Birmingham Schools' Deficit Cut by $4.5 Million
District revises its budget mid-year after realizing savings in salaries and benefits as well as energy costs and slight increase in revenues.
The Birmingham Board of Education voted Tuesday night to amend the district's 2011-12 general appropriations budget, reflecting a mid-year adjustment with a better-than-expected financial outlook. In total, as part of the district's amended budget, the general budget deficit was reduced from $6.6 million to $2.1 million. "2011-12 was much better than we anticipated," said Deborah Piesz, assistant superintendent of business services. The biggest budget reductions came from a decrease in salaries and benefits, as well as an 18 percent reduction in utility bills, a figure that can be attributed to the unusually warm winter so far and smart energy management, Piesz said. Projected revenues for the Birmingham Public School district increased by…
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ClassAct4
12:34 pm on Wednesday, January 18, 2012
Unfortunately, a $2.1 million deficit is still abissmal, and risks appoinment of an Emergency Manager and suspension of the School Board by the State. Pay continues to be the largest line item in the budget. Birmingham teachers agreed to a pay freeze, and to pay 10% of their medical benefits. Neighboring school districts in West Bloomfield, Royal Oak, Hamtramck, Detroit, etc. agreed with their … more ›