Cobleskill-Richmondville. Budget Vote

Transcription

1 Budget Vote May 2011 Cobleskill-Richmondville Visit 1 Central School district Budget Vote MAY 17, A.M. TO 9 P.M. Budget: $34,168,511 Tax Levy Increase: 2.95% Proposed C-RCS budget has 5.3% spending reduction On Tuesday, May 17, residents of the Cobleskill-Richmondville Central School District will decide on a proposed school budget of $34,168,551. The proposed budget calls for a 5.3 percent reduction in spending compared to the budget, and a tax levy increase of 2.95 percent. The fact that the proposed budget is lower than our current budget even with flat Foundation Aid and a Gap Elimination Adjustment $3.9 million speaks volumes about the effort the community put into helping the district develop the spending plan, Superintendent Lynn Macan said. The budget process included substantial community input obtained during four Citizens Budget Committee meetings, 12 Community Conversations, several extended public discussions at Board of Education meetings, and an online values survey. The Community Conversations, survey and the Citizens Budget Committee all provided opportunities for the Board of Education and administration to hear the thoughts, suggestions and priorities of our community, Macan said. Although the overall budget will decrease next year, the tax levy will increase because of a multi-million dollar loss in state aid, coupled with rising costs for employer contributions to the state retirement systems, health insurance premiums and statemandated programs items over which the district has little or no control. The loss of revenue and the increase of costs left the district facing a $4 million gap. When you begin a budget process with such a huge gap in revenues, it becomes clear that everything is on the table, Macan said. Reflected in the proposed budget are full-time equivalent reductions in teaching and support staff positions and the elimination of late bus runs, selected sports and some electives, clubs and activities. (See Page 6.) Despite the district s fiscal challenges, also included in Two C-RCS Odyssey of the Mind teams recently competed at the state level. What s on the ballot T he proposed $34,168, school budget Bus bond proposal Three Board of Education seats Community Library funding F ive Community Library Board seats Voting takes place from 7 a.m. to 9 p.m., Tuesday, May 17, the proposed budget are funds allocated to maintain orchestra ensembles, literacy and math support for students, University in the High School classes, Project Lead the Way, and Odyssey of the Mind. (See Page 6.) We had to stay focused on the district s ultimate mission, which is to provide the best education we can for our students, Macan said.

2 2 Cobleskill-Richmondville Central School district Visit Where and when do residents vote? Polling locations Polls will be open from 7 a.m. to 9 p.m., Tuesday, May 17, at these locations: The cast of high school musical, Into the Woods. Community Library Budget and Board Elections The Community Library in Cobleskill assesses funding for its annual budget which, under New York State Education Law, is collected by the school district in which the library is located and then forwarded to the library. Voters will therefore decide on a separate proposition to fund The Community Library with $245,416, which equals a total of $23.71 a year for the average district household for library services. There are five library board seats available: Two five-year terms, two three-year terms, and one two-year term. What happens if the budget is voted down? If the proposed school budget is defeated, the Board of Education will have three options: Put the same budget before the voters a second time; Put a revised budget before the voters; Adopt a contingency budget that would restrict spending in certain categories. If a majority of residents vote no on a second budget proposal, the district would be required to adopt a contingency budget. New York State law requires that school districts that adopt contingency budgets eliminate spending for all non-aided equipment, all non-essential building repairs and student supplies, and community use of school facilities without charge. If C-RCS adopts a contingency budget for , it would be required to remove an additional $19,199 from its proposed budget for non-contingent items, and it would have to charge community groups for all the costs incurred in facility use. Currently, the district only charges when additional custodial staff is required. Voting District 1: School district residents in the towns of Worcester, Decatur, Roseboom, Seward, Richmondville, Summit, Jefferson, Blenheim, and Fulton (west of the junction of Tower and Greenbush Roads) vote at Radez School, 319 E. Main Street, Richmondville ( ). Voting District 2: School district residents in the towns of Root, Carlisle, Esperance, Schoharie, Cobleskill, Middleburgh, and Fulton (east of the junction of Tower and Greenbush Roads) vote at Golding School, 155 Washington Ave., Cobleskill ( ). If you have questions about your voting location, please call Voter eligibility You may vote if you are at least 18 years old, a U.S. citizen, a resident of the district for at least 30 days prior to May 17 and a registered voter. To register, contact your county board of elections. Absentee ballots Absentee ballots are available to anyone who will be out of the area for work, school, military service or vacation on May 17, or who is hospitalized, permanently disabled, or homebound due to illness. For an application, call the District Office at , or Radez Elementary at Completed applications for absentee ballots must be received by the District Office no later than May 10, if the ballot is to be mailed to the voter. All ballots must be received by 5 p.m., Tuesday, May 17.

