Grant School District #3 to reduce staff due to increase in PERS
By Logan Bagett on Friday, November 15th, 2024 in Eastern/Southeast Oregon News Eastern/Southeast Oregon Top Stories
JOHN DAY/CANYON CITY/SENECA – (Press Release from Grant School District #3)
Grant School District #3 is like many other school districts around the state who have received
news that their PERS rate will dramatically increase from the current SY to the 2025-26 SY.
The increase is due to multiple factors which include poor performance of PERS investments for
the SY 2022-23, payroll increases in excess of PERS actuary assumptions and the conclusion
of the PERS side account that was created by the Grant SD#3 Board of Directors through
bonding in 2002 and refinanced in 2012. A side account was created with these bond funds and
the funds were invested with PERS. The side account was then used to offset PERS increases
for the district. Grant School District #3 has saved approximately $3 million dollars to date in
PERS costs over the course of the life of the side account.
The estimated increase due to PERS and other payroll rated items will cost the District
approximately $1.4 million dollars in the 2025-26 SY.
We recognize and appreciate the state’s work toward maintaining Current Service Level (CSL)
for 2025-27 school years which is estimated to be at an $11.28 billion dollar allocation to the
State School Fund. This increase will add approximately $436,596 to the Grant School District 3 Budget for the SY 2025-26. The state’s budget increase will pay for approximately 31% of the additional employment costs for the SY 2025-26.
The board will be asked during the November 20th board meeting to authorize the
Superintendent to deploy a reduction in force, impacting confidential and administrative staff.
Superintendent Witty stated, “The factors contributing to the reduction of staffing is outside of
the Districts control. I remain hopeful the Governor and Legislature will increase the SSF to help
alleviate the full impact of the PERS Rate Increases. The consequences of the PERS increase
will be felt by multiple school districts and may directly impact the programs that current
students access throughout the state.”
