Shawn Price
HOPE – Flat Rock-Hawcreek school board members have been told to prepare themselves for the possibility of less money being allocated by the Indiana General Assembly in the state budget.
“We’re not saying we’re going to have cuts and layoffs,” FRHC superintendent Shawn Price told the school board on Tuesday. “We just have to be prepared to make shifts, depending on what the legislators do before they adjourn.”
Under current projections, FRHC is expected to be provided $8,231,077 for its education fund during fiscal year 2025 (from last June to July 1). That’s an increase of $325,085 in funding for teachers and students. The amount would rise 3.9% in fiscal year 2026 to $8,556,162, and another 2.9% to $8,801,038 in fiscal year 2027.
But according to the Indiana Legislative Services Agency , the budget submitted by Indiana Gov. Mike Braun would cut $273,100 from the Hope-area schools in calendar year 2026, Price said. The cuts would be between $317,600 to $328,700 in 2027; and between $338,300 and $360,300 in 2028.
While that may not sound like much, it is proportionately the same drop in funding as larger school corporations such as Bartholomew Consolidated will face, he said. In essence, school funding would remain “status quo,” Price said.
However, the budgets being considered do not take into account inflation, nor the $160 million allocated statewide for curricular materials reimbursement. While those funds used to be allocated separately, the FRHC superintendent says it’s proposed those funds be placed into conventional school funding.
“Now, we’re talking about $200,000 or less of new money over what we’ve received in the past,” Price told the school board.
According to the governor, cuts are need to give Hoosiers property tax relief. In response, Price suggests residents of northeast Bartholomew County who want those cuts should consider how that can be done without harming students.
The Senate’s budget bill calls for smaller losses. It would reduce the loss to Flat Rock-Hawcreek schools by about $77,100 in calendar year 2026, $148,930 in 2027, and $204,900 in 2028, Price said.
Yet, Price is still concerned about what pockets of funding will be impacted. FRHC already transfers about 14% of its education fund that pays for teachers and student assistance into the operations fund each year, he said. The operations fund is for expenses including building maintenance, improvements and paying off bonds.
But if forced to transfer more than 15%, there won’t be enough money to give teachers raises, the superintendent said.
“So, on one hand, they want us to raise teacher pay,” Price said. “But on the other hand, they want to cut operations funding.”
While the Indiana General Assembly has provided a 6 to 7% increase in education funding in some recent years, Price said he believes the overall increase will fall between 2 and 4% by the time the Indiana General Assembly adjourns for the year.
While the Senate Committee on Tax and Fiscal Policy made significant changes to their budget before passing it on to the full Senate this week, Braun posted on social media that Senate Bill 1 has a long way to go before it gets his signature.
On Thursday, The Indiana House approved a $46.7 billion budget proposal that, among other things, provides additional funding on expanded school vouchers to allow taxpayer money to be used to pay tuition for students attending private school. House Bill 1001 will now move to the Senate for consideration.
But Price said he’s been told by representatives working on various legislative committees to be patient because several more changes will be made to the budget proposals as the bills are reconciled.
“It could come down all the way until April 20 before this works itself out,” the superintendent said.
