No fix this year for school budget

Tax increases succeed in increasing state aid. No raises for administration. Freeze in health-care costs. A $1 million windfall.
The Clarkston Board of Education at its Feb. 12 regular meeting reviewed these and other scenarios, some more likely than others, as it continued a budget process that won’t end until the end of the school year.
They all have one thing in common ? a bottom line dripping with red.
‘No matter what we do, we’re going to be in trouble,? said Dr. Al Roberts, superintendent. ‘We’re at the bone.?
The board’s goal is to balance the budget by the 2010 school year, said board President Stephen Hyer.
To do that, the district must cut $4 million from its budget this year, and another $4 million next year. This would reduce the deficit between revenues and spending to about $5.5 million, then to $2.5 million the next year.
The difference would be made up out of the district’s fund balance, its savings account. The balance as of January was $9.6 million.
‘The cuts will be very painful,? Hyer said. ‘Money is really tight this year.?
Scenarios were based on estimates that included 3.9 percent stepped pay increases for union members, increases in retirement and health care costs, and pay increases for administrators of up to three percent.
Teacher salaries will be determined through contract negotiations, probably in April.
Administrator pay will be determined by the school board ? the 2006-2007 budget included a two-percent raise for administration staff.
Cuts proposed at the Jan. 22 workshop, including layoffs of nine teaches and 11 support staff, might be voted on at the board’s next budget workshop, set for 6 p.m., Monday, Feb. 26.
Board members will travel to Lansing on March 26 to meet with Gov. Jennifer Granholm for her Education Summit.
‘It’s a chance to gain some insight into the state government, to solidify our budget projections,? Hyer said.
The budget will be difficult to complete until the state resolves its funding issues, said board Secretary Ronald Sullivan.
‘It’s hard to find answers until we get the final answer from the state,? Sullivan said.
The scenarios were presented to give board members perspective into the problem, Roberts said.
‘We’ll do our best to continue to operate in a way that would have as little impact as possible on youngsters,? he said.
It could require many years before the state recovers economically. Before that happens, the school district may be required to borrow to make ends meet, Roberts said.
‘We will do what is best for students, even if it means we have to borrow,? he said.
The board meets at the district Administration Building on Clarkston Road. For more information, call 248-623-5400.