The grim vision of Clarkston School’s financial future is beginning to come into focus. As the school board gets close to making budget cuts, the jobs of 20 teachers are on the line.
During a Jan. 22 workshop meeting, the board heard recommendations for 30 cuts to the 2007-08 budget which could reduce expenditures by $4.2 million.
The cuts are part of a plan to get the district back to a balanced budget by the end of the 2008-09 school year.
As reported in the Dec. 20 issue of The Clarkston News Superintendent Dr. Al Roberts said the district’s current budget is trying to weather ‘the perfect storm? of budget-busting factors.
Even with the $4.2 million cuts, the district is expected to post a $5.5 million deficit for the 2007-08 school year. The district entered the school year with more than $13 million in fund equity. Back in December, Roberts indicated that staff cuts were extremely likely given the current situation, but now specific numbers are projected.
Starting in October, administrative teams began looking over the district’s financial reports to find areas where cuts could be made.
‘We just went through every little thing,? said Director of Communications and Marketing Anita Banach, who was a member of the administrative teams examining the budget.
Deputy Superintendent David Reschke said the groups knew staff layoffs would likely come into play because enrollment decreased slightly this year.
‘We have predicted this for a couple years. We’ve been pink-slipping for three years,? Reschke said, adding that retirements and increases in enrollment have allowed the district to bring laid-off employees back every year.
Also, on June 12, the school board approved a one-year contract with a two-percent raise for 196 central office administrators and support staff.
‘But this year the enrollment was flat. It even went down a little bit. It made it pretty clear we were going to have reductions in staffing levels,? Reschke said.
Roberts said he knew staff layoffs were imminent after the ‘fourth Friday count,? the annual student head count held on the fourth Friday in September to determine population for state per-pupil funding. For the first time in 16 years, the Clarkston school district lost students between Sept. 2005 and Sept. 2006, dropping from 8,169 to 8,143.
‘I’m concerned this might not be a ‘blip,?? Roberts said.
The housing situation in the district is leading him to believe there will not be an increase in students anytime soon.
‘If we continued to grow, we’d still have a problem, but it might have offset it.?
Of the 30 recommendations made to the school board by administrators, four areas related to the reduction of 19.7 full time employees on the teaching staff including:
? Reducing teaching staff by nine, to cut approximately $472,000.
? Reducing K-5 special teachers by 2.7, to cut about $131,000.
? Reducing talent development teaching staff by two, to cut about $105,000.
? Reducing instructional support specialists by six, to cut about $315,000.
‘We never like to lose anyone. It’s really bothering the principals that they might lose staff,? Reschke said.
Even if the cuts are approved by the board, Reschke said administrators will not know who will lose their jobs until contract negotiations are finished, which he speculated would be by April.
The largest budget reduction plan also depends on staff contract negotiations.
Banach said if employees agree to adjustments with insurance carriers district-wide, the district could cut expenses by approximately $900,000.
Even with the district’s financial problems, Roberts would not rule out the possibility that pay raises will be included in new employee contracts, saying that is what is being negotiated at this time.
?(District teachers) have made changes in their insurance coverage, accepted pay increases that were less than the industry standard and changed the way they do things to save dollars in utility costs, etc,? Roberts said. ‘That being said, we are in the ‘perfect storm? and more is required of all of us if we are to maintain the system of excellence we have all worked so hard to build.?
Roberts said the next step is to get firmer numbers for the recommended cuts and present them to the school board for a vote.
In addition, Banach said the district is hoping to reduce energy costs by approximately $600,000 over the next year as a result of energy studies done during the previous school year.
‘We’ve already seen the savings this year and we’re expecting to see more next year,? Banach said.
Another cut is the elimination of $90,000 in administrative performance incentives, which were also included in the one-year contract this past June. Additional cuts include the reduction of contributions to community education and athletics, reduction of legal and communication budgets, and a 40 percent reduction in curriculum adoptions.
Reschke said these large cuts will hopefully be the only ones the district has to make this year, but things could change if adjustments are made on the state level.
‘Our plan is dependant on the state planning,? he said.
Though the recommendations were specific, none have been adapted at this time. Before any cuts become official, the board must vote on the matter, which Banach said will likely happen in the next month.
The next school board meeting is scheduled for Feb. 12. Look in future issues of The Clarkston News for more on these cuts and what effects they will have on the district.