{"id":2587,"date":"2016-04-01T16:43:56","date_gmt":"2016-04-02T00:43:56","guid":{"rendered":"http:\/\/communications.blogs.kpbsd.k12.ak.us\/wpmu\/?p=2587"},"modified":"2016-04-01T16:43:56","modified_gmt":"2016-04-02T00:43:56","slug":"proposed-pers-and-trs-legislation-could-increase-kpbsd-deficit","status":"publish","type":"post","link":"https:\/\/kpbsd.org\/schools\/comm-test\/2016\/04\/01\/proposed-pers-and-trs-legislation-could-increase-kpbsd-deficit\/","title":{"rendered":"Proposed PERS and TRS legislation could increase KPBSD deficit"},"content":{"rendered":"<p>Kenai Peninsula Borough School District<a href=\"http:\/\/communications.blogs.kpbsd.k12.ak.us\/wpmu\/files\/2015\/10\/KPBSD-logo-4c-no-tag-SMALL.png\"><img loading=\"lazy\" decoding=\"async\" class=\"alignright size-thumbnail wp-image-2243\" src=\"http:\/\/communications.blogs.kpbsd.k12.ak.us\/wpmu\/files\/2015\/10\/KPBSD-logo-4c-no-tag-SMALL-150x150.png\" alt=\"KPBSD logo 4c no tag SMALL\" width=\"150\" height=\"150\" \/><\/a><br \/>\nContact: Pegge Erkeneff, 907.714.8888<\/p>\n<h3><span style=\"color: #000080\"><strong><span style=\"text-decoration: underline\">News Release<\/span><br \/>\n<em>SB207 and SB209 could increase KPBSD deficit<\/em><\/strong><\/span><\/h3>\n<p><strong>Soldotna, April 1, 2016\u2014The Senate Finance Committee introduced four education related bills which potentially affect KPBSD revenue and expenditures. <\/strong><a href=\"http:\/\/www.akleg.gov\/basis\/Bill\/Detail\/29?Root=SB%20207#tab1_4\"><strong>SB 207<\/strong><\/a><strong> \u2013 Teacher Retirement Employer Contributions, and <\/strong><a href=\"http:\/\/www.akleg.gov\/basis\/Bill\/Detail\/29?Root=SB%20209\"><strong>SB 209<\/strong><\/a><strong> \u2013 PERS Employer Contributions, both increase the percentage school districts will contribute to the Alaska Teachers\u2019 Retirement System (TRS), and Public Employees\u2019 Retirement System (PERS) over the next several years.<\/strong><br \/>\nKPBSD analyzed the potential impact of this additional revenue expenditure for our 2016-2017 budget, together with our commitment to provide stability for our students, staff, and community within the changing fiscal climate. The impact of the unanticipated expenditures to the KPBSD FY17 budget is estimated to be:<\/p>\n<ul>\n<li><span style=\"color: #000080\"><strong>TRS potential additional FY17 expenditure: $3,073,390*<\/strong><\/span><\/li>\n<li><span style=\"color: #000080\"><strong>PERS potential additional FY17 expenditure: $436,584*<\/strong><\/span><\/li>\n<li><span style=\"color: #000080\"><strong>Total FY17 unanticipated revenue expenditure for KPBSD: $3,511,974*<\/strong><\/span><\/li>\n<\/ul>\n<p><em>\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0*collective bargaining is currently taking place, and could cause this to increase.<\/em><br \/>\nOver 80 percent of the 2016-2017 budget is related to staff (salary and benefits). A $3.5 million reduction translates into the potential loss of approximately 40 teaching positions.<br \/>\nSB 207 does include language stating, \u201cIt is the intent of the legislature to appropriate additional money to school districts annually to mitigate the annual increases to employer costs for the first five complete fiscal years under this Act.\u201d SB 209 does not include this language.<br \/>\nA third new bill, <a href=\"http:\/\/www.akleg.gov\/basis\/Bill\/Detail\/29?Root=SB%20210\">SB 210<\/a> &#8211; Community Revenue Sharing and Property Tax Exemptions, will potentially affect borough and municipality funding, and thus has the potential consequence of reducing the ability of the borough to fund the school district with a maximum allowable contribution.