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Reporters, keep digging! We're learning something new every day. In tonight's San Mateo Times, John Horgan's column was called "Monetary Morass". He reports that:
…not all trustees voted in favor of the precarious budget. One board member, Peter Hanley, tried to ring the alarm bell…that's because the budget [that was approved in late June] indicated a minuscule ending balance of barely $215,000. Hanley urged an immediate cap on health care costs and a $1.4 million boost in the reserve. It didn't fly. The board members voted 4-1 to OK the new budget. The rest, as they say, is history.

– Written by Joanne

Posted in

35 responses to “The Board Vote Was Not Unanimous”

  1. Anonymous

    How would the health care cap have worked? Does anyone have the details? Was the union consulted? Did it turn down the health care cap? This is an interesting new fact and one which tends to suggest that there were many ways this could have been mitigated earlier.

  2. KRN

    There is a cap on healthcare. It is the “multiplier” that has been negotiated between the district and the teachers. A % of the new tax dollars goes to fund salaries and healthcare and then these items are NOT negotiated. Therefore, there is a cap on healthcare. Ex. If the teachers get more in healthcare, they get less in salary.

  3. Joanne

    Thank you,KRN…Can you tell us what Hanley and Horgan are talking about then? It doesn’t make sense to me. What was Hanley’s plan to prevent the reserve from going so low?

  4. KRN

    Hanley and the Board may have a hard time understanding the “multiplier.” About 8 years ago, Sam Johnson (as Asst Sup) negotiated an agreement with the teacher union in that teachers would get a set % of any new tax revenue. This money would go to salaries and benefits. This is therefore a salary and benefit cap. Hanly thinks that capping health care would reduce the district contribution to benefits but that contribution has already been capped. Hanley should have looked deeper at the bottom line to find the spending problems.

  5. Joanne

    John Horgan, I know you read this. 🙂 Can you please clarify? What was Hanley’s budget proposal? Right now, I believe that — and KRN can correct me if I’m wrong — teachers get a $15,000 per year allotment to be spent towards health insurance. So what was his capping health care idea and why would that have produced an extra 1.4 million?

  6. RCC

    I agree there is quite a bit of gray area as to where this 1.4 million would have been generated.
    This is entirely a side note to this topic, but is the teachers union trying to negotiate higher health care coverage for the teachers of this district?

  7. Skeptic

    A cap on health care expenses? Dubious. According to the District Budget documents (Deputy Superintendent Liz McManus Staff Update of September 5, 2006), Health Benefits cost $ 5,912,708 in 02-03 rising to
    $ 9,494,082 in 06-07. Each year it increased on the average about $ 900,000, averaging about 13.56% per year. Certainly, revenues did not increase that much every year, althought they did increase every year.

    A salary cap? Dubious. More like a guaranteed increase (teachers, service employees and adminstrators and staff all have formulas); Since District Revenue has increased every year since 1990, this means a salary increase every year. In 04-05 nd 05-06 on top of everything the District paid teachers, administrators and service personnel this formula based on “projected” revenue, unfortunately not actual, and overpaid by
    $ 4,654,235.

    Folks, keep digging! It is, indeed, a “monetary morass.”

  8. KRN

    Skeptic. You would know that most unions include a” COLA” Cost of Living Adjustment in their contracts. The SMUHSD Teachers Association does not.

    Again, the District is the steward of the budget and Sam Johnson in the CEO. They negotiated contracts with the teachers and signed off on all contracts. Skeptic, why don’t you look at the growth of the organizational chart of the District Office and see how it has grown over the last few years.

    Finally,

    Reading the numbers makes little sense if you don’t read the contract. The contract is presented each year it is negotiated for Board approval and is open for public review. The contract has been negotiated by the District Administration and their well paid lawyer and is approved by the Board. Don’t blame the teachers or the classified staff for this mess. The public is well represented in negotiations.

  9. Rich Grogan

    We are ladened with problems from the past. Teachers, Union Reps, and District members are standing in a circle and all are pointing to the right blaming any and all other then themself as to who caused this boondagle.

    Moving forward I would like to suggest the Teacher, Union Reps, and District Personnel make ALL contract negotiations transparent, ie. make them open to the public and ALL negotiated points published in the local newspapers.

    IT IS TIME TO CHANGE THE PARIDIGM AS TO HOW SCHOOL DISTRICT/ UNION CONTRACTS ARE NEGOTIATED.

  10. Joanne

    Agreed, Rich. I think there are a lot of old tapes being re-run here. One wonders how the district is going to heal going forward.

