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Uncle Sam lends a hand

Silver Creek school seeks federal funds

OBSERVER Photo by Rebecca Cuthbert Silver Creek Central School Superintendent Todd Crandall and District Treasurer Cindy Mackowiak gave a presentation on Federal Impact Aid at a recent school board meeting.

SILVER CREEK — Like all school districts, Silver Creek Central could use a little more funding. They hope to access that through Federal Impact Aid, as District Treasurer Cindy Mackowiak and Superintendent Todd Crandall explained recently.

At a school board meeting, Mackowiak presented a slide show and led a discussion about Impact Aid, explaining that its purpose is to offer relief to schools that are affected by “federal impaction,” which means property has been designated by the government for different purposes, and that property is not taxed. Examples of this are military installation, settlement land, low-income housing, veterans’ hospitals, prisons, and federal forests or park lands. In the case of Silver Creek Central, its tax base is affected by the Seneca Nation lands.

“Federal impaction causes two problems,” said Mackowiak. “Federal ownership of property reduces local tax income for school purposes … and a federal project or activity causes an influx of people into a community, resulting in an increased number of children needing an education.”

In other words, many Native Americans live on the Seneca Nation because it is Tribal land, and because they live there, those children will attend the closest school districts; however, the school districts aren’t receiving property tax money from their families’ properties.

“(So) Impact Aid is the federal government’s response to meet its obligation,” Mackowiak read. “It’s their tax bill from us.”

Recently, Impact Aid was changed from being a Title VIII issue to Title VII.

“Impact Aid is a payment in lieu of taxes (PILOT), and (Basic Support Payments) can be used for any purpose,” Mackowiak went on. “Much like our tax levies.”

Silver Creek is eligible for two types of Impact Aid: Basic Support Payments, Section 7003(b) and Section 7003(d), Payments for Children with Disabilities Funds. The second type, 7003(d), must be used to educate federally connected children eligible for services under IDEA.

The problem is, Mackowiak and Crandall noted, that Impact Aid is not guaranteed. The amount is not guaranteed. School districts have to apply for it every year, and then they wait to see if they will get it — and if so, how much. It’s also not “forward funded,” which means it’s a reimbursement for the year or years before.

“It’s in the discretionary part of the federal budget,” said Mackowiak, “which means it can be very volatile. It’s unpredictable in distribution and it’s not secure … we may be getting funds in the fiscal year 2017, but (the government) is already threatening fiscal year 2018 funds.”

Crandall agreed, adding that under the new administration, Impact Aid funds are even more uncertain than usual.

“Recent literature that I’ve read about our new president (Trump), is that some of these grants and specifically the Impact Aid funding, some of the discretionary funds that they’re talking about is that they’re cutting back on it,” he said.

If the school gets and continues to get Impact Aid dollars, it plans to spend them where they will matter. In December, a parent public hearing at the Seneca Nation Library helped educators learn ways to enrich the children’s education. The items suggested include the provision of guidance and life skills, incorporation of Seneca language and culture (starting in 5th grade), after school activities and accelerated programs, expanded summer school programs, additional bus monitors and a mentor or positive role model program.

Mackowiak said that by the calculation of estimated aid, Silver Creek should (or could) get up to $514,922 in Basic Aid, and up to $535,922 in payments for Children with Disabilities. Again, though, those dollar amounts are not guaranteed; in fact, no money is guaranteed.

The Impact Aid application for 2018 is due Jan. 31, said Crandall. He added that a check for the 2017 year came to the school in December, but that the district has not yet received all of the funds it was promised for the 2016 year.

He then thanked Mackowiak for her efforts, and also pointed out the many important relationships that have made Impact Aid dollars for Silver Creek possible. He thanked the Tribe & Tribal Education Department, Seneca Nation Education Director Trudy Jackson, the County Tax Department, realtor Randall Trickey, Title VII Coordinator Caitlyn Snyder, the Impact Aid Office and others.

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