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School study suggests changes
By GENE KEMMETER
of The Gazette
An audit of management and operations in the Stevens Point Area Public School District says the district might
be able to save $3 million during a five-year period if it follows recommendations in the audit.
MGT of America Inc., Tallahassee, Fla., identified the possible saving during the audit for the Portage County
Business Council that was funded through a grant from The Sentry Insurance Foundation.
Linda Recio, senior partner of MGT, told the Stevens Point Area Board of Education Thursday, Jan. 31, and member
of the Business Council Friday, Feb. 1, that the district has many innovative and exemplary programs.
Those programs are pointed out in the final report, a 300-plus-page book that's 2 inches thick.
In the report, the firm made 115 recommendations and about 20 of those recommendations have a fiscal impact. Most
of them address operations and manager, and Recio said the district needs to set up an Oversight Committee to monitor
implementation of the recommendations in order to benefit from the audit.
Recio said the audit identified the potential $3 million savings by 2007 and could save more, particularly in the
transportation area.
The school district is struggling with its financial resources, she said, and the audit won't help with all those
problems but might aid some.
Transportation wasn't included within the scope of the audit, but Recio indicated the district probably could save
money in that area. "Your transportation costs are more than your other peer districts."
The area for the biggest savings in the audit was finance and business operations, where she said the district
should look at a contract for vending services, possibly earning $1.6 million for exclusive beverage supply. In
Colorado, the audit says, one district negotiated a 12-year contract for $5.5 million and another a 10-year contract
for $6.3 million.
By eliminating an assistant superintendent position, the district would save $123,890 annually, or $617,450 in
five years, the audit said.
Other identified areas of cost-savings were reduction of overtime, eliminating mileage allowances, reducing retirement
benefits, revising facility use exceptions, reducing workers' compensation claims, utilizing purchase cards, reducing
overtime for custodians, reducing utility costs and initiating an energy conservation program.
Savings from those area would offset the additional costs the audit identifies for board training, hiring a Web
master, creating a technology technician position and update computer software programming.
Recio went through an executive summary of the audit with both the board and the council, highlighting some of
the areas of the study. The review went through School District Organization and Management, Human Resources Management,
Finance and Business Operations, Facilities Use and Management, Community Involvement and Technology.
Brian Doudna, executive director of the council, said the audit begins a reviewing process for the district. "This
report's recommendations take in best practices from across the nation," he said, "however, local review
and value judgments must be considered to make them appropriate for Stevens Point.
"This provides a prime opportunity for area residents and businesses to become involved in their school district
using common information from an independent source," he said.
While the study identifies possible cost savings, Doudna said the savings are not enough to eliminate future operational
referendums.
"The results of this report also confirm the need to enhance mechanical and HVAC (heating, ventilating and
air conditioning) systems, which will help in reducing the district's operational costs," he said.
While the financial aspects of the audit drew the most attention, Doudna said "the report recommends the creation
of several committees to enhance community outreach and participation in dealing with some of the larger and ongoing
issues the school district faces."
He said the Business Council Board of Directors told the school district the organization will assist the district
in finding appropriate expertise to implement the audit's recommendations and work with the district to fill vacant
committee spots with business representation. |