SCPS weighs more budget cuts with $3M recurring shortfall

Seminole County Public Schools has approved its tentative property tax rate for the upcoming fiscal year, but SCPS budget cuts could continue as the district faces a recurring $3 million budget shortfall.

Florida lawmakers passed a $115 billion budget this month, and state lawmakers set education funding at the local level. Seminole County Public Schools on Tuesday passed a proposed tax rate of $297.50 per $100,000 of taxable property value, also known as the “millage rate.” Including the local supplements, the total millage for Seminole County Public Schools would be 5.223 mills, a slight drop from the year prior. That translates to $522 per $100,000 of a home’s taxable value. 

SCPS has made $27.1 million in budget cuts for the coming year, but that’s not enough to balance the school system’s budget. Going forward, the district expects there to be a $3 million recurring deficit.

Seminole County Public Schools Chief Financial Officer John Pavelchak told the board that the last increase in the millage was in 2012. The Florida Legislature has steadily decreased the Required Local Effort millage rate from 5.474 in 2012 to 2.975 in 2026.

“We’ve had 14 straight decreases of one kind or another, totaling 2.47 mills, or 45% as a millage reduction,” Pavelchak said. “Now, of course, that doesn’t take into account assessment increases, but cities and counties normally leave their millage flat, where ours has been reduced every year by the Florida Legislature since 2012.”

A proposed constitutional amendment being pushed by Gov. Ron Desantis to drastically cut property taxes would not directly cut school revenue. Seminole County Property Appraiser David Johnson has criticized the governor’s publicly available property tax savings calculator, though, because, as of June 16, it still shows that the amendment would eliminate school-related taxes.

Pavelchak told the board that the amendment could still impact the schools because local governments also help with certain aspects of school funding. 

“Of course the main service they provide is our [school resource officers],” Pavelchak said. “There may be some cost implications going forward. And this would not be for this year, it would be for the following fiscal year.”

Seminole County Public Schools does not make workshop presentations readily available. Document via records request.

Seminole County Public Schools Chairperson Robin Dehlinger said the priority for the district is to keep schools open, hire people, and maintain the ability to meet any emergencies. Nearby Orange County closed seven schools this year because of budget cuts.

Dehlinger said everything is projected right now. If more budget cuts can’t be found, the plan is to pull the $3 million out of reserve funds and from a surplus from the county’s printing service fund. 

But the district can only do that for an estimated three years before the balance dips too low and Seminole County Public Schools would risk a state takeover, which has happened to Union and Glades counties.

“If we don’t [find savings], we will have to use our fund balance,” Dehlinger said. “And we’re very fortunate to have a fund balance.” 

The bulk of budget cuts have come from cutting 314 positions at Seminole County Public Schools, including 190 teachers and instructional personnel. That will save a total of $24 million for next year, but has come with controversial cuts to the band program at Lawton Chiles Middle School and has led to a Teacher of the Year being cut.

Dehlinger said the main goal in the budget is simple: Don’t close schools, like Orange County did earlier this year. 

“Our mindset is [that] our schools are critical to our communities. We’re gonna try our best not to close any schools,” Dehlinger said. “But who can know what will happen in three or four years. … You can never say never. But that’s not our vision.”

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While the school board is not closing schools, it did approve allowing the sale of two properties now deemed as surplus: the Technology Park Annex and the Rinehart Road Annex. Each property is in Lake Mary and each is about two acres in size. 

Mark Mullins, the assistant superintendent of operations for SCPS, said the employees at those properties will be moved into other office space, including some who would be moved into schools. The Rinehart Road Annex houses about 30 employees, and the Technology Park Annex houses about 50 employees, including those for Seminole County Virtual School. 

“We’ve been in conversations with the City of Lake Mary for some time around the Rinehart Annex property because they’re looking to expand their water treatment facility,” Mullins said. “It’s a business decision. The proceeds will go to the capital fund balance and potentially repurposed for a project to improve, enhance, [or] benefit one of our existing facilities.”

Check here to see the full agenda for the SCPS meeting on June 16. This isn’t the final vote on the budget. SCPS will hold a vote on the budget July 28 at 5:05 pm.

Abe Aboraya is a Report for America corps member