School's budget reduction timeline set

As Spencer school board members were presented with a timeline and process to trim at least $340,803 from the district's 2009-10 budget, one potential budget-reduction action was taken in agreeing to offer an early-retirement policy for next school year. The board was then alerted to another financial snafu.

Gov. Chet Culver ordered a 1.5 percent across-the-board cut in state spending, and ruled out a tax increase as part of Iowa's budget solution, Thursday. Local school districts stand to lose about $33 million in state funding with these cuts, which are proposed to begin Jan. 1, 2009, and cover the budget year ending June 30.

Superintendent Greg Ebeling told board members that Spencer can anticipate at least a $126,000 loss in revenues in state aid. He then said categorical areas such as teacher compensation, teacher quality/professional development, and state-class-size in reading would also stand to take financial hits.

"The teacher compensation category, in and of itself, is about $700,000. So, that would be $7,000 right there from that category. ... I'm thinking the rest of them could easily add up to be another $25,000," Ebeling said of the district's categorical areas sure to be diminished.

While he noted the district's spending authority, or credit card, won't change, Ebeling indicated its cash reserve could be depleted by at least $150,000.

"The only other way to bring money into the district is to levy it in," the superintendent said.

The board unanimously approved an early-retirement policy for certified staff. Marti Bomgaars, whose husband Steve is eligible for the package, was among those voting in favor.

In order to be eligible, an employee must have completed 10 years of service in the district and be at least 55 years of age by June 30, 2009. Currently, 32 district staff members are eligible.

Those electing to partake in the incentive will be signing up for a payment of 37.5 percent of their current annual salary. This may either be applied to insurance or a tax-sheltered annuity. The deadline to enroll in the policy will be Feb. 15, 2009.

"This is the sustainable policy," Ebeling said. "It's not the golden carrot policy (with insurance included)."

"If we get three early retirees, which is how many I'm predicting with this policy, it will be about 12 cents per $1,000 of valuation is what it would cost for an increase (to property taxpayers). And that equates to about $6 on a $100,000 property for taxes," Ebeling added.

As the board moved to approve the early-retirement policy, Ed Ver Steeg stated, "I simply see it as a sign of respect and treating others as you wish to be treated."

In other action last night, board members approved a proposal drafted by Spencer High School teachers and Principal Joe Mueting to respond to student academic needs. As outlined, data shows nearly 140 students, or approximately 20 percent of the high school population, with at least one failing grade on their report cards currently. Board member Barb Van Wyk mentioned Mueting had visited with her and said this has been about the average number of SHS students failing a class over the last five quarters.

Since there is "very little time for instructors to see" failing students during the school day, the approved plan would dictate a schedule revision on Friday afternoons, from 2:30 - 3:25 p.m., beginning with the second half of third quarter, in which all SHS teachers, teacher associates and several student mentors would be stationed in classrooms to provide assistance to the failing students.

It was noted that homeroom time would be eliminated and the 2:30 p.m. dismissal time Friday would shorten all classes by seven minutes. While students not failing any classes would be dismissed for the day at 2:30 p.m., those students riding a school bus would be able to enter a homeroom-type situation until their ride home arrived.

The approved plan states, "The 2:30 p.m. attendance requirements will be determined each grading period," or every four weeks. The plan also declares, "Since we are implementing the plan at the beginning of the second semester, students will be given until the midterm of the third quarter before being required to stay at 2:30 p.m. Until that time, dismissal time would remain at 3:30 p.m. for all students."

SHS teacher Becky Conley assured board members, "If it doesn't work, we'll be back."

Following a public hearing, in which no written or oral comments were offered, board members also unanimously approved bylaws and a condominium agreement for the old Spencer Middle School building. The agreement, in part, will allow the district to enter into a relationship for the building in which different entities can own different parts.

"We're going to have three potential owners in that building. Currently, the school is going to own two of those three parts. One of the parts is the auditorium and the basement. The second part is the first floor. And the third part is the building's second and third floor. (Community Housing Initiatives) is second and third floor. Eventually we're hoping that we'll have the senior center to be the owners of first floor, now that they're moving in there. And then the auditorium and the basement will continue to be owned by the school," Ebeling explained. "Our hope is they (the senior center) may own it (the first floor) really soon. If we can sell it to them within the next year, that's what our plan would be. And when I say sell it, I mean loosely sell it. ... So, there might be an agreement like we did with CHI, where we essentially give them first floor."

In discussion, the board:

* Learned from Positively Spencer Youth representative Amy Simpson that several "substance-free activities" are planned for youth. A dodgeball tournament targeting local high school and college students will be held at the Spencer Family YMCA this Saturday. A family forum centered on preventing violence in schools is scheduled for Sunday, Jan. 25, 2009 in the district's administrative office building. A winter dance for SHS and Clay Central/Everly High School students is scheduled to be held, beginning at 9 p.m. on Friday, Jan. 9, 2009, in the Clay County Regional Events Center. Simpson also noted that plans are being made to rent out the local bowling alley for SHS students on Fridays Feb. 27 and March 27, and for SMS students on Saturdays Feb. 28 and March 28. Youth will be allowed to participate in a free night of bowling, playing Wii games, pool, having snacks and fun with friends.