FHDA Budget Update & Guiding Principles
Information from the February 17, 2009 District Budget Committee Meeting.
Guiding Principles:
Over the next 18 months, FHDA will reduce an anticipated $11 million structual deficit by June 30, 2010 under the following guiding principles:
- Preserve instructional programs and student services to meet students' educational needs.
- Meet annual growth and productivity goals.
- Preserve staffing levels to the extent possible.
- Achieve $11 million in ongoing expense reductions by June 30, 2010.
Budget Update:
- Structural deficit for 2008-09: $7.8 million
- Est. Structural deficit for 2009-10: $11 million
- Major cost drivers:
- Health benefits
- Step/column
- Other operational costs
- Structural reduction targets/solutions:
- Phase I: $5 million by June 30, 2009
- Phase II: $3 million by December 31, 2009
- Phase III: $3 million by June, 30, 2010