A downturn in sales tax revenues and a state decision to withhold corporate income tax revenues leaves Pitt County with $2 million less to fund construction projects and leverage debt, Pitt County Schools officials reported Monday night.

The Pitt County Board of Education reviewed how much money it would have for a second phase of construction projects, scheduled to begin next year, during a 5:30 p.m. workshop meeting. Its members also heard recommendations about possible construction priorities and discussed how these scenarios should be factored into school redistricting. That meeting was followed by the board’s regular session, which included the approval of the school system’s 2010-11 school calendar.

Depending on how quickly the state’s economy recovers and the Legislature can resume corporate income tax payments to county governments, the school system will have either $24.8 million for the second phase of its long-range facilities plan or $34.2 million, said Michael Cowin, assistant superintendent of finance.

Pitt County Schools has five sources of revenue for school construction: a portion of two sales taxes, a quarter-cent sales tax, county government, the N.C. Education Lottery and corporate income tax.

Because of state budgeting problems, the General Assembly held corporate income tax revenues that usually go to county governments for the current and upcoming fiscal years. Pitt County sales tax revenues also declined $411,000 from fiscal year 2008 to 2009, Cowin said.

A $237,000 decline between fiscal years 2009 and 2010 also is expected. The combined losses represent a $2 million drop in revenues to fund construction projects or leverage debt, he said.

While Pitt County Schools saw a drop in student enrollment this year, projections show the school system’s population will continue growing during the next 10 years, reaching 26,900 students by 2019-20, said Aaron Beaulieu, associate superintendent for operations.

With this as the foundation, Beaulieu presented an overview of projected capacity at individual schools, grade levels and high school attendance districts.

Data show the South Central High School attendance area has crowding problems. The D.H. Conley High School attendance area will struggle with crowding in the near future. J.H. Rose and North Pitt high schools attendance areas will have available space.

Three projects that should be considered when the school board begins its second round of construction include the restructuring of Sadie Saulter School, renovating A.G. Cox Middle School and adding space and reorienting the entrance at Chicod School, Beaulieu said.

Cox, built in 1936, is one of the oldest buildings in the school district and has had one of the largest populations, about 1,000 students.

School system staff is recommending the front portion of the building that was built in the 1930s be demolished and new space be added, along with reworking the campus layout.

School board members also should consider dropping the student population to 600 or 800, Beaulieu said.

Chicod School will need more class space, building renovations and a redesigned property layout if the school board wants it to remain a K-8 facility, he said.

Beaulieu also said plans to turn Sadie Saulter into a facility to house administrative offices, a pre-kindergarten program and a program for children with severe emotional problems would require renovations and an addition totalling $3.5 million.

The goal is to move programming and administrative offices housed in rented space owned by East Carolina Vocational Center and the Third Street School building, saving the school system operational dollars, he said.

No decisions came out of the facilities’ meeting.

During its regular session, the board unanimously approved the school systems 2010-11 school calendar. Classes will start Aug. 25. Winter break will begin Dec. 20. High school exams will be held in January. Spring break will be April 18-22, the week before Easter.

In January, the school board asked officials to survey other schools in the high schools’ various athletic conferences to see when their spring breaks were scheduled. There was concern an early spring break would hamper athletic tournaments held during the spring break. Many districts are still working on their calendars, staff reported Monday, and the decision was split among the ones that had already approved calendars.

While Pitt County schools have traditionally held spring break following Easter, its late arrival in 2011 prompted the decision to change.

The school board also learned that its 2008-09 audit had been reviewed and received an unqualified report, Cowin said. That means the school systems had a clean audit, he said.

Contact Ginger Livingston at glivingston@reflector.com or at (252) 329-9570.