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Wake Co. schools plan to cut $20 million

By T. Keung Hui
(Raleigh) News & Observer

Wake County Schools Superintendent Del Burns announced today plans to cut $20 million in non-school based spending to deal with the lingering effects of the economic recession.

Burns said that the cuts are needed to deal with at least $17 million in combined funding cuts and increases in costs next year. He said he hopes these cuts will prevent the system from having to make more of the kind of cuts that led to larger class sizes and fewer courses being offered this year.

“This isn’t a silver bullet,” Burns said. “This is a fiscal response to a very challenging budget year coming up. The more proactive we are the better the decisions we’ll make.”

Burns said he’s asked his leadership team to identify potential cuts. He said it will take four to six weeks to review the proposals.

The cuts will represent more than 10 percent of the district’s $216.9 million Central Service budget. Central Services covers everything not based at schools, such as the maintenance department, technology department, human resources and communications.

Today’s announcement comes less than two weeks before a new majority on the school board takes office Dec 1. The budget situation could challenge the new majority’s efforts to carry out polices in favor of neighborhood schools and against busing for diversity and mandatory year-round schools.

The new board members have also been critical of what they called wasteful administrative spending. Burns repeatedly said today that administrative spending is “lean.”

The state’s financial crunch has had a major impact on Wake, the largest school district in North Carolina. There was a $3.2 billion state revenue shortfall this year.

Last December, the school district returned $11.2 million to the state and county because of their revenue shortfalls.

Wake principals were told to only fill 95 percent of their positions, resulting in fewer teachers being hired this year. Class sizes have risen and fewer electives are being offered in Wake.

Just this week, the school board voted to ask for state permission to exceed class sizes limits in 329 kindergarten through third-grade classrooms at 66 elementary schools.

Burns cited at least $17 million in added expenses or revenue cuts that will have to be dealt with for the upcoming fiscal year, including: * $ 8 million in additional state funding cuts * A $6 million increase in costs such as employee retirement, insurance and teacher raises * A reduction by $3 million in how much can be taken from the district’s fund balance. Burns said there’s also an unknown increase in expenses to deal with growth and four new schools opening next year.

The cuts will be incorporated into the budget proposal that Burns presents to the school board in March.

Burns warned today that the $20 million in cuts may not be enough. He said it didn’t make sense to wait until spring to make the cuts because the budget situation wouldn’t likely improve.

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