Sunday, May 2, 2010

Ocean twp. school budget cuts 39 jobs

Ocean Twp. school budget cuts 39 jobs
Teachers union refuses wage freeze to save $1.6M
BY KENNY WALTER Staff Writer
The Ocean Township Board of Education presented a $69.5 million 2010-11 school budget last week that will require staffing cuts to offset reduced state aid.

The district announced 39 positions would be cut if the budget is approved, including administrators and employees at the district’s five schools largely due to a 33 percent reduction in state aid.

Superintendent Thomas Pagano announced the cuts at the March 30 board meeting.

“There are 39 positions being cut, 31 full-time and eight parttime,” he said. “They are being cut across all areas of the school district: administration, teaching, custodial, transportation, athletics, technology, maintenance and grounds.”

Pagano said that not all the cuts to staffing would be layoffs.

“About a third of these positions are retirements and people we are not going to replace,” he said. “Another third of these positions are through attrition. And then there is another third that is going to take place through reduction of present personnel.”

Pagano explained that the district would make cuts, but maintain class sizes.

“The cuts that we are making will maintain class sizes at 20 or less, which is very good at these times,” he said.

He also said that should the budget be defeated at the polls, additional cuts would have to be made.

“Those cuts stay in the budget whether it passes or not,” he said. “There will be additional reductions should the budget not pass.”

The Ocean Township School District will receive close to $6.8 million in state aid for 2010-11, after receiving $9.97 million last year.

The district, with an estimated enrollment of almost 4,000 students, also was required to use $2.1 million in surplus funds this year when the state withheld state aid checks.

“Within a 30-day period we lost about $5.5 million,” Pagano said.

The $69,513,832 budget calls for a $54,808,683 tax levy.

If the budget is approved, Ocean Township residents will see an increase of 1.3 percent in the tax rate, resulting in a $64.03 increase for a home valued at the town’s average of $406,000. The decrease in average value is due to the re-evaluation recently completed by the township.

Because of the state-mandated change in the apportionment for the sending town of Loch Arbour, residents with a home valued at the village average of $1.4 million will see a tax increase of $5,798 this year.

Board member Denise Parlamas explained the mind-set of the board in preparing the budget.

“We are in a very serious crisis. As a board, our goal during this budget season is to make cuts that do not directly impact the education of our children,” she said. “We have tried to preserve as many jobs as possible.

“We have cut positions across the board, including three administrative positions,” she added. “There are many cuts and costsaving measures as well,” she continued.

“We believe the cuts we have made are very unfortunate but necessary in this economic climate.”

The budget passed with a 4-1 vote, with board member Michael Beson voting against it.

Beson explained his reason for voting against the budget as introduced.

“One reason is I don’t think we’ve cut enough,” he said. “Also I was very disappointed by one of our bargaining agents not voting for a pay freeze.

“I think that put us all in jeopardy,” he added.

According to Gary Bahr, vice president of the Township of Ocean Education Association, the teachers union was asked last month to freeze salaries for this year but voted against it.

Bahr explained why he believed the vote was rejected.

“Primarily, the pace was too fast,” he said. “It was something that came out on Tuesday to vote on Friday.

“There were no guarantees for future cuts if the budget went down,” he added. “Thirdly, everything was frozen for a year, so wherever we are this year we’d be next year. This meant that all the staff will be a year behind on their salary guides the rest of their career.”

District Administrator Ken Jannarone said that if the teachers agreed to the salary freeze, it would save the district about $1.6 million.

Ocean resident Brian Lefferson slammed the union for its position.

“My benefits go up every year,” he said. “What you are saying to me is very irresponsible.”

Lefferson did, however, praise the district for the budget.

“All I can say is I am very impressed with the tax increase,” Lefferson said. “You people have done a good job.

“I am very impressed with this budget. My taxes are going to go up less than $64, and I figured they’d go up about $150.”

One of the largest increases in the budget is for employee health benefits, which increased more than $1 million, or 25 percent, from last year.

Pagano explained some of the methods, besides staff reductions, the district used to trim the budget.

“The administrators voluntarily took a pay freeze for next year,” he said. “The budget contains no capital projects, contains no new equipment in technology, and contains no special purchases of any kind.”

He said that the district saw decreases in certain items because of solar panels used to save energy, shared services, as well as refinancing bonds.

Pagano also said that the district employees would kick in 1.5 percent for health insurance premiums once the current contract expires. Noncollectively bargained positions, such as school administrators, will pay the 1.5 percent immediately.

Pagano also mentioned that the district may save money in the future by consolidating with neighboring towns Allenhurst, Interlaken and Deal.

“We had a meeting with [Executive County Superintendent] Carole Knopp Morris last Thursday [March 25] with the surrounding towns,” he said, “just to begin the discussion about one school district.

“No decisions have been made except to meet again and discuss it further.”

He said that that Allenhurst and Interlaken are nonoperating school districts that will ultimately be assigned to a neighboring town.

“Allenhurst and Interlaken are considered nonoperating school districts,” he said. “They are going to be assigned somewhere; it may be Asbury Park, it may be Ocean Township.”

Pagano said that consolidation is something he supports.

“I wrote a letter saying these kids were born together, they go to the same churches and synagogues together, they play in the same athletic teams together,” he said. “We have the room, we have the schools.

“We had a 419-student decrease the last three or four years and we are ready and willing to take them.”




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