As the new fiscal year dawns July 1, town and school leaders continue to meet with Andover unions asking for wage freezes, salary give-backs or other concessions.
Now, the town's state legislators have a message: the financial picture will only get worse next year. "Andover must do more with less," wrote Sen. Susan Tucker and Reps. Barry Finegold and Barbara L'Italien to the Andover selectmen, School Committee and Finance Committee on Tuesday. "This has been an extremely difficult budget season full of tough choices on all levels, but we believe that next year will be even more so."
Painting a grim financial outlook for fiscal year 2011, they estimated needing to close a state budget hole of $3 billion or more after the $1.5 billion in federal stimulus cash used for FY10 dries up.
"With that in mind, we urge you to plan ahead for what may be an even more difficult budget season." they wrote. "We will all be asked to sacrifice and to share in the hard work ahead. We are confident that Andover will survive these difficult times, as it has before, through the dedication and cooperation of those who live in our Town and those who serve it." "We want to put people on notice now that next year's going to be a lot worse," said Finegold.
Employees salaries and benefits are the town's biggest expense, accounting for more than three-fourths of the Andover budget. So it would seem difficult for the town to significantly change spending without reducing the number of employees or altering its approach to salary and benefits.
Thirty employees made more than Town Manager Buzz Stapczynski in calendar year 2008, and 117 employees made more than $100,000 in pay. (See list of top earners, page 13 of print edition.)
In 2008, the schools had the equivalent of 784.7 full time employees; the town had 356.2 FTEs.
Andover's biggest paycheck in 2008 was Police Sergeant John Pathiakis, a 28-year veteran with the Andover Police. Pathiakis' base salary was $94,234, and overtime, retroactive pay, stipends and other pay brought his total 2008 earnings to $199,359.
Pathiakis is a training supervisor, traffic unit officer and all-terrain vehicle operator.
Ed Guy of the Andover superior officers union notes that the 2008 pay totals include retroactive pay for bargaining groups, such as police superior officers, who finally agreed to a new contract after years of negotiation. Guy also said the pay is not a reflection of officers working an excessive amount of overtime and detail hours that might reduce their effectiveness.
"The pay for the superior officer essentially has close to five years in retroactive pay that is in there," he said. "The public is going to look at that and say 'That's ridiculous...But in reality it has over 5 years of retroactive pay.
"We get paid well. But the reality is those are very inflated numbers," he said.
Working on new year
Police Chief Brian Pattullo confirmed the 1 percent salary give-back by the police patrolmens union for FY2010; a 1 percent give-back from the dispatchers union is a "tentative agreement." The superior officers union is in discussions, said Pattullo, and "open to the concept" of a give-back.
But several of the town's largest unions, including the teachers union, American Federation of State and County Employees that serves Plant & Facilities and Public Works employees, and the firefighters union have not agreed to renegotiate.
Fiscal year 2010 begins next Wednesday, July 1.
"Since this started in March, we've said that employees should be part of the solution," said Assistant Town Manager Steve Bucuzzo. "The town manager is in active negotiations with all the town labor unions to discuss a 1 percent concession for FY2010 ... he's making progress."
Part of the town manager's plan to close the town departments' budget deficit is eliminating several part and full time jobs that add up to 8.4 full time equivalents, saving $421,000, said Bucuzzo. Six of these positions are not staffed currently.
Stapczynski continues to meet with unions seeking to close the gap. But even if every town-side union agreed to a salary concession, the town would still need to make further changes to balance the budget.
"On the town side, we have a $874,000 gap to close within our budget for FY2010," said Bucuzzo. "If all seven of the town unions agreed to a 1-percent salary cut, that would yield [another] $234,000. That only gets us about halfway there." Town employees are broken into seven unions, including police and fire personnel; there are eight school unions representing teachers, administrators, secretaries, instructional assistants, food service employees, independent employees, registered nurses and licensed practical nurses.
New agreements this week
Earlier this week, three police and public safety unions negotiated with Town Manager Buzz Stapczynski to take 1 percent less of a raise next year.
The specifics are still being worked out, said Bucuzzo, but the give-backs from the police patrolmen, police superior officers and public safety dispatchers unions will save the town close to $50,000.
On Tuesday, June 23, the Andover Administrators Association agreed to take less of a raise in FY10. The AAA is a group of 22 members, including the schools athletic director, assistant principals and program supervisors in guidance, special education and curriculum.
"The details and mechanics are just being worked out but the plan will be a give back very similar to the central office administrators plan (of taking 1.5 percent less of a raise)," said David Keniston, schools business administrator, on Tuesday afternoon. "The value of the AAA and central office administrators' give backs combined should total nearly $100,000, plus or minus."
SCHOOL UNIONS THAT HAVE HELPED CLOSE GAP
The Andover Administrator's Association: On Tuesday afternoon, June 23, the AAA agreed to a salary increase give back for FY10.
"The details and mechanics are just being worked out but the plan will be a give back very similar to the central office administrators plan," said David Keniston, schools business administrator, estimating a combined value of about $100,000.
The Service Employees International Union, local 888 (custodians): have agreed to a wage freeze, overtime reductions and benefit concessions, an estimated savings of $334,641.
In early May, 32 independent school department employees agreed to take a 1.5 percent pay reduction next year and will receive raises of 2 percent instead of 3.5 percent, a move expected to save $25,000.
Also in early May, Superintendent Claudia Bach and 15 school administrators agreed to a wage freeze. They will forego 3.5 percent cost of living raises during the 2009-10 school year.
Also foregoing the 3.5 percent raise next year are Andover's 10 principals, Assistant Superintendent Susan Nicholson, Information Systems & Educational Technology Director Raymond Tode, Pupil Personnel Director Kathy Fink, Human Resources Director Candace Hall, and Business Administrator David Keniston
SCHOOL UNIONS THAT HAVE NOT RENEGOTIATED
The following unions had made no contract concession as of June 23:
The Andover Food Service Union
The Andover Assistants Organization (instructional assistants)
Andover Licensed Practical Nurses Association
Andover Educational Secretaries Association
Andover Education Association (900 teachers and other miscellaneous school positions)
TOWN UNIONS THAT HAVE HELPED CLOSE GAP
Police superior officers association (14 members): taking 1 percent less of a raise in FY2010, saving an estimated $15,000
Police patrolmen union (37 members): taking 1 percent less of a raise in FY2010, saving an estimated $28,000
Public safety dispatchers association (10 members): taking 1 percent less of a raise in FY2010, saving an estimated $6,000
Independent Employees Association: In March, the 154 town employees in the AIEA agreed to take 1 percent less of a raise than what was previously negotiated for next year, saving the town an estimated $90,000.
Also in March, nine town department heads, including the chiefs of police and fire, the town clerk and assistant town manager, volunteered to take a 1 percent reduction in pay.
TOWN UNIONS THAT HAVE NOT RENEGOTIATED
Firefighters union: no contract concession taken as of June 23; When reached on Tuesday, Thomas Agnew, president of the firefighters union, said his 68-member union is not currently having discussions with the town about any sort of contract concessions. Agnew declined to comment further.
American Federation of State and County Employees (Plant and Facilities, DPW workers): no contract concession taken as of June 23