3 Visit Budget Vote May How was this budget developed? Grim economic news at the national, state and local levels prompted the district to begin the budget conversation in October by convening the Citizens Budget Committee for the first of four meetings centering on the school budget. When Gov. Andrew Cuomo released his proposed state budget in February, district officials learned C-RCS stood to lose $3 million in state education aid. This, coupled with increases in expenses relating to employee benefits, left a potential $4 million gap to fill in the budget. The district began weighing revenue options and working in concert with the Citizens Budget Committee and Board of Education and with input from 12 Community Conversations to make cuts that would have the least-negative impact on district educational programs. On April 11, the Board of Education unanimously adopted the proposed budget. On what budget items is the district increasing spending? Spending increased for tuition, bus bond debt, unemployment insurance, employee retirement, and health and dental coverage. How was the alignment of elementary classes decided? The transportation department, upon analyzing the transportation patterns, made the strong recommendation that Ryder house the Pre-K through second grade Budget Q & A students, so that fewer younger children would be faced with bus transfers. The Ryder building was created as a primary school, so its primary classrooms are exceptionally good spaces for early childhood education. Will staffing changes affect class sizes? Class size will increase in the middle and high school, averaging around 24 students, with some sections as high as 28 or 29. Primary class sizes will be close to 20 students in kindergarten, close to 23 in grades 1-4 and at fifth grade. Could any of the eliminated positions or programs be restored if more revenue becomes available? Under current legislation, no. Once a budget is adopted by the voters (or once a contingent budget is adopted), the Board of Education cannot legally increase the bottom line of the budget just because it has received more revenues. If the board chose to restore eliminated positions, its only option would be to reallocate funds within the approved budget take from one line item to fund another. However, there is one exception to this rule: The board could conceivably increase the budget if the community came forward with donations. Schools can accept a donation for a specific purpose, and therefore increase the budget appropriation by that amount of money. The same would not be true with an increase in other Ryder Elementary students feed an alpaca. revenues, such as state aid. In other words, the district can only increase an appropriation if the money comes in the form of a donation or grant. What is the importance of a school district s fund balance? School districts see great value in maintaining adequate financial reserves in case of emergencies that could otherwise close a school building or restrict the district s daily operations. As schools face numerous budget challenges, Gov. Cuomo has repeatedly suggested that school districts use fund balances to cover potential losses in state aid. School districts can use their fund balances to make up for lost revenue or offset the local tax levy. School districts that have maintained a fund balance at or near the state maximum of 4 percent of their total budgets have been able to use that money to save jobs and programs and to avoid a large spike in their tax levies. However, because of the depth of aid cuts, C-RCS s current fund balance is insufficient to make up for the total lost revenue. continued on Page 4

