Like many departments, Education is hard-hit this year by many seasoned teachers and professionals taking early retirement incentives offered in the recent budget-balancing Economic Stability Act (ESA), but with some reshuffling, the school year should go smoothly, Commissioner LaVerne Terry said in budget hearings Monday.
Terry said 157 employees within the Department opted to take advantage of early retirement incentives in the ESA, saving roughly $8.6 million, while another 25 employees resigned.
Among those retiring are 30 elementary school teachers, 21 paraprofessionals, 24 other staff, four principals and five assistant principals.
“With the reality of reductions, it was necessary to ensure that the department could continue to provide essential classroom coverage,” Terry said.
Education conducted an internal review to find staff who can be redeployed to fill some of the more critical vacancies, Terry said. Along with reassigning and transferring staff, some classes that were not filled to capacity were combined, she said.
Acting principals and assistant principals that are being reassigned have been notified ahead of time, Terry said.
Several senators expressed concern about St. Croix’s Alexander Henderson Elementary School, which has faced complaints about mold and crumbling asbestos floor tiles. According to an Education release issued Tuesday, the school will not open until Sept. 6 (See “Henderson School Opening Delayed for Final Maintenance Work”).
Terry was before the Senate Finance Committee to discuss Education’s proposed $176.3 million General Fund budget. This year’s recommendation is $17.7 million less than last fiscal year’s appropriation of $194 million and includes $109.5 million for personnel services, $41.5 million in associated fringe benefits, $4.5 million for materials and supplies, a little more than $12 million for other mandatory costs, and $8.6 million for utilities.
The salary and wage costs reflect substantial savings from the ESA’s cost-cutting provisions, Terry said. The 8 percent salary reduction will save $7.2 million, and the 196 employees who are leaving the department for early retirement and other reasons will save another $10.3 million, she said.
The savings will allow Education to maintain its current staffing level of 2,510 filled positions, Terrry said.
Along with the General Fund appropriation, Education anticipates another $6.5 million in other local funds, and $39.8 million in federal funds, for a total budget of $222.6 million—a 6.7 percent decline from last year.
Enrollment increased by 254 students in 2010-2011 from the year before, with most of the growth in the St. Thomas/St. John district. This is the first increase in enrollment in over 10 years, Terry said. All told, the territory had 15,747 students enrolled last year, almost evenly divided between the two districts.
No votes were taken at the budget oversight hearing.
