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Letter to the Community
Dear Beachwood Residents: The governor's recently-proposed changes to state funding, which could impact local Ohio school districts, has garnered attention from news media and local school officials. We know that Ohio school districts anticipate funding changes if the governor's current budget recommendations go into effect. Generally speaking, the changes are consistent with a "Robin Hood" funding philosophy designed to shift resources to economically-challenged districts. Funding adjustments would be made according to a district's placement in one of five wealth quintiles. Beachwood, one of Ohio's wealthiest districts due to the combined value of our commercial and residential tax bases, is in Ohio's fifth quintile with a wealth rank of 607 among 610 public school districts. Thus, Beachwood is among those scheduled to lose the greatest percentage of state revenue. The greatest reduction in state monies for the Beachwood City School District would result from the proposed phase-out of the hold-harmless provision related to the elimination of the Tangible Personal Property tax. If implemented as presently proposed by the governor, the loss would be $689,271 in Fiscal Year 2016 with an additional reduction of $624,855 in FY2017, for a total permanent loss of $1,314,126 to Beachwood Schools over two years. Please keep in mind that these funding concerns are rooted in the governor's preliminary budget plan. We do not yet know if the final version of the budget will contain these reductions. However, please know that we and state educational advocacy groups monitor such matters closely, and we will keep you apprised of developments as they occur. Sincerely, Richard A. Markwardt, Ph.D., Superintendent Michele E. Mills, Treasurer & Director of Finance Beachwood City School District
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March 2015 n Beachwood Buzz 7
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