2010

Posted by Bob on March 13, 2010 under Daily Blogs | Be the First to Comment

Paul Rotatori was kind enough to present a ten (10) point budget review at last evening’s (3/11/2010) Board of Education meeting. While time and Board of Education chair policy prevents would could have been a lively discussion on the ideas, I would like to address Mr. Rotatori’s discussion topics and hopefully generate dialogue and feedback. The following are my personal responses to Mr. Rotatori’s ten (10) points (included for reference in italics), and do not represent the position of collective Board of Education (hereinafter “BoE”).

1. Self-insured insurance plan with escrow or reserve funds included.

Paul’s point is essentially the current course of action being taken by the BoE. In accordance with recommendations from Borough and BoE consultant Dr. Joseph Fields, the BoE issued formal requests for proposal (“RFP”) for health care providers. Numbers are expected today (3/12/2010). While a self-insured plan is certainly less stable than a fully-insured plan, the Naugatuck BoE is not in a position to go fully-funded at this time because there is not reserve. The “run-out” or incurred but not reported (“IBNR”) claims would make a switch to a fully-funded plan cost-prohibitive in the first (1st) year. The general direction is to build a reserve over a three (3) year period which would put the BoE in a position to go fully-funded at that time. Building a reserve is a necessity in any self-funded plan structure.

2. Retired teachers salaries calculated without school closure.

The current expected gross savings from the teacher early retirement incentive plan is approximately TWO MILLION TWO HUNDRED FIFTY THOUSAND FIVE HUNDRED THIRTY ONE and 06/100THS ($2,250,531.06) DOLLARS. This figure is based on approximately thirty three (33) teachers retiring and hiring no replacements. It is estimated that given the content areas of some of the retirees, the BoE will have to replace at least five (5) to eight (8) of those positions.

3. Reexamine present insurance benefits. Is what we have in place something the Borough can afford? Can we get a better rate? Especially considering the younger age of our teachers with all the retirements.

All insurance benefits are collectively bargained with employee groups. The BoE can change carriers provided the coverage included is equal to or better than existing benefits. The biggest factor effecting the health care numbers, aside from the number of insured, is the premium renewal rate currently offered by Anthem which was thirty five (35%) percent higher than the previous year’s cost. This outrageous premium increase is the driving force behind the BoE’s decision to bid carrier services. The BoE or Borough for that matter, can not afford to employ and ensure our valued employees at the current levels with that type of premium increase (the Borough’s municipal quote was thirty one percent higher than the previous year). While the national debate on health care may seem abstract and far removed from Naugatuck, we are feeling the impact of the issues locally.

4. Examine portable classrooms – can they be eliminated or leases renegotiated or canceled?

The BoE currently utilizes six (6) portable classrooms: two (2) at Prospect; two (2) at Western; and two (2) at Cross Street. All portables are owned – not leased – and generally require less maintenance then permanent classrooms. Many of the portable classrooms were purchased as a result of insufficient capacity at existing schools combined with cyclical spikes in enrollment.

5. Can other Board of Education positions be combined with Town Hall employees handling comparable jobs?

There are certainly functions of municipal and BoE governance that overlap and can be integrated better to improve efficiency. The current combination of the business offices and health benefit consulting services has already created better cohesion. Future opportunities to work together exist in the areas of purchasing, payroll, building/grounds maintenance, human resources and information technology. Future collaboration requires the support of a majority of BoE members as state law grants autonomy to boards of education. I personally support future efforts to the limit duplication of services and provide greater efficiency at less cost.

6. Can present employees of the Board of Education be reconfigured to focus on search for additional new federal or state grant monies that may be available?

Currently all municipal and BoE departments often seek grants independent of each other as the Borough has no official grant writer. In addition to their regular job duties, current Tuttle staff identify, obtain and administer various grants for the BoE. The Joint Boards of Finance and Mayor and Burgesses recently named a subcommittee to investigate options to increase the Borough’s grant writing capacity. A report to the Joint Boards is expected this spring. If the Joint Boards is willing to fund a grant writer position, it is certainly possible to allow a municipal grant writer to assist the BoE.

7. With the new utility regulation laws, can we be entertaining better rates?

The entire Borough, including the BoE, is under an existing electrical supply contract with TransCanada. The current contract provides electricity to the Borough for approximately ten ($0.10) cents or less per kilowatt. This is generally considered a good rate for a municipality.

8. Can we be a leader in Connecticut with some type of program where we use student teaching to fill our gaps.

The BoE currently takes advantage of student teaching opportunities in conjunction with various institutions of higher education. Substituting additional student teachers to perform functions currently provided by existing teachers is subject to collective bargaining. While the idea is interesting and worth further investigation, there may be issues of continuity as many student teachers are only available for finite periods of time while completing their educational requirements.

9. Rather than let 100 non-tenured teachers go with a pink slip, (has) there been any thought of giving the non-tenured teachers 3-5 furlough days per year. Better than an unemployment line…

Furlough days are always subject to collective bargaining. It is unlikely that members of a collective bargaining unit would agree to require a certain class of employees to take furlough days and not others. There is also a scheduling problem if certain classes are not staffed while school is open. A clarification of the notices recently sent to non-tenured teachers is also required. State law requires that non-tenured teachers received a timely notice of non-renewal if said non-tenured teachers’ contracts are not going to be renewed. In theory, this allows non-tenured teachers time to prepare for alternative employment if their respective contract is not renewed for the following school year. The recent notice sent to non-tenured teachers by the BoE satisfied that legal requirement, but does not mean that all teachers will not return. Because the BoE is still determining what level of reduction in force will be required for the 2010-2011 school year, notices were sent to all non-tenured teachers. It is everyone’s hope that reductions in teaching personnel can be kept to a minimum once the final budget is approved.

10. Any pink slip thought to some of the Board of Education office employees. Why any different than the teachers’ pink slips.

Reductions in force will effect all levels of BoE employment. The Director of Special Assessment vacancy has not been filled after the previous individual performing that position took a job with another district. Reductions in additional Tuttle staff for the 2010-2011 fiscal year is most certainly a possibility. As stated above in the response to number nine (9), no “pink slips” were issued; only legally-required notices of non-renewal to certified, non-tenured staff to protect the options available to the BoE in crafting the 2010-2011 budget.

I would like to thank Mr. Rotatori for putting his ideas in writing and presenting them to the BoE at last Thursday’s (3/11/2010) meeting. We have often asked for constructive solutions to accompany constructive criticism, and Mr. Rotatori demonstrated leadership by doing just that. I believe that we must all participate in a continuing, community conversation about education. There is much we can learn from each other. Our educational system will be stronger if we understand how the process works and openly discuss ideas to improve the district. While we face uncertain times and difficult decisions, the needs of our students and our taxpayers demand that we discuss, explain and debate our options in an open manner. While we will never all agree on every course of action, we owe it to our community to exchange information and respectfully converse on the challenges we face and opportunities that exist.