It is one of several steps that O'Connor is taking as Maine's largest city wrestles with an estimated $2.5 million school budget deficit and prepares for school spending reductions that could lead to layoffs.
At the 7 p.m. meeting, O'Connor will outline practices and policies she plans to institute to bring about better financial management of Portland schools. In particular, she wants to ensure that she and the School Committee get accurate budget information regularly and on time.
"It will be a focused, intentional framework for how we go forward," O'Connor said. "It's part of my plan to make sure this will not happen again."
Some existing policies, including one requiring the school finance director to provide monthly reports to the School Committee's finance subcommittee, were followed infrequently, if at all. Benjamin Meiklejohn, finance chairman, and other committee members have begun reviewing finance policies.
The committee initially planned to discuss the district's latest Maine Educational Assessment scores at tonight's meeting. John Coyne, committee chairman, changed the agenda Tuesday to provide a forum for O'Connor's plan. Because it is a workshop, no public comment will be allowed.
The committee may consider O'Connor's plan at a future business meeting, where the public would be allowed to comment and the committee may vote to endorse the plan, Coyne said.
The School Department's budget troubles intensified last week when school finance director Richard Paulson resigned, the School Committee hired a lawyer to find out how the deficit happened, and the city's finance staff took over the school finance office on an interim basis.
O'Connor herself has come under fire for her handling of the budget, with some committee members saying they're not prepared to renew her contract.
The law and her contract, which runs through June 30, 2010, require the committee to investigate, find cause and give due notice before dismissing her.
The city's finance staff is expected to reconcile all spending and revenue in last year's $82 million school budget and assess the validity of the current $85.7 million school budget.
By the end of next week, city officials are expected to have a firmer number for the school deficit, as well as an accounting of any overspending by other city departments during the fiscal year that ended June 30.
At this point, the school deficit includes $1.7 million in overspending that started shortly after the City Council reduced the 2006-07 school budget by $500,000.
The School Committee then agreed to hire additional staff, and also settled employee contracts with 3 percent salary increases instead of 2.5 percent as budgeted. The deficit also includes an $850,000 revenue shortfall.
Part of the deficit will be covered by the School Department's remaining $1 million in surplus funds. The $1.5 million balance is considered a cash deficit that probably will be covered by the city's $20 million reserve account.
The reserve account must be repaid within two years to preserve Portland's high financial rating, which ensures better interest rates when the city borrows or invests money, city officials said.
With that in mind, O'Connor said she and her staff are reviewing the current budget to see where savings may be gained and to develop a long-term financial recovery plan.
In addition, the department is gathering information to develop a cost-reduction plan required under the state's new school consolidation law. The law requires districts to reduce spending on administration, transportation, building maintenance and special education costs. The plan is due in December.
Portland, which has about 7,000...
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