LTC 037-2009 Superintendent's Business Advisory Council (SBAC)m -'~~~IAMIBEAC
OFFICE OF THE CITY MANAGER
NO. LTC # 037-2009 LETTER TO COMMISSION
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TO: Mayor Matti Herrera Bower and Members of the City Commission :~.
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FROM: Jorge M. Gonzalez, City Manager `^
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DATE: February 5, 2009 _-- ~ "'
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SUBJECT: Superintendent's Business Advisory Council (SBAC) ~ i
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The purpose of this LTC is to inform you that I will be serving on the Superinteljtienf'~f
Miami-Dade County Public Schools Business Advisory Council (SBAC).
The Superintendent's Business Advisory Council is tasked to review proposed changes to
the School Board's Budget and offer advice on how best to address the fiscal challenges
faced by our school system. Specifically, the members of the council will be focusing on the
District's food services, transportation and facilities operations.
As you know, we as a community and an organization are committed to our children and
their education. Over the years, this Ciry has demonstrated this commitment through
funding programs and dedicating resources to this end.
Most recently, the City of Miami Beach has forged an even stronger partnership with Miami-
Dade County Public Schools and the School Board through the adoption of our Education
Compact.
I know it is our common goal to ensure that the children of Miami Beach and those of Miami-
Dade County as a whole receive the highest quality education.
It is with great honor that I have accepted the Superintendent's invitation to serve on this
council, which is composed of distinguished leaders in our community, as I recognize the
tremendous financial challenges the Miami-Dade County Public Schools system is facing,
particularly in light of current national economic conditions.
Should you have any additional questions, please do not hesitate to contact my office.
JMG/DM
Attachments
F9.cmgr'.$ALL`~LTC-09'.Superintendems Business Atlvisory Council.doc
Superintendent Alberto CanaQto Unveils Plan To Realign Schools Budget Page I of 2
FOR IMMEDIATE RELEASE CONTACT: John Schuster
Thursday, November 13, 2008 Miami-Dade County Public Schools
305-995-1126
SUPERINTENDENT ALBERTO CARVALHO UNVEILS PLAN TO
REALIGN SCHOOLS BUDGET
Previous Budget Submitted to State Contained Serious Technical DeFiciencies
MIAMI -Miami-Dade Schools Superintendent Alberto Carvalho today unveiled a plan to
realign the budget of Miami-Dade County Public Schools by reorganizing the District,
while maximizing opportunities and reducing liabilities. Carvalho's plan comes in
response to devastating economic conditions at local, state and national levels that have
resulted in huge revenue losses for the District.
On September 13, three days after assuming the superintendency of the nation's fourth
largest school district, Carvalho brought together a team led by Chief Financial Officers
(CFOs) with years of experience in school budgets, with the purpose of identifying funds
to support negotiated raises for teachers and other employees. But after a thorough
review and analysis, the team identified serious technical deficiencies in the 2008-2009
budget that the school district had presented to Tallahassee that compounded revenue
losses.
Among the liabilities within the budget submitted to the state was an overestimation of
approximately $43 million in "salary lapse," a change in budgeted salaries caused by the
departure of high-paid senior employees and their replacement with lower-paid
employees. Additionally, an over-hiring of teachers took place in recent years because
adequate controls were not in place at school sites. To help identify the cause of such
mistakes, Carvalho has employed the assistance of District auditors and the Office of the
Inspector General.
To rectify the dire budget situation, Carvalho has proposed using a strategic approach to
identify issues of concern with the budget and to hone in on economic issues affecting
funding, including declining enrollment, a reduction of state revenues, and an explosive
growth in charter schools. Additionally, the plan is designed to stop the hemorrhaging of
funds, impose cost controls and build capacity for anticipated future cuts. The plan offers
a true depiction of expenditures and liabilities, while reconciling the budget in a truthful
manner.
The plan specifically addresses central office functions by identifying procedures and
processes that are overlapping or redundant, and by proposing reductions to eliminate
selected positions to which those functions are assigned. The plan considers the value of
the contributions made by all of the professionals involved, while putting them into
perspective. The proposed reductions are expected to take a toll, however. If exercised,
the cuts will reduce the central office by 27.6 percent.
http::`;nc~cs.dadeschools.net~relcaseslrlsU8rJ(6 budgctplan.htm 02104%2009
Superintendent :~Iberto Can alho Unveils Plan "1'o Realign Schools Budget Pagc 2 of 2
The plan does provide for the re-absorption of staff with teaching certificates. The District
will need to hire approximately 1,500 teachers by August 2009, and many individuals
from central office can be reassigned to those classroom positions.
To combat spending at school sites, Carvatho is proposing to freeze or reduce selected
non-classroom expenditures. The goal, however, is to protect the classroom at all costs,
to be creative and to reduce expenditures.
Carvalho also has created a Superintendent's Business Advisory Council, made up of
distinguished leaders of business and industry, to review proposed changes to the budget
and offer their advice. Members of the council will focus on the District's food services,
transportation and facilities operations.
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Back to News Releases
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http: ;ncws.dadeschools.net/releases~Yls08%3(i(_budgetplan.htm 02,•'04%2009
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Superintendent of Schools Miamf-Dade County School Board
A/beRo M. Cervelho Dc Solomon C. Stinson, Char
Dr Merte PArez, Vice Chair
Agustin J. Aarrere
Rerxer Diaz de la Portilla
January 28, 2009 Or. Lawrence S. Feldman
Pena Tebares Hantman
Dr YL41bert °Tee" Holloway
Mr. Jorge M. Gonzalez Dr. Martin Karp
1700 Convention Center Drive Ana Rivas Logan
Miami Beach, FL 33139
Dear Mr. Gonzalez:
Thank you for agreeing to participate in the Superintendent's Business Advisory Council
(SBAC). As you are aware, the news from Tallahassee regarding Florida's economic
condition has not been good. Education took additional cuts during the recent special
session and we are expecting the upcoming regular session to be difficult as well. During the
first meeting of the SBAC, the focus was on the District's current efforts to deal with the
significant reductions to our budget as a resuk of technical errors by the previous
administration, as well as the downturn in the economy.
The comments and observations made by members of the SBAC at the meeting of
November 7, 2008, were very much appreciated. Now, as we prepare to address policy
makers in Tallahassee and Washington, D.C., regarding the significant impact of further
budget cuts to public education, I would like to share our legislative program and advocacy
strategies with the members of the SBAC.
The next meeting of the SBAC has been scheduled for Friday, February 6, 2009, at 8:30
a.m., in Conference Room 916 of the School Board Administration Building, located at 1450
N.E. 2"d Avenue, Miami, Florida 33132. My office will be in contact with you shortly to confirm
your participation. Thank you again for your continuing commitment to Miami-Dade County
Public Schools and for serving as a member of the SBAC.
Should you have questions or need additional information, please do not hesitate to contact
me at 305 995-1428. Thank you for your continued commitment to Miami-Dade County
Public Schools.
Sincerely,
Alberto M. Carvalho
Superintendent of Schools
AMC: mja
L417
School BoardAdminis(ration Building • 1450 N.E. 2nd Avenue • Miami, Florida 33132
305-gg5-1000 • wwwdadeschools.nef