UPDATE: Chippewa Valley to Save $14.5 Million From Employee Concessions

The Chippewa Valley Board of Education has voted to approve a budget reduction plan that will cut $2 million in general fund spending for the 2011-12 school year and have district employees take a series of concessions totaling $14.5 million in savings over the next two years.

The district faces a $13.8-million general fund deficit next year, due to reduced state funding, but the school board plans to use some of the district’s fund balance to achieve a balanced budget over the next two years.

“Our main goal throughout this process was to protect the quality of the educational program we offer to our students,” said Ronald Roberts, interim superintendent, in a release. “We were pleased that every employee group came to the bargaining table prepared to help us reduce employee costs and save general fund dollars.”

Here is a quick overview of employee concessions:

• A two-year wage freeze for all employee groups. Employees eligible for step increases will be frozen at existing pay rates.
• All employees eligible for health insurance benefits will pay between 10-20 percent of their health care premiums. In addition, some groups have opted to take less expensive insurance plans along with higher co-pays for medical services and prescription drugs.
• Other reductions implemented by the various union groups include pay cuts, furlough days, elimination of paid holidays and elimination or reduction of other benefits.
• Wherever possible the district will implement a hiring freeze and utilize substitute workers for any vacancies at a reduced pay rate.
• UPDATE: For Central Office administrators and executive secretaries, effective July 1, the 1.5 percent deferral of the 2009-10 salary schedule improvement that was to be paid upon separation of employment is eliminated.
• UPDATE: Individual employment contracts for Central Office administrators and executive secretaries in 2011-12 will reduce base salary and longevity and change the health insurance to a Blue Cross Blue Shield Community Blue PPO plan with a 10/40 prescription drug rider. Effective July 1.

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