Derby Public SchoolsDerby Public Schools

2009-2010 Budget Update2009-2010 Budget UpdateStephen TracyStephen Tracy

Superintendent of SchoolsSuperintendent of Schools

June 2, 2009June 2, 2009

Funding Public Education Funding Public Education in Derby 2009-2010in Derby 2009-2010

Board of Ed 2/26 Budget Request: Board of Ed 2/26 Budget Request: $17,633,941$17,633,941Operating the new DMS ½ Year:Operating the new DMS ½ Year: $ 257,363$ 257,363

Total 2/26/09 Request:Total 2/26/09 Request: $17,891,304$17,891,304

Cost Increases Since February: Cost Increases Since February: $ 214,000$ 214,000 UnemploymentUnemployment Health InsuranceHealth Insurance Electricity Consumption DMS/DHSElectricity Consumption DMS/DHS

Total Funding Required:Total Funding Required: $ 18,105,303$ 18,105,303

Funding Public Education Funding Public Education in Derby 2009-2010in Derby 2009-2010

5/29 City Appropriation:5/29 City Appropriation: $ 17,357,983$ 17,357,983 This is $740,000 or 4.5% more than FY2009This is $740,000 or 4.5% more than FY2009 The city has given us more than 4 times as much The city has given us more than 4 times as much

new money as it provided last year.new money as it provided last year. No other town in Connecticut has approved as No other town in Connecticut has approved as

large an increase for its schools for next year.large an increase for its schools for next year.

Funding Public Education Funding Public Education in Derby 2009-2010in Derby 2009-2010

Total Funding Required:Total Funding Required: $18,105,303$18,105,303

BoAT Action on 5/29/09:BoAT Action on 5/29/09: $17,357,983$17,357,983

Remaining Deficit:Remaining Deficit: $ 747,320$ 747,320

How can we solve the How can we solve the $750,000 problem?$750,000 problem?

Deficit still to be covered:Deficit still to be covered: $750,000 $750,000

Federal ARRA “Stimulus” Funds: $150,000Federal ARRA “Stimulus” Funds: $150,000

Excess Cost Sharing Funds:Excess Cost Sharing Funds: $100,000$100,000

$500,000$500,000

How can we cover the How can we cover the remaining $500,000?remaining $500,000?

IF we shift to HSA health program, including guarantees that:IF we shift to HSA health program, including guarantees that:

– Coverage will equal or exceed current coverage andCoverage will equal or exceed current coverage and

– Cost to employees will be equal to or less than current costsCost to employees will be equal to or less than current costs

We save:We save: $280,000$280,000

How can we cover the How can we cover the remaining $500,000?remaining $500,000?

IF we either:IF we either: Agree to forgo ½ of scheduled raisesAgree to forgo ½ of scheduled raises

- OR –- OR – Agree to reduce the work year by 4 daysAgree to reduce the work year by 4 days

We save:We save: $200,000 $200,000

How can we cover the How can we cover the remaining $500,000?remaining $500,000?

IF we do both of these things…..IF we do both of these things….. Implement HSAImplement HSA $280,000$280,000 Reduce payrollReduce payroll $200,000$200,000

We save $480,000 and reduce the deficit to about We save $480,000 and reduce the deficit to about $20,000 – meaning $20,000 – meaning no further layoffsno further layoffs..

How can we cover the How can we cover the remaining $500,000?remaining $500,000?

IF we cannot agree on insurance and payroll IF we cannot agree on insurance and payroll savings……savings……

Then additional layoffs and program cuts totaling Then additional layoffs and program cuts totaling about $500,000 will be required.about $500,000 will be required.

How much cutting will be required?How much cutting will be required?

Already Cut in Board of Education Request:Already Cut in Board of Education Request:

2.8 Teaching Positions2.8 Teaching Positions 12 Paraprofessional Positions12 Paraprofessional Positions 2 Librarian Positions2 Librarian Positions Assistant SuperintendentAssistant Superintendent Central Office Secretary PositionCentral Office Secretary Position Reduce Middle School AthleticsReduce Middle School Athletics Reduce Teacher Intern ProgramReduce Teacher Intern Program

Example of Additional Cuts Required Example of Additional Cuts Required to Save $500,000to Save $500,000

Cut 6 more Teaching Positions Cut 6 more Teaching Positions $270,000$270,000 Cut DHS Librarian (add 2 clerks)Cut DHS Librarian (add 2 clerks) $ 20,000$ 20,000 Cut DHS Athletics Program 35% Cut DHS Athletics Program 35% $ 87,000$ 87,000 Eliminate DMS Athletics Program Eliminate DMS Athletics Program $ 14,000$ 14,000 Eliminate Central Office Equip Eliminate Central Office Equip $ 2,000$ 2,000 Cut Advertising by 50%Cut Advertising by 50% $ 8,000$ 8,000 Cut Office Supplies by 50%Cut Office Supplies by 50% $ 20,000$ 20,000

Continued……………….Continued……………….

Example of Additional Cuts Required to Example of Additional Cuts Required to Save $500,000Save $500,000

Cut Legal ExpensesCut Legal Expenses $ 5,000$ 5,000 Cut District Travel 50%Cut District Travel 50% $ 4,000 $ 4,000 Cut Instructional Supplies 25%Cut Instructional Supplies 25% $ 34,000$ 34,000 Cut Textbook Purchases 25%Cut Textbook Purchases 25% $ 18,000$ 18,000 Eliminate Library Book PurchasesEliminate Library Book Purchases $ 5,000$ 5,000 Eliminate Field Trip Transportation Eliminate Field Trip Transportation $ 13,000$ 13,000

Total:Total: $ 500,000 $ 500,000

What’s Next?What’s Next?

On On Monday 6/8Monday 6/8, a recommended budget , a recommended budget totaling $17,357,983 will be sent to the totaling $17,357,983 will be sent to the Board of Education.Board of Education.

On On Wednesday 6/10Wednesday 6/10, the Board of , the Board of Education will meet to adopt a final Education will meet to adopt a final budget.budget.