JERRY HANSEN 821 N. 27th, PMB 290 Billings, MT 59101 406-591-2330

[email protected] May 27, 2012 Dear Trustees: Surprise, surprise, surprise!!! The Superintendent wants more money to reduce the size of classes that exceed accreditation standard. He’s still of the opinion that money will solve all issues. Maybe after June 30, 2012, SD2 can rid themselves of that attitude and learn to live within existing resources. Then the Vice Chairman of the Board doesn’t want parents to become alarmed. Well I’m no parent but I am alarmed, and have been since 2008. At the December 15th, 2008, Board meeting I made a partial presentation to the Board regarding this problem, but was cut off by the Chair when I exceeded two minutes. I was so alarmed that the Board would not listen as I described the problem that I published my entire presentation in the Gazette at my own expense. (Attached is my presentation.) SD2 has been well aware for over five years that K, 1st, and 2nd grade classes have exceeded accreditation standards. What was done? The usual, ignore the problem; it might go away. It doesn’t take one more nickel to have all classes meet accreditation standard; all it takes is clustering classes. There are excessive classes in 3rd, 4th, 5th and 6th grades, totaling 31.5 classes. These classes should be clustered into larger class sizes to provide 10.5 more classes for K, 1st and 2nd grades. All it takes is ACTION, it’s too late for planning. Since 2008 students have received less than a “quality education” because SD2 ignored accreditation standards and class sizes exceed accreditation standards. If nothing is done 2,478 students will receive less than a “quality education” in FY2013 because SD2 continues to ignore standards. That is unacceptable. I encourage the State Board of Education to take action, including withholding of funding, and demand that class sizes meet accreditation standards NOW. Maybe then SD2 will stop ignoring the problem and take action. Here is my analysis:

BILLINGS ELEMENTARY DISTRICT SUMMARY OF FY2013 ELEMENTARY CLASSES Source: Working Copy of Non-Accreditation Proposed Scenario - 5/14/2012 Planning & Development Committee Agenda ENROLLMENT AT ENROLLMENT EXCEEDS ENROLLMENT LESS THAN ACCREDITATION ACCREDITATION STANDARDS ACCREDITATION STANDARDS STANDARDS

GRADE K 1ST 2ND 2ND COMBINED 3RD 3RD COMBINED 4TH 4TH COMBINED 5TH 5TH COMBINED 6TH 6TH COMBINED TOTAL

STUDENTS STUDENTS # OVER STUDENTS # UNDER STUDENTS # STUDENTS TOTAL TOTAL CLASSES STANDARD ENROLLED CLASSES STANDARD ENROLLED CLASSES ENROLLED CLASSES STUDENTS 38 105 865 18 37 323 5 100 61.0 1,288 33 83 743 22 40 400 8 160 63.0 1,303 32 81 721 16 25 295 9 180 58.5 1,221 2 5 15 1 10 3 4 88 44 234 998 3 84 53.5 1,247 5 7 53 2 24 2 5 61 43 195 1,009 2 56 51.0 1,203 7 19 65 1 12 41 228 1,002 1 30 47.0 1,141 9 31 95 1 14 39 204 966 4 120 46.0 1,156 4 8 44 2 26 108

278

2,478

250

1,033

5,265

39

816

380

8,559

CLASSES REQUIRED TO MEET STANDARD CLASSES (K-2=20; 3- REQUIRED 4=28; 5- LESS TOTAL 6=30) CLASSES 65.0 4.0 66.0 3.0 62.0 3.5 45.0

(8.5)

43.0

(8.0)

39.0

(8.0)

39.0 -

(7.0) -

359

(21)

Ignoring problems is standard operations at SD2. Deferred maintenance was ignored until it exceeded $60,000,000, and then a $15,000,000 building reserve levy was approved by voters. While that levy was being spent, the deferred maintenance increased to over $120,000,000. Now about $24,000,000 in Federal subsidized bonds will be used to solve the $120,000,000 problem. Over the next three years the increase in deferred maintenance will most likely exceed the $24,000,000 in bonds. Keep ignoring deferred maintenance and SD2 will have “school in the parks”.

Then there is the $71,300,000 in post retirement benefits. SD2’s Comprehensive Annual Financial Report for FY2011 states: “The district's retirement plans may be unsustainable at current benefit levels. The district will need to address the sustainability of these benefits programs.” Again SD2 is ignoring the problem. This should be addressed in collective bargaining, but to the best of my knowledge has never been seriously considered. If the amount of these benefits is not reduced substantially the Districts are facing bankruptcy. A bankruptcy judge will solve this problem. This may be the best option in the long-term. I encourage the new superintendent to address these issues head on and not ignore them like the current superintendent has done. It won’t be popular, but it needs to be done, and the Board must demand that he address these issues and solve them NOW. Planning will not solve the problems, ACTION will. Thanks for serving as trustees.

Jerry Hansen