The state Department of Education has found a way to absorb millions of dollars in budget cuts without having to lay off workers or eliminate programs.

Its solution? Close schools for a few days on the regular instructional calendar or have employees work without pay.

Schools Superintendent Pat Hamamoto yesterday offered what she called “;bold ideas”; to help the $2.4 billion public school system prepare for a possible $70 million shortfall next academic year.

Her plans range from shutting down all Education Department operations, for up to six days, to closing campuses during four planning days when students are off, to requiring some 22,000 employees to work for free for four days.

While still preliminary, the ideas have already alarmed at least one union leader and a key state lawmaker, who noted teachers would get less money and the nearly 178,000 isle students less instruction.

Hamamoto unveiled her proposals after Gov. Linda Lingle's administration last week asked the Board of Education to chop an extra $23 million from the Education Department - in addition to the $46 million it has already approved to be cut. Lingle has asked all state departments to lower their budget proposals by up to 20 percent because of the weakening economy.

However, the school board has limited reductions to about 15 percent of the Education Department's discretionary funds by discontinuing money for 244 positions, science textbooks and other materials, custodians, charter school student services coordinators and programs such as literacy training for children with learning disabilities and teacher workshops.

Education officials have warned that steeper cuts would lead to crowded classrooms, fewer tutors and materials, hurting teaching and learning.

But state Budget Director Georgina Kawamura asked the school board last Friday to reconsider its decision, noting Hawaii's updated economic forecast estimates an extra $239 million revenue drop and a $1.1 billion deficit by the end of the 2011 fiscal year.

“;Given the severity of our fiscal situation, all possible remedies must be explored,”; she wrote in a memo to school board Chairwoman Donna Ikeda last month. “;Obviously, we cannot continue business as usual in this very volatile economic climate.”;

In her letter, Kawamura said the administration “;may or may not take action”; on the proposal to crop 20 percent of funds from schools as they look for solutions to “;our fiscal challenge.”; Lingle is expected to send her budget plan to the Legislature in December, and would welcome any “;innovative”; ways education officials have to decrease costs, said her spokesman, Russell Pang.

Schools Chief Financial Officer James Brese said Hamamoto's suggestions to either shorten the academic year, reduce the Education Department's days of operation or ask employees to give up four days of pay would preserve educational programs and the jobs of numerous workers who would otherwise get pink slips.

He said that in Oregon, schools have ended the academic year as early as April, instead of May or early June, because of limited funding.

“;If we have to go another $23 million, you are talking probably about a lot of people at the school level, or ... services and programs that would be completely eliminated,”; he said. “;That may not be the best way to go.”;

Roger Takabayashi, president of the 13,000-member Hawaii State Teachers Association, said Hamamoto's plans to have teachers and other employees “;donate”; four work days amounted to a pay cut.

“;I think we need to have further discussion,”; he said. “;Any time you take a pay cut, we cannot say it's a good idea.”;

Hamamoto said her alternatives would at least give union workers some sense of job security until the economy rebounds.

“;It really does mean that many of their employees, or members I should say, will still have a job in these hard times,”; she said.

State Senate Education Chairman Norman Sakamoto said he believes the school year and day already are too short, and worried that students would lose key lessons if they stayed home. “;If that came to be the case,”; he said, teachers should assign students projects to keep them busy.

“;Obviously the kids probably would go, 'Hurray,' but it's not going to help them,”; he said.