Union County Schools preparing for state budget cuts
Board of Education, Community May 20, 2020
BLAIRSVILLE, Ga – Union County Schools getting ready for state budget cuts in wake of the COVID-19 pandemic and accompanying shutdown.
During the Superintendent Update of the May 19, 2019 board meeting, Superintendent John Hill addressed the statewide cuts of 14 percent for the fiscal year of 2021.
“Please be aware that we are following that very closely, but at this point in time, we don’t have any valid information concerning the budget. We will not get our allotment sheet from the state until after the Legislature has met,” Hill explained.
The current plan is for the 2020 legislative session on Thursday, June 11, 2020, with offices reopening on June 1. Until the General Assembly finalizes the 2021 budgets, it’s difficult for schools to proceed.
Gov. Kemp’s office released the following information concerning state revenues for April 2020:
“The State of Georgia’s April net tax collections totaled nearly $1.84 billion for a decrease of $1.03 billion, or -35.9 percent, compared to April 2019 when net tax collections totaled $2.87 billion. Year-to-date net tax collections totaled $19.23 billion for a decrease of nearly $680 million, or -3.4 percent, compared to the previous fiscal year (FY) when net tax revenues totaled $19.91 billion.”
Georgia’s constitution states that is must have a balanced budget for each fiscal year, but the loss of revenue due to the COVID-19 shutdown will likely see several programs in education and elsewhere suffer.
“I do want everyone to know that we’re doing everything we can to take care of our employees and continually provide the high standard of quality for our students,” stated Hill.
In the May 7 called board meeting, board members unanimously approved the allocation of $527,000 in CARES Act Funds to 2021 salaries and benefits to offset the state reductions.
Georgia public school district received a total of $411,452,867 in CARE funding from the federal government to combat shortfalls due to the COVID-19 shutdown.
In a release from Georgia Department of Education (GaDOE) concerning CARES, it clarified:
“The CARES Act funds are flexible in nature; districts can use them for a wide variety of efforts including distance/remote learning, school meals, supporting at-risk student populations, mental and physical health, supplemental learning, facilities/equipment, and maintaining continuity of core staff and services. The funds can be used to reimburse expenses retroactive to March 13, 2020, and do not expire until September 2022.”

CARES Act Funding graphic courtesy of GaDOE
Surrounding school systems are in the same boat as Union County and are currently waiting to see what the legislature does before making any decisions.
The board also confirmed the certified rehires for the next school year.
End of School Year
As for the end of the 2019-2020 school year, Hill also commended Union County Schools for bringing all students up to proficiency before the end of the year. The high school had 68 students in remediation. All seniors met graduation requirements. Primary school hosted one on one online meetings to help children meet all goals. The elementary school has also moved almost all their students up to As and Bs. Woody Gap’s students are all at proficiency. Union County Middle School (UCMS) will hold a virtual award ceremony next week over Google Classroom.
UCMS Theatre Arts also aired a program “10 Ways to Survive During Quarantine.”
GaDOE left it up to local schools to determine proficiency in a subject and offered grading guidelines. Students are allowed to submit an assignment multiple times, a “no zero” policy for any homework issued after schools closed, option for assignments to be marked as compete or do not complete, establish competencies from before closure to identify a cutoff date and benchmark for course completion, and prioritize seniors, K-3, and at-risk populations for direct instruction.
https://www.youtube.com/watch?v=5U2pbIUsyWAGov. Kemp and UGA Provide Overview of CARES Act Funding
Business, News April 2, 2020
Atlanta, GA – Today Governor Brian P. Kemp and the University of Georgia Small Business Development Center (SBDC) provided an overview of the funding allocated by the Coronavirus Aid, Relief, and Economic Security (CARES) Act. This critical funding will help small businesses keep workers employed during the current COVID-19 pandemic.
Through the University of Georgia’s 17 Small Business Development Centers (SBDC), in conjunction with the Georgia Department of Economic Development (GDEcD) and Department of Community Affairs (DCA), the state has launched an information website to provide guidance on accessing a variety of U.S. Small Business Administration (SBA) programs.
Beginning April 6, these state partners will host a series of web-based information sessions tailored to each region of the state. In addition, SBDC will be available to assist businesses, where necessary.
The CARES Act provides funds for SBA to aid small businesses through its network of private small business lenders. Georgia has more than 70 qualified SBA lenders, and detailed information about the following vital lending programs can also be found HERE.
“Small businesses are the engine of Georgia’s economy and provide economic opportunity for millions of Georgia families,” said Governor Kemp. “As we continue to fight the spread of COVID-19, this critical resource will provide a lifeline to small businesses across our state. I am encouraging all Georgians to support their local businesses in this difficult time. We will get through this together.”
“The Georgia Department of Economic Development is continuing to work with our partners statewide to confront COVID-19 and move forward together,” said GDEcD Commissioner Pat Wilson. “We thank Governor Kemp, DCA, and SBDC for working together with us to better and more efficiently serve our state’s small businesses at this time of great need.”
“DCA is proud to work with our state partners to support the small businesses that are such a vital part of the communities we serve,” said DCA Commissioner Christopher Nunn.
“The University of Georgia has a strong track record of helping to develop new small businesses across the state. Assisting these firms to navigate COVID-19 aligns perfectly with our land-grant mission,” said UGA President Jere W. Morehead.

