Cost cuts begin in Colorado City
 School district staff also slashed by state
 
By Pat Kossan
The Arizona Republic
 
Arizona cut Colorado City School District's administrative staff in half, canceled its 52 credit cards and sold nine of its 18 vehicles, according to a report made Monday to the state Board of Education.

Despite the cost-cutting moves, two Utah educators visited the troubled district's classes and found education programs passing most state and federal requirements.

The staff cuts and disposal of property are part of a state takeover triggered in December when the board found the district had "grossly mismanaged" its money. The 378-student district sits in a remote community on the Arizona-Utah line that is home to several polygamist religious sects.

State-appointed receiver Peter Davis, owner of Phoenix-based Simon Consulting, also cut the district's 35 cellphones down to seven and closed a 60,000-square-foot office building, where only 10 staff members were working. That should save about $70,000 a year in utility bills. Davis also whittled down 27 non-classroom employees to about 14, which is expected to save about $450,000 by the end of next school year.

The district's airplane will be auctioned next month.

Eventually, Davis wants to raise the $17,000 starting salary for teachers, but now the district needs every penny. It has an operating budget of about $2.2 million but owes the state $360,000 for budget overruns, has a bond debt of $1.2 million, and owes $1.3 million to the Arizona School Risk Retention Trust, which has been helping it cover checks.

Reach the reporter at pat.kossan@arizonarepublic.com.
 
azcentral.com
Originally published January 24, 2006
 
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