Ann Arbor school board votes down privatization contract for noon-hour supervisors
- Previous coverage: Ann Arbor school board to vote Wednesday on privatizing lunch supervisors
The Ann Arbor Public Schools will continue to manage its nearly 300 lunchtime supervisors, after the Board of Education voted Wednesday against a contract that would have outsourced employees to a private company.
The high administrative fee Professional Contract Management Inc. (PCMI) quoted the district for its human resource services was the deciding factor.
Supervisors who oversee Ann Arbor elementary and middle school students during lunch will continue to be employed by the Ann Arbor Public Schools. A contract outsourcing the noon-hour employees was voted down by the Board of Education Wednesday night.
File photo
The district would have paid PCMI an annual administrative fee equal to 24.83 percent of gross wages for employees. Deputy Superintendent of Operations Robert Allen negotiated a drop of 1 percent from its original proposal of 25.83 percent.
The three-year contract would have saved AAPS 6 percent of its expenditures for the noon-hour supervisors, or about $55,000. Allen said with the 1-percent reduction to the administrative fee, the total savings would have been about $61,000.
Not paying in to the Michigan Public School Employees Retirement System for lunchtime supervisors, who don’t work enough hours to be eligible for their state pensions, was where the savings would have been generated.
The district's contribution rate to MPSERS is 24.37 percent of gross wages. It pays an additional 7.5 percent to FICA.
PCMI still would have been required to pay the 7.5 percent of gross wages to FICA, so the administrative fee actually would have been 17.33 percent of gross wages, Allen said.
But this clarification was not enough to sway the board.
“I understand that we are trying to save money every place that we can. But the amount of money we would be taking from our stewardship money, our state-given money at a 25-percent administrative rate — I would rather take the public, taxpayer money we receive and give it back to MPSERS than hand it outside,” Mexicotte said. “Well, actually I’d rather not pay it at all because it makes no sense … but at least that way I’m passing my money into a system that supports public employees.”
Mexicotte said while the board has approved cuts that have generated less savings than $61,000 in the past, typically the district retains 100 percent of the money from the cut.
Stead weighed in that board members are charged with being good stewards of the money they control. And she did not think giving such a large chunk of funds to PCMI to only save 6 percent of the total cost of employing the supervisors was being financially responsible, she said.
And because PCMI was the only company to submit a bid in response to the district’s request for proposals, Stead said she doesn’t feel as though the district was quoted a competitive rate.
While Thomas shared “some sympathy” for Stead and Mexicotte’s opinions, he said, he was “not willing to put hubris above economic reality.”
“This, to me, looks like a win-win. … Employees are not disadvantaged in any way, their wages stay the same. Students are not disadvantaged in any way. … To me it’s a no brainer,” he said.
In April, during the budget process, district officials had estimated outsourcing lunchtime supervisors would save $75,000. This projected savings was included in the $3.84 million in cuts that the board approved en route to balancing Ann Arbor’s $188.5 million budget for the 2012-13 academic year.
Allen said all of the figures for revenues and reductions are simply estimates at the time the budget is finalized. As the school year progresses, districts make continual adjustments based on actual cost savings generated, expenditures and incoming revenues. He said every year, AAPS has some projections turn out higher than the expected and some turn out lower.
The district now will need to find at least $61,000 in the budget somewhere, Allen said. He said the district will monitor how its projections are shaping up before determining whether additional cuts will need to be made.
Danielle Arndt covers K-12 education for AnnArbor.com. Follow her on Twitter @DanielleArndt or email her at daniellearndt@annarbor.com.
Comments
Bulldog
Tue, Jan 22, 2013 : 1:15 p.m.
It's very difficult to get and retain quality lunch time supervisors for the time/wage the district offers. The noon hour is when most issues take place with elementary students.
YpsiGirl4Ever
Thu, Oct 11, 2012 : 7:47 p.m.
Good! All this privatization doesn't save money for the district anyway~
Macabre Sunset
Thu, Oct 11, 2012 : 6:08 p.m.
It saves the schools $61k to use non-union babysitting. Seems like a no-brainer, but not in Ann Arbor, of course. I assume the babysitting is necessary because there's something in the teacher's union contract that they can't be asked to sit in the lunch room during lunch? Otherwise, do they need help watching the children during class? We enable this behavior by continuing to elect school board members who think of tax money as an unlimited spigot even when it's obvious the well is running dry.
LXIX
Thu, Oct 11, 2012 : 5:53 p.m.
Great news ! Now maybe the same educated logic will bring the bus drivers and janitors and food service personnel back into the security fold where they belong.
15crown00
Thu, Oct 11, 2012 : 3:26 p.m.
so if that fee would not have been as high as it was it sounds like they MIGHT HAVE voted for it.really then it's just a matter of $$$$$$$$$$$$ like so many other things are.
OutfieldDan
Thu, Oct 11, 2012 : 2:24 p.m.
This is a union thing. First of all, 300 lunchroom supervisors is absurd. I used to be a teacher in the 70's and I watched lunch as part of my duty. Also, the ratio was about 100 kids/1 supervisor. "but at least that way I'm passing my money into a system that supports public employees." I suggest the school board review this decision and make a better choice. Actually they could do several things that make more sense than just continuing to throw taxpayer money away into a corrupt system.
