Leeds Superintendent John Moore spoke to the Leeds City Council Monday night and shared some good news and some bad news.

The good news: according to Moore, the school system is prepared to handle the first round of proration recently announced by Gov. Robert Bentley.

Current proration is set at 3 percent. Moore said the system prepared its budget for the current school year with a 5 percent proration budgeted.

In addition to that, Moore said the budget was set with a no increase in local revenues. He said those revenues have actually increased 5 percent.

“If there is no further proration, we will end this school year in the black,” he said.

The following school year will be a bit tougher, the superintendent said. A budget proposed by the governor will make big cuts in budgets, which fund transportation and support personnel. Moore said he feels the governor’s proposed budget may not pass through the legislative process. Still, he said the system would be facing a decrease in funding next school year.

“We have enough sense to know that we will have to let some folks go,” Moore said. “We will have to lay off some teachers and support personnel. We will have no choice and we are not the only district (facing these problems).”

One reason cuts will have to be made involves the elimination of federal stimulus funds that helped provide 19 jobs – about half of which are teacher positions, according to the superintendent.

Moore said the system would have to wait to see what the state budget holds for the system and its 174 employees.

“When the legislature gives us a budget we will be able to go to work. We will do what is right to remain solvent and to have school,” he said.