Snohomish County schools face a lot of painful decisions as they prepare for a loss of more than $27 million under Gov. Chris Gregoire’s proposed budget.

School boards may be forced to send layoff notices to dozens of teachers next spring. They’ll also face decisions on whether to increase class size and reduce extracurricular activities.

They may ponder shortening bus routes and teaching fewer minutes a day as they cope with the reality of getting less money next year to maintain what they now provide for students.

“We will have to make tough decisions,” said Larry Nyland, superintendent of the Marysville School District.

Gregoire’s proposal takes a first crack at cutting costs to absorb a $5.7 billion state shortfall expected during the next biennium. It carves $406 million from elementary and secondary schools and saves another $360 million by not giving teachers pay raises.

The House and the Senate will write their own budget plans in the next few months, and school districts will have to decide how to deal with the cuts.

In Snohomish County, the financial impact will vary.

The Everett School District faces a loss of $4.5 million, while Arlington could drop $1.4 million, according to a state Office of Superintendent of Public Instruction analysis of how the spending plan would affect Washington’s 295 school districts. The analysis projects the difference from what the state would provide local school districts and what it would take for the districts to maintain existing programs next year

The governor’s budget proposal, which also excludes more than $19 million for teacher pay raises next year in Snohomish County, spares public schools more than most other state agencies. It would have far-reaching effects nonetheless.

“Yes, students and parents will experience a change in their education as a result of any reductions ultimately enacted,” said Jennifer Priddy, an assistant state education superintendent in charge of finance. “Districts have very low reserves. That means that they cannot replace lost state funding with reserve funds and continue to offer programs.”

Under Gregoire’s spending proposal, Initiative 728 money, which is meant to keep class sizes smaller, would be cut by 24 percent. In Snohomish County, that would account for about $10.5 million and cost an undetermined number of teaching positions.

Voters in 2000 approved I-728 to provide extra money aimed at smaller class sizes, teacher training, summer and after-school programs, instructional coaches and all-day kindergarten. Some education officials believe the House or the Senate could propose cutting deeper into the I-728 money.

Other cuts would be made in a variety of areas, including basic education, special education and transportation. Another key source of funding facing cuts are “levy equalization dollars,” which are awarded by the state based on school districts’ voter-approved maintenance and operation levies.

The result is tough times and tough choices for leaders of the local districts.

School boards will have dozens of spending decisions to make, including whether to send out layoff notices to teachers by May 15, a state-mandated deadline.

Kids will get “less of an education” if funds for Initiative 728 and levy equalization are slashed, said Randy Dorn, incoming state superintendent of public schools.

“Because times are bad in the state doesn’t mean you give kids less of an education,” he said.

Lake Stevens Superintendent Dave Burgess predicted a particularly difficult year for some districts, such as his, that must bargain new labor contracts with their teachers if the state suspends cost-of-living increases voters approved in 2000.

“I think when you start thinking of (cutting) a budget plan, you lose sight of the fact that that’s a husband or wife or mom or dad who probably won’t be able to make a house payment or a payment for their kid’s college,” Burgess said.

Some school districts are looking to soften the sting by beginning to trim costs this year.

“We are looking at what we can do this year to give us a break for next year,” said Deb Borgens, Arlington School District’s finance director. “We are looking at what we can do now that will save jobs.”

Dorn said he will not propose a tax increase for schools but is prepared to support one if it is the best means of protecting education.

“My responsibility is not to write a budget or propose taxes,” he said. “If it takes new resources we need to look at all new sources of revenue before we make cuts that are detrimental to kids.”

Reporter Eric Stevick: 425-339-3446 or e-mail stevick@heraldnet.com.