[Vision2020] MSD financial condition
Dale Courtney
dale@courtneys.us
Wed, 26 Mar 2003 19:30:23 -0800
This is a multi-part message in MIME format.
------=_NextPart_000_00AC_01C2F3CE.27700320
Content-Type: text/plain;
charset="us-ascii"
Content-Transfer-Encoding: quoted-printable
Mike Curley took the time to write and make some very helpful =
suggestions
for my search into the current MSD budget woes.=20
=20
I took the time to go to MSD headquarters and get the financial data for
last year (2001-2002). FYI, those expenditures were $19,050,079
=20
I also gathered their enrollment data
(http://www.sd281.k12.id.us/GeneralInformation/files/Enrollment.pdf) =
There
were 2,365 students in 2001-2002.=20
=20
If you do the math, the total loaded (fully burdened) costs are $8,055 =
per
student per year.=20
=20
I was really amazed by this number! I happen to pay $1,500 for my =
youngest
to attend a private school (which may not be named) in Moscow.=20
=20
I was also amazed that out of state tuition at UI is $3,000/year; and
instate (for 2001-2002) was $1,238
(http://www.webs.uidaho.edu/ipb/Excel_files/STD_FEE.xls)
=20
Can someone please tell me why the elementary/junior high/high school =
fees
are nearly three times as much as for a bachelor's degree program?=20
Dale
-----Original Message-----
From: vision2020-admin@moscow.com [mailto:vision2020-admin@moscow.com] =
On
Behalf Of Mike Curley
Sent: Friday, 07 March, 2003 10:14
To: vision2020@moscow.com
Subject: [Vision2020] MSD financial condition
Mr. Courtney:
Just to correct a couple of facts before you share your thoughts about =
the
MSD budget:
1. The 2001 $1.1 M supplemental levy is also "indefinite" as were the
earlier levies.
2. Unless you have seen something that I haven't, there has been no =
request
for an increase to the levy (at least not yet).
3. Last year, teachers, administrators and all other staff members did
indeed have a pay increase--even in the face of the district having to =
ask
for a levy increase that did NOT include any announced "salary =
component;"
and even in the face of having to reduce staff and consolidate West Park =
and
Russell elementary schools into a single K- 6 program.
4. You asked the question: "... how you can have a decrease in
2.7%enrollment per year for 7 years (12.9% since 1996) and need to have =
a
bloating budget?" Possible answers to investigate:
a. bad management: failure to suck it up and do what needs to be done to
reduce staff where necessary and deal with the wrath of the union, and
parents, that is bound to follow.
b. cost of services increase. The 15% of the budget that gets spent on
curriculum (including books, worksheets, and other instructional =
materials),
technology (computers, software, servers, security equipment), and =
buildings
(vehicles to plow the snow, desk replacement, roof repairs, etc) suffers
from cost of living increases over 7 years. If a vehicle wears out today =
it
will cost more to replace it with a similar vehicle than it would have 7
years ago.
c. salary increases: note that salaries and benefits account for about =
85%
of the MSD budget. On a $17M budget, that's $14,620,000. That means of
course that every 1% of salary and benefit increase costs the district
$146,200. Check the salary and benefit increases per year over the 7 =
years
you cited, apply 85% to each year's full budget, and add the annual =
results
to figure out approximately how much increase is attributable to salary =
and
benefit increases over the period.=20
And, perhaps not "fact," it might nevertheless be useful to acknowledge =
some
other considerations. Related to point c. above: of course, if the
teacher/administrator/staff pool had declined over the period, the
salaries-to-total-budget ratio would have been smaller. In fairness, one
must note that since all the students are not in the same building and =
not
in the same grade, it is not possible to automatically reduce staff
proportionally with student population decreases. For example: let's say
there are 125 classes in session at any given time in MSD. If student
population declines in a perfectly random way (and I'm not suggesting it
does), we lose one student per classroom. What teacher do we "cut" next
year, and from which building. I am not suggesting that everything was =
done
over the last 7 years (or any time period for that matter) that could =
have
been to appropriately reduce staff. But it should be clear from the
illustration that the problem is not as simple as it might seem. What =
may
also be clear is that to cut staff and consolidate classes means larger
class sizes and more children being moved from their attendance area
elementary buildings each year, and more teachers being reassigned to =
new
buildings. Teachers and parents don't like any of those results, they =
pound
on the school board not to do that, and so the budget has to be larger =
to
accommodate those desires. So far a majority of the voting community has
supported that philosophy--or perhaps they created it. The school board =
is
left in the position of going to voters and saying in effect: "if you =
want
things to continue to run as they have in the past, we need more money." =
One
can reasonably argue that the board would have abdicated their
responsibilities had they cut staff in the face of voters continued =
funding
of exisiting staff size. It is not yet clear either: 1. whether =
increased
funding will be necessary to maintain current operations; and, 2. =
whether
voters will continue to increase the levy to meet those needs.
