ILE CAMERA ARTICLE
February 26, 2007

            In recent weeks there have been frequent articles in local newspapers about the budgetary plight of public school districts and suggestions of how school districts can become more cost efficient and effective.  A wide range of solutions are being mentioned:  consolidation of school districts, consolidation of services, elimination of this program and that program are just a few of the ideas being shared.  Even while these ideas are presented, there is an increased expectation that our public schools will get better and better.  We have been asked about Grosse Ile Township Schools’ reaction to these suggestions.  Speaking for the Board of Education, the Administration, and our employee groups, we are in full support of ways to become more efficient and effective.  We are sincerely committed to this task.  These are very difficult times that require us to look at better use of our limited resources.

            More efficient and effective use of resources is not a new concept for Grosse Ile Township Schools.  Through the leadership of our Board of Education, the cooperation of our employee groups, and the support of our parents and the community we have taken numerous actions over the past decade to strengthen the school district’s fiscal position:

• As far back as 1995, the Administration and Board of Education determined that the school district needed to set aside a fund balance to fall back on time when the State financial support might be inconsistent or unexpected expenses might arise.  Without such a reserve, the school district might be forced to lay off staff and discontinue programs mid-year.  As of June 30, 2006, the school district’s fund balance was $1,982,205, or about 10% of its expenditures.
• The school district and its employee groups have worked collaboratively to keep its benefit costs from spiraling out of control.  For example, through self funding and continually redesigning our health care program, health care expenses have increased about ½% over the past five years from $1,384,991 in Fiscal Year 2001-2002 to $1,391,753 in Fiscal Year 2005-2006.  In many other school districts across Michigan, health care expenses have increased between 15-25%.
• By contrast, expenses for the State-run retirement program over which school districts have no control increased from $1,331,881 (Grosse Ile’s contribution) in the Fiscal Year 2001-2002 to $1,769,950 in the Fiscal Year 2005-2006, or about 33% over the past five years.
• By not filling all open positions, redesigning other positions, collaborating with other districts for services, and contracting out for some services, Grosse Ile Township Schools have been able to keep salary levels fairly stable.  In the Fiscal Year 2001-2002, the total salary for the district was $10,923,902.  In the Fiscal Year 2005-2006, the total salary for the school district was $10,980,842, or about ½% increase over five years.
• We have also received tremendous support from our students, parents and the community.  We have needed to implement many actions that were a departure from the ways things have been done in the past.  In order to preserve programs and activities for our students, we needed to implement activity fees and seek financial support from Booster groups, parental organizations, and the Grosse Ile Educational Foundation.  We have established parental/community advisory groups such as the Finance Advisory Committee, the Community Bond Advisory Committee, the Marketing Committee, and various ad hoc committees to help us make the soundest decisions possible for our school district.  We were also very fortunate to receive support from the community in the forms of personal donations and the May 2006 passage of a bond and sinking fund.

            During the time many of these actions were being taken some argued that these actions were premature and that we were being overly cautious.  In hindsight, these actions have proven to be necessary for Grosse Ile Township Schools to continue to remain financially solvent and to allow us to protect our educational programs, making us one of the best school districts in the State of Michigan.

            However, given the continued downturn in the Michigan economy, we need to explore new ways to keep our costs down.  To this end, the Superintendents of 10 Downriver school districts including Grosse Ile Township Schools have been meeting since last fall to explore ways that we as a group can obtain better pricing on the goods and services we require to run our school districts.  One example of this is a joint effort by Grosse Ile, Trenton and Woodhaven-Brownstown districts to employ our substitute teachers in a more cost-effective consortium. 

            Another current example is the Student Distribution Study Team that is investigating ways to balance the student numbers more equally between the two elementary schools, afford us the opportunity to maintain class sizes, and reallocate resources to maintain our excellent programs and develop new opportunities for our students.  In the next month, this committee will be identifying two or three options for consideration.   These options will be presented to the community – parents and other interested individuals – in mid to late March.  From the input gained from these forums, we will plan for the 2007-2008 school year.

            The bottom line is that we are here to serve our students and this community.  The best way we can do that is to make sure that the resources we are entrusted with are used in the most efficient and effective manner possible.  We never lose sight of this responsibility.