|
To all PVSUD staff:
By now, I am sure that all of you have heard of the state’s fiscal crisis. On January 9, the Governor presented his education budget proposal for the 2008/09 school year. District staff reviewed the proposal, heard analyses from our county, and identified the impact of the Governor’s proposal on PVUSD. There are two actions we need to take. First we need to balance our budget as required by state law by exploring both additional revenues and reductions. Second, and equally important, we need to stand up for our children’s educational future.
For PVUSD, the Governor’s proposal reduces revenue limit income and other unrestricted funding for next year by $8.8 million from current levels. (The State is recommending that Special Education revenue alone be reduced by $1.1 million below this year’s income level. Other recommended reductions from state funds include transportation, K-3 Class size reduction and 9th grade Class size reduction.). The restricted accounts are projected for a $3 million. In addition, we know that our employees’ step and column movement and a 7% additional cost in benefits will increase our District’s expenditures by $4 million. Although we have initiated an energy education savings program we know there will be increases in operating expenses due to inflation (e.g. insurance, and retiree benefits). With these proposed reductions in income and increased expenses, the bottom line is that we will need to cut $11.8 million relative to our current spending in order to have a balanced budget for 2008/09.
For next year, school districts across the state were due to have an increase in income of about 4.9%, reflecting a cost of living adjustment (COLA). The State is unable to provide this new money to any district and in fact, as noted above, is reducing our income by 2.4% below 2007/08 levels – this is 2.4% below this year’s budget amount, increased costs and no state COLA for next year. Educational advisors estimate that the State’s budget woes will continue for two to three years.
Currently, the Governor’s proposal is being analyzed, and over the next few months, the Legislature will work with the Governor to identify other solutions to the State’s fiscal crisis. In May, updated economic factors are used to adjust the state’s budget proposal (the “May Revise”), and a budget is supposed to be approved by June 30. During this same period of time, the PVUSD will work with our Budget Advisory Committee to identify options to best meet our student needs during this fiscal crisis. Ultimately, we have the responsibility to provide a realistic, balanced budget by June 30, whether there is a finalized state budget or not.
We recognize and appreciate the value that each and every one of you brings to our students and families, and we have invested in you and your career. With the impact of the Governor’s proposal on our District, the only responsible action we can take is to position ourselves to adopt a balanced budget by June 30, as mandated to us by state law.
To provide a balanced budget which reflects reductions of $11.8 million, some employees will be impacted by notices of possible layoff. The layoff notices will affect all employee groups: certificated, classified, and management. Everything beyond the basic core program will unfortunately need to be “on the table” for consideration of elimination or reduction. This is not a step that we want to take, but we have no choice.
For certificated employees, the District has a requirement to send an initial notice of potential layoff by March 15. A resolution to the state budget crisis and the Governor’s proposal will not happen by this date; therefore, some layoff notices will have to be issued. Layoff notices for classified employees follow a different process using a 45-day notice and so will be issued later in the budget process. Some members of the management team will receive notices by March 1.
Even though layoff notices are being issued, we will do everything we can to retain as many programs and people as possible. For certificated employees, a final resolution of the possible layoff notice must occur by March 15. Please be assured that after this date and throughout the summer, we will continue to work to bring back people and programs as allowed by our budget situation.
The Board will consider the depth of the necessary cuts and the number of layoff notices that will be issued at the February 27 meetings. Typically, more notices are issued than will ultimately result in layoffs, but we are obligated to notify by March 15 all certificated and management individuals who will potentially face a layoff.
It is extremely painful to have to inform you of this disheartening information, but feel it is important to inform you about the status of the Governor’s proposal and its impact. The Board and I invite all staff to offer suggestions as how to balance our budget.
The second action we need to take is to stand up for our children’s educational future. We need to be in constant communication with the Governor and legislators about the unacceptable education budget reductions. Sample letters written by staff and contact information are on the PVUSD website. This really is the time when you need to call and write your legislators; they have the power to reduce the negative impact on our children.
We also are considering a district effort to influence Sacramento: Pennies to the capitol, to demonstrate that they fund us in pennies not dollars; A paper chain, one link for every child, to show how many children lives are impacted; A band of pictures of all of the children, to force them to ‘see’ the children. Your ideas on this action are also welcome. We must do something positive to influence Sacramento. Education cannot continue to be the recipients of Sacramento’s poor decisions.
|
