Collierville school district expects $58 million in revenues

Feb. 27--A consultant's analysis shows the new Collierville municipal school district could have 400 fewer students than first predicted, as well as higher health insurance costs and lower property values for generating property-tax dollars to support schools.

The good news, consultants say, is that Collierville can expect $58.3 million in revenues and $56.6 million in operating expenses for its eight-school system of 7,174 students and a district staff of 729. The report says the district likely will need 500-plus teachers.

The findings by Southern Educational Strategies are included in its Collierville 2014 Fiscal Update. SES consultant and former Shelby County Schools Supt. Jim Mitchell and others did a similar study in 2012 for all six suburban cities that are planning new school districts.

Collierville posted the update on its website, colliervilleschools.org. To find the 103-page report, go to the "About" heading, click on "Boards" and then "Agendas, Minutes and Official Documents."

"It's a starting point, so I was encouraged," said Collierville Supt. John Aitken, who said the report showed a healthy balance between revenues and expenses.

"Overall, the tone of the report is positive," said Collierville school board vice chairman Kevin Vaughan. "There were no surprises. This is based on assumptions. We will likely get many of the students who live in the Collierville reserve area."

The report didn't include open-enrollment figures, which would increase the district's operating revenues, or cooperative service agreements with other districts, which could cut costs. It also didn't include possible costs associated with Collierville paying Germantown a fee for educating its students.

Although no agreement is in place, some municipalities are considering sharing the costs of a planning director and other services like special education.

The original education study projected 7,591 students in Collierville. It was based on each municipal district keeping the same school zones it had under the legacy Shelby County Schools system, which didn't follow city boundaries.

The study noted that the projected enrollment of almost 7,200 students was based on the town's boundaries created in the negotiated lawsuit settlement agreement with SCS.

In the new update, roughly 1,000 students living in Collierville but attending Germantown schools were counted as part of Germantown's municipal school district. The update also excluded 400 students living in Collierville and Memphis annexation reserve areas.

Collierville will collect about 5 percent -- or $18.5 million -- from Shelby County property taxes; almost $7 million from the county local option sales tax; and at least $2.1 million from Collierville's municipal local option sales tax.

Collierville can expect a 1 percent bump, or $450,000, in the state's Basic Education Program funding, bringing its total to about $29.5 million.

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