Great Valley School District Faces Financial Tidal Wave

 

In addition to tax increases to be voted upon at the Jan 19 GVSD School Board meeting, this is coming:

 

Defining the Problem

 

 “Public Pensions: Beginning in 2012-13, taxpayers will see a dramatic increase in their contributions to pension plans for state and school district employees. This scenario is due in large part to misguided policy decisions-including substantial increases in pension benefits in 2001 and 2002, and deferring increased payments following fund losses-as well as the recent downturn in the stock market. Pension contributions are estimated to rise by $1,360 per homeowner/household, resulting in higher property and state taxes. Additionally, local pension plans are facing major deficits…”

 

                                                             Commonwealth Foundation (“CF”),

                                              an independent, non-profit research and educational institute

 

Source:

http://www.commonwealthfoundation.org/research/detail/five-threats-to-pennsylvanias-prosperity  

 

 

Estimating the Cost in GVSD

 

The CF further defines the numbers for the school tax portion of the estimate above: In the Great Valley School District, the total increase on a per homeowner basis for 2012-2013 is estimated to be $408.

 

Source:

http://www.commonwealthfoundation.org/research/detail/pennsylvania-pensions-and-taxes

 

 

Additional considerations:

 

What does the above obligation have to do with what will be discussed at the January 19 GVSD School Board meeting?

 

Nothing and everything--the above obligations are coming and must be met. Tuesday night’s vote will simply determine how much higher our School Board will drive costs we already face.

 

Does a vote for a zero tax increase mean we are anti-teacher, anti-education?

 

Resoundingly NO, as we will meet our obligations to ensure teacher pension benefits--as noted above, that alone will require an estimated additional $408 cost to families in 2012-13. Under the present contract, our teachers remain among the highest paid in the area. We hope they will join with us in realizing that the Great Valley community has now reached a point of financial "critical mass".

 

Since we've always been able to support our District to the fullest, why can't we do it now? 

 

The GVSD School Board has approved budget increases of 60% in the past 8 years (while the student population has only increased 10%). Our present financial situation is a reflection of past practices, locally and statewide. It is also a reflection of current economic reality, including the "tidal wave" described above.

 

Will a vote for a zero tax increase negatively impact our children's education?

 

Educating our children is of paramount concern. We must ensure that expenditures are getting us "bang for the buck" --things that actually help our children to learn. Just as every private business knows and just as most government entities are now learning, budgeting must be done realistically; waste, fat, fraud, and abuse must go; employees must be compensated fairly but reasonably; and we must recognize that unlimited resources no longer exist.

(Note: Great Valley Stakeholders remains committed to a budgeting process without unidentified "padding"--only in this way can all of us distinguish what constitute "real educational needs".)

 

Critical:

·         Call or email your School Board representatives and tell them how you feel before Tuesday’s meeting.  Click on the link below to find your school board representative: 

 

http://www.gvsd.org/188510217152837710/site/default.asp

 

·         Attend the School Board meeting Tuesday night, January 19, taking place at the Great Valley High School auditorium.

·         Insist our School Board set an example of self-disciplined spending.