Mike Curley
_____________________________________________________ List services made
available by First Step Internet, serving the communities of the Palouse
since 1994. http://www.fsr.net mailto:Vision2020@moscow.com
/////////////////////////////////////////////////////=20
------=_NextPart_000_00AC_01C2F3CE.27700320
Content-Type: text/html;
charset="us-ascii"
Content-Transfer-Encoding: quoted-printable
<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN">
<HTML><HEAD>
<META HTTP-EQUIV=3D"Content-Type" CONTENT=3D"text/html; =
charset=3Dus-ascii">
<TITLE>Message</TITLE>
<META content=3D"MSHTML 6.00.2800.1141" name=3DGENERATOR></HEAD>
<BODY>
<DIV><SPAN class=3D070541503-27032003><FONT face=3DArial color=3D#0000ff =
size=3D2>Mike=20
Curley took the time to write and make some <U>very</U> helpful =
suggestions for=20
my search into the current MSD budget woes. </FONT></SPAN></DIV>
<DIV><SPAN class=3D070541503-27032003><FONT face=3DArial color=3D#0000ff =
size=3D2></FONT></SPAN> </DIV>
<DIV><SPAN class=3D070541503-27032003><FONT face=3DArial color=3D#0000ff =
size=3D2>I took=20
the time to go to MSD headquarters and get the financial data for last =
year=20
(2001-2002). FYI, those expenditures were =
$19,050,079</FONT></SPAN></DIV>
<DIV><SPAN class=3D070541503-27032003><FONT face=3DArial color=3D#0000ff =
size=3D2></FONT></SPAN> </DIV>
<DIV><SPAN class=3D070541503-27032003><FONT face=3DArial color=3D#0000ff =
size=3D2>I also=20
gathered their enrollment data (<A=20
href=3D"http://www.sd281.k12.id.us/GeneralInformation/files/Enrollment.pd=
f">http://www.sd281.k12.id.us/GeneralInformation/files/Enrollment.pdf</A>=
) There=20
were 2,365 students in 2001-2002. </FONT></SPAN></DIV>
<DIV><SPAN class=3D070541503-27032003><FONT face=3DArial color=3D#0000ff =
size=3D2></FONT></SPAN> </DIV>
<DIV><SPAN class=3D070541503-27032003>
<DIV><SPAN class=3D817333623-26032003><FONT face=3DArial><FONT =
color=3D#0000ff><FONT=20
size=3D2>If you do the math, the total <U>loaded</U> <SPAN=20
class=3D070541503-27032003>(fully burdened) </SPAN>costs are $8,055<SPAN =
class=3D070541503-27032003> per </SPAN>student<SPAN =
class=3D070541503-27032003> per=20
year. </SPAN></FONT></FONT></FONT></SPAN></DIV>
<DIV><SPAN class=3D817333623-26032003><FONT face=3DArial><FONT =
color=3D#0000ff><FONT=20
size=3D2><SPAN=20
class=3D070541503-27032003></SPAN></FONT></FONT></FONT></SPAN> </DIV=
>
<DIV><SPAN class=3D817333623-26032003><FONT face=3DArial><FONT =
color=3D#0000ff><FONT=20
size=3D2><SPAN class=3D070541503-27032003>I was <U>really</U> amazed by =
this number!=20
I happen to pay $1,500 for my youngest to attend a private school (which =
may not=20
be named) in Moscow. </SPAN></FONT></FONT></FONT></SPAN></DIV>
<DIV><SPAN class=3D817333623-26032003><FONT face=3DArial><FONT =
color=3D#0000ff><FONT=20
size=3D2><SPAN=20
class=3D070541503-27032003></SPAN></FONT></FONT></FONT></SPAN> </DIV=
>
<DIV><SPAN class=3D817333623-26032003><FONT face=3DArial><FONT =
color=3D#0000ff><FONT=20
size=3D2><SPAN class=3D070541503-27032003>I was also amazed that out of =
state=20
tuition at UI is $3,000/year; and instate (for 2001-2002) was $1,238 (<A =
href=3D"http://www.webs.uidaho.edu/ipb/Excel_files/STD_FEE.xls">http://ww=
w.webs.uidaho.edu/ipb/Excel_files/STD_FEE.xls</A>)</SPAN></FONT></FONT></=
FONT></SPAN></DIV>
<DIV><SPAN class=3D817333623-26032003><FONT face=3DArial><FONT =
color=3D#0000ff><FONT=20
size=3D2><SPAN=20
class=3D070541503-27032003></SPAN></FONT></FONT></FONT></SPAN> </DIV=
>
<DIV><SPAN class=3D817333623-26032003><FONT face=3DArial><FONT =
color=3D#0000ff><FONT=20
size=3D2><SPAN class=3D070541503-27032003>Can someone <U>please</U> tell =
me why the=20
elementary/junior high/high school fees are nearly three times as much =
as for a=20
bachelor's degree program? </SPAN></FONT></FONT></FONT></SPAN></DIV>
<DIV><SPAN class=3D817333623-26032003><FONT face=3DArial><FONT =
color=3D#0000ff><FONT=20
size=3D2><SPAN=20
class=3D070541503-27032003><BR>Dale</SPAN></FONT></FONT></FONT></SPAN></S=
PAN></DIV></DIV>
<BLOCKQUOTE=20
style=3D"PADDING-LEFT: 5px; MARGIN-LEFT: 5px; BORDER-LEFT: #0000ff 2px =
solid; MARGIN-RIGHT: 0px">
<DIV></DIV>
<DIV class=3DOutlookMessageHeader lang=3Den-us dir=3Dltr =
align=3Dleft><FONT=20
face=3DTahoma size=3D2>-----Original Message-----<BR><B>From:</B>=20
vision2020-admin@moscow.com [mailto:vision2020-admin@moscow.com] <B>On =
Behalf=20
Of </B>Mike Curley<BR><B>Sent:</B> Friday, 07 March, 2003 =
10:14<BR><B>To:</B>=20
vision2020@moscow.com<BR><B>Subject:</B> [Vision2020] MSD financial=20
condition<BR><BR></FONT></DIV>Mr. Courtney:<BR>Just to correct a =
couple of=20