<br \/>\nThe Senate budget does propose to keep the $50 BSA increase for FY17, which for KPBSD, based on projected enrollment, equates to $886,375.<br \/>\n\u201cI\u2019m very concerned that the legislature is proposing this further expenditure, particularly this late in our process of budgeting and staffing for next year,\u201d said Superintendent Sean Dusek. \u201cWhile KPBSD appreciates the inclusion of the $50 BSA in the proposed Senate budget, which the district does receive as revenue, the additional percentage of PERS and TERS increases our expenditures by far more than the $50 BSA revenue. KPBSD is committed to deliver a quality education to our students, and provide stability for our staff and communities.\u201d<br \/>\n<strong>Links<\/strong><\/p>\n<ul>\n<li><a href=\"http:\/\/www.akleg.gov\/basis\/Bill\/Detail\/29?Root=SB%20207#tab1_4\">SB 207<\/a> \u2013 Teacher Retirement Employer Contributions<\/li>\n<li><a href=\"http:\/\/www.akleg.gov\/basis\/Bill\/Detail\/29?Root=SB%20208\">SB 208<\/a> \u2013 Eliminate Alaska Performance Scholarship<\/li>\n<li><a href=\"http:\/\/www.akleg.gov\/basis\/Bill\/Detail\/29?Root=SB%20209\">SB 209<\/a> \u2013 PERS Employer Contributions<\/li>\n<li><a href=\"http:\/\/www.akleg.gov\/basis\/Bill\/Detail\/29?Root=SB%20210\">SB 210<\/a> \u2013 Community Revenue Sharing and Property Tax Exemptions<\/li>\n<li><a href=\"http:\/\/www.kpbsd.k12.ak.us\/communications.aspx?id=30098\">KPBSD and the Legislature webpage<\/a><\/li>\n<li><a href=\"http:\/\/w3.legis.state.ak.us\/index.php\">The Alaska State Legislature webpage<\/a><\/li>\n<\/ul>\n<p><strong>###<\/strong><br \/>\nThis and all <a href=\"http:\/\/bit.ly\/MediaPublicRelationships\">KPBSD media releases<\/a> are online at this web page: <a href=\"http:\/\/bit.ly\/MediaPublicRelationships\">http:\/\/bit.ly\/MediaPublicRelationships<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Kenai Peninsula Borough School District Contact: Pegge Erkeneff, 907.714.8888 News Release SB207 and SB209 could increase KPBSD deficit Soldotna, April 1, 2016\u2014The Senate Finance Committee introduced four education related bills &hellip; <a href=\"https:\/\/kpbsd.org\/schools\/comm-test\/2016\/04\/01\/proposed-pers-and-trs-legislation-could-increase-kpbsd-deficit\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Proposed PERS and TRS legislation could increase KPBSD deficit&#8221;<\/span><\/a><\/p>\n","protected":false},"author":126,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_links_to":"","_links_to_target":""},"categories":[17],"tags":[774,873,876,877,1053],"class_list":["post-2587","post","type-post","status-publish","format-standard","hentry","category-news-release","tag-pers","tag-sb-10","tag-sb-207","tag-sb-209","tag-trs"],"_links":{"self":[{"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/posts\/2587","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/users\/126"}],"replies":[{"embeddable":true,"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/comments?post=2587"}],"version-history":[{"count":0,"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/posts\/2587\/revisions"}],"wp:attachment":[{"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/media?parent=2587"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/categories?post=2587"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/kpbsd.org\/schools\/comm-test\/wp-json\/wp\/v2\/tags?post=2587"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}