  11. Joanne

    KRN, I don’t think anyone is “blaming” the teachers. All Skeptic is pointing out, is that the SMUHSD has been running a deficit. When personnel costs are 80-90 percent of the budget, then a deficit usually means that the SMUHSD was negotiating contracts it couldn’t afford. It’s true that the ultimate stop to spending is a Board and Superintendent that can say “no.” But to keep repeating the mantra that “they are the stewards of the budget” doesn’t really advance the discussion much. It merely means that you agree that they should have told your union “no” earlier. And, yes, they shouldn’t have given themselves increases, and yes, they could reduce staff in their office as well as increase class size, etc. etc. There are many line items in a budget and they all need to be looked at to stop the bleeding.

  12. Rich Grogan

    Aren’t there any Accounting or Math teachers willing to get involved and take a look at what is going on or is that just another “it is not in my job description” issue. In concert the teachers, SMUHSD, union, and parents have a problem in this mess. It is time to stop point fingers, work together, and resolve the issues at hand.

  13. concerned parent

    From reading this it seems all stake holders are to blame for this budget fiasco…negotiated contracts based on projected revenues, approving a budget – when in 3 out of the past 4 years the tax money received was considerably less than projected, adding programs which increased expenses, requiring PE classes for all freshman and sophomore students – even though the state code allowed exemptions for athletes, adding staff to the district office, funding an bond measure… and no one from school board to superintendents office to teachers to parents want to see that cuts will have to be made.

    Will all the stakeholders take some responsibility and point the finger at themselves – work towards a coodinated solution- and help our students out in the process???

  14. steve

    At this point, there is no coordinated solution to the problem, which is very unfortunate. The Board and the District administration see no other way out than cuts. The teachers feel that a three percent cut would be a step too far backward for them to make up. (In fact none of the raises in the last three years even kept pace with inflation, much less exceeded it). The parents and students are caught in the middle. This leads us nowhere.

    Therefore the Board WILL cut a whole bunch of people tomorrow night, the teachers will be angry and programs will be cut. The important thing is what happens after that….

    All parties need to sit down and decide a couple of things:

    First of all were all the cuts over the past four years of implementation of the academic core and the seven period day (in school athletics, 20-1 Freshman English, vocational classes, janitorial support, technical support – these are just some of the cuts PRIOR to our present situation) really worth it.

    The District and Board feel that if they can get past this crisis, this program will be entrenched, but we don’t need it to be – unless the voters want to.

    I feel in the next election we need to elect a Board who can look at things objectively and see whether or not it is all worth it (the two schools who had the seven period day had the smallest increases in their API scores)

  15. concerned parent

    I feel that our vote really counts in the next election.
    We need to have a board who will think creatively and strategically.

  16. Joanne

    Steve- Many people don’t like the 7 period day; many do. Some of you sound angry that you weren’t consulted more before it was implemented. Please don’t make the 7 period day the issue now. Nine million dollars of reserves have evaporated in 5 years and this has nothing to do with the 7 period day. As I said before, if the SMUHSD is operating with 12 less teachers this year than last then the 7 period day is not directly related to this issue. I would encoiurage those of you who hate the 7 period day to raise this AFTER this budget mess has been resolved. Right now it’s just a distraction and makes it seem that you want Johnson’s head because of your own personal agendas.

  17. Joanne

    Steve- Many people don’t like the 7 period day; many do. Some of you sound angry that you weren’t consulted more before it was implemented. Please don’t make the 7 period day the issue now. Nine million dollars of reserves have evaporated in 5 years and this has nothing to do with the 7 period day. As I said before, if the SMUHSD is operating with 12 less teachers this year than last then the 7 period day is not directly related to this issue. I would encoiurage those of you who hate the 7 period day to raise this AFTER this budget mess has been resolved. Right now it’s just a distraction and makes it seem that you want Johnson’s head because of your own personal agendas.

  18. Rich Grogan

    I would accept honesty and accuracy above all else.

  19. Anonymous

    If the district actually functions with 12 fewer teachers, then who were the new teachers hired this summer and for what purpose? Are these included before the 12 fewer calculation. Something doesn’t add up.

  20. steve

    Joanne

    The 7 period day is not something that is on my personal agenda. I actually enjoy teaching on the seven period day and think that it provides options for students that would not be there otherwise. However, I would argue that it is in fact the reason why the district has no room to move in the current crisis. Why? Because in order to put it in place, all other overstaffing and many other possible solutions were already cut.

    Nowhere did I call for Mr. Johnson’s resignation – in fact I stated that nothing could be done until the next election – with no mention of Mr. Johnson.

