PINE BUSH – "We're trying to hedge our bets," says Superintendent Phil Steinberg, talking about the Pine Bush School District's predicament in the face of threatened midyear cuts in state aid by Albany.

"We're going to freeze our spending, similar to what we did last year, in anticipation that there will be cuts. And that's the best thing to do, because we know that if we don't get cuts now, then we will get cuts next year. So, either way, we have to prepare for this."

Governor David Paterson has said that the state "simply does not have the money," to make scheduled payments in December 2009. Paterson says the state is facing a $3 billion gap in its budget. He has proposed a midyear cut in state aid to schools to the tune of $686 million.

Paterson also plans to cut state agency spending by $500 million and also reduce health care spending by an as yet unspecified amount, all to save $5 billion over the next two years.

For the Pine Bush School District, a midyear cut in aid of $1.96 million has been mentioned. At almost 2 percent of the district's budget, it would be devastating.

As Richard Iannuzzi, president of the New York State United Teachers Union, has been quoted as saying, "Midyear education cuts cause chaos and disrupt the learning process."

Superintendent Steinberg says the only thing the district can do is to "start practicing fiscal responsibility now, or we are really going to pay for it later."

To that end, Steinberg has started the ball rolling. "I met with my principals to discuss this, and spoke with the board of education. I'm going to be sending a letter out to parents. You know, I'm always watching things, but now, I'm watching just little more intensely, shall we say."

Steinberg feels that education is the last place that the governor should seek to make cuts.

"The governor has a huge financial reserve. And he can always get additional revenue. We can't. We have finite resources and we have no additional income."

The governor has said that school districts should use their financial reserves to cover the money the proposal would cut.

"If we spend our reserves, where do we get money from if we have an emergency?" asks Steinberg. "Say a boiler breaks down in the middle of January. We have to have money in reserve for that kind of thing."

Steinberg also says, "I have to be sure that we are getting our fair share. I want to be sure that they take into account the fact that we have no rateables in this area."

The months ahead are now looking decidedly difficult. Steinberg says the district is planning on holding a series of budget forums. "We want to get out to the community to get people's input. We need everyone to come out and share their ideas for how we can save money and get through this difficult time."

The dates for the budget forums will be announced shortly.