AISD faces budget cuts, says everything will be alright
AISD faces budget cuts, says everything will be alright
By Mark Collins Thursday, 02 July 2009
AUSTIN — Forced to make up a $22 million deficit in the budget by September, Austin Independent School District says major cuts are not likely, despite consultant suggestions that could save $24.8 million in the coming school year.
Milan Sevak, special assistant to the superintendent, said the district will look to make up the difference through three channels: federal stimulus funds, the district’s own savings fund balance and minor cuts and reallocations.
“The district wants to use taxpayer dollars efficiently, and in order to do that we have to make cuts — but in a way that doesn’t negatively impact the quality of education,” Sevak said. “It will be a challenge to figure out where those cuts need to be made, but we intend to protect the quality of education we have now.”
Teachers are not as risk of losing their job despite roughly 85 percent of the district’s budget being allocated to personnel. Teachers are, by law, under contract so to eliminate positions proper notification must be given first.
Consulting firm MGT of America presented a financial efficiency study to AISD trustees June 1 that presented the district with a multitude of money-saving options, but did not make any recommendations. Most notable among the suggestions was cutting elementary art, music and PE in the 2010-2011 school year, but Sevak believes such drastic measures are unlikely.
Instead the district will focus on non-personnel savings, such as reducing food expenditure by 30 percent, which would save the district $250,000.
“Each cut seems like a drop in the bucket, but it really shortens the gap when you add it all up,” Sevak said.
To make up the rest of the deficit the district is waiting on approximately $12 million in state funds from the federal stimulus package that was approved by state legislators. Questions are still being raised about whether the state can earmark the funds for specific uses. The remaining balance will be paid for out of the district’s rainy day fund.
The budget will be presented to the board August 3 and a public hearing will be held August 17 before the document is finalized by August 31.
In the meantime, a copy of MGT of America’s report is available online and citizens are encouraged to communicate concerns through the anonymous form on the website or by contacting the financial office.
