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Schools lost 1,210 students in the last decade

ALPENA — Families are moving out of the region more than into it, and school districts are seeing that impact financially.

Enrollment declined to a combined 6,437 students last year for Northeast Michigan school districts, down from 7,647 students in the 2009-10 school year.

If all of those 1,210 lost students were still enrolled, schools would have had a combined $9.5 million more in revenue last school year, based on each district’s 2018-19 per-pupil allowance of $7,871.

But, the entire state has seen a decline in student enrollment, not just Northeast Michigan. In the 2009-10 school year, there were 1.6 million students in the state. Last year, there were 1.5 million students, according to the Michigan Department of Education.

Reasons for declining enrollment in Northeast Michigan are fewer births, fewer young families, and a noncompetitive job market, local superintendents say.

Because schools are paid by the state per student, those trends are draining school budgets, forcing layoffs and program cuts over the years.

“If a district is slow to react to a decline in enrollment, that’s where you eat up fund equity,” Carl Seiter, superintendent of Hillman Community Schools and Atlanta Community Schools, said, referring to districts’ cash on-hand accounts. “When you have enrollment declines, you have to adjust your budget spending.”

HOW DISTRICTS ARE ADAPTING

School districts have learned to adapt to the lower enrollment.

Posen Consolidated Schools Superintendent Michelle Wesner said her district plans its projected fiscal budget each year using a five-year average for student count. She said that’s been a good way to plan conservatively each year and keep the district’s financial numbers intact.

Seiter said Hillman’s decrease from 514 students in 2009-10 to 411 last year is approximately $800,000 the district loses. In Atlanta, the decrease from 326 students in 2009-10 to 239 last year is approximately $682,000 in losses, Seiter said.

“Our funding is all based on how many kids we have, so, anytime you lose a kid, you’re losing money,” he said.

Districts have also had to adjust budget spending because of declining enrollment.

This summer, Hillman worked to overcome a projected $464,000 budget shortfall for this school year that was caused mostly by declining enrollment. That included layoffs and implementing a sports transportation fee of $50 per student per sport.

Nick Hein, superintendent of Rogers City Area Schools, said the district has gone from a Class B school in the early 1970s to a lower Class C school now. The district works hard to keep its budget in the black, he said.

“We have never dipped below a 10% fund equity, and have maintained fiscal stability,” Hein said, referring to the share of expenses that could be covered by the cash on-hand. “Looking to the future, we will continue to make adjustments, as needed.”

REASONS

Birth rates have declined each year the past four years in Michigan, going from 3.9 million births in 2014 to 3.8 million in 2018, according to the Michigan Department of Health and Human Services.

Alcona Community Schools Superintendent Dan O’Connor said fewer babies means fewer kids in schools.

Alpena Public Schools Superintendent John VanWagoner said declining birth rates is a factor for Alpena. The district went from 4,410 students in the 2009-10 school year to 3,756 students last year.

Wesner, the Posen superintendent, said there have been fewer children in the community over the last few years, which is in line with the decrease in birth rates in the state.

Alcona County is the oldest county in the state, 35.8% of its residents 65 and older, according to the U.S. Census Bureau. O’Connor said that affects enrollment at Alcona because younger families don’t live in the county.

“It’s a challenge we’re facing,” O’Connor said. “The reality is that, without young people, enrollment won’t increase.”

O’Connor said an economic downturn has also pushed people away from living in rural areas.

FUTURE THINKING

The 2019-20 fall count happened Oct. 2 and Northeast Michigan school districts showed mixed results in enrollment.

Three school districts — Alcona, Atlanta, and Hillman — saw increases in enrollment, while three school districts — Onaway, Posen, and Rogers City — saw decreases in enrollment.

The count for Alpena schools was not available on Tuesday.

O’Connor hopes Alcona’s increase of seven students — 686 last year and 693 this year — is a positive trend for the district going forward.

“Districts need to not only attract what few new families come into an area, but also fight not to lose any students,” Seiter said. “This is done by offering as many educational opportunities as possible.”

Wesner, the Posen superintendent, said the district has seen an increase in kindergarten numbers, so that should help the district stay steady in its enrollment numbers.

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