The Newtown school district is facing the potential of a $500,000 shortfall. The Newtown Bee reports that the Board of Education has recommended a 25 percent hold on principals’ budgets until more details are discussed. 23 special education students moved into the district after the budget was set so several paraprofessionals had to be added. A federal tax credit for the use of alternative fuel was in place when the budget was approved, but it wasn't extended by the federal government. The propane bill is adding to the projected shortfall.