YpsiGirl4Ever
Thu, Oct 11, 2012 : 7:49 p.m.
THIS ^^^^ is logical thinking at work~
ThinkingOne
Thu, Oct 11, 2012 : 2:43 p.m.
Yes, somehow passing public money to a private company is a good thing, but passing it directly to employees without the private company in-between is a bad thing.
maallen
Thu, Oct 11, 2012 : 2:12 p.m.
Classic beauracratic response by Deb Mexicotte: "I would rather take the public, taxpayer money..." Of course you would because it's not "your" money. However, if you could save money in your household you would do it, but since it's the taxpayer's money, nah. A bigger question is why are we paying for lunch supervisors in the first place? Why is it that the public charter schools can do it with volunteers (and yes they go through background checks) but traditional public schools can't do it with volunteers?
maallen
Mon, Oct 15, 2012 : 2:18 p.m.
ThinkingOne.... Mexicotte's quote speaks for itself. Instead of saving money, she would rather spend taxpayer's money because why? She doesn't like or want private businesses. Heaven forbid! Talking about class warfare....If you are not union then you are no good.
ThinkingOne
Thu, Oct 11, 2012 : 5:31 p.m.
maallen: Nice job of editing the true meaning out of a quote. No one is 'taking' public money. You can have whatever opinion you want on this issue, but deliberately eliminating over half of a simple quote to utterly distort its meaning is absurd. And you have done it twice in just this sub-discussion. The actual quote is: I would rather take the public, taxpayer money we receive and give it back to MPSERS than hand it outside.
aamom
Thu, Oct 11, 2012 : 4:12 p.m.
maallen Perhaps it used to be volunteers (I was a kid back then and didn't notice or care who was supervising), but I'm sure it changed because not enough people volunteered and sometimes they didn't show up for the job because they are, well, just volunteers. Anyone who has tried to run anything in the public schools lately knows that volunteers are hard to get and they don't mind emailing you the morning of an event and telling you that they can't make it after all. As far as I know, public schools can't do anything to make people volunteer so what are they supposed to do? Also, my neighbor said the volunteer situation isn't any better at her private school. She said it's even a little worse because people feel like they paid so much money in tuition that they shouldn't be asked for time as well.
maallen
Thu, Oct 11, 2012 : 3:22 p.m.
ThinkingOne, Way to avoid the question by saying "I don't really know if ALL charter schools do all these things..." Majority of charter schools in Michigan, if not all, use volunteers for lunchroom supervisors. It's called using the taxpayers dollars WISELY. How is it they can do it, but the traditional public schools can't? At one time, traditional public schools used volunteers? So why did it change? We already know where Deb Mexicotte stands when it comes to using other people's money, let's spend it.... "I would rather take the public, taxpayer money..." rather than save money.
maallen
Thu, Oct 11, 2012 : 3:16 p.m.
CLX, The traditional public schools used to have parent volunteers for lunch room duties. Charter schools are non profit. Again, you have not answered the question. Why are we even paying for this in the first place? At some point it changed into a paid position. Why? What it boils down to, it's the taxpayers money so there is no accountability. "Apparently there are enough parents in such schools who don't work or who can take an hour off in the middle of the day." And you don't think in a traditional public school they don't have these types of parents? Considering the public traditional schools have a higher population, one would think there are such parents.
ThinkingOne
Thu, Oct 11, 2012 : 2:42 p.m.
Maybe its because the type of parent that puts their children in charter schools is the type of parent that volunteers. And then the public schools are stuck with a disproportionate number of parents that don't. Also, I don't really know if ALL charter schools do all these things with volunteers that everyone always claims. Maybe in your charter school, but that doesn't imply all charter schools.
CLX
Thu, Oct 11, 2012 : 2:32 p.m.
Because charter school are about making money and they can make money from using parent volunteers instead of hiring someone for the job?? Because apparently there are enough parents in such schools who don't work or who can take an hour off in the middle of the day? Parents driving the bus and cleaning the hall would be just grand as well.
Basic Bob
Thu, Oct 11, 2012 : 1:48 p.m.
Well, how will they find additional savings of $61k? Close CHS and sell the land to a developer. Problem solved.
Basic Bob
Thu, Oct 11, 2012 : 1:49 p.m.
And don't suggest this will force kids into charters. Real progressives don't dare.
UncleMao
Thu, Oct 11, 2012 : 1:21 p.m.
Lunch. Just another entitlement of the "Me" generation. We're raising namby-pambies. Too much testing! We want to eat lunch! And who needs to be supervised while eating. Do we really need helicopter parents hovering around making sure the kids aren't choking on their Lunchables? Honestly, the liberal elite and their mealtime entitlements. Fire lunchroom supervisors and hire more police! I'd rather have disorderly cafeterias than a city covered in graffiti and ally-ways plagued by repetitive gang rape. Leave it to the People's Republic of Ann Arbor to hemmorage tax money on supervised lunches for our special little children. This is profiteering plain and simple. Enough already. If Timmy gets shanked halfway through his fruit roll-up, consider it thinning of the herd. Nanny-state nonsense.
