Layoffs expected as School Board approves budget adjustment plan

Mar. 20—MANKATO — Teachers, support staff and administration are among those expected to be impacted by layoffs as Mankato Area Public Schools works to solve a $9.2 million budget deficit.

This comes as the School Board Monday unanimously approved an adjustment plan that will be used to help craft a preliminary budget that will be voted on in June.

Regular instruction adjustments make up the largest portion of the changes at $3.9 million or 42.56% of the adjustment, The Free Press previously reported.

Changes here largely come from plans to adjust to new class size ratios and reduce support staff.

Meanwhile, administration changes account for $1.6 million in adjustments or 17% of the final amount.

Plans include reducing cabinet positions, secondary administration, instructional support and districtwide professional development.

Supt. Paul Peterson said budget reductions are painful but important.

"Even as painful as it is, our school board understands and our district leaders know that in order for us to have a strong financial future, this is a really, it's a painful but necessary step for our school board to take tonight," he said.

Mental health resources were among items off the table for discussion.

The deficit comes from the district's efforts to bounce back from COVID-19 and lower-than-expected enrollment numbers.

Last year the board approved taking $6.6 million from the district's savings to account for its spending being higher than its revenue.

Peterson previously told The Free Press that this was a one-time decision to help recover from the pandemic.

Board Chair Shannon Sinning said part of the budget reduction process will help in replenishing that savings account.

"It's tough when you have to actually make the cuts or vote on it, because these are things you don't want to do. You have to do them, so it's, what are the best ways to do them?" he said.

Oct. 1 enrollment numbers showed 261 fewer students than the district was expecting, which resulted in almost $3.4 million less in revenue for the district this fiscal year.

Vice Chair Kristi Schuck said the budget reduction process is the reality of declining enrollment.

"That's tough to do, but it's important for us to be fiscally responsible to our community and to the policies that we've created," she said.

Sinning said he hopes the school district won't have to work through this kind of reduction again.

Schuck said tackling items such as the district's strategic enrollment plan are priorities in aiming for that goal.

"Making Mankato Area Public Schools a destination for our community is a priority that continues to drive that to be not the case again," she said.

The district doesn't know how many teachers will be laid off yet.

Peterson said they've been as open as they can with their staff about the process.

The budget has been cycling through a design team composed of administrators and an input team with internal and external stakeholders as the district works to crunch the numbers.

Peterson said sites within the district will start holding presentations at their level in the coming weeks.

Outside of its own budget adjustment, the district is also hoping the Legislature will fully fund the education formula and special education. District leadership has previously said they will likely also go to voters with referendums this fall.

Board member Erin Roberts was not present at Monday's board meeting and did not vote on the plan.