We’re dealing! Push pull or tow your old car in and we’ll give you a thousand dollars for it.
Both these promotions have been put forth by automobile dealers to stimulate buyer interest. And now it’s school’s turn.
We’re asking. We’re looking for suggestions on how to save money, operate more efficiently and be better stewards of the public trust. We’re listening, asking questions and checking out ideas.
Not a new phenomenon, school people have always been good questioners, early adopters of new concepts and quick to pick up on ways to improve operations. But now we’re talking about it. And being more pro-active in seeking new concepts.
Our administration just saved $120,000 in medical insurance costs. That’s a very big deal. A major savings. And it came about by some clever negotiating with our supplier.
In the five year forecast just out in May there was a 12% projected raise in insurance premium cost based on industry trends. More art than science, these numbers are based on the best information combined with a best guess and hope you come close. A percentage point can be a large change. In this case, $30,000.
The first number back from the insurer for next year’s premium was an increase of 19%! Not good news when the projection was indicating 12%. So our business folks went to work, looked at our claims experience and justified a much lower rate based on our good experience and in the end, negotiated an 8% increase.
That decrease from the projected 12% to the actual 8% means we will pay $120,000 less than our original forecast for the coming school year. A victory! A very big help on our budget.
Of course it’s possible the savings on insurance may be eliminated by further increases in fuel costs to operate the buses. But even here creative minds are asking questions. How could we change our operations to save time and money? Could a one route system work? What other options can we consider? Everything is on the table in the name of being more economical.
Nothing is free in the world of economics. The insurance savings this year are at risk of bad claims experience next year. It behooves us to have healthy employees. And the opportunities to save money on busing come at the expense of needing more buses which means more drivers, more insurance, etc. The possible savings will have to be studied closely to determine if they are real and worthwhile.
Here’s an example of a savings that really isn’t. We are planning to sell at auction the Central Receiving building and use the proceeds to create a new structure that adjoins the bus garage. That will save the transit time and fuel now involved in the operation.
It has been suggested we not build the new facility but instead have our suppliers deliver to the various schools. The challenge comes with increased delivery costs being added on to each order as well as losing bulk purchase discounts and not having personnel at each school to accept delivery.
A wonderful idea! But digging a bit deeper showed that there is a reason to do things the way we are……at least for the moment on this one.
While we cannot offer a thousand bucks for your old vehicle we are definitely in the market and dealing in new ideas. They are your schools, help us do it better.
Subscribe to:
Post Comments (Atom)
1 comment:
First of all, I check in regularly to read your blog. I appreciate your honesty and you answer many questions I have about our school system. I have three children that will enter the school system, one this upcoming school year. I have heard a lot of talk about Putnam Elementary closing after one year (apparently the Washington School principal announced it to his staff). Is this true? If so, approx. how much money would be saved? I'm afraid that this closure would cause a huge drop in enrollment for Marietta City Schools. My spouse and I have had serious discussions about sending our children to another school system if Putnam closes. I want my children to attend a school where I know they will be challenged academically. Putnam is the only "Excellent" school in Marietta. I know that things have cooled off since Reno and North Hills have closed, but Putnam is much different. The Devola community plays a huge role in passing levies. I truly hope that another way to save money can be found. I have heard talk of the 5th grade being moved to the Middle School if Putnam should close. I almost hate that more than the idea of Putnam closing. If Putnam should absolutely have to close I would hate to see the 5th grade put with 6th, 7th, and 8th graders. Having the 6th grade with 7th and 8th is bad enough. I'd rather see the 7th and 8th graders moved to the high school (if there's room) and the middle school used as an elementary school or a 4th, 5th, & 6th grade center. Phillips and Harmar could be used as a K & 1 and a 2 & 3 center. As for Special Ed., I'm not sure how that would work, but I do have some ideas. It's nice that we have a great historic school like Washington, but it's not in good shape. It's in the worst shape of all the buildings. I hope I've made sense. I obviously have a lot of thoughts on my mind. I noticed that no comments are ever posted on here so I'm assuming that this one will not be either. I've posted anonymously for personal reasons which means I probably won't get answers to my questions. I do hope you will address the rumors about Putnam School and the 5th grade in a future post. Thank you!
Post a Comment