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Natchitoches Parish schools propose RIF, retirement incentive after major taxpayer leaves

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Summary

Superintendent told the school board the parish faces roughly $3.5 million in immediate revenue losses after the IP plant closure and proposed a targeted retirement incentive plus a reductions-in-force (RIF) process to close the gap while protecting classroom instruction.

NATCHITOCHES, La. — Facing an immediate hit to revenues after the departure of a major local taxpayer, the Natchitoches Parish School Board on May 6 heard a plan from Superintendent Dr. Eloy to pair a targeted retirement incentive for central-office staff with a district-wide reduction-in-force (RIF).

Dr. Eloy told the committee the district is estimating roughly $3.5 million in combined budget pressure tied to the plant closure — including about $653,000 in lost property tax revenue and roughly $900,000 in sales-tax impact — and that the package is meant to produce recurring savings without eroding classroom instruction. “I’m asking you at the end of the day to declare a RIF,” he said, framing the steps as fiscally necessary.

The nut of the superintendent’s proposal is twofold: (1) a one-time retirement incentive for eligible central-office employees to accelerate voluntary separations and (2) a RIF process implemented primarily through attrition, targeted position eliminations and reassignment where possible. Dr. Eloy described the retirement incentive as “a targeted fiscal strategy aimed at addressing budget constraints without compromising central operations,” and said the district estimates the measure could yield roughly $700,000 to $1,000,000 in annual savings when combined with other reductions.

Board members were briefed on the numbers Dr. Eloy presented: the district has already removed about 30 slots through attrition and retirement without a layoff; administrators estimate roughly 40–50 positions still must be addressed district-wide to meet recurring savings needs. Central office staffing is a particular focus: the superintendent said 22 central-office employees would be eligible for the incentive under the eligibility rules the district discussed with the Teacher Retirement System (TRSL).

Under the outline presented, the retirement incentive would be capped in the budget at $400,000 and would be structured to pay approximately 50% of eligible employees’ annual salaries as an inducement to retire; eligible employees would also be advised to consult TRSL before acting. Dr. Eloy said the district has sought legal guidance and cited AG opinions and a constitutional amendment governing severance to make sure the incentive follows state legal limits. He described the incentive as a “one-time investment that ... generate[s] long term recurring savings.”

Board members asked for detail on timing, eligibility and whether central-office workloads would shift to remaining staff. Dr. Eloy said the district will attempt to avoid increasing classroom sizes and will prioritize the protection of instructional roles; he also told the board that some duties could be redistributed and, where responsibilities expand significantly, compensation adjustments would be considered. He said letters to eligible staff would go out if the board approves the proposal and that employees would have a 25-day window to decide.

The superintendent emphasized minimizing involuntary layoffs. “The majority of our RIF is gonna be taken care of with attrition, retirements, etc.,” he said, while acknowledging that some positions may still be eliminated after those steps. He also proposed a central-office retirement-incentive cap and said staff who did not accept the incentive could still be subject to RIF procedures if their positions are later identified for elimination.

Board members requested a more detailed plan and legal review prior to final action and asked that the district return with final language and financial projections. Dr. Eloy said the measure would begin with notifications in mid-May if the board moves forward and that the RIF would be enacted in June.

Ending: The superintendent characterized the combined incentive-plus-RIF approach as a way to protect core district services while producing recurring savings; board members asked for additional detail and time to review the legal opinions, TRSL guidance and precise financial projections before any final vote.