Budget Crisis 2010-2011

Forest Hills schools face tough choices – Cuts, operating levy possible for 2011 budget. By Cindy Kranz, The Enquirer 12/1/10 C6.

[State funding could drop 15-20 percent as the state tries to plug its $8 billion deficit.]

The district gets nearly 39 percent of its revenue from the state to help fund its $77 million budget.

In a year, we’re going to have a balance of almost zero. In two years, we’re going to have over a $10 million deficit,” Superintendent Jackson said.

The last time the district was on the ballot was May 2009, when it lost a 6.9 mill operating levy. Since the levy failure, the 7700-student district has reduced spending by $6.4 million per year, totaling $31.7 million from fiscal year 2009 to fiscal year 2013. That is a 7.6 percent reduction of the district’s general fund operating budget, Treasurer Rick Toepfer said.

“We are educating our children with fewer teachers, fewer staff and fewer administrators than we did a few years ago,” Jackson said.

Unfunded mandates such as all-day kindergarten, flat local funding and a drop of interest income contribute to the budget crisis, he said.

Among the scenarios presented were budget cuts, and operating levy for more than 6 mills or a combination.

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Schools: Any suggestions? – State aid could plunge; districts call meetings By Denise Smith Amos 11/29/10 The Enquirer C1 

…state funding for schools might plunge 15 percent to 20 percent in the next biennium, prompting cuts and more tax levy proposals. 

State Senator… recently warned that Ohio will try to close its $8 billion budget hole, in part, with education reductions up to 20 percent. 

Many districts, including some in Greater Cincinnati, are revising financial forecast downward and speeding up proposed cuts and tax levies. 

Jackson says the financial crunch is “smacking us in the face.” His (Forest Hills) district of 7,800 students gets nearly 39 percent of its annual $77 million operating budget from the state. It might barely break even in fiscal 2012 and go into the red in 2013, he said. 

Forest Hills voters in May 2009 rejected a 6.9-mill operating levy. 

Loveland Superintendent Hubbard said, “we’re looking at a $700,000 deficit. Cutting other sports and academic programs and increasing class size at the elementary (school will) be determined within the next few weeks. ============================================

City readies pension change – recipients can expect less by Barry M. Horstman. The Enquirer 12/1/10. page 1

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12/1/10 The Enquirer, Still no contract after CPS, teachers union talks. Tuesday. by Jessica Brown

Contract talks have dragged on for nearly a year. The district wants to make sure the contract is financially responsible. The three-year contract between the district and the 2,300 member Cinti. Federation of Teachers expired Dec. 31. The teachers have been working under the terms of the old contract since then.

The final sticking point is benefits. The district, which is facing a deficit next year, wants to more than double what teachers pay for health insurance. The teachers say they can’t afford that. Other educational reform issues like basing evaluations on student achievement has been worked out.

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… the recession has exposed the fiscal overreach and structural weaknesses that have been the hallmark of those cities’ budgets all along.

For decades, big-city governments nationwide. along with many states, have tried to do too much. They have over-employed. They have taken on programs and services best left to the private sector or nonprofits. They have created tax policies and bureaucratic red tape that have helped drive businesses and residents away.

Politically, they have been in the thrall (a state of servitude. slave, bondman) of public employee unions, giving generous benefits to city employees that have proven unsustainable in the long term – and now must be brought back closer to private-sector reality to prevent total fiscal collapse. Indeed, some experts have begun to suggest that cities and states be encouraged to declare bankruptcy in part to let them rewrite union contracts.

In Cincinnati and around the nation, people spoke out in last month’s election. They want government more focused on basics; leaner and smaller where necessary, but smarter all around.

Cincinnati’s budget crisis, if handled wisely, could actually become an opportunity –the city’s best chance in years to finally make things right.”

Enquirer Editorial, City budget crisis presents opportunity. December 1, 2010. A11

8 Responses to “Budget Crisis 2010-2011”

  1. Administrator says:

    April 4, 2011, the Board voted to lay off 111 employees, including 70 teachers. 20% of teachers; 45% of administrators; 16% of support workers… The district is in negotiations for a new contract… $80 million operating budget will fall by $12 million next year and continu dropping for the next 12 to 13 years.
    Source: Princeton schools cut 111 jobs. By Denise Smith Amos The Enquirer April 5, 2011 B3

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    The 6500-student Princeton school district announced Friday it will cut 100 jobs – nearly 13 percent of its workforce – in order to balance its budget for the 2011-12 school year.
    The cuts will slash $6 million from the district’s proposed $78 million budget. It plans to cut another $4 million through contract negotiation.The district had originally estimated 65 jobs would be lost, but reductions in state funding necessitated deeper cuts.

    Workers were notified earlier this week, he (district spokesman Tom O’Neill, whose job was cut last week) said.

    Source: Princeton revises job-cut figure to 110. Teachers will be among those let go as government funding dwindles. By Jessica Brown, The Enquirer 4/2/11 C1

  2. Administrator says:

    School authorities across the nation are warning thousands of teachers that they could lose their jobs in June, raising the possibility the America’s public schools may see the most extensive layoffs of their teaching staffs in decades.

    Source: Teacher layoffs may be most extensive in decades. By Sam Dillon, The New York Times. March 31, 2011 A4 THE ENQUIRER.

