Derby Public Schools Budget Update Stephen Tracy Superintendent of Schools June 2, 2009

Funding Public Education in Derby Board of Ed 2/26 Budget Request: $17,633,941 Operating the new DMS ½ Year: $ 257,363 Total 2/26/09 Request:$17,891,304 Total 2/26/09 Request:$17,891,304 Cost Increases Since February: $ 214,000  Unemployment  Health Insurance  Electricity Consumption DMS/DHS Total Funding Required: $ 18,105,303

Funding Public Education in Derby /29 City Appropriation: $ 17,357,983 5/29 City Appropriation: $ 17,357,983 This is $740,000 or 4.5% more than FY2009 This is $740,000 or 4.5% more than FY2009 The city has given us more than 4 times as much new money as it provided last year. The city has given us more than 4 times as much new money as it provided last year. No other town in Connecticut has approved as large an increase for its schools for next year. No other town in Connecticut has approved as large an increase for its schools for next year.

Funding Public Education in Derby Total Funding Required: $18,105,303 BoAT Action on 5/29/09:$17,357,983 Remaining Deficit:$ 747,320

How can we solve the $750,000 problem? Deficit still to be covered: $750,000 Federal ARRA “Stimulus” Funds: $150,000 Excess Cost Sharing Funds: $100,000 $500,000 $500,000

How can we cover the remaining $500,000? IF we shift to HSA health program, including guarantees that: –Coverage will equal or exceed current coverage and –Cost to employees will be equal to or less than current costs We save:$280,000 We save:$280,000

How can we cover the remaining $500,000? IF we either: Agree to forgo ½ of scheduled raises Agree to forgo ½ of scheduled raises - OR – Agree to reduce the work year by 4 days Agree to reduce the work year by 4 days We save: $200,000

How can we cover the remaining $500,000? IF we do both of these things….. Implement HSA$280,000 Implement HSA$280,000 Reduce payroll$200,000 Reduce payroll$200,000 We save $480,000 and reduce the deficit to about $20,000 – meaning no further layoffs.

How can we cover the remaining $500,000? IF we cannot agree on insurance and payroll savings…… Then additional layoffs and program cuts totaling about $500,000 will be required.

How much cutting will be required? Already Cut in Board of Education Request: 2.8 Teaching Positions 2.8 Teaching Positions 12 Paraprofessional Positions 12 Paraprofessional Positions 2 Librarian Positions 2 Librarian Positions Assistant Superintendent Assistant Superintendent Central Office Secretary Position Central Office Secretary Position Reduce Middle School Athletics Reduce Middle School Athletics Reduce Teacher Intern Program Reduce Teacher Intern Program

Example of Additional Cuts Required to Save $500,000 Cut 6 more Teaching Positions $270,000 Cut 6 more Teaching Positions $270,000 Cut DHS Librarian (add 2 clerks)$ 20,000 Cut DHS Librarian (add 2 clerks)$ 20,000 Cut DHS Athletics Program 35% $ 87,000 Cut DHS Athletics Program 35% $ 87,000 Eliminate DMS Athletics Program $ 14,000 Eliminate DMS Athletics Program $ 14,000 Eliminate Central Office Equip $ 2,000 Eliminate Central Office Equip $ 2,000 Cut Advertising by 50%$ 8,000 Cut Advertising by 50%$ 8,000 Cut Office Supplies by 50%$ 20,000 Cut Office Supplies by 50%$ 20,000 Continued………………. Continued……………….

Example of Additional Cuts Required to Save $500,000 Cut Legal Expenses$ 5,000 Cut Legal Expenses$ 5,000 Cut District Travel 50%$ 4,000 Cut District Travel 50%$ 4,000 Cut Instructional Supplies 25%$ 34,000 Cut Instructional Supplies 25%$ 34,000 Cut Textbook Purchases 25%$ 18,000 Cut Textbook Purchases 25%$ 18,000 Eliminate Library Book Purchases$ 5,000 Eliminate Library Book Purchases$ 5,000 Eliminate Field Trip Transportation $ 13,000 Eliminate Field Trip Transportation $ 13,000 Total: $ 500,000

What’s Next? On Monday 6/8, a recommended budget totaling $17,357,983 will be sent to the Board of Education. On Monday 6/8, a recommended budget totaling $17,357,983 will be sent to the Board of Education. On Wednesday 6/10, the Board of Education will meet to adopt a final budget. On Wednesday 6/10, the Board of Education will meet to adopt a final budget.