The Juneau School Board unanimously agreed Thursday night to adopt a budget for next school year that relies on school closures and a reduction of staff to address a nearly $10 million budget deficit.
The approved budget is built on the assumption that state education funding will not increase and the district’s student enrollment will decline.
Just minutes after the meeting adjourned, the board learned that Gov. Mike Dunleavy had vetoed a bipartisan education bill that would have given the district more than $5 million in additional state funding.
After finding out the news, Juneau Superintendent Frank Hauser said though he was disappointed in the governor’s decision, the budget passed by the board wasn’t relying on those funds anyway.
“We’re going to be moving forward. We have a balanced budget that was based on a BSA, of $5,960, did not and include a BSA increase. I’m sad that we had to go there,” Hauser said.
The $85 million budget passed on Thursday is largely based on a school closure plan that moves seventh and eighth grades to Thunder Mountain High School and all high schoolers to Juneau-Douglas High School: Yadaa.at Kalé.
The district will close three buildings: the district office, Floyd Dryden Middle School and the Marie Drake building, which houses the alternative high school and Montessori Borealis.
The closures are just a piece in the district’s puzzle to reduce costs and zero out the $9.7 million budget deficit for next year, caused by dropping enrollment, an end to one-time state funding and state funding that hasn’t kept up with inflation.
“There has not been a significant increase in the base student allocation since 2017. And when you look at the inflationary prices, I’ll just leave it at that,” Hauser said.
The budget also relies on other cost-cutting measures like reducing the number of staff positions in the district and a loan for building maintenance and utilities from the city.
The district’s pupil-to-teacher ratios next year will increase across all grade levels — which likely means bigger class sizes.
The board also unanimously adopted a reduction in force plan, which will eliminate nearly 50 staff positions next year. The district hopes to do that through natural turnover, but it could resort to layoffs. The district has to send out layoff notices to teachers by May 15.
In public testimony, Juneau resident Melissa Cullum said the impacts of that will have a ripple effect for years to come.
“You are going to have teachers leave because you are stretching them you are increasing the student count and minimizing the number of people in the buildings that can support these students,” she said. “You are going to have an exodus.”
The budget also doesn’t have much room for error, because it doesn’t put any money into savings.
Some members, like Board Vice President Emil Mackey, saw the budget’s passing as a major milestone after a hasty race to balance it before important deadlines.
“This is the first meeting and several months where I feel like it’s normal – and that’s a good feeling,” he said. “It tends to tell me that we’re on the backside of this headed downhill, rather than walking up that mountain. I really hope that stays the case.”
However, other members like David Noon cautioned the board and said the road ahead won’t be easy.
“I think the next few months are going to be extremely difficult for students, for staff, for members of this community. So I’m not taking a whole lot of comfort right now,” he said.
The bipartisan bill Dunleavy vetoed would have raised state education funding significantly for the first time in years. Several school districts across the state face multimillion-dollar deficits. Hauser has said an increase in funding would allow the district to revise its budget, potentially saving more staff positions.
Hauser said he still has hope that an education funding increase will eventually come through, but his priority is to focus on moving the district forward with the changes that will come from the adopted budget.
“I don’t think anyone can say that the Juneau School District hasn’t done its part,” he said.