Robert Herrington, The Times Managing Editor

Increases in insurance costs and the possibility of future state funding cuts has increased the 2010 budget reductions recommended by Noblesville Schools Superintendent Libbie Conner. When Conner first announced the possible budget cuts it was in the amount of $3.4 million; however, during Conner's presentation to the Noblesville School Board the total was increased to $3.9 million.

The $500,000 change in budget cuts comes from increases in insurance costs. Conner estimates that the insurance premiums increase will jump 10-12 percent or approximately $630,000.

The increased costs health insurance for the district will amount to a $1.5 million reduction instead of the original $1 million proposed cut. Conner said approximately $87,000 is spent on principals/administrators and $318,000 on classified staff. The teachers' portion of this amount is $1,095,000. Conner said insurance costs are paid by the district - 80 percent - and the teaching staff - 20 percent.

In addition to insurance cuts, teachers face a reduction to Voluntary Employees Beneficiary Association contributions and the freezing of salary and benefits.

Changes in the daily schedules for grades 5-8 calls for the reduction of six elective teaching positions in technology, health and FOCUS at Noblesville Intermediate School and eliminates a second language arts class for most students and reduces three teaching positions at NMS. The two changes save $450,000.

Programs that will be impacted with the proposed cuts include extracurricular activities at every grade level and athletic programs. The district will reduce the costs of clubs and academic teams by 25 percent.

"We're making it fair and across the board," Conner said.

At NHS, cuts will eliminate transportation costs for athletics and performing arts and reduce the athletic programs budget by 25 percent. Transportation costs for athletics and performing arts will also be cut at NMS, but the school will also lose several sports - middle school swimming and golf and sixth grade basketball.

Noblesville Schools and the district's teachers union are currently negotiating the 2010 master contract. The district faces the possibility of reducing 54.5 teaching positions if the teachers union does not approve to school board approved changes. If the teachers agree to lower amounts but not the complete costs, Conner said the remaining funds would unfortunately come from eliminating positions.

Because of state laws, the school corporation will be riffing (Reduction in Force) 55 teachers in April. Noblesville Schools Attorney Jack Hittle said teachers must be informed in April of possible position cuts and the school board must act or approve the cuts during May. Hittle said if the school board doesn't approve a position cut and notify a teacher before the end of the school year it will have to honor the contract for the next school year. Conner said the impact would not be felt during this school year as any decisions made would not go into effect until July 1.

Conner also reported that seven teachers have notified the Central Office of their intent to retire and those along with any resignations would affect the number of teachers riffed or may potentially lost their jobs.

The district reduced $2.1 million out of the 2010 budget last year. At the beginning of 2010, all public school corporations were told to expect a 4.5 percent from the state. In Noblesville's case, this equates to $2,288,966.

"That's why this round of cuts are literally so painful," said Conner. "There's no fluff left with everything we have."

To begin cost savings, Conner said the district has stopped all controllable costs it possibly could - out of town professional development, ending field trips and freezing benefits and salaries of administrators and classified staff.

The possibility of additional state reductions is looming over districts. To be prepared, Conner said the district is reducing another $1.14 million - half of the January budget cut amount.

"We've been told from educational organizations and lobbyists that the cuts are not over," said Conner. "It's not a matter of whether they're coming but how much and when."

Conner said if no new funding cuts were made, the district would start adding positions back.

"We hope in the end it isn't that bad, but we have to be prepared for it," she said.