Alicia Ebaugh, The News Dispatch Staff Writer
MICHIGAN CITY — A detailed budget reduction proposal that could save Michigan City Area Schools more than $2.4 million was introduced Tuesday, and it includes no layoffs.

Interim Superintendent Carla Iacona presented the proposal at Tuesday night’s School Board meeting, saying none of the reductions at this point will seriously impact programs and employees outside of the elimination of all field trips for elementary school students.

“Our students are our first priority. Their education and welfare is our constant guide when discussing overall reductions,” she said. “People may be a bit uncomfortable. The rooms may be a little bit colder, there may be a shortage of paper and supplies, but these measures will help us face our present financial obstacles.”

The biggest cut of $510,000 would come from moving six administrators’ salaries from the general fund into the capital projects and transportation funds. About $300,000 will be saved on utilities when lights and computers are used efficiently and room temperatures are set lower (or higher when it becomes warmer), Iacona said. Parents will be informed their child needs to dress appropriately.

MCAS faces a $2 million budget cut from the state this year, as well as a possible $8.2 million shortfall if the district doesn’t win a lawsuit it filed in Indiana Tax Court over La Porte County Auditor Craig Hinchman’s refusal to certify 2006-pay-2007 property assessments.

“The administration remains optimistic that a settlement can be reached ... I have been told that all parties want reconciliation,” Iacona said. “I would like to reiterate that if we do not prevail in our court case, more drastic measures will be needed.”

In that case, retirement incentives may be introduced to teachers and other employees, Iacona said.