Alpine Parents Coalition Exhibit

Structural Deficit

age 1 ol 7

Where ls all Lhe money golng? Are Lhe 1rusLees mlsmanaglng Lhe lunds? 1hese are common quesLlons
LhaL our communlLy ls asklng Lhese days. 1he answers are noL slmle, buL Lhere ls no evldence LhaL Lhere ls
any mlsarorlaLlon ol lunds. 1he 2012-2013 llscal year books are closed and Lhe lndeendenL audlLor's
reorL (Wllklnson Padley klng & Co.) ls avallable lor download ln Lhe anuary oard Agenda on Lhe dlsLrlcL's
webslLe aL hLL://www.allneschools.neL/ausd-LrusLees-board-ollcles. 1here were no recommendaLlons
or dellclencles lound by Lhe audlLor.
1he slmle lacL ls LhaL Lhe AuSu ls ln a decllnlng enrollmenL, whlch means LhaL less lunds have been llowlng
lnLo Lhe dlsLrlcL lrom Lhe SLaLe. A lurLher, comoundlng ellecL has been Lhe reducLlon ln er ull lundlng
lrom Lhe SLaLe and rlslng sLrucLural cosLs. 1hough Lhe SLaLe lundlng has leveled oll and ls now lncreaslng,
Lhe lncrease ln overall lundlng ls noL greaL enough Lo ollseL Lhe loss ol sLudenLs and lncreaslng cosLs. lor
several years, AuSu has been exerlenclng a neL decrease ln LoLal lundlng.
Increasing Costs
1he AuSu budgeL currenLly uses $.87 ol every dollar Lo ay lor emloyees and benellLs. 1haL leaves $.13 Lo
malnLaln and lnsure laclllLles, and Lo suly Lhe classrooms. Cl LhaL $.13 LhaL ls used lor Lhese uroses,
Lhere ls a small orLlon LhaL ls acLually dlscreLlonary. osL ol Lhe lunds are Lled Lo conLracLual obllgaLlons
(labor) or oeraLlng necesslLles. 1he margln lor mlsmanagemenL" ol lunds ls a mooL argumenL.
Structural Costs Increases - Laoru
CerLlllcaLed (Leachers) and Classllled (suorL) SLall have labor agreemenLs LhaL sLlulaLe salary lncreases
LhaL are based on longevlLy (years ol servlce) and/or rolesslonal develomenL. 1hls ls known as SLe and
Column". ln Lhe case ol Lhe AuSu CerLlllcaLed SLall, a new Leacher sLarLs aL a base annual salary ol
$3,887. lor each year ol servlce, lrom years 1 Lhrough 13, LhaL Leacher ls granLed a sLe lncrease on an
annual basls. lor years 13-30, Leachers are granLed a sLe lncrease every 3 years. AlLer 30 years, Lhere are
no more sLe lncreases Lhe salary remalns llaL. uurlng hls/her Lenure, a Leacher may um Lo a dlllerenL
column, a column LhaL awards a hlgher salary lor advanced educaLlonal degrees.
1he SLe and Column meLhodology ls noL unlque Lo Allne. lL ls used lrequenLly ln many ubllc agencles. A
slmllar model ls used lor AuSu's Classllled emloyees. 1hese bullL ln" lncreaslng cosLs are noL Lhe basls ol
Lhe roblem. 1hey are a conLrlbuLlng lacLor Lo rlslng cosLs LhaL needs Lo be clearly undersLood ln Lhe
conLexL ol Lhe blgger lcLure.
noL all Leachers aL Lhe same sLe earn Lhe same salary. As you look aL Lhe salary schedule ln Lhe Lable
below, you wlll noLe LhaL Lhe Column A//C has a lower Lo end Lhan Lhe oLher column. 1he SLe and
Column rewards Leachers lor ursulng hlgher educaLlon.
SLe and Column lncreases are noL ralses". 1hey are noL subecL Lo cuLs or lreees. 1hey are embedded
lnLo Lhe labrlc ol Lhe labor conLracL. 1herelore, any cuL LhaL ls lmosed, ls lmosed aL Lhe schedule ol
salarles, buL Lhere ls no cessaLlon ol movemenL u Lhe sLe or Lhrough Lhe columns (Lhese cosLs have never
been lroen). lor examle, a hyoLheLlcal Leacher aL SLe 10/ Column L makes a base salary ol $,18. ll
Lhe AuSu lmoses a salary cuL ol 7, Lhe enLlre Lable ls relaced wlLh a new one LhaL ls reduced by 7
across Lhe board. 1eachers remaln aL Lhelr resecLlve sLe oslLlons on Lhe new schedule. ln our examle,
Lhe Leacher ls sLlll ellglble lor a sLe lncrease ol (sLe 10 Lo sLe 11).
Alpine Parents Coalition Exhibit
Structural Deficit