    I further stated that I felt there was no solution right now. In fact, I believe the Board’s hands are tied

    Finally, my question is – what is the solution?

  21. Kevin

    Jen, I’m not sure where the number “12 fewer teachers” comes from, but I’ll take it at face value. The fact that there are 12 fewer teachers than last year doesn’t mean that teachers weren’t hired this summer. Between retirement, moving on, and deciding that teaching is just not right for them, the turnover in teaching positions in any district is usually at least 10% a year. In a district with over 400 teachers, that means 40+ new hires a year.

    The tragic thing about getting fired in September for someone in the teaching profession is that we are on an annual hiring cycle and it doesn’t start up again until April 2007. I know more than one of the already retrenched teachers who gave up a full-time position and turned down other offers to accept the year-long contract with SMUHSD. These folks are talented individuals who are being forced into a year furlow (no pay) or into another profession temporarily.

    That said, I agree that we all need to accept some responsibility and move toward a solution. As a teacher, I hear nothing in my collegial discussions right now other than new research on ways to do our job cheaper and find the cuts without sacrificing position. I just wish we all got the impression that any of our suggestions or offers were being considered.

  22. Joanne

    I think the solution, as the district said two weeks ago, is either lay-offs or a salary roll-back. If there is no money, there is no money. Many have suggested that the SMUHSD try to renegotiate with Jean Holbrook and I don’t know if that has been tried. Also, I suggested at least two weeks ago that perhaps some of the hotels that must have got HUGE rebates would be willing to make donations to help the district through this crisis…but there has been a lot of fiddling and arguing as the SMUHSD continues to burn.
    Jen, each year teachers retire, transfer, etc. so new teachers, I’m sure, are hired each year to replace ones that left….so you could have many new teachers hired and still have a net loss.

  23. ASE

    I would like to ask anyone to help me in clarifying some things. Who (the board, Mr. Johnson perhaps?) thought it was a good idea to hire new teachers to make up for those who moved, retired, left, etc, but 12 less than last year AT THE SAME TIME as implementing the 7 period day, thus adding more classes and more teaching sections. This only means more work for the teachers and less effective use of class time for the students. I have stated before and I will do so again, that any decisions that have been made or will be made to increase class size is ridciulous. Contrary to Mr. Johnson’s belief, that class size is in no way linked to the quality of learning, 35 students in each of my classes is highly ineffective. I live it everyday, and I’m convinced that I would be learning more if class sizes were smaller. So how can we remedy this problem, while at the same time recovering the budget, for I assure you, this issue CANNOT wait.

  24. Joanne

    The pros and cons of class size are an interesting issue, ASE, but they are not related to this budget crisis. If there are 12 teachers less in the district, then that saves money, regardless of how many classes are offered. I prefer small class sizes too. It’s kind of like apple pie — I think most people would. But, the thing is some kids like the classes they are getting now, that weren’t offered, before you had your freshmen classes of 18 (sorry if I’m confusing you with Student X). The reason I gave you (and the other students who might be reading this) the analogy of a family with three kids (on the thread “A Teaching Moment”) is that you might want something, your brother might want something else. It’s up to your parents to find an equitable solution where you both get something — although each of you might not get exactly what you had wanted. There is only so much money in this family budget to spread around. And so everyone is going to have to learn to share.

  25. student X

    there have been many posts claiming that one issue or another is not related to this budget crisis. but really what is this budget crisis. it’s the same as the seven period day-as i mentioned in one thread-it’s a result. the problem in front of us is the budget deficit. that is fact. but the bigger issue is how and why are we here. if a little kid, my sister perhaps, is riding her bike over a patch of sidewalk covered in nails and she comes to you with a nail stuck in her tire, you don’t patch the wheel, pumped it back up, throw the nail away, and send her off just so she can come back again. everything that has been contributed to this blog is somehow related to the bigger picture. the class sizes that ASE continues to emphasize; the seven period day; PE; everything-i plead to the electorate: don’t simply try your best to patch this tire and wait to see what happens. clean up the nails. if they’re falling from a nail tree, cut down the tree. if they’re falling from the sky, you should probably go inside and alert the authorities. yes, we need to fix this problem. we all know that. but it won’t do any good if we don’t look at, and fix, the larger picture.

    on another note-i’ve heard a few issues going around about anoynamous students and bloggers in general. my name is hannna kaplan. i’m a senior at BHS. i’ve lived in burlingame almost my whole life. both my older brothers went through BHS. i use student x, not only because, as pete said, its cool, but it represents that i am one of a multitude of students being affected by this whole mess. feel free to hold my blogs against me if you find yourself wanting to.

