Board suggests residents pay for some transportation

Spencer school board members threw a late twist in their 2009-10 budget-cutting discussions Thursday night as they moved to reduce discretionary in-town busing and turn it into a pay-for situation. The very last motion made during the evening work session -- approved 3-2, with Todd Korbitz and Marti Bomgaars dissenting, -- moved the $25,127 discretionary transportation item below the proposed cut line.

"I think we should either have transportation or not have transportation," board member Ed Ver Steeg proposed in a last-ditch effort to shave money off next year's budget figures. " ... I know every parent that puts their child on a bus is going to hate my guts, but that's $30,000."

Superintendent Greg Ebeling, who had recommended its placement topping the district's list of items to keep next year, commented a possible fee structure for in-town busing might work.

"We did some quick math, and the people who would be on the free-and-reduced lunch system would have either a free bus pass or a reduced bus pass. We'll probably figure out a reduced-cost bus pass. Then, the ones who aren't on free-and-reduced, would be charged for discretionary busing," Ebeling explained.

Of the district's approximately 350 students that take part in Spencer's in-town discretionary busing, Ebeling estimated 150 are in the district's free-and-reduced fee structure system. As is being proposed by the board, the 200 others would either need to find their own way to get to school or pay a roughly $27 fee per month to ride a school bus.

"It's actually less than the price of a hot lunch meal every day, but it would still be an additional cost for families -- if they want it," Ebeling said, further noting there are many districts in the state that do not do discretionary busing.

"But, the reality is, for our size of community, it gets to be pretty questionable," he said of the proposal, which would create a pay-for discretionary transportation system for K-8 students inside a two-mile radius and for high school students inside a three-mile radius from their respective attendance centers.

Another change the board made to Ebeling's recommended budget package order was moving a $43,955 maintenance person's position above the proposed reduction line.

While board members proposed tentatively cutting $676,810 from the $1.09 million in potential packages offered for reduction, their reduction amount is below Ebeling's recommended $693,000 - $700,000 mark. The superintendent also informed the board that it may need to cut an additional $122,000 if the Department of Education does not grant the district permission to pay for energy loans for energy improvements created within the district with either PPEL or SILO funds.

"We took out a loan through the DNR that permitted us to create energy improvements in the district. That DNR loan is currently repaid for with general fund dollars. Right now, it's about $122,000 a year that we have to repay our Energy Service Group loan for energy improvements," he explained. " ... It's now permissible through Iowa Code to pay for those energy loans out of either PPEL or SILO funds. But, we have to get permission from the Department of Education to do that. We haven't received that permission yet, and we're not 100 percent sure we'll get it. It's permissible, but it was new legislation and we did it (our ESG agreement and plan) prior to the legislation. So, it becomes a question of whether they'll allow us to do that or not."

Meanwhile, 12 packages remained above the board's proposed cut line Thursday night. As ranked in order of importance assigned by the board, the 12 carry a $413,178 price tag. They include: An elementary teacher position; a combined Spencer High School math and alternative school teacher position; the salary and benefits for a half-time vocational ag instructor and FFA sponsor; a debate, mock trial and boys swimming program; a SHS social studies instructor position; two middle school basketball coaches' stipends; a combination SMS music and elementary band teacher position; a full-time maintenance position; the assistant superintendent's continued compensation for serving as the district's curriculum director; and keeping the SHS assistant principal and district's activities director positions intact as they currently are.

A good portion of Thursday's meeting was spent by board members belaboring the pros and cons associated with the two administrative packages Ebeling recommended remain above the cut line. Board member Barb Van Wyk deemed reducing both "too big a cost" for the district to bear.

Ebeling indicated the possibility of sharing the position currently held by Assistant Superintendent/Curriculum Director Kathy Elliott with another district is being researched. He also informed the board that she is in the midst of a two-year signed contract, and if it were to approve reducing the curriculum director portion of her position next year, that would not be possible until the end of 2009-10. Elliott also told board members that she has three years until she could retire and receive IPERS benefits.

The value of a second administrative budget package pondered by the board -- combining Activities Director Roger Johnson's position with SHS Assistant Principal Jade Beehler's -- was also placed directly above next year's proposed reduction line.

"You can care about comparability or you can not care about it, but I guarantee people from the outside looking in and looking at jobs care about it," Ebeling told the board. " ... We have eight FTE (administrators) right now. This would take us to seven, and we would be the lowest in all comparability groups."

As Johnson addressed the board, he described how he regularly goes beyond what his job description covers.

"I understand, like Ed said, that you have to cut and (my position is) probably going to go next year. I understand that and I have no problem with it," Johnson said. "But, I want you to understand that you're going to have to hire support for Jade if you do that. Doug Conard tried to do the assistant principal and AD for one year. That was all Doug could do."

He continued, "I've been on the (proposed reduction) list for three years -- so it's nothing new. But, I just want you to realize that the $97,150 (you think you'd save), you're going to have to have support to give to Jade."

In other discussion, Bomgaars advocated that Spencer's administrators' paid insurance packages be limited to single coverage, allowing them the option to purchase family policies.

"There's a lot at stake here," she said. "And, I think the same for the teachers. I feel that everyone needs to recognize the economic hardships of this community -- including teachers. This is not a time when we can be cutting people and then have full family packages for other people."

"I could very well see the next board being faced with looking for six new administrators," Van Wyk said in response to Bomgaars suggestion.

Board member Korbitz, who agreed with Bomgaars, continued, "We don't have any idea what else is out there for us to consider (cutting). That's what a lot of people were angry about during the public community input committee (sessions recently held). ... I'm sick of hearing excuses. We need to look at every line item on the budget and see where is it going, and what value does each person bring to this district."

Following Thursday's work session, board president David Schlichtemeier summarized the board's reduction rankings by saying, "I think we're a very diverse community with very diverse opinions. That was reflected in the board tonight as we built some kind of a consensus on how to proceed. Someone once said that a good compromise is when nobody's happy. I think that's where we're at -- nobody's really happy. But, we got most of the way to where we need to go -- and we will get through this."

When questioned about the board's proposed reduction amount not reaching Ebeling's recommended $700,000 mark, Schlichtemeier continued, "We're at $695,000 -- with the understanding that we're still looking at everything above the line for another cut. I have every intention of getting to that $700,000 still. I'd prefer to do it through cuts. I'd prefer to balance the budget on our income."