age 2 ol 7

Cn Lhe oLher hand, a Leacher LhaL ls aL 30 years ol Lenure or more ls no longer ellglble lor sLe lncreases.
1hus wlLh any cuL, Lhere ls no oorLunlLy lor resLoraLlon ol lncome wlLhouL a resLoraLlon Lo Lhe schedule.
The implication of the current round of cuts varies significantly from teacher to teacher, based on where
the teacher falls in the schedule. ased on Lhe daLa rovlded by AuSu, Lhere are currenLly Leachers LhaL
are no longer ellglble lor longevlLy/sLe lncreases. Some ol Lhese Leachers' salarles have ellecLlvely been
lroen lor years.

1bese solotles tepteseot tbe bose solotles ooly, ooJ Jo oot locloJe tbe pottlcolot beoltb ooJ welfote (n&w)
beoeflt cboseo by eocb Au5u employee. tlot to tbe lmposeJ 58,000 cop, tbe n&w beoeflts tooqeJ ftom
51,000 pet yeot to 519,60J pet yeot, wltb oo oetoqe oetoll beoeflt pet teocbet (pet tbe loct lloJets
kepott) of 51J,00 pet yeot.

AuSu CerLlllcaLed Salary Schedule LllecLlve 1/1/1 (lncludes 7.8 cuL)
SLe AC u L l C
1 3,887.77 $ 3,887.77 $ 3,887.77 $ 3,887.77 $ 3,887.77 $
2 3,7.1 $ 1.2 38,703.3 $ 7.8 38,703.3 $ 7.8 38,703.3 $ 7.8 38,703.3 $ 7.8
3 38,03.0 $ .00 3,0.0 $ 3.1 1,3. $ 8.3 1,3. $ 8.3 1,3. $ 8.3
3,3. $ 3. 1,3. $ .00 3,1.7 $ .00 ,7. $ .20 8,08.03 $ 1.
1,13.8 $ .0 3,18. $ .00 ,30.03 $ .00 7,27.18 $ .00 0,00. $ .00
2,78.1 $ .00 ,2.18 $ .00 7,17.70 $ .00 ,32. $ .00 2,007.3 $ .00
7 ,.8 $ .00 ,723.8 $ .00 ,01.32 $ .00 1,13.1 $ .00 ,088.01 $ .00
8 ,27.37 $ .00 8,2.8 $ .00 1,023.0 $ .00 3,73.1 $ .00 ,22.77 $ .00
8,130.80 $ .00 0,37.0 $ .00 3,0.7 $ .00 ,717.18 $ .00 8,03.2 $ .00
10 0,0.77 $ .00 2,.3 $ .00 ,18.3 $ .00 7,.37 $ .00 0,82. $ .00
11 2,07.8 $ .00 ,0.37 $ .00 7,3.3 $ .00 0,2.22 $ .00 3,27.80 $ .00
12 ,10.7 $ .00 ,87. $ .00 ,0.27 $ .00 2,7.22 $ .00 ,80.70 $ .00
13 ,308.7 $ .00 ,121.08 $ .00 2,077.31 $ .00 ,180.0 $ .00 8,0.7 $ .00
1 ,308.7 $ ,121.08 $ 2,077.31 $ ,180.0 $ 8,0.7 $
1 ,308.7 $ ,121.08 $ 2,077.31 $ ,180. $ 8,0.7 $
1 8,1.8 $ 3.28 0,.32 $ 3.13 3,2. $ 2.8 7,028.8 $ 2.8 70,288.81 $ 2.70
17 8,1.8 $ 0,.32 $ 3,2. $ 7,028.8 $ 70,288.81 $
18 8,1.8 $ 0,.32 $ 3,2. $ 7,028.8 $ 70,288.81 $
1 0,00.22 $ 3.18 2,817. $ 3.03 ,773.7 $ 2.8 8,877.08 $ 2.7 72,137.0 $ 2.3