facts before you share your thoughts about the MSD budget:<BR>1. The =
2001 $1.1=20
M supplemental levy is also "indefinite" as were the earlier =
levies.<BR>2.=20
Unless you have seen something that I haven't, there has been no =
request for=20
an increase to the levy (at least not yet).<BR>3. Last year, teachers, =
administrators and all other staff members did indeed have a pay=20
increase--even in the face of the district having to ask for a levy =
increase=20
that did NOT include any announced "salary component;" and even in the =
face of=20
having to reduce staff and consolidate West Park and Russell =
elementary=20
schools into a single K- 6 program.<BR>4. You asked the question: "... =
how you=20
can have a decrease in 2.7%enrollment per year for 7 years (12.9% =
since 1996)=20
and need to have a bloating budget?" Possible answers to =
investigate:<BR>a.=20
bad management: failure to suck it up and do what needs to be done to =
reduce=20
staff where necessary and deal with the wrath of the union, and =
parents, that=20
is bound to follow.<BR>b. cost of services increase. The 15% of the =
budget=20
that gets spent on curriculum (including books, worksheets, and other=20
instructional materials), technology (computers, software, servers, =
security=20
equipment), and buildings (vehicles to plow the snow, desk =
replacement, roof=20
repairs, etc) suffers from cost of living increases over 7 years. If a =
vehicle=20
wears out today it will cost more to replace it with a similar vehicle =
than it=20
would have 7 years ago.<BR>c. salary increases: note that salaries and =
benefits account for about 85% of the MSD budget. On a $17M budget, =
that's=20
$14,620,000. That means of course that every 1% of salary and benefit =
increase=20
costs the district $146,200. Check the salary and benefit increases =
per year=20
over the 7 years you cited, apply 85% to each year's full budget, and =
add the=20
annual results to figure out approximately how much increase is =
attributable=20
to salary and benefit increases over the period. <BR><BR>And, perhaps =
not=20
"fact," it might nevertheless be useful to acknowledge some other=20
considerations. Related to point c. above: of course, if the=20
teacher/administrator/staff pool had declined over the period, the=20
salaries-to-total-budget ratio would have been smaller. In fairness, =
one must=20
note that since all the students are not in the same building and not =
in the=20
same grade, it is not possible to automatically reduce staff =
proportionally=20
with student population decreases. For example: let's say there are =
125=20
classes in session at any given time in MSD. If student population =
declines in=20
a perfectly random way (and I'm not suggesting it does), we lose one =
student=20
per classroom. What teacher do we "cut" next year, and from which =
building. I=20
am not suggesting that everything was done over the last 7 years (or =
any time=20
period for that matter) that could have been to appropriately reduce =
staff.=20
But it should be clear from the illustration that the problem is not =
as simple=20
as it might seem. What may also be clear is that to cut staff and =
consolidate=20
classes means larger class sizes and more children being moved from =
their=20
attendance area elementary buildings each year, and more teachers =
being=20
reassigned to new buildings. Teachers and parents don't like any of =
those=20
results, they pound on the school board not to do that, and so the =
budget has=20
to be larger to accommodate those desires. So far a majority of the =
voting=20
community has supported that philosophy--or perhaps they created it. =
The=20
school board is left in the position of going to voters and saying in =
effect:=20
"if you want things to continue to run as they have in the past, we =
need more=20
money." One can reasonably argue that the board would have abdicated =
their=20
responsibilities had they cut staff in the face of voters continued =
funding of=20
exisiting staff size. It is not yet clear either: 1. whether increased =
funding=20
will be necessary to maintain current operations; and, 2. whether =
voters will=20
continue to increase the levy to meet those needs.<BR><BR>Mike=20
=
Curley<BR><BR><BR><BR><BR>_______________________________________________=
______=20
List services made available by First Step Internet, serving the =
communities=20
of the Palouse since 1994. http://www.fsr.net =
mailto:Vision2020@moscow.com=20
/////////////////////////////////////////////////////=20
</BLOCKQUOTE></BODY></HTML>
------=_NextPart_000_00AC_01C2F3CE.27700320--