  3. Administrator says:

    This year nearly half of Greater Cincinnati’s 49 school districts are either considering or planning to place a school tax issue before voters — most citing lagging state school funding.

    Lakota … plans to cut at least $12 million from next school year’s operating budget.

    Little Miami Schools … plans to cut more than 100 teaching and other school jobs in the wake of seven consecutive tax losses at the ballot since 2008.

    Mason Schools has cut 40 teaching jobs in the last two years. Fairfield -30 teaching jobs have so far been eliminated. Ross Schools will drop 10 positions.

    CPS is estimating an up to $80 million shortfall for the 2011-12 school year, but district officials have not yet said how many jobs might be cut. More than 150 teachers have notified the district they intend to retire at the end of the school year…..

    The district’s board of education voted March 21 not to renew contracts for three principals, four assistant principals and one program supervisor due to restructuring and to save the district money.

    Princeton Schools are cutting 65 jobs and the Southwest Schools 26 next school year.

    Source: Local school districts weigh options. The Enquirer, 3/31/11 A4

  4. Administrator says:

    The Indian Hill Exempted Village District is among six schools in Ohio that may not receive state funding next year.

    … could potentially be declined state foundation aid, as part of a budget plan proposed by Gov. John Hasich.

    Stephen said last year the district received $926,761 as part of this aid.

    Source: INDIAN HILL Schools face loss of funding. Your Hometown
    —Community Press March 31, 2011

  5. Administrator says:

    “The Butler County district (Lakota) is the latest and largest district in Southwest Ohio to plan the slashing of millions from its operating budget in response to lagging state funding, the loss of revenue from the phase-out of a business tax and the reluctance of voters to raise local taxes.”

    “Fairfield Schools have recently made cuts as have others in the region including Mason, Little Miami, Kings, Lebanon, Hamilton, Middleton, Forest Hills, Lockland, Princeton, and Northwest schools. Cincinnati Public Schools is estimating an up to $80 million shortfall next school year but so far has not determined what kind of cuts or levy requests to pursue.”

    Lakota puts off vote on cuts
    By Michael D. Clark
    The Cincinnati Enquirer
    March 29, 2011

  6. Administrator says:

    CPS wants your input on budget cuts
    Monday forum seeks guidance as schools scramble.

    . CPS expects a roughly $80 million, or 17 percent loss in revenue next school year because of predicted cuts in state and federal funding, rising expenses and the phasing out of federal stimulus dollars.
    . The district’s 2010-11 general fund budget is about $468 million, which is roughly flat compared to the 2009-10 budget. However, the district is preparing to lose nearly $40 million in federal stimulus dollars that it used to fund summer programs.
    . School districts across the state are bracing for the state budget. The state has an $8 billion budget gap. Many education officials have said schools can expect a 10 percent to 20 percent cut in state funding..
    . CPS has already received notices that more than 150 of its teachers plan to retire earlier. All of its unions made concessions on health care, which may avert some layoffs. The district must let administrators know if their contracts are being renewed by March 30 and must tell teachers by April 30.
    . The Community Building Institute will hold a Regional Forum on School Funding on Thursday at which school officials, parents, employees and community members can learn more about the impact of Kasich’s budget on schools and discuss how to handle the loss funding.. David Varda, executive director of the Ohio Association of School Business Officials, said levies may be common this November as districts look to offset funding cuts. Several local school districts put off asking for a May levy because they wanted to see what the state cuts looked like first.
    Source: Jessica Brown, THE ENQUIRER Sunday, March 13, 2011 B4

  7. Administrator says:

    Batavia schools plan $1.5 million in cuts

    Batavia schools officials are planning to cut $1.5 million from the budget.
    .
    The proposed cuts, which must be approved by the school board at the March 21 meeting, include eliminating 14 to 18 emlpoyees. The meeting begins at 7 p.m. at the high school.
    .
    The cuts willl be be made for 2011-12 even if a 6.9-mill operating levy passes May 3, Superintendent Jilll Grubb said.
    .
    The proposed staff cuts include laying off seven to nine certified teachers for a savings of $396,207 and seven to nine non-teaching employees for a savings of $195,577.
    .
    Grubb said the cuts were needed because revenue has not kept up with expenses. The district has operated at a deficit for the past three years, and the district’s reserve fund has been depleted.
    .
    Both the cuts and passage of the levy are needed to build up the reserve fund, she said.
    . To review the proposed cuts, visit the didstrict’s website, http://www.bataviaschools.org
    Source: John Seney THE ENQUIRER 3/12/11 C7

  8. Administrator says:

    CPS sets forum on budget plan

    Cincinnati public schools, which expects a roughly 17 percent loss in funding next year, wants to hear from people in the district at the school board meeting Monday about what services matter most to them.
    .
    The Board wants advice about how to create a budget for the 2011-12 school year that can “support tremendous academic gains the district has been making despite a financial landscape that projects a loss of $80 milllion in operational resources,” according to a news release.
    .
    The board’s goal is to identify the budget prioities, get feedback about potential cuts and create strategies.
    .
    This will be the first in a series of opportunities for public input on the district’s 2011-12 budget, which must be finalized by June 1.
    Source: THE ENQUIRER MARCH 12, 2011 C3

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