Brian Williams, Times of Northwest Indiana

CHESTERTON | Duneland School Corp. Superintendent Dirk Baer vowed there would be no major impacts on programming in the $1.4 million in 2010 budget cuts announced to the school board Thursday.

The centerpiece of the cuts was an early retirement incentive program for eligible teachers that could save up to $600,000, Baer said.

Those teachers would receive a one-time $15,000 payment to a health savings account if up to 19 teachers opt in. If more take advantage of the offer, the payment to each would rise to $22,500.

To be eligible, teachers must have worked at least 10 years in Duneland and must be eligible under the Indiana retirement "rule of 85," whereby their age and years of teaching experience must equal at least 85.

The incentive would reduce payroll as veteran teachers are replaced by lower-paid younger teachers, Baer said.

Teachers would have to notify the district of retirement plans by Feb. 19 to be eligible for the offer.

Sixteen retirements were announced Thursday. All would receive the incentive, Baer said.

Prominent among the announced retirees was Chesterton Middle School Principal James Ton, who is completing 42 years as an educator.

In other cost cutting, the district will eliminate the director positions for its Alternative Learning Center and its Positive Life program. That, along with the elimination of two unspecified non-teaching positions, would save about $216,000, Baer said.

Other reductions in staffing hours across the district would result in about $270,000 in savings, Baer said.

Moving the Alternative Learning Center from the administration building to Chesterton High School and consolidating staffing would save more than $200,000, he said.

Baer also said there would be savings in cuts to non-program athletic costs, such as assistant coaching positions. Summer school programming also likely would have hours reduced and fees increased, he said.

The district also would cut back on the availability of its facilities to non-school groups and require those groups to bear custodial costs.

Board President Mike Trout said the five board members would take a $500 cut to their $2,000 annual stipends.

The cutting comes in the wake of Gov. Mitch Daniels' call for $300 million in cuts to public education funding. Duneland's share would work out to about $1.6 million, Baer said.