YpsiGirl4Ever
Thu, Oct 11, 2012 : 7:53 p.m.
So with your thinking I guess children should attend school for a 6.5 hour day and stave but still be able to retain educational information in their heads. Right?
15crown00
Thu, Oct 11, 2012 : 3:30 p.m.
but what if it was your kid that got shanked.problem is to many supervisors which is part of a larger problem called UNIONS.
nekm1
Thu, Oct 11, 2012 : 12:24 p.m.
Now that we feed the kids breakfast and lunch, what about dinner and we make these full-time positions? We can call them "parents!"
J. A. Pieper
Fri, Oct 12, 2012 : 12:02 a.m.
nekm1, there is a school in AAPS that does serve three meals a day. And since the schools are taking over so many of the parental responsibilities, it looks like we are the new "parents!"
hermhawk
Thu, Oct 11, 2012 : 12:21 p.m.
Thank you school board. I have had enough of the tea party mentality in which outsourcing is part of their agenda. Say NO to so-called "limited government" and support public employees as school board president Mexicotte properly put it.
Carole
Thu, Oct 11, 2012 : 12:21 p.m.
The supervisor ratio to student is 35 to 1 supposedly. When I retired from the noon hour 2 years ago, we were always short supervisors, but thankfully those that I worked with were experienced and we provided for the children in a most professional way. I applaud the Board of Education for not privatizing the program and would ask them to continue to provide all the assistance that is needed to give our children an safe and secure lunch hour with enough time to eat and relax a little. Thank you.
TinyArtist
Thu, Oct 11, 2012 : 12:08 p.m.
An excellent move by the school board.
mkm17
Thu, Oct 11, 2012 : 11:22 a.m.
This is great news. My sister-in-law has worked as a lunchtime supervisor for two years, and loves and values the job. It's disheartening that some would seek to cheapen the job by suggesting the workers are retirees "anyway", or part-timers "anyway". They're employees, period.
ThinkingOne
Thu, Oct 11, 2012 : 2:37 p.m.
My mistake, I meant to address my previous comment to mw.
ThinkingOne
Thu, Oct 11, 2012 : 2:36 p.m.
nkm how do you know she will NEVER get ANY benefit from the retirement system? The time will carry with her for her lifetime. If she gets another job with the schools that credit will be added to this. Not to mention you don't know how long she has/will be doing this job; she might even get a pension from this one if she works long enough.
mkm17
Thu, Oct 11, 2012 : 2:17 p.m.
Good point, mw. I'll have to do more research about this. Agreed, it's nuts.
mw
Thu, Oct 11, 2012 : 12:25 p.m.
"It's disheartening that some would seek to cheapen the job by suggesting the workers are retirees "anyway", or part-timers "anyway". They're employees, period." The current situation is that the district is paying an amount equivalent of almost 25% of your sister-in-law's salary to the state school employee retirement system, even though, as a part-timer, your sister-in-law will never get ANY BENEFIT from that deduction. That's nuts.
brimble
Thu, Oct 11, 2012 : 10:38 a.m.
Is it necessary to even have so many lunchtime supervisors? I'm not suggesting that the teachers alone be lunchtime monitors, as was the norm once upon a time, but neither does this job description even make sense. +/- $1M per year to watch kids eat lunch? Really?
brimble
Fri, Oct 12, 2012 : 11:22 a.m.
I'm not questioning that school lunchrooms can be chaotic. Neither am I suggesting that teachers shouldn't be able to go to the bathroom. I am, however, asking whether there is a better way than to spend as much money as we do. Is there another alternative at less expense? Would it be a good trade to cut four lunchtime supervisors in favor of hiring one more full-time teacher?
J. A. Pieper
Thu, Oct 11, 2012 : 11:59 p.m.
brimble, come visit my elementary school at lunch time and see what it is like. The lunch room supervisors do a tough job, and it can be challenging. If you have ever been in a lunchroom with 150 kids, you would know it is not just about eating lunch! If that was all the kids do, eat their lunch, then it might be easy. But take it from someone who sees this situation every day, the schools need these supervisors, and actually, we need more!
nekm1
Thu, Oct 11, 2012 : 2:19 p.m.
Heck, our principal and vice-principal watched us at lunch...over 400 kids. No problem. No extra cost. Enough with the bicycle helmet crowd that thinks our kids need to live in lead boxes for their protection! How about we let them socialize normally?
music to my ear
Thu, Oct 11, 2012 : 11:14 a.m.
yes I worked, the lunchroom, and trust me there is never enough help. as it is chaotic
Anonymous
Thu, Oct 11, 2012 : 10:56 a.m.
Spoken by someone with zero practical knowledge.
local
Thu, Oct 11, 2012 : 10:54 a.m.
And supervise outdoor recess as well. As for teachers monitoring lunch and lunch recess, when do teachers eat? Use restroom? I would recommend to you brimble that you go visit a large elementary school and see how chaotic lunch and lunch recess can truly be. In some cases, schools are requesting more supervisors to help monitor!