By:Jeff Lipton
Lawrence Public Schools officials are trying to explain how the school district overspent $1.8 million in the 2000-2001 budget, which has resulted in a hefty increase in property taxes to make up the difference.
Officials are also looking at an additional shortfall of $700,000 in the current, 2001-2002 budget, giving the district a grand total $2.5-million shortfall. As a result of the budgeting "error," the Lawrence school board has voted to hike taxes 14.16 percent, starting with the next tax bills that will go out. The tax increase was originally expected to be just over 10 percent.
District 15 administrators sprung the surprise on school board members Aug. 14 when they got together to set the tax levy, which determines how much the district must raise in property taxes to cover the budget. The board's two options were to cut student programs, services and teacher positions, or to raise taxes. The board voted 4-2 to increase taxes. Dr. David Sussman and Chickie Granet voted against raising taxes. Frank Argento, Kathy Raquet Barry, Frank Parise and Asher Mansdorf cast their vote in favor of a tax increase.
"I voted against this because I find it unconscionable to raise taxes without the taxpayers being given a chance to vote on this," said Sussman. He asked the school board attorney for an opinion on whether it is legal to raise taxes at this late stage without giving property owners a say.
Argento, who is the board president, said he checked and it is legal. Property owners will see the hike reflected in their next tax bill. He said he voted for more taxes because he refused to cut programs and staff so soon before the start of school.
"If we started cutting programs and positions now, the school district would be thrown into havoc," Argento said. He added that the lives of 7,400 public and private school children who rely on the budget would be disrupted. Between 17 and 20 positions would have had to be cut to make up the budget difference, Argento said.
On a house assessed at $8,000, the tax increase would amount to $75 a year or $1.50 a week, which is a smaller pill to swallow, Argento said.
Dr. Mark Rosenbaum, recently promoted from assistant superintendent to superintendent when Dr. Paul Kelleher left for a job in Texas, called the shortfall "a disturbing surprise."
"We're all upset about the increase in taxes," Rosenbaum said. "The increase is necessary. It is not something that we had planned. We expect the public to be upset about it. I think we are all concerned."
One parent whose two children attend district schools questioned the tax hike.
"There have to be people who are looking at these things more carefully," said the parent, who did not want to be identified. "I find this unbelievable. How does this happen?
"They could have cut out things. They don't have to let go of teachers," the parent said. "There are other ways to trim the budget.
Rosenbaum said administrators will analyze all the financial data from the previous year and try to find out how $1.8 million was overspent. About 20 to 30 different parts of the budget must be examined to determine the problem. Sources suggested that much of the problem stems from the April 2000 contract negotiated by the district, which has built-in give-backs to teachers, such as extra benefits for sick days accrued, that threw the budget out of whack. In addition, a Learning Landscape program which tracks the progress of a child throughout his school years, originally expected to cost $250,000, ended up being more than $600,000.
Argento said he was upset that the school board was not made aware of the shortfall sooner by administrators, so they could have worked on a plan of action. Rosenbaum said Kelleher hinted about the potential problems in the spring when he said the district was spending more than it was taking in. The warning resulted in a larger than normal budget increase of 7 percent this past year.
District officials were looking to see if they could eliminate bus matrons to help reduce the budget.
While school officials attempt to determine how the district ended up with a shortfall, Argento stopped short of accusing anyone at this point. "We will find out where we overspent and why we overspent and if there is blame to be placed, people will be held accountable," he said.
In the meantime, district officials are brainstorming to determine where they can cut so they can offset the $700,000 they are already short in this year's budget. The school board was expected to meet on Tuesday, Aug. 21, after the Herald
