Austin Budget Crisis Demands that Difficult Conversations be Held

As I am sure you are aware, AISD is facing a budget crisis of unprecedented proportions. Depending on what the Texas Legislature does between now and the time it adjourns, AISD may need to close a budget shortfall that is approaching $100 million.

Fortunately, because we saw this crisis coming two years ago, we were able to be proactive and make some reductions early on through austerity planning. However, the combined $27.7 million of budget reductions in FY 2010 and FY2011 are eclipsed by the anticipated cuts in state revenue that are looming. In fact, the deficit is so large, we cannot cure it in one year. We are looking at two years of budget-cutting and belt-tightening measures.

Because the State of Texas faces a two-year budget deficit of approximately $27 billion, state funding cuts to public education are projected to be as high as $10 billion over that two-year period. The District is also facing significant losses of state and federal grants. Thus, the District anticipates having to reduce our annual operating costs by as much as 13 percent.

With a deficit of the size we are facing, there are no easy answers or quick fixes. In this climate, we have to consider every available option. This includes looking at reducing people – 85 percent of our budget is staff—and reducing operational inefficiencies, including energy savings, facilities, and programs.

As unpopular as the possibility of staff reductions or school closures and consolidations are, it is these two areas that are among the limited few choices we have that can provide the kinds of significant cost savings we need to provide students with the quality of education Austin expects. We understand that the loss of teachers and staff, colleagues and coworkers is never easy. It is a painful process for all of us.

We also realize the possibility of the loss of a community institution—a school—to closure, consolidation or repurposing is also painful. We do not approach this situation lightly.

Given the size of our deficit, AISD cannot solve all of our budget problems with either staff or facilities cuts alone. In fact, there is no one, sole solution for the situation we are in. Thus, we are being forced to diversify our portfolio of cuts. We will have to enact a mix of cuts to work toward a budget solution.

This budget crisis comes at a time when we are analyzing the best use of our school facilities. Austin ISD has never had a comprehensive Facilities Master Plan. In the past, there was no strategic long-range approach that helped the District effectively manage growth in certain parts of town, and dwindling enrollment in other areas of town, even though Austin is a rapidly growing city with changing demographics and housing patterns. As a result, we now have some schools that are over-enrolled, some schools that are under-enrolled, and more than 20,000 students in portable classrooms. This makes no sense. This conversation about facilities, as difficult as it may be for some people, is long overdue.

This week, the Facilities Master Plan Task Force presented its draft Facilities Master Plan to the Board of Trustees. The final report will be presented to the Board on March 7, and I will be requesting that the Board accept the report, but not take formal action on the recommendations, at the March 28 Regular Board Meeting. The Board and AISD Administration will then evaluate and take the next steps to vet the recommendations with the public. I want to assure the community and our stakeholders that additional community engagement will take place before any final administrative recommendations are made.

Beginning next month, we will also begin another round of Community Budget Dialogue meetings. We strongly encourage parents and stakeholders to participate in these meetings, scheduled for 6 p.m. March 24 at Reagan High School and 6 p.m. March 31 at Bowie High School.

These are difficult times in public education, both in Austin and in the State of Texas. We know how stressful this climate is for AISD parents, staff and all stakeholders. However, we ask that we all work collaboratively to make the best decisions we can to maintain high-quality teaching and learning in for children in Austin.