With a budget review set for August 16, and the top administrators currently working on expired contracts, a little public pressure could help convince the school board and the administrators that CUSD 200 cannot continue business as usual. Taxpayers and teachers should insist that administrators pay their own pension contributions just like teachers do. This would save the district about $600,000 per year and slightly reduce future TRS pension obligations.
A little history:
It appears that the district was in good shape financially back in 2001, and had to make major cuts by 2010. That is a time frame in which many in the private sector were taking pay cuts or at least not seeing the raises they had been getting when inflation was so high. School districts including CUSD 200 were giving step & lane increases as well as end-of-career salary spikes. They had yet to curtail anything.
The Education Fund: total expenditures, salaries and benefits had gone up significantly faster than inflation from 2001 to 2010. They were running out of cash by the end of May each year. The balance would have been negative in 2008 without Hubble construction loan, and in 2009, 2010 & 2011 the district issued tax anticipation warrants in order to avoid being in the “Red.” In May 2012 the district received $14,478,784 from a capital improvement grant. This year, at its low point (May), the districts end of month balance on hand was down to $6.3 million. With State funding being unreliable, reductions should be made now while renewing the administrator contracts. And a precedence set for next year when the teacher’s contract will renew.
I have recommended that all administrators pay the same for benefits as teachers do. And that the post-career-compensation (lump sum at retirement that replace the salary spike) needs to go!
Take a look at what parents said in 2010 when student programs were threatened. This could happen again.
And the value of the proposed 2010 cuts.