State budget impasse may force Mahanoy to rely on fund balance
MAHANOY CITY – The Mahanoy Area School District may have to rely on its fund balance — essentially its reserves — to make up for nearly $2 Million in state funds by the time the state legislature returns to session.
Business Administrator John J. Hurst told the board Thursday that the budget “is moving nowhere fast” and that he is monitoring the situation.
The legislature is not due to return to session until mid-September.
“Unless something happens miraculously before then, we’ll be waiting at least until then for a budget,” Hurst said.
About $1.8 to $1.9 Million will be lost between the next two months that would have come from the state and won’t be made up by property tax revenue, so Hurst said that will be made up by their fund balance.
Board President Steve Gnall also noted that the state did not challenge a court ruling which said the way schools are funded is unconstitutional.
“Once the legislators decide that they’ve had enough sun and fun, hopefully we can get them started working on that,” Gnall said. “They want to give ungodly numbers to school vouchers that should come to us.”
“It’s by the constitution they’re supposed to take care of public schools,” Gnall added.
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