  26. KRN

    Rich,

    The District contracts are “sunshined” according to law at the Board meeting. The public is welcome to comment on the contracts. There are no secret negotiations. These are public funds and public records. All of our salaries must be published when requested.

    IN response to the comments that the parties need to stop pointing fingers and reach a solution. Well, these are our jobs. We are fighting for the rights of our families and our incomes. Why should my children lose money so that your children can be secure? Why should teachers act live victims and apologize for getting beaten up. That is what you are suggesting. I suspect that you would fight for your job if it were on the line. It has been the District from Day 1 that has caused and inflamed the problem. Remember, they have had this information for a LONG time but chose to keep it from the public. Mr. Johnson’s speech at the meeting was inflamatory and devisive. At the bargaining table, the teachers have put forth a very sweet package for the district where the teachers would get give up some work rights, salary increases, benefit increases AND get NOTHING in return. It would help the district get on its feet again. The district has said NO. If there is someone to blame for starting the problem AND making it worse. look to the D.O.

  27. KRN

    Joanne,

    Would you like to explain how the class sizes are derived? Why do we have classes of 35 students per class.?

  28. Joanne

    The teachers would “get nothing in return.” What you are getting in return is the promise of a future paycheck. Ask some of the employees of a bankrupt company (United comes to mind) if they would have preferred a little less over the years and a stable retirement now…or if they would rather see the whole ship sink. I hear so much contempt in your posts — both for the SMUHSD and the parents.
    Your job is not in jeopary right now; the jobs in jeopardy are the jobs of the newly hired and the classified.
    This discussion isn’t solution oriented.

  29. Joanne

    Steve –
    I do think the 7 period day made it more difficult to work around this issue, but I think it did so in a way that is saving teacher jobs. If the 7 period day was “financed” by combining 2 classes of 18 into one class of 32, then isn’t it protecting teachers more? Classes, especially in the core areas, have to be taught. By creating a tighter schedule, it has made the teachers more indispensable. Since there is an upper limit to class size, and classes have to be taught, I would think it protects teachers and forces the SMUHSD to fire more classified instead.
    I’m not trying to drive a wedge between the teachers and the classifieds…I”m just trying to think these issues through. This situation has been trying for everyone, but isn’t this the logical result?
    Again, the whole seven period day thing is a diversion from the real issue — that the SMUHSD has been deficit spending for 5 years.

  30. Rich Grogan

    Is it time for another try for VOUCHERS? It seems private schools, in general, are doing a great job of teaching with larger classes; I do not understand why this cannot happen in public schools.

    Other than the CTA and NEA pushing for smaller classes, which equals more teachers, which equals more money going to the Union. Currently, there isn’t any data to suggest a smaller class equals better learning. The key to learning is the instruction and if the teacher is weak or sub-standard then the students do not benefit from the smaller class size.

  31. Rich Grogan

    hannna kaplan, aka Student X, it is a pleasure to hear from you. I like your reasoning for your nam-de-plum, very fitting!

  32. Rich Grogan

    This District issue resembles the Auto Industry and Airline Industry financial problems. The Auto and Airline Unions along with the respective company NEGOTIATED contracts so laden with expensive benefits and everyone was banking on the future to meet the financial burden of the contract. Well the tower of cards (Auto & Airline) is crumbling around the employees, resulting in thousands of employees being let go. It apears the CTA and NEA have finally gone too far and this is the crop the union has sewn.

  33. steve

    Mr. Grogan

    The crop that the union has sewn as you so eloquently put it is not the same as the Auto and Airline Unions. In fact, it is the payments to their retirees that have put them in the drink, not payments to current employess. The CTA and NEA have not negotiated any retirement payments to retirement above the 8% that all employers pay to social security and after retirement, teachers must pay their own health and welfare benefits.

  34. Anonymous

    Rich, it is true that there is no consensus about smaller classes equating better learning…but that may be because our class sizes don’t reach the ranges (low ranges) that would be required to see a difference.

    However, ask anyone (save an individual with an unqualified or poor teacher) which classes he/she enjoys the most, it is probably the smaller ones. I think the more enjoyment and one-on-one time a student has with a teacher, and with the classmates, the better the experience will be, and perhaps the retention. By the way, I don’t think we’ve been able to get data on class reduction for more than a year or two, because the funding usually runs out. You’d need several years to really measure anything, and also, I think that it depends upon the class. I think English should be a smaller group, as should math.

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