SCS Budget Working Docs

Attached you will find  copy of the preliminary budget presentation the board members received along with an excel spreadsheet that I am working on to help creating a working document that I can work from as we propose changes to close the gap. You may or may not understand but it will give you a sort of picture I am starting with.

04Feb13 Memphis-Shelby Board Budget Presentation Final

school-budget

Staffing Ratios

Here is a narrative of the documents that you are looking at:

1) Projected SCS Revenues for FY2014 are $1,133,000,000 (87 million less than 2013 due primarily to the loss of Memphis contribution of 68 million and loss of ASD related revenue. (Column A on the spreadsheet)

2) Projected Expenses for 2014 are $1,290,000,000..Coluns C and D.

3) That leaves a gap of $157,000,000 if nothing is done. This is a conservative number. The main drivers of the gap between revenue and funding are:

a) Loss of $68 million from Memphis

b) Loss of ASD revenue

c) Loss of Charter School (You cannot deduct 100% off of your expenses when you lose a child. Primarily because the charter school recruit children all over the city and if you lose one child out of a school. You cannot lose headcount.

d) The MPD pulled 2 million dollars in officer contribution to secure the schools.

e) We have 6 million worth of existing pre-schools that we have to fund due to loss in federal grant money.

f) Norris- Todd requires that we level up salaries across the district to he tune of 11 million dollars. MCS principals make much less  than SCS principals and most SCS teachers make less than MCS teachers.

g) Teachers have pay step increases that are state mandated that must be paid out to the tune of 18.8 million.

4) The TSC is recommending 34 million in district investments this year that could be added to the expense column. These are: If you look at column E and F on the spreadsheet, these are mapped out. (Columns E and F)

a) 15 million dollar pre-funded OPEB contribution for retiree benefits

b) Pre-k expansion of 25 classrooms at 3 million dollars.

So if you include all of the costs including the “investments” the gap starts at: $192,000,000

5) Column H and I speak to efficiencies found by the TSC and they are worth $107,000,000.If you look carefully at the cost savings, you will see outsourcing custodial, busses, and many other reductions. The one that is the most troubling is in the staffing model.

All of these create a net loss(gap) of 84 million dollars..

Advertisements

3 Responses to SCS Budget Working Docs

  1. Ronald Williams says:

    Mr. Reaves:

    Frankly, this budget is as bloated as a fat Christmas goose and needs to be substantially trimmed to fit with the financial resources available. In my opinion, the goal of providing a “world-class” education system (whatever that is) for the Memphis/Shelby County area is delusional. This might work in other areas of the country where the population is more receptive to the idea, but in not appropriate here. The Transition Planning Committee and Unified School Board has been sold a bill of goods that doesn’t have the slightest chance of success with the socio-economic problems and cultural barriers found in this area. Throwing money at problems has never worked and won’t in this case either – it’s a terrible waste of my hard-earned tax dollars. I think “world class” is a fine concept for those interested and willing to take advantage of it, but to make it a systemic feature is a big and very costly mistake.

    It makes absolutely no sense to me for the cost to increase so dramatically. If I’m not mistaken, the same number of students are involved here with the “unified” system as when there were with two school systems. The cost per student shouldn’t change for the same education. What has changed is the shift of cost responsibility from the city of Memphis to the rest of the county. Granted, the city once paid extra for educating their children in their special school district, but that was self-inflicted. Scale it back!

    As you might have guessed. I’m strongly opposed to what’s going on here, and feel it’s dishonest to say that we’re on the brink of having a “world class” school system. Realistically, we need to get away from the marketing hype and apply the Shelby School System model which worked so well for so long. The concept of a world class system will be lost on most of the local citizens and has little, if any, chance of success…. Not to mention pouring lots of money down a rat hole.

    Thank you.

    Regards,

    Ron Williams

  2. Victoria Bromley says:

    But, “everything will stay the same and nothing will change”. Uh-huh. Do they think we are brainless idiots??? This is beyond insulting. It is an outrage to us and to our children and our educational staff – no matter their position.

  3. Jennifer says:

    What can we, as parents, do about this? Can we attend the Budget Meetings this week? If so, when and where are they? Thanks!!!

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: