Colbry to Give Scenarios for School Budget Cutbacks

MILLINOCKET -- Asked to develop plans for budget cutbacks of 10-15-20%, Millinocket Superintendent Colbry said that cuts beyond 10% will result in from 4-10 additional furlough days.

Due to the closure and uncertain future of of GNP’s Millinocket mill, the town is exploring ways in which the budget can be cut, to include its school department.

28% of Millinocket’s total revenue comes from Great Northern Paper Company, while its peripheral effects are far greater. GNP has not yet made a tax payment for this fiscal year, which ends June 30th, and future tax revenues from the mill are uncertain. GNP is currently in Chapter 11 bankruptcy protection, awaiting a possible buyer.

Members of the Millinocket School Board reviewed and approved three scenarios for cutting the budget: by 10%, 15%, and 20%, as requested by the town council.

School officials are expected to ask the council to consider phasing in the tax cuts at increments of 5% during a four-month period rather than all at once.

Colbry said that officials could take another look at the situation once more information is available as to the future of the Great Northern mill in Millinocket, the state education subsidy, and whether or not taxes will be paid on GNP’s property before June 30th.

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Colbry expressed doubts that the State Department of Education would approve the additional furlough days unless the town could prove that it was likely to run out of money by the end of this fiscal year.

Colbry also said that any budget cuts to affect teachers would require the approval of the teacher unions.

Speaking of a gradual reduction rather than the 10%, 15%, and 20% reductions asked by the town council, School Board member Tom Malcolm said, “A gradual approach is the way to go. It makes a lot more sense than deciding the sky is falling.”

School officials said there were cuts that they could make to reduce school costs, but that they would rather not take any dramatic steps.

Colbry’s proposal for a 10% cut includes freezing all spending except for the absolute essentials. He also said that travel, supplies, equipment, and other items would not be purchased, and that the school would end the fiscal year without a balance. No staff would be cut, and there would be no changes in student programs.

In order to achieve a 15% cut, Colbry proposed, in addition to the spending freeze, that all spring extracurricular and co-curricular activities and their associated transportation by eliminated. A 15% budget cut would also add four school furlough days.

A 20% cut in the budget would include those measures taken for a 10% or 15% cut, plus add an additional six furlough days, for a total of ten.

Colbry, who himself earns $87,308.28 in wages and benefits, did not propose any cuts in administrative costs under any of the scenarios. The Millinocket School Department is currently budgeted for more than a half million dollars in salaries for its superintendent, four principals, and their staffs.

The Millinocket school system is currently budgeted for $5,044,714.30 in wages and benefits alone. With 865 students enrolled, this equals $6,248.22 spent on wages and benefits for each student enrolled.

-- Ken Anderson 02/26/03