The District 55 School Board began looking Monday night at long-term cuts to deal with revenue shortfalls anticipated next year.
“We’re beyond the blood and bloodletting,” Supt. Larry Horton said. “Now we’re after bone.”
If the district does nothing at this point beyond freezing spending, it would have an ending fund balance or cash carryover of $232,000 for the 2002-03 school year. That would be the beginning fund balance for 2003-04.
Projected general fund revenues for 2003-04 are $14.7 million. Budgeted 2002-03 revenues are $15.7 million. Eliminating one-time expenditures from the current budget, $150,000 in a lawsuit judgment and $140,000 for this year’s track project, leaves the district with a revenue shortfall of an estimated $900,000 for the next year.
Supt. Horton asked staff and administrators to identify potential cuts for 2003-04.
To make a statement himself, Supt. Horton took a 4-percent pay cut effective Feb. 1.
About two-thirds of district staff responded. From a list of potential cuts listed in the survey, administrators narrowed down potential cuts.
Among those potential cuts were textbook expenses for $25,000.
The district would like to negotiate with the city for half of pool operations costs, $40,000.
Eliminating testing at grades two and nine would save $2,000.
A mandatory one-week vacation in the summer for all personnel would save $8,000 from the closure of the district and not hiring substitutes for 12-month employees at other times of the year.
Additional fees from the Oregon Jamboree covering actual cost to the school district could raise $5,000 in revenue. The fees would require negotiation.
The district could sell two lots across from the high school for $20,000 to $40,000.
Funds from the high school construction program, now defunct, could be tapped for $10,000.
If some staff voluntarily took cash instead of a personal day, the district could save $5,000 in substitute costs.
Reducing supplies and materials by 10 percent would net $60,000.
Eliminating one elementary principal position and using the special education director and curriculum director as part-time principals at Holley and Crawfordsville would provide $93,000 in savings.
Reducing three days in the 2002-03 school year and three more from the 2003-04 school year would add $360,000 in savings. This money could be accrued instead through a legislatively approved accounting maneuver.
Bond construction labor done by district staff could be charged to the bond saving $10,000 in the general fund.
Reducing the Talented and gifted assistant from full time to .4 full-time equivalent would provide $10,000.
Reducing assistant time throughout the district for one full-time equivalent would provide $15,000.
Reducing the superintendent’s secretary from four hours to two hours would generate $7,000. The secretary would pick up two hours a day from technology grants awarded to the district.
Energy reductions from building improvements may save $30,000.
Supt. Horton’s pay cut will add $3,800.
A plan to reconfigure Holley School to kindergarten through third grade and Crawfordsville School to fourth through sixth grade would eliminate one teaching position and save $50,000.
That plan could be proposed throughout the district in the following year, Supt. Horton said. By concentrating grade levels into the same buildings, the number of teachers needed could be reduced.
The idea there was to think outside the box, Supt. Horton said.
The balance of necessary revenues could come from the accrual option.
Other potential cost-savings could come from the combination of Holley and Crawfordsville for $130,000, closing the pool for $60,000, eliminating an elementary counselor for $35,000 and eliminating one teacher at each building except Holley and Crawfordsville for $250,000.
Other options could provide as yet unknown revenues and cost savings. They include selling Pleasant Valley School, freezing the salary schedule and allowing only step increases, negotiating the insurance premium cap paid by the district, contracting for some services and changing to a four-day week.
“All of the things on this list are valuable,” Supt. Horton said. “It’s a question of priorities.”