Linn-Mar school board vows to cut 2016-17 budget by $500,000

MARION - Linn-Mar administrators, in response to expectations that growth rates for state aid will continue to remain below what they consider to be a 'break even” 3 percent, have set a goal of reducing recurring costs by $500,000 in the district's 2016-17 budget.

To do so, the district is asking every employee for help.

'I need your help,” new Linn-Mar Superintendent Quintin Shepherd wrote in a memo sent to Linn-Mar staff last week. 'I am asking every employee in the district to stop and think about potential opportunities for reduction or restructuring to help us meet the goal of $500,000.”

'I can assure you we are actively looking at recurring, yearly costs at the district level and building level,” Shepherd added. 'Any expenses that can be cut will ultimately mean less in personnel reductions down the road.”

Shepherd's memo was prompted by projections by Linn-Mar Chief Financial Officer J.T. Anderson that a growth rate of less than 3 percent in state aid would result in a general fund deficit of between $500,000 and $1.5 million for Linn-Mar in 2016-17.

Because about 82 percent of Linn-Mar's general fund budget is related to staffing costs and infrastructure-related funds cannot be used for personnel costs, the majority of general fund cuts most likely would also involve personnel.

Anderson shared those projections with school board members Monday night, telling them that a 3 percent growth rate is needed for the district to break even.

Receiving a 1.25 percent increase this year, coupled with Gov. Terry Branstad's veto of expected one-time funds, has already sent the current year budget into deficit spending.

Branstad has said he is formulating a 2016-17 state budget that he hopes can provide a 2.45 percent boost to schools, but added that 'it's going to be extremely hard to get there, and I see no way that we can go over that.”