Rockwood Stakeholders Group Calls for Fiscal Reforms

No one other than the administration of the Rockwood School District likely was more interested success or failure of the district's Proposition R bond issue proposal last week than the Rockwood Stakeholders for Real Solutions (RS for RS), a self-described non-partisan group of taxpaying Rockwood citizens who recognize the recent negative events which have been given much media coverage are a result of a lack of transparency, fiscal irresponsibility and exclusion by district officials of parents and taxpayers in the decision-making process.  The group says "only sound fiscal policy will truly help the Rockwood School District in the long run.

RS for RS states its mission as being to "educate, empower and inform ALL residents of the Rockwood School District about issues facing the district.  While other groups such as the teacher’s union are represented at meetings where district policy is decided, there has not been, until now, any group which serves to advocate for taxpayers, parents, employees or students of the Rockwood School District."

With the failure at the polls of Proposition R last week, RS for RS issued a news release calling on Superintendent Bruce Borchers and the Rockwood Board of Education to exercise greater financial responsibility than they have in the past.

The remainder of the news release called for specific reforms and changes in certain practices in the district, which are printed below in their entirety.

"Greater financial responsibility from the district would include, but is certainly not limited to:

• No more no-bid construction deals for Glenn Construction Co.
• Actually opening the sealed bids from other construction companies instead of throwing them away unopened and unreviewed.
• Reevaluating the use of a Program Management Company for district construction (current agreement dated October, 2009).
• No more $1,800 a day out-of-town consultants (while keeping their full-time jobs in Minnesota).
• No more instant six-figure salaries for out-of-town consultants (one of which has already resigned).
• No more $8,000 a year car allowance for the Superintendent.
• No more raises for the Superintendent and the teachers’ and nurses’ unions as was done just within the last month despite an upcoming audit by the Missouri State Auditor.
• Change the unused sick day policy and stop paying teachers tens of thousands of dollars for unused sick leave when they retire (one teacher received $100,600).
• Not replacing furniture, carpeting or technology unless truly needed; consider leasing.
• Decreasing the bloated number of administrators.
• Updating the antiquated nurses’ station at LaSalle Middle School instead of building a new gym.
• Updating the antiquated locker rooms at Eureka High School instead of building a new welcome center and concession stand.
• Utilize the district’s cash reserves of $146 million.  (See page 15 of the “2011 Comprehensive Annual Financial Report”, at http://www.rockwood.k12.mo.us/finance/Comprehensive%20Annual%20Financial%20Report/2011%20Report.pdf)
• Spending less than the current 86 cents of every instruction services dollar on support and administrative services – including $14 million for building level administration and $6.4 million for executive level administration. (For every $1 dollar spent on direct instruction, 86 cents goes to support and administrative staff!)  (See pages 16-17 of the “2011 Comprehensive Annual Financial Report”, at http://www.rockwood.k12.mo.us/finance/Comprehensive%20Annual%20Financial%20Report/2011%20Report.pdf)
• Decrease the required Debt Service Fund balance down from 175% of what is required by law to only 100% in order to cover the annual debt service expense (i.e. bond payment); why is it 75% more than is required?  (See page 11 of the “2011 Comprehensive Annual Financial Report”, at http://www.rockwood.k12.mo.us/finance/Comprehensive%20Annual%20Financial%20Report/2011%20Report.pdf)
• Reviewing the district’s own facilities department’s report from last year recommending using the district’s operating budget instead of bond issues to fund capital repairs and renovations.
• Change boundaries to increase enrollment at several underutilized schools instead of the expense of expanding existing schools and building more classrooms.
• Breaking away from the old groupthink model of just doing what they’ve always done – as Superintendent Borchers noted in a Post-Dispatch expose, “It’s how we’ve done business.”  (http://www.stltoday.com/news/local/education/rockwood-district-s-bond-measure-is-at-issue/article_3cf1648e-9539-54f4-b5cb-027797ce622f.html)

While the district is quick to point out that a “majority” of voters supported the measure, and this is technically true, 46 percent of those voting did not.  This is a significant increase from past bond issue “no” votes: 36.01 percent against Proposition 5 in 2010, 38.02 percent against Proposition 3 in 2008, and 32.70 percent against Proposition K in 2006.  Almost every other voter voted against Proposition R.

“Every household in the district is cutting their spending and making do with less during these tough economic times, it’s time Rockwood started doing the same,” said Dr. David A. Miller, a physician and parent of two children in the district, who is also a member of RS for RS’ Advisory Board.  “Rockwood has to stop asking for more and more money and start making hard financial decisions.  Even the Ladue School District is considering further layoffs.”

Over the last year, the predicted district deficit figures for fiscal year 2013 have varied widely from $16 million to now only $2 million with little documentation or explanation. RS for RS recommends the district take sufficient time to improve their financial practices with more open and transparent transactions, tighten their belts and share in the sacrifices the private sector has had to endure for several years.  Then, and only then, would it be appropriate to consider asking again for a fair and reasonable tax levy. 

"Citizens are not against paying their fair share of taxes to support public education in our school district.  However, what they are against are unwise, undisclosed and inappropriate business practices, excessive spending and poor fiscal management," said Eileen Tyrrell, RS for RS co-founder and spokesperson.