Dear Hermantown Community Members,
There has been a lot of discussion in the community concerning contract negotiations. As a School Board, we appreciate those that are genuinely interested in learning more about the negotiations process. We encourage you to reach out directly to union representatives, district administrators, or board members to learn more about the process. Our contact information is publically available. Direct conversations will provide the greatest clarity into the situation, far more than even attending an official school board meeting. Legally, the district can only present factual information from offers that have been presented as to not interfere with good faith negotiations.
The District’s general fund has become a topic of conversation during negotiations. The general fund has grown over the past few years due to good use of federal and state grant monies during and related to COVID, interest/dividends paid on investments, delayed curriculum purchases as well as balanced budgeting. The scenario in which this fund was allowed to grow is atypical, and hence, the Board wants to be very diligent in spending the funds. It is very unlikely we will have these same resources in the future. One time allocations are the most fiscally responsible way to direct these funds. Items under consideration include an addition to the elementary school, a new district office, adding air conditioning to the rest of the Middle School, replacing or expanding rooftop air handling units at the Elementary School, amongst other possible one time expenditures to prepare our district for the future needs of the staff and students.
Using the general fund to increase ongoing expenditures like salaries and/or benefits beyond state allocated dollars is not sustainable. For example, the proposed total package requested by Education Minnesota, Hermantown, Local 1096 on January 8, 2024 is $966,092 more than the new state allocated money over 2 years. In the simplest of scenarios, nearly 1 million dollars after two years would have to come from that general fund. This becomes unsustainable because of the recurrent nature of those expenses that snowball year over year that eventually lead to staffing cuts or a voter approved levy. Not to mention, this drains any reserves we have when critical needs arise.
Since 2020, the Board has invested in our District by approving the addition of 13 paraprofessionals, 10 fulltime teachers, 3 cooks, 2 coaches, an administrative assistant, a speech and language pathologist, a dean of students, a full time and part time LPN, a part time janitor, a counselor, a Director of Human Resources, and approved a Technology Coordinator. We have never denied a new position request that has come in front of us for a vote during this time. Our fund balance has allowed for these additions and will be needed to supplant ESSER funds that expire at the end of this year, which cover the salaries of our math and reading interventionist teachers, for example.
Many of the issues surrounding salaries and benefits for teachers and staff are far bigger than Hermantown. They are state and nationwide challenges, and are directly correlated to how schools are funded: through taxpayer dollars. Salaries have not kept up with inflation because state allocated dollars have not matched the rate of inflation. Over the past decade, the state has allocated annually between 1.5 and 2.45% in additional funding to districts. The 4% and 2% increase this past legislative session was historical, but is not enough to make up for the years prior. Not to mention, the state is already projecting a deficit in coming years, which could potentially lead to funding cuts. We must prepare and be fiscally responsible now to avert future challenges with maintaining the high quality staff we have at Hermantown. The Board continues to be committed to finding ways to close the gaps in salary and benefits for our faculty and staff, while being fiscally responsible with taxpayer dollars.
We encourage you to reach out to myself or the superintendent if you are interested in learning more about the process and the progress made towards a reasonable contract that enables teacher retention and recruitment. Although the negotiation process is complex and can elicit many emotions, it is important to remember we are one community working together for the best outcome for our students.
On Behalf of the Hermantown School Board,
Heather Holst
Hermantown School Board Chair