BY BERNIE MIXON
The Cincinnati Enquirer
ST. BERNARD -- St. Bernard-Elmwood Place school officials announced Tuesday that Procter & Gamble will present $500,000 to the school district Fridayto help offset a financial blow from the company's recent decision to close a plant in its Ivorydale complex.
Because of lost revenue from the plant closure, school officials were anticipating a loss of about $900,000 in calendar year 2002 and $1.2 million in fiscal year 2002.
School officials said the money, to be presented by the company at 10 a.m. at the Board of Education office, will come in handy.
"Procter & Gamble was under no obligation to provide compensation to the district due to the company's decision to close the plant in the spring of 1999," said Superintendent Robert J. Carroll, "and we are most appreciative of their generosity and commitment to the community."
Contacted Tuesday, Procter & Gamble spokesman Michael Whiting said the company is in discussions about a donation to the district, but was unable to confirm other details.
In January, the company announced plans to close its St. Bernard plant in its Ivorydale complex, displacing all 238 workers at the facility where Tide and Cheer laundry detergents are made.
Mr. Carroll has said the closing could equate to millions of dollars in tax valuation.
While P&G will keep and pay taxes on the plant building and land, a significant property tax loss will result from assessments on machinery, equipment and inventory.
The school district plans to use the money to replace school buses, on permanent improvements, alternative education options, safety and security, professional development and other items.
"It is comforting to know that an industry of this size and stature -- Procter & Gamble -- is cognizant of the financial constraints of a small district such as ours," Mr. Carroll said.
"For any school district, it's most uncommon for a company to give a substantial amount of money like they did," he added.
The money will be used during this school year, Mr. Carroll said. In addition, money also will be placed in the general fund to offset a projected unrelated loss of revenue for fiscal year 1998.
