20 taking early retirement at Lake Central schools

ST. JOHN | Twenty employees are taking advantage of the early retirement incentive program Lake Central School Corp. offered to teachers and administrators in January as part of the district's bid to reduce its operating budget.

"I'll say this again -- we're losing some excellent teachers through this process, so it's with mixed feelings that I report this to you," Assistant Superintendent Larry Veracco told the School Board. "I thank them for all their wonderful service to this school corporation."

 Actual savings to the district will be higher than forecast. The reduction plan projected savings of $300,000 based on an estimated average savings of $25,000 per teacher for a dozen teachers.

 Actual savings could range from $500,000 to $700,000 depending on the difference in earnings between retiring and new teachers, Veracco said.

The program offered a one-time special retirement supplement of $25,000 for certified staff members with a minimum of 10 years experience, provided they were also eligible for full retirement benefits. The deadline to enroll was last week.

 All Indiana school districts have had to brace for general fund budget reductions as the state cuts $300 million from public education through June 2011.

 This is in addition to the shortfall the district was expecting due to flattening student enrollment. In January, Lake Central officials announced $2 million in cuts that would minimally impact classroom activities.

Superintendent Gerald Chabot said another round of proposed reductions could be announced this summer and the cuts likely will be much deeper.