I've neglected to welcome Jeff Simpson to the board. Jeff has been appointed to fill the vacancy left by Jason Mccutchin's resignation. Jeff is a Cottage Grove resident who has served on past School Board committees. His appointment will last until next spring's election.
The board considered three candidates: Jeff, Ana Hamill and Larry Miller. The selection was made after considering applications and interviewing the candidates. It was a difficult choice to make from among the well qualified candidates. Thanks to Ana and Larry for applying!
And welcome Jeff!
Friday, June 22, 2012
When a surplus isn't a surplus...
Although an unanticipated $500k is good news, calling it a surplus portrays a misleadingly picture of the budget. In more accurate statement would be that our deficit for the coming year has shrunk from $1.2M to $700K. An improvement, but it doesn't mean that we will be able to undo much of the damaging cuts we plan for next year.
So what happened? After we cut $1.2 million from next years budget (reducing programs and making significant cuts to support staff) based on projections, several factors helped reduce the gap: open enrollment came in higher than expected, we closed the deal on the lease with Maywood, and there were fewer retirements than expected. Combined these things reduce the deficit by $500K.
One should note that fewer retirements does not save the district money over the long term. We have an early retirement payout because it saves the district money: it takes a highly paid senior teacher off the payroll to be replaced by a lower paid new teacher. Although rising health care costs have dramatically changed the equation, I believe it is still no worse than a wash. So the fewer retirements this year are only a reprieve, and may increase future deficits.
So what happened? After we cut $1.2 million from next years budget (reducing programs and making significant cuts to support staff) based on projections, several factors helped reduce the gap: open enrollment came in higher than expected, we closed the deal on the lease with Maywood, and there were fewer retirements than expected. Combined these things reduce the deficit by $500K.
One should note that fewer retirements does not save the district money over the long term. We have an early retirement payout because it saves the district money: it takes a highly paid senior teacher off the payroll to be replaced by a lower paid new teacher. Although rising health care costs have dramatically changed the equation, I believe it is still no worse than a wash. So the fewer retirements this year are only a reprieve, and may increase future deficits.
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