Presentation on theme: "Linking Teacher Salaries to CPI"— Presentation transcript:
1Linking Teacher Salaries to CPI Orland School District 135
2Who We Are • Racial/Ethnic Breakdown Our District is comprised of ten schools with an Administration Center and serves approximately 5,357 students in kindergarten through eighth grade, making District 135 the tenth largest elementary district in the state. According to the most recent Illinois Standards Achievement data (2011), the following are District 135 demographics:• Racial/Ethnic Breakdown• White – 78.2% • Hispanic – 10.1%• Black – 3.8% • Asian/Pacific Islander – 5.5%• Multiracial – 2.2% • Native American - .1%• District Employees: 735 Staff• 403 Certified Staff • 249 Support Staff,• 24 Administrators • 59 Lunchroom/Playground• Attendance Rate – 95.6% • Teachers with Bachelor’s Degrees – 13.7%• Pupil-Teacher Ratio – 19.3:1 • Teachers with Master’s Degrees or More – 86.3%• Ave Teacher Salary – $75,242 • Ave Teacher Experience – 15.2 yearsThe District 135 boundaries encompassthree areas: the Village of Orland Park, the Village of Orland Hills, and unincorporatedCook County, with a total population of over55,000 residents.
3GoalTo develop a salary structure that would provide long-term financial sustainability.
4Financial Background AA+ - S & P (one notch away from AAA) 4.0 rating from ISBE financial rating systemBalanced operating budgetDebt Free by 2014Operating Expenditure Per Pupil $13,050
5Collective Bargaining Language The salary schedules shall be as set forth in Appendix A for and as determined thereafter in the following manner:Salary schedule calculations for the school year shall be based upon the following: Step increase and lane movement as specified in article No increase to the base.“Consumer Price Index (CPI-U) for Urban Consumers”annualized rate for December of the prior school year,which is published by the United States Department of Labor, but not to exceed five (5)%, as defined by the Property Tax Extension Limitation Law (PTELL)(35 ILCS 200/18-185) Calculation based upon the base salaries of the prior year salary schedule.
6CommitteeA committee of four made up of two union representatives and the Assistant Superintendent of Business Services and Director of Human Resources will meet no later than May 1st to determine a salary schedule for the next school year.
7ProceduresThe determination of next year’s salary schedule will be calculated based upon following the steps in sequential order as outlined below.1. Determine Prior Year Base (Salary schedule employees, including employees on Grandfather Schedule, and employees on retiree salary schedule.)2. Subtract the salary savings of the lowest nonreplaced positions3. Equals current year base (Step 1 – Step 2)4. Multiply current year base by CPI (Step 3 x CPI)5. Equals total maximum money to be spent on salaries6. Place staff returning from leave of absence onto salary schedule using actual salaries7. Place new hires into salary schedule (MA Step 1)8. Apply Retiree 6% (six percent) increase9. In 2012/2013 and 2013/2014, apply lane changes at $250,000.00In 2014/2015 apply lane changes at $250, if applicable10. In 2012/2013 and 2013/2014, apply step movement not to exceed 2.6%In 2014/2015 apply step movement not to exceed 2.6% if applicable11. If applicable, apply base increase to salary schedule at BA Step 1If the Board of Education needs to hire additional FTE due to increased enrollment, the Board of Education and the Council agree that the salary of these increased FTE will not be included in the calculation of the available salary for the current year increase.
8Calculation Amount Description 1 Determine Prior Year Base 28,735,174.43Prior Year Base2Subtract the salary savings of the lowest nonreplaced positions(92,469.24)Laurel B.(96,466.00)Laura P.3Equals current year base (Step 1 – Step 2)28,546,239.19New Base4Multiply current year base by CPI (Step 3 x CPI)856,387.18New Money (CPI 3.0%)5Equals total maximum money to be spent on salaries29,402,626.37Total New Money6Place staff returning from leave of absence onto salary schedule using actual salaries46,454.00Leeann Brown (BA Step 6)7Place new hires into salary schedule (MA Step 1)405,504.009 New hires ($45,056 x 9)8Apply Retiree 6% (six percent) increase173,012.45($2,883, x 6%)9In 2012/2013 and 2013/2014, apply lane changes at $250,000.00250,000.00Lane ChangesIn 2014/2015 apply lane changes at $250, if applicable-N/A10In 2012/2013 and 2013/2014, apply step movement not to exceed 2.6%530,686.90($24,451, $24,981,759.30)In 2014/2015 apply step movement not to exceed 2.6% if applicable11If applicable, apply base increase to salary schedule at BA Step 1661,300.00($25,434, x 3.0%)Regular Salaries24,451,072.40Retiree Salaries2,883,541.38Lee Ann Brown (LOA)New hires (MA Step 1 $45,056 x 9)Retirees 6%Cost of StepCost of Base Increase (3.0%)Total29,401,571.13Difference(1,055.24)