BRIEF: Norfolk schools face $20M shortfall in next budget [The Virginian-Pilot, Norfolk, Va.]

Jan. 09--NORFOLK -- Higher retirement payments, the end of federal stimulus aid and a possible 2 percent employee wage increase could saddle the division with a $20 million gap between revenue and spending next year, the School Board will be told at its work session today.

The division, which has pared back its budget by about $50 million in the last two years, faces higher costs on several levels including:

- Gov. Bob McDonnell's push to fully fund the Virginia Retirement System would impose $10.8 million more in spending by the division, unless some of that expense is passed to employees;

- A 2 percent salary increase would add $4.3 million in spending, but support school employees who are in their fourth year without a pay raise;

- Employee health insurance costs are likely to go up $1.5 million.

The session, which is open to the public, starts at 4 p.m. at Lafayette Winona Middle School, 1701 Alsace Ave.

For more details, return to PilotOnline.com later and read tomorrow's Virginian-Pilot.

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