Superintendent's Article - January 11, 2007

Happy New Year! 2007 is here and waiting for the many opportunities before us. Yes, there are many challenges which we will have to resolve. Our financial situation heads the list. This does have a direct bearing on negotiations, as well as with the reductions in programs that will have an impact on students as well as staff.

One of the questions that continues to be asked - Were there any reductions made prior to the busing and pay-to-participate issues this year? The answer to that is clearly "Yes". Treasurer Jina Lingle, working with the five year forecast, made it clear to the Board that we had to reduce expenses by a minimum of $600,000 to balance this year's budget. As Superintendent, I was asked to make those reductions in preparation for this year. Having 34 years in this career, I know that with every reduction there will be some people who think cuts should be prioritized differently than those who have to manage through those reductions. These were cuts that were going to stay in place for this year, unless the 2006 levy passed.

So what were the reductions that occurred last summer, in preparation for this school year? Here's the list: Reduction of textbook budget - $150,000; 20% Reduction of building budgets - $136,000; Cut of pre-orientations by 33% - $3,700; Reduction of a bus route - $30,000; Savings from transfers of staff - $83,000; Reduction of 4 assistant coaches - $9,500; Reduction of 4 small group instructors - $197,000; Reduction of 2 certified staff - $63,580 and 15% benefits reduction - $57,540. These staff reductions were able to be made through attrition rather than a "reduction in force" plan.

Our next rounds of reductions, however, will have to be deeper without the additional revenue. Since the levy was rejected in November of 2006, we will not have collections in 2007 of new tax dollars, so reductions will have to be made. Now I know in the world of industry the personnel costs may not be 85% of a total budget, but that is the case with schools. So when we review our total budget, we do not have many places to reduce before looking at staff. With the reduction of staff, we look at the many programs for our students. If one looks at the ever growing number of unfunded and under funded mandates, the requirements of special education programs, the needs for interventions, both behaviorally and academically, the cry for more technology, the competitions of charter and private schools, the increase in the voucher movement, the additional state requirements for high school graduation, the escalating costs for utilities (even though being buffered by modern efficient building systems), ongoing staff development programs, along with the state standards and union contracts, there are many reasons that costs go up. The one that is by far the most annoying to me is the one where our public tax dollars that are voted by us go to support charter schools who receive those tax dollars without even putting a levy on the ballot. The money comes from our local and state taxes.

On another note, some have mentioned to me the size of administrative salaries. As has been reviewed in the past, our administrative costs per student are very low. This is per the state comparison data available on the ODE website. All Louisville administrators work extended contracts that range from 204 to 260 days. Factors such as experience, education level, responsibility level, length of contract, and merit are used when arriving at the salary calculations. Of course, these items were not mentioned in a recent article from an area newspaper. We have good people, with specific job responsibilities, and they do their jobs well. Each has an annual administrative review by the Superintendent or a supervisor. Accountability is kept in check.

As I look at our goals for the new year, here are some of the more critical pieces: 1) Passing an operating levy, 2) Concluding contract talks, 3) Engaging the community in school improvement, 4) Establishing the school calendar for next year, 5) Establishing Phase III reductions, 6) Beginning plans for receipt of state dollars for Phase II of the building project (state dollars will be approximately $32 million).

Have a great year. Go Leopards!