Paying for extensive renovations to district schools will drive up the proposed School Administrative District 15 budget even as the district prepares to eliminate jobs.

As the SAD 15 School Board meets Tuesday to vote on the 2008-09 budget totalling more than $20 million, it will decide whether to pass on to Gray and New Gloucester voters an increase of 5.7 percent from the 2007-08 budget.

In addressing a budget hearing April 15 regarding the budget, Dr. Alan Rich, chairman of the SAD 15 School Board praised the budget.

“We’re doing what we need to do to be fiscally responsible,” said Rich.

Rich said that nearly 4 percent of the increase is attributed to bond payments for improvements at all of the districts schools, calling it a “fixed cost that must be borne in the budget.”

The bond was issued in 2005 that funded improvements made to all district schools, including renovations to Russell Elementary School and a new interior for the gymnasium at Gray-New Gloucester High School.

The increase translates to a 66-cent mil rate increase, which means a Gray or New Gloucester resident who owns a $200,000 home would see an increase of $132 on their property taxes.

At the same time, a reduction in teaching staff is proposed under the budget, which will be presented to Gray and New Gloucester voters June 10. Positions eliminated include a high school social studies teacher and English teacher, a seventh-grade teacher, and possibly an elementary school teacher at Memorial Elementary School.

Also, half of an administrative position had to be cut from the budget, in order for Gray to meet the reorganization law for all Maine school districts. It requires districts to cut adminstrative spending by at least 50 percent.

SAD 15 has planned the 2008-09 budget under the guidelines of the organization law with a planned consolidation with School Union 29. Those plans have been put on hold as School Union 29 officials asked earlier this year to remain an independent school district. The Maine Department of Education has not decided on the request.

Enrollment at both the high school and middle schools has decreased in recent years, while elementary school enrollment has increased. Rich said this fluctuation in student population is the result of change in district population.

At this point, the identity of the teachers who could be leaving is unknown. Layoffs are handled through seniority. SAD 15 Superintendent Victoria Burns said the only thing that has been determined is that there will be teaching staff reductions.

“We try to let them know they’re at risk so they have the opportunity to start looking,” said Burns.

Burns said the middle school and high school populations will grow in the future, especially since enrollment at the elementary level is up. In fact, there is room in the budget to hire two second-grade teachers, a part-time K-1 Spanish teacher, and a freshman girls’ basketball coach.

School Board member Sandy MacDonald, said she has not heard any negative feedback from Gray or New Gloucester parents in response to teaching staff cuts.

“People understand. I think that people know that in today’s economic situation, you can’t expect to have classes with 9 students at a time,” said MacDonald.

But parents have discussed bringing back some services, like a bus operating later in the day for students involved in sports or extra-curricular activities.

Like Rich, MacDonald was pleased with the fiscal direction of the budget.

“There is very little fluff in this budget,” said MacDonald.