Twinsburg Schools Examine Cuts Amid Grim Financial Future

With a projected budget deficit looming in the future, the Twinsburg City School District is going to take a look at potential cuts to programs and positions.

At Wednesday night’s board of education meeting, Superintendent Kathryn Powers introduced an action plan to save money and cut costs by December.

The goal she presented to board members included a “Cost Savings and Potential Reductions Timeline” highlighting what areas she wants to analyze and when (PDF attached). Powers hopes to have a comprehensive financial plan in place by the end of 2011 to reduce expenditures and increase revenue. According the the timeline, the final reduction plan could be ready for board approval by mid-April.

Every option is on the table, and while Powers said they will examine possibilities in other areas first, with 85 percent of the general fund going to salaries, personnel will have to be affected, she said.

“We’re trying to be transparent with this outline, so everyone understands we can no longer operate, unfortunately, because of financial realities, as we once did,” Powers said.

Projections from the five-year-forecast show the district could see an $8.2 million deficit in 2014 and $26 million financial hole by 2015. Much of that impact comes from the cutting of the tangible personal property tax. The tax on business inventories will be phased out sooner than anticipated, and it represents $9.8 million of schools' annual budget.

While nothing is set in stone, Powers wants to get input from all stakeholders, including the board, teachers, and the community. Meetings with school staff and community forums are scheduled for November and December.

Board President Ron Stuver said he likes having a plan of action in place, but wants to have a financial goal in place as well.

“Having a plan of action is one thing, but knowing what the financial goal is, is probably something that we as a board need to think about providing to the staff,” Stuver said.

Stuver wants to have a specific directive in mind, whether it would be balancing the budget on a yearly basis or making sure it’s balanced by the end of the five-year forecast, keeping the district “financially viable.”

“Saying we want fiscal viability by through 2016 is a pretty hefty challenge,” Stuver said. “Which means the near-term goals will have to be there, inherently.” He feels that would give the staff room to come up with creative ideas to solve the problem.
No matter what is decided by the end of the calendar or school years, Powers said the district will look different a year from now.

Twinsburg Patch will continue to follow this story throughout the school year and will keep you updated as the situation progresses.