Amount needed to balance school district budgets now at least $74 million

The amount of money Nevada will have to appropriate before May to balance school district budgets this year is now at least $74.5 million.

Gov. Kenny Guinn included $71.75 million in AB253, which makes the supplemental appropriation for schools. But legislative staff told the Ways and Means Committee on Monday that doesn't include a $2.7 million shortfall in estate tax revenues dedicated to the schools.

Unlike other state budgets, the state funding for public schools is guaranteed. That means if sales tax, property tax or other funding for schools falls short, the state must make it up.

With the collapse of the economy and the impact to Nevada caused by Sept. 11, 2001, the Local School Support Tax portion of the sales tax has been well below what was projected when the budget was built two years ago.

And Deputy Superintendent of Education Doug Thunder said the final amount could be several million dollars higher if those sales tax numbers don't get any better.

Lawmakers have to act on the supplemental appropriation before May.