By David Harry
Staff Writer

Local school districts will reap a windfall of federal money in the next few weeks, but officials in Scarborough, South Portland and Cape Elizabeth plan to save the money for rainy day budgets.
South Portland School Superintendent Suzanne Godin said $1.22 million from the Maine Department of Education will offset an expected $1.9 million loss of aid in fiscal year 2012 budget.
The money is part of Maine’s share of a $26 billion Education Jobs and Medicaid Assistance Act enacted last month.
“That was pretty much the intent when the current budget was created,” Godin said. The South Portland School Board will discuss what to do with the money when it meets Sept. 13.
DOE spokesman David Connerty-Marin said the money will be allocated using the state Essential Programs and Services formula based on district population and land valuation.
South Portland and Scarborough schools are the second and third largest recipients of the aid, and will receive $1.22 million and $1.13 million, respectively. In Cape Elizabeth, the school department will receive more than $583,000.
In Scarborough, where almost 28 district positions were eliminated in June, outgoing Board of Education Chairman Brian Dell’Olio said the new aid likely will be used in next year’s budget.
“It certainly gets our attention, but it continues a larger conversation,” Dell’Olio said. “How can we soften the cliff that is coming?”
Dell’Olio will not run for Scarborough Board of Education in November because he is the Democratic candidate for the House District 128 seat. Dell’Olio is opposed by Republican Heather Sirocki.
Connerty-Marin said school districts must apply to the state for the money, which can be used to retain, rehire or hire new staff, excluding administrators. The money is available through September 2012.
The state’s $39 million share of federal funds is tempered by the reduction of $59 million in federal aid that was part of the American Recovery and Reinvestment Act, also known as the Stimulus Act. That funding expires at the end of the fiscal year.
Scarborough School Superintendent David Doyle said district stands to lose $1.8 million in federal stimulus money next year and possibly other aid that could be used to balance the state budget.
Doyle said districts are required in aid applications to indicate programs and positions the money would benefit. While eliminated school positions this year spanned clerical, teaching and special education instruction, Doyle said Scarborough hasn’t determined where to focus new funds.
In Cape Elizabeth, Business Manager Pauline Aportria said stimulus funds accounted for $925,000 of the current $20.6 million school budget. The school board will discuss how to use the funds at its Sept. 7 meeting.
Godin and Dell’Olio said the money won’t be used to rehire staff or restore positions this year because it will arrive shortly after schools begin the new year and can be used for two years.
 Godin said 25 positions were eliminated in the current budget, but because of retirements and staff leaving the district, two employees were laid off. Stimulus funds helped preserve 31 district positions this year, Godin said. The district has eliminated about 75 positions in the five years.

Staff Writer David Harry can be reached at 282-4337, ext. 219.