Kemp and UGA’s SBDC released a list of SBA lenders.
Small Business Paycheck Protection Program (PPP)
A new $349 billion lending program under the existing SBA 7(a) program. The SBA guarantee of PPP loans will be 100 percent through the end of 2020. PPP loan payments will be deferred for a minimum of six and up to twelve months. Loans will be administered through local and regional banks; any federally regulated bank may become an SBA lender for this purpose. The Department of the Treasury will issue regulations for these loans quickly.
| ▪ | Eligibility: Small businesses as defined by SBA size standards, generally up to 500 employees, but up to 1,500 depending on the sector; sole proprietors, the self-employed, and independent contractors. |
| ▪ | The interest rate will not exceed 4 percent; currently fixed at 0.5 percent. |
| ▪ | Regulatory streamlining: SBA’s standard “no credit elsewhere” test is waived, no personal guarantee or collateral required, and no additional fees will be applied to these loans. |
| ▪ | Size of loans: Up to $10 million. Loan amount is based on recent payroll costs, compensation paid to individuals, including those who are self-employed. Compensation in excess of $100,000 per year to any individual is excluded. |
| ▪ | Requirements: The business must certify the loan will be used to retain workers, maintain payroll, make mortgage or lease payments, and pay utilities. |
| ▪ | Loans may be forgiven, up to an amount equaling eligible payroll, mortgage interest, rent and utility cost, incurred during the eight-week period starting from the loan origination. Compensation in excess of $100,000 a year to any individual will not qualify for forgiveness. Additionally, loan forgiveness is reduced by layoffs or pay reductions in excess of 25 percent, and loan forgiveness is not treated as taxable income. |

Emergency Economic Injury Disaster Loan (EIDL) Advance
| ▪ | Eligibility: Advances are available to small businesses, sole proprietors, independent contractors, tribal businesses, as well as cooperatives and employee-owned businesses in operation on January 31, 2020. |
| ▪ | For those that apply for the EIDL, an advance of up to $10,000 will be provided to small businesses within several days of applying for the loan. |
| ▪ | The advance does not need to be repaid, even if the grantee is subsequently denied an EDL. |
| ▪ | Funds can be used to provide paid sick leave to employees, maintain payroll, meet increased production costs due to supply chain disruptions, or pay business obligations, including debts, rent, and mortgage payments. |
Economic Injury Disaster Loan (EIDL)
| ▪ | Eligibility: Businesses with 500 employees or fewer. This includes sole proprietorships, independent contractors, cooperatives, ESPOs, and tribal small businesses with <= 500 employees. |
| ▪ | Up to $2 million can be provided to help meet financial obligations and operating expenses that could have been met if the disaster did not occur. |
| ▪ | Loans can be made based solely on credit scores. |
| ▪ | The interest rate on EIDLs will be 3.75 percent interest rate for small businesses. |
| ▪ | The first twelve payments will be deferred and not become due until one year after the original disbursement. Interest does not accrue during this time. |
| ▪ | The term of these loans will be up to thirty years. |

7(a) Loan Payment Relief
SBA will pay the principal, interest, and any associated fees owed on 7(a) loans as follows:
| ▪ | Existing borrower not on deferment: six months beginning with the next payment due on the loan; |
| ▪ | Existing borrower on deferment: six months of payments beginning with the next payment due on the loan after the deferment period; and |
| ▪ | New borrower: six months of payments beginning with the first payment due on the loan, but only for new loans made within the first six months starting from the date of enactment. |
Should you need assistance, the UGA Small Business Development Center offices across the state are open and available. Contact information for every office is available HERE.
Earlier today Kemp released details on Medicaid and Peachcare waiver.


