Manatee County Schools Budget Cuts

BY KATHLEEN McGRORY

Miami-Dade Schools Chief Alberto Carvalho on Wednesday unveiled a plan to save the district $56 million -- and balance the budget -- before the fiscal year ends in June.

The proposal, discussed at a meeting with The Miami Herald´s editorial board, includes $21 million in cuts to nonschool spending and $8 million in cuts to schools.

Carvalho also said he would ask employees to defer payment for an unspecified number of work days until the new fiscal year, which begins July 1. The overall savings to this year´s budget from the deferred payments would be $27 million.

“We believe we´ve found a solution that protects educational programs and the workforce and provides financial viability for the school system,” Carvalho said.

But the plan may meet resistance from the teachers union, United Teachers of Dade President Karen Aronowitz said.

“If they defer payment to FPL, will they keep the electricity on?” Aronowitz asked. “Employees should not have their money taken from them. Their bills will not be deferred.”

The School Board will take up the plan at its next regular meeting, scheduled for Wednesday. Carvalho also plans to discuss it with the unions.

The sagging economy has presented a major challenge for the Miami-Dade school system. This year alone, the district has had to cut more than $300 million from its $5.5 billion budget.

Late last year, Carvalho made a $123 million cut -- the largest single reduction a Florida school district has ever made. That cut dramatically reduced the size of the school system´s bureaucracy.

But in January, state lawmakers further slashed education spending at a special legislative session. And revenue from property taxes, another source of public-school funding, has continued to fall.

Carvalho did not want to make the remaining cuts by laying off employees, he said. Doing so would affect more than 3,600 people.

“The human suffering associated with a $56 million reduction is staggering,” Carvalho said. “I don´t believe it to be moral. I don´t believe it to be the most strategic course of action, either.”

PURCHASING CUT

Instead, the district will “throttle down the purchasing process to the very vitals,” Chief Financial Officer Richard Hinds said.

District officials curtailed spending in nearly every department, including schools, Hinds said.

“Right now, any school purchase other than supplies must be explicitly approved,” Hinds said. He also noted that the district has imposed a strict hiring freeze.

But those savings alone wouldn´t be enough to balance the budget, Carvalho said. As a result, he plans to ask employees to defer some of their compensation.

Carvalho would be able to repay employees after the new fiscal year begins because the budget reductions made this fiscal year will generate a spike in revenue next fiscal year.

Carvalho called the plan “a short-term deferment of compensation in order to achieve long-term workforce stability.”

“By simply moving a couple of work days when the students are not in school, the liability that could bankrupt the school system this year is shifted to next year” when more funds will be available, he said.

He also noted that the measure would not change employee compensation for the calendar year.

Carvalho said he could not say how many work days he was looking at, saying he would like to negotiate that point with the unions.

But Aronowitz, the teachers union president, said even one day would be unacceptable.

“He cannot take salary from people and give us an IOU,” Aronowitz said.

MUM ON PAY RAISES

Carvalho did not specifically address the issue of employee pay raises, which were withheld this year to save money. He said he would be willing to discuss that with union leadership.

School Board member Agustín Barrera said the plan was well thought-out.

“It takes into account the best interests of our workforce, minimizes financial impacts for the calendar year and keeps as many people employed as possible,” Barrera said.

Board member Renier Diaz de la Portilla said both sides -- the teachers union and the district -- will ultimately need to compromise.

“There´s a scenario where the teachers could get what they earned, yet we as custodians of the budget can be fiscally responsible,” he said.

Carvalho said he was optimistic about the district´s finances -- especially in light of a proposed federal economic stimulus that would increase funding to local school districts.

He called on members of the community to oppose additional cuts to education.

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