$500K Cut in Title I Funds Could Mean Layoffs for Dearborn Schools

The news that Dearborn Public Schools will lose $500,000 in Title I funding was not greeted positively by district officials Monday, but, the figure was somewhat less than the district expected.

Title I funds–which are awarded to schools with high numbers of economically disadvantaged, English as a second language and in-need students–will be trimmed from about $9.5 million to $9 million, said Supt. Brian Whiston.

The $500,000 cut is on top of the projected $1.4 million general fund deficit that the district is projecting for the 2012-13 school year.

“It’s a cut where we need the money the most,” said Whiston about the Title I loss. “It is possible we could see some layoffs as a result of it.”

Currently, Title I dollars pay for educational programming and salaries for teachers and support employees as it relates to children in need at the 18,500-student district.

The funds are of particular importance for the schools because of the number of ESL students, and the number of students considered to be economically challenged. Title I funds, which are federal dollars, are tied to the number of students who receive free or reduced school lunches.

However, the funding cut comes at a time when the schools are seeing an uptick in economically disadvantaged students. In February 2011, 66 percent–or about 12,000 students–qualified for a free and reduced lunch. This year, that number was 71.3 percent–or 13,700 students.

Not as Bad as 2011-12

Though how the district will balance its books in light of the nearly $2 million financial hit is still being determined, what is clear is that it is not likely the district will incur the mass layoffs that occurred for 2011-12.

Business Services Director Bob Cipriano didn’t want to speculate on what could occur, except to say the district is working on a solution.

“We’re at the start of this process,” he said. “We’re looking at everything, such as positions that are open that may not need to be filled.”

According to Whiston, the district has found $800,000 to help bridge the gap in general fund, including adding $400,000 in carry-over funds from the previous year and $200,000 in saved utility costs. There also is the possibility of saving another $200,000 by not replacing a handful of employees.

However, some new or restored funding–namely best practice allowances and supplemental pension dollars–helped the district avoid a budget shortfall that would have had more dire consequences, Whiston said.

Layoffs Could be Minimal

The deficits the district is beginning to look at will not cause mass layoffs because the general fund shortfall is significantly smaller than it was in 2011-12, Whiston said.

Chris Sipperly, the president of the Dearborn Federation of Teachers, said schools have not been notified by the personnel department how many positions will be funded at each school facility.

“I do agree that, if there are layoffs, they will be minimal,” she said.

Rodger Bartles, the president of the Dearborn Federation of School Employees, said the union–which accepted pay concessions and made other concessions in a five-year contract with the district last year–will do what it can to minimize joblessness in its ranks, and help the district move forward.

“I also believe there won’t be a lot of layoffs,” he said. “The district needs just about everyone it has to meet its objectives.”

The district will likely present its plan for balancing the 2012-13 budget in May, Whiston said.