Message from Superintendent Patrick Godwin Regarding the State Budget Crisis

May 29, 2009

This is the first in what will (unfortunately) be a series of budget updates as the Folsom Cordova Unified School District learns more about the state and federal budget picture and considers ideas for coping with this unprecedented crisis. 

These updates are intended to keep FCUSD parents and community members informed about the issues related to the budget crisis.  In some cases we will post information about ideas that are being considered that ultimately will not be recommended or implemented.  One theory about how to get the best ideas is to gather a lot of ideas; we are in the "gathering a lot of ideas" phase.  Consequently, it is important to consider these updates as a type of thinking out loud. 

Once we have decided on a series of recommendations, they will be presented to the Board for public comment and action.  Until then we are just thinking and considering. 

The mandatory timelines for employment actions and budget adoption will require decisions and actions at specific times, but we do plan to take all of the time available before making any final recommendations.  A conclusion is often considered a place where someone decided to stop thinking.  We are not done thinking.    

Following are some of the current thoughts and considerations:

1.  How deep is the budget hole for the District?

We do not know for sure.  The governor and legislature have not finished revising the budget. 

What we do know is that the governor's new proposal includes additional cuts for this year (2008-09) that carry over into next year, as well as additional reductions for 2009-10. 

Our best estimate is that we need to make $5.4 million in cuts for 2009-10 in addition to the $6.9 million already recommended for reduction for next year.  The total reduction for 2009-10 appears to be $12.3 million dollars. 

2.  Won't the federal stimulus money cover most of that reduction?

The good new is that the District is scheduled to receive about $4.9 million in federal State Fiscal Stabilization Funds (SFSF). 

The bad news is that the state has found a way to hijack that money before it makes it to our schools.  The state can accomplish this by implementing the governor's plan to impose additional "mid-year" cuts for 2008-09.  On May 12, the governor proposed reducing the Proposition 98 guarantee for the remainder of this year (2008-09) by an additional $225 per student before the end of this fiscal year.  For the FCUSD, this would equate to $4.1 million of the $4.9 million in SFSF funds. 

Because the governor and legislature want to reduce the 2008-09 Proposition 98 guarantee, this proposal is very likely to be approved.  

3.  What criteria will be used to prepare recommendations for budget reductions?

The preparation of budget reductions will be guided by three main principles, including:

1. Our primary clients are our preK-12 students.
   • Programs that serve other students and community members are subject to being reduced or eliminated unless they directly impact our ability to support our preK-12 students.
2. Our students will receive a high-quality education focused on the courses necessary for high school graduation, college admission, and meaningful careers.
   • Staffing will be prioritized for these purposes.
   • Quality, research-based instruction will be emphasized and supported. 
3. Our students will be provided with a safe and healthy learning environment.
   • Adequate support staff will be provided to monitor student behavior and maintain our buildings and grounds at an acceptable level.

4. What options does the District have to balance its budget for 2009-10?

The depth of our previous cuts, combined with these new reductions, does not leave the District with many options that do not directly impact our students, staff, and community. 

Among the options being studied are:

• Using the remaining SFSF funds (about $800,000).
  • The use of these funds will need to be carefully considered.  For example:
    • Should all of the funds be used for 2009-10, or should some be set aside for 2010-11?  The next two years are both projected to be bad for public education.
    • What portion of the funds should be used to save jobs, and what portion should be used for the other federal criteria of "reform" and improvement?
      • The US Secretary of Education and President Obama have both indicated that schools that fail to use SFSF funds for improvement will not qualify for future competitive federal grants.
• Additional redirection of funds for special purposes (commonly referred to as categoricals) to general fund purposes.
  • Redirecting funds will mean that many services provided by those funds will be significantly reduced or eliminated through employee lay-offs.
    • Some individuals believe that categorical programs can be eliminated without impacting people and services.  That is simply not true.  Employees and services will be impacted.  We have greater flexibility in how to use these funds, but they have been cut and we have fewer categorical dollars to use to serve students. 
• Redesign district and site level administrative functions.  (Again.) 
  • Services to sites, departments, and students will be impacted. 
  • Administrative services have endured the greatest percentage of reduction during cuts in the past decade, and there is not much left to reduce.
• Delay the contribution to the retiree benefit account for one year.
  • This will not impact current retirees, but will delay the full funding of future retiree benefits.
    • The District must eventually fully fund its retiree benefit plan.
• Continue to discuss salary adjustments with our employee groups to save jobs and programs.
  • Administrators have agreed to reductions that will match or exceed reductions negotiated with the Folsom Cordova Education Association (FCEA), the union that represents teachers and other certificated staff.
  • The District will commit to using any funds generated by FCEA or CSEA (the union that represents the classified employees) to save jobs in their respective employee group.
    • Options include furlough days, freezing of automatic salary increases, and reductions in days of service or hours per day.
• Increase class sizes, at all grade levels.
  • The District must consider the proven value of class size in comparison to other needs.
• Reduce or eliminate high school course offerings that do not directly support high school graduation, college admission, and/or viable and academically powerful career education.
• Reduce or eliminate services that can be provided in another manner.  For example:
  • Some counseling services may need to be provided using alternative methods.
  • Library services may need to be reduced or restructured.
• Reduce or eliminate athletics and other extra-curricular offerings.

5.  What happens next, and when will we know more?

A lot of what happens next, and when, depends on what the legislature ultimately decides.    We all hope that the final resolution will be better than the bleak pictures being painted by the media and others. 

For now, we are forced to plan based on the best available information.  Consequently, for the next few days we will be focusing on adding details and alternatives to the list above. 

There is a saying that reads, "Every problem has a solution and every solution has a problem." That is certainly true of each of these potential recommendations.  In some cases, there will be significant disagreement about what is most valuable for our students. 

As we add new ideas and/or add details to existing ideas, we will share those with you to the extent possible.  In some cases, because of privacy rights and to protect individuals from criticism, I may withhold names or other pieces of information until it is appropriate to make an announcement.

In closing . . .

The most damaging aspect of the budget crisis is the potential to harm relationships. 

With fewer adults in schools, there are fewer opportunities for students to find the adult(s) that will influence and guide them.  Schools in the nation funded at the national average have 64 teachers and 3.4 administrators per 1000 students.  In California the average school has 48 teachers and 2.2 administrators, and that is before this round of cuts and reductions.     

With decisions being made to reduce positions and services, there will be strong disagreements about the choices.

I would suggest that now is a time for us to exercise patience and understanding.  In particular, please do not participate in circulating rumors and conjecture.  These are difficult times, and we do not need to add to our challenges by succumbing to unwarranted FEAR (False Expectations Appear Real).

If you have a concern or question, ask the person most responsible, or ask me.  Together we will get through this mess.

I look forward to what I believe will ultimately be a ground swell for public education, if not for next year, then very soon.  People who care about children and our future will eventually demand better from our state.      

-Patrick Godwin