Projected operating surplus of $11.9 million for 2011-12
Detroit Public Schools released its proposed 2012-13 budget which is balanced, reduces overall expenditures by 25%, or $250 million, while maintaining existing class sizes at grades K-3 and continuing to drive resources to instructional and academic programs for students in 98 schools. Additionally, the district projects an operating surplus of $11.9 million for the soon-to-be-completed FY2011-12 fiscal year.
“Detroit Public Schools’ proposed 2012-13 school year budget supports a system of schools focused on innovation and robust school choices, data-driven programs to enhance teaching and learning, including new Individual Learning Maps for every child, and highly qualified teachers selected after new teacher evaluation and interviewing processes,” said Emergency Manager Roy S. Roberts.
The budget assumes an enrollment of 51,927 students based on the State of Michigan blended count (90-10 percentage split between the Fall 2012 projected and Spring 2012 actual enrollment), a reduction that includes a projected 11,020 students enrolling in 15 schools that are transferring to the Education Achievement Authority (EAA).
The proposed budget reduces personnel costs by 23 percent, or $150.8 million including 84 central office positions in departments that underwent a new Zero-Base Budgeting process. In total, 1,889 staff positions are eliminated. The budget anticipates a continued reduction in employee wages by 10%.
Class sizes will remain at 25 in grades K-3, and rise by three, to 33 for grades 4-5 and 38 for grades 6-12, returning to levels in 2010-11. Substitute teacher services will be outsourced, and teacher prep periods reduced by one per week (reducing 75 teaching positions).
Under the district’s new Academic Plan, entitled “Higher Standards for All,” schools will place an emphasis on science, technology, engineering and math, again offering pre-algebra for 7th graders. Throughout schools, the district will offer 9 different languages and ESL programs, Advanced Placement courses at every high school, and Fine Arts programs with instrumental music, vocal music and dance. Offerings will include extended day opportunities, business partners and reading volunteers to help raise student achievement and continued safety and security enhancements.
The budget reflects the previously announced closure of nine schools, chartering of two schools, and creating a new portfolio of an initial set of nine Self-Governing Schools where local school councils will have budget and personnel authority and where strong partnerships are expected to attract families of school age children.
In the Proposed FY2012-13 district budget, purchased services are reduced by 38%, or $82.5 million, due to savings in substitute service, security service, pupil transportation, maintenance, custodial and other related services. Additional savings of $5 million is anticipated through the implementation of a new Strategic Sourcing strategies and continuous process improvement throughout the district. Operating costs are reduced by the removal of 3.7 million sq ft in facilities due to school consolidations and the transfer of 15 schools to the EAA which will be responsible for building maintenance and repairs while DPS will retain ownership. DPS will also begin to sell EAA various services.
A public budget hearing has been set for 5:00 p.m., June 27 at Renaissance High School, and a copy of the proposed budget document is available at http://detroitk12.org/admin/finance/ and for inspection at the Office of Management and Budget, Fisher Building, 11th Floor, 3011 W. Grand Blvd., from 8:00 a.m. until 5:00 p.m. Monday-Friday.