COEUR d'ALENE - As school officials in Coeur d'Alene prepare to hire an associate superintendent, they are shuffling principals and high-level district office administrators in an effort to avoid layoffs as the district faces the loss of $4.8 million in state funds for next year.

Superintendent Hazel Bauman said they have decided to hire Matt Handelman, an elementary school principal from Spokane, to fill the new position. Pending board approval, Handelman's annual salary will be $103,000.

"Yes, we have hired a new person, but it's in the context of all these other changes," Bauman said.

Some of the biggest cost-saving moves will happen at Project CDA and the Hayden Kinder Center.

Rosie Astorquia, now the district's director of secondary education, will become the full-time principal at Project CDA while maintaining her central office position.

Jim Ferguson resigned from the principal's position at the Ninth Street alternative school and will become a counselor at Ramsey Elementary.

"That saved a Project principalship cost," Bauman said.

Ferguson's annual salary as principal was $69,000, not including benefits. Astorquia, whose annual director's salary is $103,000, will not receive additional pay.

A similar arrangement will occur at the Hayden Kinder Center, where Pam Pratt, the district's director of elementary education, will become the principal while remaining responsible for her district office administrative position.

Like Astorquia, Pratt will continue her director's duties without an increase in her salary of $103,000 while being a full-time principal as well.

The first priority of the directors/principals will be to their jobs as building administrators, Bauman said.

"They know they have to be committed to that school. They have to make sure that it's a safe place for kids to be, that they're supporting teachers so that good quality education can go on," Bauman said. "When school gets over at 2:30 at Project and 3:15 at the Kinder Center, they'll work on into the evening to do the work that needs to be done."

Bauman said she will be taking on some of the directors' duties.

Sharon Hanson, now principal of the Kinder Center, will move to Borah Elementary to replace the retiring Bob Shamberg whose salary is $85,000.

Hanson's salary at the Kinder Center is $71,600.

Lake City High School Principal John Brumley is retiring from his $98,000 per year position, and assistant principal Deanne Clifford will replace him.

The district is not re-filling Clifford's position. Her salary as assistant principal is $74,800.

"Between the building cuts and the district office cuts this year alone, we are saving about $600,000," Bauman said. "I really think that the teachers' association and the public, I'm really hoping they say, 'Yes, this is a district that's not just doing business as usual."

Bauman said her goal is to avoid handing any pink slips out.

She knows people might question the wisdom of hiring an associate superintendent now, but said the district needs someone to handle curriculum.

They are already falling behind in keeping up with the constantly changing standards, requirements and assessments, Bauman said.

She has been visiting schools this week and outlining the plan for teachers and staff.

"I have not had one push-back," Bauman said.

At the central office, another technology person, a secretary and the district's retiring printer will not be replaced

This is a second wave of reductions in positions at the district office.

Since becoming superintendent in 2008, the district has not refilled Bauman's prior position as assistant superintendent, two directors of curriculum positions, an assistant special education director's position and a full-time position in the technology department.

"That was probably about $300,000 in savings," Bauman said.