Although the amount of the bonus was much larger than what the Rau School Board and teachers ever imagined when they agreed on a contract two years ago, trustees are saying they’re pleased their teachers are being awarded.

The current contract reads that the oil and gas revenue would be split up with 50 percent going into the general fund, 25 percent going to teachers, 20 percent going to the building fund and 5 percent for non-teaching workers.

The last two years, the oil revenue the school district received was $185,777 and then $353,499. But then oil revenue in 2008, which was this year’s school funding, skyrocketed to $1.076 million. That money was divided into the general fund ($515,000), building fund ($206,000), non-teaching staff bonuses ($51,000) and teaching bonuses ($257,000). So, the average teaching bonus became about $39,000 this year. The average bonus for teachers during the past three years was $17,000. Board chairman Ryan Bell explains during negotiations trustees wanted to award teachers, but they felt a salary increase could create problems in the future when oil revenue decreases. If salaries were set higher and oil revenue decreases, Rau might have been forced to reduce staff or increase a mill levy on taxpayers.

“We felt we wanted to give something to them for all they’ve done,” Bell said of the teachers’ bonuses. “Little did we know that oil and gas was going to go through the roof last year. Which was great for everybody.”

Although a bonus that much probably won’t happen again, Bell says Rau’s teachers deserve the benefit.

Trustees point to the low pay that Rau teachers have experienced for years. The current base salary is $20,704. They say a Rau teacher recently retired after 30 years of experience, and she was making only $4,000 more than a starting teacher in Sidney.

“This history of low wages not only affects the current salary, but it also affects all things tied to that salary such as teachers’ retirement and Social Security,” Bell said. “Low salaries automatically mean a smaller contribution to these retirement funds. On a long-term basis this computes to thousands of dollars less than most teachers in the area.”

Rau’s teachers receive $200 for insurance benefits. Teachers in Sidney, Fairview and Savage each receive at least $500.

The teachers and trustees have a history of working together. Bell said teachers don’t seek additional pay for extra-curricular activities. For a stretch when Rau couldn’t find custodians, teachers did all the school’s cleaning.

“Rau is family,” Bell said.

Carolyn Koch, head teacher and supervisor, says the community bond is “why we’re still out here working.”

In the past, Rau’s teachers have agreed to salary freezes. Once when a new reading service was needed, teachers skipped a salary increase in order to fund the program.

“This isn’t a job for us, it’s our school,” Koch said.

Rau’s teachers and school board enjoy a very trusting relationship. “We know exactly where the money goes,” Koch said.

Bell added, “We always wanted to be open with the teachers and let them know what we have.”

When they held contract negotiations this year, the meeting took only 15 minutes. They agreed on a different bonus scale where teachers will receive a bonus of 15 percent of their salary.

“I feel in the next two years, we can afford it,” Bell said. He explains the school board’s job is to look out for students, teachers, taxpayers and the school.

But oil and gas revenue is being spent on far more than teachers’ bonuses at the school.

A new addition has been built where cafeteria tables, gym supplies and many other items can be stored. Part of the addition is used for a new classroom.

Bell said the addition was the first priority when oil revenue started coming in. “There were no bonuses during the first oil payments,” he added.

Lunch is now prepared at the school. Cost is $1.65 per student meal, and students also receive a free snack during the day.

The gym has new lighting. In fact, the entire school now has a top-grade lighting system. New doors and windows are energy efficient.

The revenue has also been spent on computer updates, new countertops in the kitchen, playground equipment, a Smart board, carpets, painting of rooms, freezers, stove and new academic programs.

Because this is the first year oil and gas revenue has been more than the current budget, the school can now save money in a flex fund for the future.

Rau, which has an enrollment of 72 students, is researching adding a ground source heating system.

Starting this fall, students will be given supply kits with such items as pencils, notebooks and other needed materials.

“We’re trying to give back to the community,” Bell said of the supply kits. “It will save parents some time and money.”

editor@sidneyherald.com