20 0,00.22 $ 2,817. $ ,773.7 $ 8,877.08 $ 72,137.0 $
21 0,00.82 $ 2,817. $ ,773.7 $ 8,877.08 $ 72,138.0 $
22 1,83. $ 3.08 ,.80 $ 2. 7,22.03 $ 2.81 70,72.32 $ 2.8 73,8.2 $ 2.
23 1,83. $ ,.80 $ 7,22.03 $ 70,72.32 $ 73,8.2 $
2 1,83. $ ,.80 $ 7,22.03 $ 70,72.32 $ 73,8.2 $
2 3,701.70 $ 2. ,1.0 $ 2.8 ,70.27 $ 2.73 72,73. $ 2.1 7,833.3 $ 2.0
2 3,701.70 $ ,1.0 $ ,70.27 $ 72,73. $ 7,833.3 $
27 3,701.70 $ ,1.0 $ ,70.27 $ 72,73. $ 7,833.3 $
28 ,. $ 2.0 8,32.28 $ 2.78 71,318.1 $ 2. 7,21.80 $ 2. 77,81.77 $ 2.
2 ,. $ 8,32.28 $ 71,318.1 $ 7,21.80 $ 77,81.77 $
30 7,38.18 $ 2.82 70,210.2 $ 2.70 73,1.7 $ 2. 7,270.0 $ 2.8 7,30.01 $ 2.38
Alpine Parents Coalition Exhibit
Structural Deficit

age 3 ol 7

lor Lhe uroses ol analylng cosL ln AuSu, we have loaded a scaLLergram" ol Lhe all ol Lhe Leachers ln Lhe
AuSu. 1he daLa ln Lhe scaLLergram reresenLs Lhe currenL salary ol each ol our Leachers, including the
recent 7.58% cut. Lach daLa olnL on Lhe scaLLergram reresenLs one Leacher, and Lhe acLual assoclaLed
salary ls lndlcaLed on Lhe lelL slde ol Lhe charL. 1he daLa olnLs are color-coded Lo show where Lhe AuSu
Leachers acLually are ln each ol Lhe llve columns ol Lhe above Lable salary schedule. lease noLe: we are
noL uslng average or LheoreLlcal daLa. 1he daLa ls Lhe actual salary schedule data from AUSD.
AC has noL used any ol Lhe ranklng daLa LhaL has been handed ouL by Calllornla 1eachers AssoclaLlon
C1A" Lo Leachers and arenLs because Lhe daLa ls so qualllled LhaL lL does noL reresenL Lhe challenges
LhaL our Lenured ayroll resenLs. lor examle, one sheeL was assed ouL LhaL ranks Lhe AuSu aL Lhe
boLLom ol Lhe lowesL enLry salary".
The relative ranking of entry level pay is irrelevant in our current crisis.
We do noL have enLry level Leachers ln lacL our ayroll ls subsLanLlally hlgher due Lo Lhe Lenure. We have
Lo manage our schools based on Lhe real numbers, and we have Lo creaLe soluLlons LhaL are based on LhaL
reallLy
We are lorLunaLe Lo have a hlghly Lenured Leachlng sLall ln AuSu, as rellecLed by hlgh concenLraLlon ol daLa
olnLs ln Lhe uer reglons ol Lhe scaLLergram. We should be embraclng our Lenure, noL lgnorlng LhaL we
have Lo manage Lhe relaLed challenges.

