Rumors of teacher layoffs for next year are not true, despite economic challenges faced by the St. Tammany Parish School System due to declining sales tax revenues in the state and parish.

In a letter addressed to personnel dated Jan. 18, 2010, Superintendent Gayle Sloan enumerated cuts to the district in state and local funding and explained how those funding challenges will be met immediately and for the next year.

“Last year, we experienced a decrease of several million dollars in local revenue, and this year we continue to suffer loses of millions more in local sales tax along with the removal of the annual growth factor in state funding. Federal stimulus money helped us this year as well as general budget saving measures,” said Sloan. “While we are hoping that local tax revenue will soon stabilize, the forecast for state revenue is not encouraging.” Since about 90 percent of the school district’s annual general fund expenditure is salaries and benefits, Sloan said any significant savings must come from elimination of positions funded by the general fund.

Federal programs, such as Title I and some of the special education expenditures, do not affect the local budget.

In reviewing cuts to the budget, many positions will be eliminated through attrition. Cuts in the central office and support offices of about 40 employees, including some administrative positions, will represent a cut of about 10 percent in central office and support services.

Sloan said that other cuts will result from elimination of temporary positions, and the elimination of about 70-80 positions throughout the 56 schools in the system, both certified and non-certified personnel, which represents about 2 percent of school-based positions.

Sloan said, “No permanent employee will lose a job, although some may have to change work locations.”

Transfers of non-certified personnel may be delayed until vacant positions open, while certified transfers will take effect next school year.

Those in temporary positions will have to attend job fair to apply for a permanent position, although they will likely be fewer available than in the past.

In addition to the local revenue problem, an increase in the employee retirement program will result in a $11.8 million increase in contributions next year, due to investment loses in the retirement systems for teachers and other employees.

Costs of the $1,000 per year pay increase the district is obligated to in the collective bargaining agreement will also continue for the final installment next year.

Sloan said that many belt-tightening measures are being made to “get in a stronger position to meet those fiscal responsibilities.”

Recent cuts mandated by the Louisiana Department of Education include $41,242 for Pre-K intervention programs, which Sloan said will not be eliminated. Instead, field trips and similar expenses will be cut to save money. Sloan said there are two schools that may have enough Title I funds for PreK classes next year, “but we are working to try to find other funding streams for these classes.”

Another cut from the state eliminates funding of non-public transportation in the amount of $65,830. Sloan said that to alter the transportation of those students would cause problems for students and parents as well as disrupt bus schedules and affect bus owner/operator pay, so no changes will be made this school year.

National board certified teacher stipends of $36,972 were also on the state’s cut list, but Sloan has said that funding will be found for those stipends at the local level.

Although adult education is also affected by the state’s flow-through funding cuts, Sloan said the changes at the local level will be in not accepting new students. Service to those presently enrolled will continue.

On the positive side, the student population continues to increase, which brings in additional state funding. Sloan said, “we did not reduce the number of teachers in PreK through third grades unless there was overstaffing at a site. In fact, we added teachers to first grade to make sure we kept our class sizes at a level that would help put our students on the right path in the skills of mathematics and reading.”

Sloan ended by stating, “our school system reserve fund is quite healthy, providing us with a much needed cushion as we weather the economic downturn. We are fortunate in St. Tammany that we have been able to avoid the mass layouts being experiences in other locations around the state and nation...We are hopeful that the economic picture will improve at the state and local levels, but we are confident that we can continue to handle what comes our way if we work together.”