1. Ann Arbor Public Schools Draft Budget Plan 2011-12

2. District Instructional Services CategoryRecommendationsImplications Potential Reduction Est. Staff Red Teaching StaffReduce teaching positions Increase class size: K-2 = 23-25 Gr 3-5 = 26-30 Gr 6-12 = Avg 30 $6,300,00070 AdministrationReduce/combine administrative positions Loss of 1 assistant principal at each comprehensive high school Sharing of principals at 4 elementary schools $500,0004 Support StaffReduce paraprofessional positions Reduction in overall support services $150,0003 Central OfficeTransfer cost of 1 FTE to IDEA Short term solution$90,0001 Central OfficeReduce support position$60,0001 Total District Support Services potential reductions$7,100,00079 Ann Arbor Public Schools Budget Reductions Developed by district-wide instructional leaders

3. Operations CategoryRecommendationsImplications Potential Reduction Est. Staff Red Reduce Transportation Service Reduce transportation cost Eliminate H.S. busing Eliminate 7th hour busing Eliminate afterschool shuttle at middle school $1,482,000 OperationsReduce operational cost Reduce support position Renegotiate gas contract $260,0001 Information Technology Reduce Central positions Eliminate 2 positions Reduce maintenance cost $300,0002 Human ResourcesReduce HR budgetReduce legal fees Reduce 1 support position $100,0001 Total Operations potential reductions$2,142,0004 Ann Arbor Public Schools Budget Reductions Developed by Operations leaders

4. Wages & Benefits CategoryRecommendationsImplications Potential Reduction Est. Staff Red Wages & Benefits3/4 Year step freeze for AAEA Negotiated contract$1,100,000 Projected Health Care savings Smaller than anticipated rate increase Dependent care audit Contractual negotiations $1,000,000 Supplemental Pay reduction $270K reduction per contract $230k reduction via management $500,000 Total Wage & Benefit Reductions$2,600,000 Ann Arbor Public Schools Budget Reductions Developed by instructional & non-instructional leaders

5. District-Wide Savings CategoryRecommendationsImplications Potential Reduction Est. Staff Red District-wide staffReduce departmental budgets by 7% $500,000 Reduce Noon Hour supervision Reduce number of noon hour supervisors at elementary and middle school $200,000 Reduce transfers to building budgets $100,000 Reduce transfers to Athletic Department Outsource non-teacher contracts Reduce transportation costs $475,000 Total District-Wide Savings$1,275,000 Ann Arbor Public Schools Budget Reductions Developed by instructional & non-instructional leaders

6. Revenue Options CategoryRecommendationsImplications Potential Reduction Est. New Student FTE Schools of ChoiceTargeted Schools of Choice (Elementary & Middle School) Reflects enrollment of students from within the county $1,200,000170 Parking ProjectIncrease parking fees from $35 to $40 per car $100,000 Total Revenue Options$1,300,000170 Ann Arbor Public Schools Budget Reductions Developed by instructional & non-instructional leaders

7. Total Proposed Reductions and New Revenues Ann Arbor Public Schools Budget Reductions Proposed District Budget Reductions Potential Reduction Est. Staff Red. Total Instructional Support Services $7,100,00079 Total Operational $2,142,0004 Total Wages & Benefits $2,600,000 Total District-Wide $1,275,000 TOTAL REDUCTIONS$13,117,00083 Potential New Revenue Student FTE Total Revenue Options $1,300,000170 TOTAL SAVINGS$14,417,000 Additional Savings Needed$683,000