4 4 Cobleskill-Richmondville Central School district Visit Q&A Continued from Page 3 The proposed budget calls for using $607,237 of the district s fund balance as revenue. Will that deplete the district s reserves? No. Even though the Board of Education did choose to use $607,237 of the fund balance to prevent an additional 4.4 percent being added to the tax levy, the district will still have 4 percent of the total budget ($1,366,742) in undesignated reserves. How will the proposed budget affect taxes? The proposed budget carries a 2.95 percent tax levy increase or $404,000. The school tax levy defined as the amount the school must raise from taxes to balance the budget is just one aspect of property taxes. Other factors that will affect the tax bill you receive in September include: Your town s equalization rate. These rates represent the state s judgment of how closely assessed values in your town match the true market value of the properties. It is a ratio of a municipality s total assessed value to its market value. In the case of school taxes, the equalization rate helps determine how the school tax levy is shared among a district s municipalities. A municipality that has an equalization rate of 100 percent means that municipality is assessing property at full market value. Thus, property owners are paying the most accurate share of that municipality s tax burden, including school taxes. Equalization rates for the district s 15 towns are sent to the school Where the dollars come from projected revenues $ Change Adopted Proposed From Prior Budget Budget School Year Local sources (3.4% of total) Real property tax items $654,237 $667,687 $13,450 Charges for services 351, ,000 22,000 Interest earnings 20,000 6,500 (13,500) Use of property 6,500 6,500 0 Refund of prior year expense 110,000 90,000 (20,000) Subtotal $1,141,737 $1,143,687 $1,950 State sources (53.3% of total) Basic formula aid $13,117,724 $13,117,724 $0 BOCES aid 890, ,263 55,656 Building aid 4,233,711 4,072,803 (160,908) Textbook, software, & library aid 163, ,079 (6,734) Computer hardware, technology aid 38,013 35,513 (2,500) Transportation aid 2,935,413 3,006,058 70,645 Public/private excess cost aid 487, ,884 74,511 Gap Elimination Adjustment (2,052,068) (3,969,091) (1,917,023) Restoration of GAP 0 294, ,270 Subtotal $19,814,586 $18,222,503 ($1,592,083) Other sources (2.0% of total) District reserves $0 $93,012 $93,012 Appropriated fund balance 1,428, ,237 (820,974) Subtotal $1,428,211 $700,249 ($727,962) School tax levy (41.3% of total) $13,698,112 $14,102,112 $404,000 TOTAL REVENUES $36,082,646 $34,168,551 ($1,914,095) district by late August from state Office of Real Property Tax Services. Your town s tax rate. This is defined as the amount of taxes you pay per $1,000 of your home s assessed value. Tax rates are calculated using equalization rates (set by the state) and assessments (determined by your town assessor). revenues Other 2.0% Property Taxes 41.3% Local 3.4% State Aid 53.3%

5 Visit Where the dollars go Budget Vote May proposed expenditures $ Change % Change Adopted Proposed From Prior From Prior Budget Budget School Year School Year General support (10.32% of proposed budget) Board of Education $11,725 $13,623 $1, % Central Administration 245, ,108 (7,044) -2.87% Finance 355, ,130 (44,192) % Support Services 67, ,290 44, % Central Services 2,747,813 2,478,782 (269,031) -9.78% Special Items 390, ,122 (17,150) -4.39% Subtotal $3,817,909 $3,527,055 ($290,854) -4.44% Instruction (40.66% of proposed budget) Administration & Curriculum Development $947,557 $867,144 $(80,413) -8.49% Teaching Regular School 9,116,217 7,178,687 (1,937,530) % Teaching Special Programs 3,927,814 3,760,229 (167,585) -4.27% Teaching Special Schools 76,957 69,987 (6,970) -9.06% Instructional Media 739, ,271 (21,778) -2.73% Pupil Personnel Services 1,562,281 1,297,851 (264,430) % Subtotal $16,369,875 $13,891,169 ($2,478,706) % Transportation (6.57% of proposed budget) $2,339,157 $2,243,095 ($96,062) -4.11% Benefits and debt service (42.45% of proposed budget) Employee Benefits $8,799,514 $9,652,120 $852, % Debt Service & Interfund Transfers 4,467,441 4,479,862 12, % Bus Payments & Other Borrowing 288, ,250 86, % Subtotal $13,555,705 $14,507,232 $951, % TOTAL EXPENDITURES $36,082,646 $34,168,551 $1,914, % Three-part budget Expenditures School districts are required to present their budgets in three component parts. For Cobleskill-Richmondville, they are as follows: $ change Administrative $2,805,869 $2,783,434 ($22,435) Program 25,575,494 23,795,644 (1,779,850) Capital 7,701,283 7,589,473 (111,810) Transportation 6.57% Instruction 40.66% General Support 10.32% Benefits & Debt Service 42.45%