Lach doL/daLa olnL reresenLs one Leacher. 1he bulk ol daLa olnLs ln Lhe uer reglons clearly show LhaL
our AuSu Leachers are a Lenured worklorce. lurLhermore, Lhe hlgh concenLraLlon ol red daLa olnLs
lllusLraLes a hlghly educaLed worklorce. WlLh LhaL Lenure and educaLlon level, comes Lhe resonslblllLy Lo
recognle Lhe ayroll lmllcaLlons by our worklorce, 1rusLees and our communlLy so LhaL we can manage lL.
Alpine Parents Coalition Exhibit
Structural Deficit

age 4 ol 7

1he daLa olnLs LhaL are shown as Lrlangle-shaed reresenL arL-Llme oslLlons. arL-Llme oslLlons (0-0
conLracLs) are ellglble lor lull healLh and wellare benellLs. 1he Lo healLh and wellare benellL ollered and
ald 100 by AuSu ln 2013 was $1,03 (november, 2013 oard resenLaLlon ol enellL SelecLlon). 1he
currenL cuL (lrom Lhe maxlmum Lo Lhe new $8,000 ca) wlll be a dlsroorLlonaLe cuL Lo Lhe overall
comensaLlon ol Lhe eole generally aL Lhe boLLom ol Lhe scaLLergram as Lhese are Lhe lndlvldual
emloyees whose healLh and wellare benellLs reresenL a large ercenLage ol Lhelr LoLal comensaLlon.
nexL, we Look Lhe Leachers' SLe and Column daLa and ran a llsL ol assoclaLed gross ayroll (see Lhe Lable
below). Lach color ln Lhe Lable reresenLs ln whlch column Lhe Leachers are locaLed. WlLhln Lhe color
band, movemenL Lo Lhe rlghL reresenLs an advancemenL Lo Lhelr nexL sLe (we ran 2013-201).
8emember, noL all sLes are assoclaLed wlLh a cosL lncrease, so some numbers wlll remaln Lhe same lor 3
years, Lhen change ln Lhe lourLh year.
We advanced Lhe currenL worklorce Lhrough Lhe sLes Lo examlne Lhe cosL lmacL on an annual basls
(movlng lelL Lo rlghL Lhrough Lhe Lable). 1hls analysls ls noL a crlLlclsm, buL ls deslgned Lo show us whaL Lo
execL under Lhese conLracLual condlLlons. 1hls model ls deslgned solely Lo geL a Lrue undersLandlng ol Lhe
sLrucLural lssues LhaL we lace ln Lhe case ol llaL or decllnlng revenue models.
1he analysls can also be used Lo galn an undersLandlng ol Lhe revenue growLh LhaL ls requlred ln order Lo
slmly malnLaln Lhe sLaLus quo". 1haL ls, whaL does lL cosL Lo ay lor Lhe lncrease ln annual conLracLual
obllgaLlons? We are a Lenured ulsLrlcL and we need Lo llnd ways Lo llnanclally suorL our Leachers.
1he lollowlng lull age Lable resenLs CerLllled SLall SLe/LongevlLy annual cosL roecLlons lor each
currenL Leacher roecLlng lrom 2013 Lhrough 201 (acLual gross salary rellecLlng Lhe anuary, 201 7.8
cuL.
Alpine Parents Coalition Exhibit
Structural Deficit

