A $33.4 million proposed budget for Manassas Park City Schools includes a two percent pay raise for all employees of the school division, except the superintendent.

 "I cannot stress enough how pleased we are to provide a salary increase for the first time in five years,”  Dr. Bruce McDade, superintendent of Manassas Park City Schools, said on Monday.

 McDade presented his proposed Fiscal Year 2013 budget Monday night in the form of a light-hearted, picture-filled, 17-minute PowerPoint to a large crowd assembled in the Manassas Park High School commons area.

 The school division is always encouraging its teachers to be innovative in their education of students by challenging themselves and trying new things, McDade said. That’s why his budget was presented in a PowerPoint with voice-over narration instead of a traditional, spoken presentation.

 The two percent increase for all employees is described by school administrators as the, “centerpiece” of the $33,476,000 proposed budget. The increase comes after a series of harsh economic years, including four consecutive years with no additional compensation for school employees and one year with three furlough days.

 The pay increase is considered a cost of living/ step increase, with a step normally, but not always, corresponding to each year an employee has worked.

In the private sector Cost of Living adjustments are around two percent and are generally associated with the Consumer Price Index (CPI.)

  “ … employee compensation was the number one priority for next year’s budget,” McDade said. “The message was delivered loudly in admin meetings, where principals shared what they were hearing from folks in the schools. It was heard clearly from feedback the school board received during nine community input sessions over the past two months.”

 School division officials wanted to have salary upgrades last year, when there was a small improvement in economic conditions, but were unable to do so.

This left Manassas Park schools administrators feeling, “quite disappointed,” especially because neighboring school divisions were offering additional compensation at the time, school officials said.

 The better economy of Fiscal Year 2012 means the lease-purchase of two new buses, no furloughs and the creation of 7.5 new positions—the latter being something that hadn’t happened at all in the previous four years.

School officials said they don’t expect to add any new positions next year because of the employee raise. It isn’t possible to do both, officials said.   

 Not adding new positions is a part of the reason why the 2013 budget is some $2 million less than the 2012 budget of 35.7 million that allowed for the adding of new positions.

The school budget is also less because it no longer includes debt service payments. The schools debt service is now under the city’s budget.

 FY2013 Projected Revenue

The school division is expected to get $1.2 million dollars in funds from the federal government— an estimated $727,000 less than what is projected to be received this year, according to Manassas Park schools data.

State Fiscal Stabilization Fund payout, a part of the stimulus package, won’t be available in 2013, accounting for the bulk of the decrease in federal money.

 State review is projected to be $18.3 million, an increase of some $2.6 million. School officials said the bulk of the $2.6 million has been appropriated to certain funds, leaving $398,000 in non-earmarked funds

 The schools are set to receive at least $54,000 more from the city in FY2013. This is partially because of the end of the 10-year-old revenue-sharing agreement between the two entities.

For the last decade, the city supported the schools with a transfer of 57 percent of its non-earmarked funds.  Under this plan, if the actual city revenue did not meet budgeted targets, then the school's transfer could be lessened midyear. Otherwise the following year's transfer would be reduced. Both of these "returns" is referred to as a true-up.

School administrators are attempting to cover the projected FY12 true-up in this year so that there will be no true-up in 2013.  With the end if the revenue sharing agreement this true-up process will end as the two boards work to come to a new mutually, beneficial arrangement, school officials said.

 The school board is expected to adopt the superintendent’s budget on March 19. At that point, it will be sent to Manassas Park City Council for its consideration. The body is expected to approve the budget no later than April 30.