6 6 Cobleskill-Richmondville Central School district Visit Golding school students practicing yoga. School board elections There are three seats on the Cobleskill- Richmondville Board of Education, each with a three-year term, to be filled at the election on May 17. Candidates for the seat currently held by Garry Davis are Daniel Schulte and Russell Smith. Candidates for the seat currently held by Rose Surman are Steven Philbrick and Rose Surman. Candidates for the seat currently held by Bruce Tryon are Jason Becker and Bruce Tryon. The successful candidates will serve terms from July 1, 2011 to June 30, For more information on the candidates, visit STAR Program The New York State School Tax Relief Program (STAR) provides New York homeowners with partial exemptions from school property taxes. Basic STAR is available for owner-occupied, primary residences where the owners total income is less than $500,000. Basic STAR works by exempting the first $30,000 of the full value of a home from school taxes. Enhanced STAR provides an increased benefit for the primary residences of senior citizens (age 65 and older) with qualifying incomes. For qualifying seniors, Enhanced STAR exempts the first $60,100 of the full value of their home from school taxes. STAR applications are available from your assessor s office. C-R High School students participate in a distance learning class. In the Proposed Budget: Maintained Career and Tech options Project Lead the Way Agriculture programs AP and University in the High School courses Odyssey of the Mind Math recovery initiative Literacy development and support Choral and band programs JV and varsity sports Orchestra performing ensembles Reduced String instrument lessons Total number of elementary sections Some middle and high school clubs and activities Equipment purchases Textbook purchases Substitute and over-time budgets Some high school elective course options Fourth graders at band practice at Ryder Elementary. Eliminated 22.9 FTE teaching positions 9.25 FTE support staff Modified sports Golf Boys varsity volleyball Bowling Late buses K-11 summer school Cost Savings Below are some of the areas where the district is achieving financial efficiency: Energy costs Propane buses Reduction in material and supplies purchasing Cooperative bidding Staggered shifts for some operations and maintenance personnel Shared transportation with other Schoharie County schools Consortiums for health insurance, workers compensation and fuel purchases

7 Visit Budget Vote May Transportation department strives for efficiency Given that the Cobleskill- Richmondville Central Schools encompass 15 towns covering 180 square miles, transporting nearly 2,000 students each school day is a logistical and financial challenge. Officials in the transportation department have been examining ways to increase efficiency and reduce costs. Propane buses Last year, voters approved the acquisition of three propane buses and the installation of a propane fueling station. This year, the voters will be asked to approve the acquisition of three additional propane buses. Propane buses are not only cleaner than their diesel and gasoline-powered counterparts, they are less costly to run. Based on a March 2011 invoice, propane prices were $1.96 a gallon, compared to $3.47 for diesel and $3.03 for gas. At that rate, propane is $1.51 or 44 percent cheaper per gallon than diesel. Buses that run on diesel average 7.5 miles per gallon. Those that run on propane average 5.5 miles per gallon. Even with the lower mileage, the district is still saving money by using propane fuel. Based on that savings, the extra cost of purchasing a propane bus over a diesel will be paid for in one year s time, Transportation Supervisor Paul Shuart said. From then on, we are saving money. The average expected life of a school bus is 10 years; that s nine years worth of savings we are going to see from these three buses. The fueling station is expected to be in place before the start of the next school year. In the meantime, AmeriGas is delivering propane to us as needed at no extra cost, Shuart said. Other cost-savings Each school year, the transportation department examines the more than 40 bus routes to find the most efficient ways to transport students. Last year, the district was able to eliminate and/or consolidate several runs. This year, routes will be reconfigured again because of the realignment of grades K-2 to Ryder Elementary and grades 3-5 to Radez Elementary. The elimination of the late bus runs from the proposed budget will save an additional $25, Bus Proposal The district is also moving toward the ultimate elimination of its paint booth and body shop. In addition, C-RCS partners with the Duanesburg, Sharon Springs, and Schoharie school districts to save on transportation costs through shared transportation services. One of our goals has been to cooperate with other districts in assisting each other with transporting special needs students, Shuart said. It s an agreement that helps all of us save costs. More than 10 years ago, C-RCS developed a long-range bus replacement plan. The goal of the plan is to meet the recommendations of the State Education Department and the State Department of Transportation to replace buses every 10 years. The Bus Purchase Proposal for the school year includes: Three large, 65-passenger school buses $358,296 One small passenger school bus $67,390 with wheelchair capability Totalling $425,686 Please note that the above projection does not show trade-in allowances that might apply, and this estimate may come down as prices are adjusted. With the state aid ratio for bus purchasing at 90 percent, the local taxpayer share is 10 percent, or $42,568, for the above proposal. Payments on the bus bond would be made over five years, starting