age 5 ol 7

2013 2014 2015 2016 2013 2014 2015 2016
36,576.16 $ 38,039.05 $ 39,543.54 $ 41,143.98 $ 50,009.44 $ 52,007.93 $ 54,088.01 $ 56,252.77 $
7,908.71 $ 8,228.80 $ 8,557.83 $ 8,899.98 $ 60,842.99 $ 63,274.80 $ 65,805.70 $ 68,440.57 $
39,543.54 $ 41,143.98 $ 42,789.15 $ 44,499.89 $ 68,440.57 $ 68,440.57 $ 68,440.57 $ 70,288.81 $
41,143.98 $ 42,789.15 $ 44,499.89 $ 46,279.37 $ 68,440.57 $ 70,288.81 $ 70,288.81 $ 70,288.81 $
48,130.80 $ 50,055.77 $ 52,057.48 $ 54,140.76 $ 68,440.57 $ 70,288.81 $ 70,288.81 $ 70,288.81 $
56,308.74 $ 58,156.98 $ 58,156.98 $ 58,156.98 $ 70,288.81 $ 70,288.81 $ 70,288.81 $ 72,137.05 $
61,853.46 $ 61,853.46 $ 63,701.70 $ 63,701.70 $ 70,288.81 $ 70,288.81 $ 70,288.81 $ 72,137.05 $
70,288.81 $ 70,288.81 $ 70,288.81 $ 72,137.05 $
35,887.77 $ 38,703.53 $ 39,940.04 $ 41,535.69 $ 70,288.81 $ 70,288.81 $ 70,288.81 $ 72,137.05 $
44,925.18 $ 46,723.86 $ 48,592.86 $ 50,537.04 $ 70,288.81 $ 70,288.81 $ 72,137.05 $ 72,137.05 $
23,361.93 $ 24,296.43 $ 25,268.52 $ 26,279.77 $ 70,288.81 $ 70,288.81 $ 72,137.05 $ 72,137.05 $
46,723.86 $ 48,592.86 $ 50,537.04 $ 52,559.53 $ 56,231.05 $ 57,709.64 $ 57,709.64 $ 57,710.44 $
34,677.01 $ 36,063.86 $ 36,063.86 $ 36,063.86 $ 70,288.81 $ 72,137.05 $ 72,137.05 $ 72,138.05 $
28,423.78 $ 29,560.54 $ 29,560.54 $ 29,560.54 $ 70,288.81 $ 72,137.05 $ 72,137.05 $ 72,138.05 $
60,969.32 $ 60,969.32 $ 60,969.32 $ 62,817.56 $ 70,288.81 $ 72,137.05 $ 72,137.05 $ 72,138.05 $
64,665.80 $ 64,665.80 $ 64,665.80 $ 66,514.04 $ 72,137.05 $ 72,137.05 $ 72,138.05 $ 73,985.29 $
72,137.05 $ 72,137.05 $ 72,138.05 $ 73,985.29 $
8,831.04 $ 9,184.16 $ 9,551.66 $ 9,933.55 $ 72,137.05 $ 72,137.05 $ 72,138.05 $ 73,985.29 $
51,023.09 $ 53,064.75 $ 55,186.39 $ 57,394.35 $ 72,137.05 $ 72,138.05 $ 73,985.29 $ 73,985.29 $
18,366.19 $ 19,100.89 $ 19,864.74 $ 19,864.74 $ 72,137.05 $ 72,138.05 $ 73,985.29 $ 73,985.29 $
59,690.27 $ 62,077.31 $ 62,077.31 $ 62,077.31 $ 72,138.05 $ 73,985.29 $ 73,985.29 $ 73,985.29 $
49,661.85 $ 49,661.85 $ 49,661.85 $ 19,177.67 $ 36,992.65 $ 36,992.65 $ 36,992.65 $ 37,916.77 $
31,038.66 $ 31,038.66 $ 31,038.66 $ 31,962.78 $ 73,985.29 $ 73,985.29 $ 73,985.29 $ 75,833.53 $
62,077.31 $ 62,077.31 $ 63,925.55 $ 63,925.55 $ 73,985.29 $ 73,985.29 $ 73,985.29 $ 75,833.53 $
62,077.31 $ 63,925.55 $ 63,925.55 $ 63,925.55 $ 73,985.29 $ 73,985.29 $ 73,985.29 $ 75,833.53 $
63,925.55 $ 63,925.55 $ 65,773.79 $ 65,773.79 $ 73,985.29 $ 73,985.29 $ 73,985.29 $ 75,833.53 $
