Provo's school budget up for vote
The new budget will take effect July 1.
The budget reduction is due mostly to the end of a federal grant that previously provided $1.2 million towards college preparation classes and a one-time $505,000 appropriation from a state-wide allocation that was earmarked to help offset the impact of a small economic recession, said Kerry Smith, business administrator for the district.
Smith and his staff had to decrease expected expenses by $2.4 million to balance the proposed budget, he said.
Lynda Westover, president of the Provo Education Association, said she probably will address the school board tonight, and ask "that they at least allow some flexibility in the budget so they can leave some room for teachers."
Despite threats of lawsuits against the district over benefit reductions, Westover said she does not know whether many union members will attend the meeting and voice concerns. She said it's difficult to reach teachers over the summer.
Teacher contract negotiations for the coming year are at a standstill. The tradition of refraining from negotiations during summer months will be observed, and the talks will resume in August.
The proposed budget does not include sufficient funds to cover an expected 22.9 percent health insurance premium increase. District officials are proposing that employees pay 20 percent of the premiums to make up the shortfall. The unions have asked that some medical procedures be dropped from the insurance to bring the premium increase down to 20 percent, with the district funding the entire cost.
All cuts included in the proposed budget are necessary, Smith said, and are not intended to hurt the employees.
Smith is a certified public accountant who worked at the Davis School District, American Stores and the Weber Applied Technology College before he was hired by the Provo School District.
One of the mandates given Smith when he began in March 2003 was to fix the district's budget problems. The district's former rainy-day fund had fallen victim to an ongoing funding drought.
District chiefs had also in previous years allowed schools to keep "carry over" money — funds that had been saved by frugal school principals for use in future years. That's considered inappropriate, Smith said. Money in a current budget is intended for students being served in that fiscal year. If not used, the money is supposed to revert back to the district's general fund.
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