she’s diverting it (the money) into any one particular area. She’s working to meet the requirements we have of a balanced budget.”

But as Perdue works to balance the budget, the reversions are causing a local sting that is leaving agency budgets, in some cases, off its normal mark.

The Partnership for Children of Sampson County has also taken a financial hit with mandated reversions, said Victoria Byrd, executive director, “We have made a reversion of 8.57 percent in service dollars and 6.67 percent in administration dollars.”

“The cuts are being made in several areas. The initial cuts came from minor pragmatic adjustments.” Areas that received cuts were three unfilled employee positions, conference attendance, travel (unless essential), materials and janitorial services.

“With the newest round of cuts, we have been forced to tap into personnel ... we have also instituted a formal hiring freeze and salary increase freeze for the 2009-10 budget year.

According to Byrd, the Partnership has faced a reduction of $116,661 in the last five months in the Smart Start arm of the Partnership; however, the other two programs within the Partnership have not yet been forced to implement cuts.

Not all, however, have felt the impact for mandated reversions. The Sampson County Health Department has made it through unscathed. According to director Wanda Robinson, they have not been asked to send any money back.

On the other side of the spectrum, the Department of Social Services, headed by Sarah Bradshaw, will see an increase of money.

“We are not receiving cuts, we are actually in position to receive economic stimulus funds.” Receiving a boost in funds will be food and nutrition (food stamps), child care, Medicaid, child support and the crisis programs. Bradshaw said she didn’t know how much was coming down; it is still being worked out by the state, she commented.

Jessica Wagner contributed to this article.

Michael Connolly can be reached at 910-592-8137 ext. 120 or can be emailed at sicity@myclintonnc.com
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