63,925.55 $ 63,925.55 $ 65,773.79 $ 65,773.79 $ 73,985.29 $ 73,985.29 $ 75,833.53 $ 75,833.53 $
63,925.55 $ 65,773.79 $ 65,773.79 $ 65,773.79 $ 73,985.29 $ 75,833.53 $ 75,833.53 $ 75,833.53 $
65,773.79 $ 65,773.79 $ 65,773.79 $ 67,622.03 $ 73,985.29 $ 75,833.53 $ 75,833.53 $ 75,833.53 $
65,773.79 $ 65,773.79 $ 67,622.03 $ 67,622.03 $ 73,985.29 $ 75,833.53 $ 75,833.53 $ 75,833.53 $
67,622.03 $ 67,622.03 $ 69,470.27 $ 69,470.27 $ 73,985.29 $ 75,833.53 $ 75,833.53 $ 75,833.53 $
67,622.03 $ 69,470.27 $ 69,470.27 $ 69,470.27 $ 75,833.53 $ 75,833.53 $ 75,833.53 $ 77,681.77 $
69,470.27 $ 69,470.27 $ 71,318.51 $ 71,318.51 $ 75,833.53 $ 75,833.53 $ 77,681.77 $ 77,681.77 $
69,470.27 $ 69,470.27 $ 71,318.51 $ 71,318.51 $ 75,833.53 $ 75,833.53 $ 77,681.77 $ 77,681.77 $
69,470.27 $ 69,470.27 $ 71,318.51 $ 71,318.51 $ 75,833.53 $ 77,681.77 $ 77,681.77 $ 79,530.01 $
77,681.77 $ 77,681.77 $ 79,530.01 $ 79,530.01 $
49,532.95 $ 51,513.91 $ 53,573.19 $ 55,717.18 $ 79,530.01 $ 79,530.01 $ 79,530.01 $ 79,530.01 $
16,071.96 $ 16,715.15 $ 17,383.31 $ 18,079.27 $ 79,530.01 $ 79,530.01 $ 79,530.01 $ 79,530.01 $
60,264.22 $ 62,675.22 $ 65,180.60 $ 65,180.60 $ 79,530.01 $ 79,530.01 $ 79,530.01 $ 79,530.01 $
60,264.22 $ 62,675.22 $ 65,180.60 $ 65,180.60 $ 79,530.01 $ 79,530.01 $ 79,530.01 $ 79,530.01 $
65,180.60 $ 65,180.60 $ 65,180.65 $ 67,028.84 $ 79,530.01 $ 79,530.01 $ 79,530.01 $ 79,530.01 $
65,180.65 $ 67,028.84 $ 67,028.84 $ 67,028.84 $ 79,530.01 $ 79,530.01 $ 79,530.01 $ 79,530.01 $
67,028.84 $ 68,877.08 $ 68,877.08 $ 68,877.08 $ 5,819,713.19 $ 5,886,900.89 $ 5,958,226.55 $ 5,990,875.24 $
68,877.08 $ 68,877.08 $ 68,877.08 $ 70,725.32 $ Increase Increase Increase
68,877.08 $ 68,877.08 $ 70,725.32 $ 70,725.32 $ 67,187.70 $ 71,325.66 $ 32,648.69 $
68,877.08 $ 68,877.08 $ 70,725.32 $ 70,725.32 $
68,877.08 $ 68,877.08 $ 70,725.32 $ 70,725.32 $
Cum Increase
70,725.32 $ 70,725.32 $ 72,573.56 $ 72,573.56 $ 171,162.05 $
72,573.56 $ 72,573.56 $ 72,573.56 $ 74,421.80 $
74,421.80 $ 74,421.80 $ 76,270.04 $ 76,270.04 $
74,421.80 $ 74,421.80 $ 76,270.04 $ 76,270.04 $
76,270.04 $ 76,270.04 $ 76,270.04 $ 76,270.04 $
76,270.04 $ 76,270.04 $ 76,270.04 $ 76,270.04 $
AUSD Teachers in First Colum (BA, BA +15, BA+30)
AUSD Teachers in Second Column (BA +45, MA)
AUSD Teachers in Third Column (BA +60, MA +12)
AUSD Teachers in Fourth Column (MA +36 Doctorate)
AUSD Teachers in Fourth Column (BA +80, MA +24)
Alpine Parents Coalition Exhibit
Structural Deficit

