The Demopolis Board of Education’s proposed budget is down more than $3 million from the previous year, thanks in part to a reduction in state fund teaching units.

The budget calls for $17.5 million in revenues against $17.8 million in anticipated expenses.

The bulk of anticipated revenues comes from the state with a budgeted $12 million. Federal revenues are expected to bring in $1.7 million with another $3.5 collected locally.

Superintendent Al Griffin noted that revenues, especially local revenues, are constantly in flux.

“You just never really know because it’s sales tax based,” he said. “Like right now, we’re about $60,000 up from this time last year.”

State allocations are down as the state reduced the system’s teaching units by 11 last year.

According to the proposed budget, the shortfall is expected to decrease the school’s General Fund by approximately $270,000.

However, Chief Financial Officer Evelyn James said the system foresees no need to tap the city’s reserve funds in the coming fiscal year.

The Board of Education will hold a final public hearing Monday at 5:15 before voting at it’s next board meeting.