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Cuts to education deeper than PSD envisioned

PSD said despite suggestions from the government their budget would remain status quo, Analysis from administration shows government funding leaves Parkland School Division (PSD) with a $3.7 million budget shortfall in 2019-20.

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Contrary to campaign promises by the United Conservative Party, the Parkland School Division is reporting extreme cuts to their provincial funding.

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Premier Jason Kenney and the UCP released the provincial budget on Oct. 24, which includes a freeze to funding for public education over the next four years. PSD said despite suggestions from the government their budget would remain status quo, Analysis from administration shows government funding leaves Parkland School Division (PSD) with a $3.7 million budget shortfall in 2019-20.

“Thankfully, our division is in a position to address some of our cuts this year by drawing on our existing Operating Reserves.  Our intention is to minimize the impact on schools and classrooms,” said Superintendent Shauna Boyce in a release.

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PSD received just over $4.2 million less from Alberta Education in 2019-20 than they did the previous year, equating to a decrease of 3.35 per cent despite an enrollment increase of 2.6 per cent, or 293 students.

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Additionally, as a result of Kenney’s decision to lift the cap on insurance premiums, the division experienced further losses. As a member of the Alberta School Boards Insurance Exchange (ASBIE), PSD will be hit with a 274 per cent increase in property insurance premiums, and an overall annual insurance premium increase of 150 per cent, or just over $1.3 million annually. With overall expenses an revenue for 2019-2020 factored in, the division is left with $3.7 million figure.

“It is not possible for Parkland School Division to absorb this decrease in funding without impacting schools,” stated Board Chair Lorraine Stewart. “There will be ongoing challenges dealing with the existing deficit considering that education funding is projected to remain flat for the foreseeable future.”

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In order to address the shortfall, the division re-examined their budget. They are in the process of $800,000 in expenditures. This could affect staffing levels at schools division wide.

During the Nov. 5 PSD board of trustees meeting, the division approved the remaining $2.9 million shortfall to come from operating reserves. This reduces their reserves to less than 1.71 per cent of their total operating budget. Any ongoing deficit will need to be addressed in the next fiscal year as there is not enough money in reserve to use the same strategy.

As the province has not budgeted for an increase in educational funding, and with enrollment on the rise, PSD is warning their stakeholders increased class sizes and a decline in service levels could be on the horizon. The division said tough decisions will have to be made and the board and its administration will not make those decisions lightly.

“We will still provide supportive learning environments, meaningful experiences and assure healthy relationships, thanks to a dedicated and professional staff. We just ask for patience from staff, students and parents as we find our way forward,” said Boyce.

jothomas@postmedia.com

twitter.com/JoshThomasRepEx

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