age 6 ol 7


As you examlne Lhe salary sLrucLure, you wlll see LhaL Lhe advancemenL ol usL Lhe Leachers Lhrough one
year wlll cosL an addlLlonal $7,187 (denoLed ln yellow). 1hls ls Lhe salary only and does noL lnclude Lhe
workers' com lnsurance, reLlremenL, or emloyer ayroll Laxes assoclaLed wlLh an emloyee (Lhls adds
11.3 Lo Lhe gross ayroll cosL lor Lhe AuSu lor Lhls year). ulsLrlcL-ald PealLh & Wellare enellLs P&W"
are excluded Loo. To show how this contractual arrangement affects AUSD, lets roll through a few years
under the basic assumption that revenue is neutral; e.g. there will be no loss of students and no decrease
in funding.
AL Lhe end ol year one, Lhe dlsLrlcL ls laced wlLh Lhe addlLlonal cosL ol $7,187 (denoLed ln yellow). 1haL
creaLes a declslon olnL. CuL one Leacher, cuL Lhe exense somewhere ln Lhe oeraLlons, or send Lhe
reserve (remember, we have llaL revenue ln Lhls model). ll you cuL Lhe Leacher, Lhe class sle wlll be
lncreased (albelL small).
now, advance Lhrough year 2, and you have Lhe same condlLlon agaln, wlLh a conLracL-mandaLed $71,32
lncrease (denoLed ln orange). ?ou have a rlse ln cosLs and you have anoLher declslon olnL. ll you wanL Lo
balance Lhe budgeL, Lhen you musL make a cuL. ll you lay oll a Leacher or sLall, Lhen you geL a reducLlon ln
servlce.
If you do not cut and decide instead to spend from the reserve, each successive year carries that cost
forward, and the overspending is compounded. So, Lhe lmbalance ol carrylng cosLs lor Lhe Lhree years ln
Lhe model resulLs ln a dellclL ol $171,12 ($7,187 $71,32 $32,8). 1hls dellclL wlll conLlnue Lo grow
unless your revenue ls growlng. AddlLlonally, our model ls noL accounLlng lor any movemenL/advancemenL
ol Leachers across Lhe column sLrucLure.
Cur model above ls based on movemenL lrom one sLe Lo Lhe nexL. 1he dlsLrlcL has calculaLed LhaL lor Lhls
currenL school year, 36 of the 89 certificated employees returning from 2012-13 advanced on the
salary schedule for longevity and/or education for a total increased cost of $89,232 in wages, plus
$10,137 in statutory benefits for a total cost of $99,369!
lrom Lhe above examles, you geL a ersecLlve ol whaL a sLrucLural" dellclL looks llke. LeL's exand Lhe
dlscusslon Lo lnclude:
Slmllar cosL lncreases (albelL smaller Lhan Lhe Leachers' ln gross dollars) ol cerLlllcaLed sLall and
admlnlsLraLlon.
lncreaslng cosLs ol P&W lnsurance benellLs (unLll Lhe recenL ca, 100 ol lnsurance cosLs lor a
qualllled AuSu Leacher and lamlly was absorbed by Lhe AuSu budgeL. Cur analyses showed LhaL
Lhls cosL was comoundlng aL aroxlmaLely $80,000 er year (almosL 1 Leacher would need Lo be
cuL ln order Lo susLaln Lhls growLh alone ln a llaL revenue model).
lncreaslng cosL ol sulles
LeL's now conslder LhaL er-ull revenue ls noL llaL, LhaL lor a erlod ol years, Lhe er-ull
revenue lrom Lhe SLaLe was reduced.
llnally, leL's conslder LhaL Lhe number ol klds comlng Lo AuSu dros annually.
Alpine Parents Coalition Exhibit
Structural Deficit