8 8 Cobleskill-Richmondville Central School district Cobleskill, New York Superintendent Lynn Lisy-Macan Board of Education Bruce L. Tryon, President Rose M. Surman, Vice President Garry O. Davis Jeffrey Foote Elizabeth A. Montario Maureen E. Nicholas Howard J. Rickard, Jr. To: BOXHOLDER Nonprofit Organization U.S. Postage PAID Cobleskill, New York PERMIT NO. 23 Produced in cooperation with the Capital Region BOCES Communications Service Editor Nanette Morges State law requires school districts to mail this information to all households in the district. If you would like additional information about the budget, please call the Superintendent s Office at The annual budget vote for the fiscal year by the qualified voters of the Cobleskill-Richmondville Central School District, Schoharie County, New York, will be held at the Golding and Radez Schools in said district on Tuesday, May 17, 2011, between the hours of 7 a.m. and 9 p.m., prevailing time in the Cobleskill-Richmondville School District, at which time the polls will be opened to vote by ballot or machine. * The basic school tax relief (STAR) exemption is authorized by section 425 of the Real Property Tax Law. The Basic STAR exemption assumes estimated projection of assessments and equalization rates. These assumptions will change by August Overall Budget Proposal School District Budget Notice Budget Adopted Budget Proposed Contingency Budget for the for the for the School Year School Year School Year Total budgeted amount $ 36,082,646 $ 34,168,551 $ 34,149,352 Increase (or decrease) for the school year $ (1,914,095) $ (1,933,294) Percentage increase (or decrease) in each proposed budget ** -5.3% -5.36% Change in the consumer price index ** 1.6% Resulting est. property tax levy for the school year $ 14,102,112 $ 14,082, Administrative Component $ 2,805,869 $ 2,783,434 $ 2,783, Program Component $ 25,575,494 $ 23,795,644 $ 23,793, Capital Component $ 7,701,283 $ 7,589,473 $ 7,571,973 What happens if the budget is not approved by a majority of voters? If voters do not approve proposed expenditures within two tries, the board must adopt a contingency budget, which would put a cap on new spending based on the CPI (Consumer Price Index). Because the CPI is 1.6%, the spending cap for contingency budgets in will be 1.92%. The contingency calculation results in a higher amount than the budget being proposed. In these circumstances, New York State law requires the district to remove all non-aided equipment, all non-essential building repairs, and any community use of the buildings not paid through community usage fees. C-RCS would be required to remove $19,199 from the proposed budget. Basic STAR Exemption Impact Estimated Basic STAR* exemption savings are based on a hypothetical home within the school district with a full value of one hundred thousand dollars ($100,000) Proposed budget Basic STAR Savings (Cobleskill; Richmondville) $489; $517