{"id":94398,"date":"2005-10-06T07:05:00","date_gmt":"2005-10-06T07:05:00","guid":{"rendered":"http:\/\/a4c69eb6-1dfb-11e4-aedf-250bc8c9958e"},"modified":"2005-10-06T07:05:00","modified_gmt":"2005-10-06T07:05:00","slug":"a4c69ec7-1dfb-11e4-aedf-250bc8c9958e","status":"publish","type":"post","link":"https:\/\/www.saipantribune.com\/index.php\/a4c69ec7-1dfb-11e4-aedf-250bc8c9958e\/","title":{"rendered":"PSS projects $8M shortfall in FY06"},"content":{"rendered":"<p>The Public School System is projecting a shortfall of over $8 million in fiscal year 2006 if it continues to operate under continuing resolution.<\/p>\n<p>PSS finance director Richard Waldo disclosed this during yesterday\u2019s Board of Education meeting, saying that PSS will incur a deficit of $5.39 million for personnel and operations cost alone.<\/p>\n<p>He cited that the 12.77-percent increase in employer contribution to the Retirement Fund alone will cost PSS over $4.5 million. Waldo said an additional $3.1 million will also be needed as the PSS is now required to pay its utility bills.<\/p>\n<p>Since 1998, PSS has been receiving an annual budget of $36 million to $37.2 million. The BOE and Education Commissioner Rita H. Inos stressed that this is not enough to continue running the PSS.<\/p>\n<p>\u201cIf we\u2019re put in a corner, perhaps we might have to let go of unfunded mandates\u2026let go of kindergarten, stop buses,\u201d said BOE member Herman T. Guerrero. \u201cWe\u2019re going to lose staff by the third quarter of this fiscal year.\u201d<\/p>\n<p>The House of Representatives had passed House Bill 14-371, which increases the PSS funding in FY 2006 to $50 million from the existing $37.2 million. The piecemeal budget is currently with the Senate.<\/p>\n<p>\u201cSince 1998, we\u2019ve opened five new facilities to cope with overpopulation,\u201d Inos said. \u201cGiven the situation, we predicted since three years ago that, if nothing happens\u2026something will break.\u201d<\/p>\n<p>Waldo said PSS expects it will need some $41.5 million for FY 2006, with $39.76 million for personnel payroll alone, $900,000 for anticipated retirement cost, and $250,000 for accrued annual leave.<\/p>\n<p>About 30 of the 140 potential teachers qualified for retirement have confirmed with PSS that they will retire in December.<\/p>\n<p>The remaining $1.72 million will be used for operational costs of 20 schools, the BOE, PSS\u2019 central office, and others.<\/p>\n<p>Sen. Pete Reyes, who attended the meeting to listen to PSS\u2019 request for the Senate to pass the piecemeal budget, explained that he has always been a strong supporter of education and understands the need for an increased budget for the agency.<\/p>\n<p>\u201cI\u2019m not the one to convince because I\u2019ve always been very supportive,\u201d Reyes told Inos and the board members. \u201cIt\u2019s very easy to acknowledge the need for PSS. \u2026Look at the number of classrooms built recently where appropriation of budget wasn\u2019t made. It is easy to put two and two together and see that there is a need to deal with the budget.\u201d<\/p>\n<p>Senate fiscal affairs committee chair Joseph Mendiola earlier described as &#8220;irresponsible&#8221; the House of Representatives&#8217; endorsement of a piecemeal budget for the PSS without resolving the funding of other agencies.<\/p>\n<p>&#8220;I don&#8217;t like the way the House did the budget. It&#8217;s irresponsible for us to approve [the] PSS [budget] without regard to other agencies. We really have to look at the entire budget, not just of one agency,&#8221; Mendiola said.<\/p>\n<p>Guerrero expressed his disappointment with Mendiola not supporting the budget, stressing that \u201cwe cannot continue to live under the $37.2 million.\u201d<\/p>\n<p>\u201cIt\u2019s going to be very difficult to survive. Reality is reality. We don\u2019t have enough money,\u201d he said, citing that under the continuing resolution, some schools only receive $5,000 per calendar year for operations. \u201cWhat can we do with $5,000?\u201d<\/p>\n<p>BOE chair Roman Benavente expressed similar thoughts, stressing that the situation is a result of the government\u2019s inability to pass a budget for the past two years.<\/p>\n<p>\u201cThe scenario here\u2026it\u2019s just plain neglect by the Legislature,\u201d he said. \u201cThey\u2019re too busy [with politics] and never consider a budget. If this budget was addressed years ago, we wouldn\u2019t be facing this,\u201d Benavente said.<\/p>\n<p>He indicated that details and information will be provided by PSS and the BOE to the Senate, and \u201cif they don\u2019t pass the budget after we give all the details\u2026action will be taken.\u201d<\/p>\n<p>Reyes urged those in attendance to put more pressure on the Legislature.<\/p>\n<p>\u201cIt\u2019s a crisis government,\u201d he said. \u201cThey wait until there\u2019s a crisis before they act. I\u2019ll bet that if PSS starts terminating [employees], the Legislature and government are going to sit down and address that.\u201d<\/p>\n<p>\u201cCome out in numbers to the Legislature and protest this continuing failure,\u201d Reyes added.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Public School System is projecting a shortfall of over $8 million in fiscal year 2006 if it continues to operate under continuing resolution.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-94398","post","type-post","status-publish","format-standard","hentry","category-local-news"],"_links":{"self":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/94398","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/comments?post=94398"}],"version-history":[{"count":0,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/94398\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/media?parent=94398"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/categories?post=94398"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/tags?post=94398"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}