age 7 ol 7


Each of the conditions above created a situation whereby pressures to reduce costs created a conflict
between the Trustees and the workforce. This has been the condition in AUSD for the past 5 years, and
as our discussion of revenue showed (see LxhlblL 8evenue PlsLory on Lhe AC webslLe aL
hLL://allnearenLscoallLlon.com/), all the mechanisms that were employed to sustain spending are
exhausted!
1hls roblem ls noL Lhe maklng ol a slngle declslon - Lhough lL can be exacerbaLed by lndlvldual declslons. lL
ls a maLLer ol economlc, demograhlc, conLracLual clrcumsLance LhaL we are laclng. CuLs are necessary lor
llnanclal survlval Loday, buL Lhe cuLs are noL Lhe soluLlon LhaL we need Lo work Loward. 1he soluLlon musL
be lound ln revenue generaLlon. We cannot rely solely on the State to increase funding!
We have to generate revenue by creating a draw to our schools.
AuSu has seen enrollmenLs decllne lor Lhe asL 10 years (see our LxhlblL LnrollmenL on our AC web age
aL hLL://allnearenLscoallLlon.com/).
lL was belleved LhaL a hlgh school would be bullL ln Lhe communlLy by Lhe CrossmonL unlon Plgh School
ulsLrlcL (our chlldren are arL ol a hlgh school dlsLrlcL LhaL ls searaLe lrom Lhe Allne unlon School ulsLrlcL -
AuSu lncludes klndergarLen Lhrough 8
Lh
grade only). WlLhouL hoe lor a local hlgh school, lL ls unknown
whaL Lhe ellecL wlll be on Allne, buL lL can cerLalnly be sLaLed LhaL lamllles choose Lo move Lo
communlLles based on havlng schools. lL has been argued by many LhaL had Lhere been no chance ol a
hlgh school, Lhelr home urchase declslons would have been dlllerenL, so we have Lo conslder Lhls lacLor as
we move lorward.
So whaL can we do? We can conLlnue Lo suorL our Allne unlon School ulsLrlcL as a whole. We can LreaL
ALL members ol Lhe ulsLrlcL and each oLher wlLh clvlllLy and undersLandlng. We can work Lowards our
common goal ol generaLlng more lncome lor our school dlsLrlcL. We can kee our klds ln our dlsLrlcL,
encourage oLhers Lo come Lo our dlsLrlcL, and work hard Lo bulld u Lhe rograms ollered ln our dlsLrlcL,
even ll LhaL means volunLeerlng our own Llme or money Lo make LhaL haen.
1be Alploe oteots coolltloo ls looloq fot ooyooe tbot ls lotetesteJ lo lmptoloq Au5u. we ote ptoposloq
tbe fotmotloo of foot commlttees A getmxI nrUUfIIxx comptlseJ of oteots, 5toff ooJ 1eocbets tbot wlll
meet mootbly to Jlscoss tbe floooclol Jeelopmeots os tbey telote to oot scbools we Joot eet woot to see
tbe cotteot leel of Jlscootse oqolo Ao kfI /Ixufx nrUUfIIxx comptlseJ of oteots tbot wlll lotetlew
tbe poteots of cbllJteo tbot ote leoloq tbe Au5u ooJ tepott floJloq to oot 1tostees oottetly tbls ls oot o
teteotloo qtoop os tbese poteots coooot be epecteJ to tesole sttoctotol lssoes tbot ote tbe tespooslblllty
of tbe 1tostees o hffaIfr nrUUfIIxx comptlseJ of oteots, 1eocbets, ooJ AJmlolsttotloo to Jlscoss tbe
lmpoct of poteotlol oolflcotloo oo oot commoolty ooJ o DauxIfm nrUUfIIxx tbot octlely ptomotes tbe
qteot ptoqtoms tbot ote lo tbe employ of oot teocbets ooJ tbot boe somebow beeo lost lo oot commoolty
messoqloq. vlslt os ot www.olploepoteotscoolltloo.com . moll os ot olploepoteotscoolltlooqmoll.com .
we ote mostly o qtoop of wotloq poteots, so pleose be potleot wltb os lo oot tespooses to yoo.