Inside 2 About Foundation Aid

Inside 2 About Foundation Aid 3 Revenues and Expenses 5 Bus Proposition 6 District Highlights 8 Voter Information Nicholas Baker and Anabelle Chiaravalle are this year s valedictorian and salutatorian. BUDGET VOTE Tuesday, May 15, 2018 Noon - 9 p.m. BUDGET PRESENTATION Thursday, May 3, 2018 7 p.m. Westford Town Hall BUDGET HEARING Tuesday, May 8, 2018 7 p.m. School Cafetorium Learn more online www.schenevuscsd.org News & Announcements from SCHENEVUS CENTRAL SCHOOL Spending plan maintains existing programs and services Budget vote set for May 15 On Tuesday, May 15, Schenevus Central School District residents will head to the polls to vote on a $9,194,773 proposed budget for the school year. This proposed budget would increase spending by $144,220 (or 1.6 percent) over the current year s budget. If approved by voters, the budget would result in a 3.85 percent tax levy increase in the coming year. Because the tax levy (the total amount of money collected from taxpayers) is less than the district s maximum allowable tax levy limit, the proposed budget requires only a simple majority (50 percent plus one) to pass. Residents will also be asked to select from two candidates to fill two open seats on the Schenevus Board of Education and consider the purchase of one school bus. How was the budget developed? Schenevus process of developing its budget is rooted in zero-based budgeting, the process of creating each year s school budget from scratch instead of building upon the previous year s spending plans. This process encourages the district to reprioritize its spending and look for efficiencies. While developing the proposed budget, the Schenevus Board of Education held to its operationally efficient and effective budget philosophy to ensure that students have the best education possible without exceeding the district s tax levy limit. Budget Proposal Total Budget $9,194,773 Year-to-Year Increase $144,220 (1.6%) Tax Levy Increase $120,970 (3.85%) What s behind the increase in spending? Although the district will not add programs or personnel, rising contractual costs related to personnel and health insurance are the main reason behind the budget-to-budget increase for next year. Collective bargaining units negotiate multi-year contracts for salaries and benefits, while medical benefit costs are determined by the health care industry. How much aid will the district receive? The New York state budget provides Schenevus only an increase of approximately $268,686 in state aid for next year or 5.24 percent for a total of $270,915. However, prudent financial planning has allowed the district to balance its budget without cutting programs or personnel. What will be different in? The proposed budget does not include teacher cuts, but certain staffing assignments will be restructured to accommodate student needs. Additional strategic changes would reduce costs next year. PLEASE SEE BUDGET ON PAGE 2

2 Everyone will be Challenged. Everyone will Contribute. Everyone will be Responsible. Building project moves forward with upgrades Work is expected to come in under budget by $100,000 The second phase of a $6.7 million building project designed to preserve and protect Schenevus Central School is well underway. The project, which was approved by voters in 2015, is focused on increasing energy efficiency, improving safety and security, replacing deteriorated or obsolete materials and equipment, and adding special education program space. After two and a half years of construction, the district predicts that project work should be complete, as anticipated, by the end of spring and will be significantly under budget. The district would like to extend its thanks and appreciation to staff, students, parents and community members for their support and patience as the project work progressed. We appreciate the community s support of our proposal to upgrade and improve while still respecting the school s architectural history, Superintendent Thomas G. Jennings said. We re pleased to continue the Schenevus reputation of wellmaintained facilities. Updates and information regarding the capital project are posted regularly to the district s website, www.schenevuscsd.org. Budget CONTINUED FROM PAGE 1 These changes include: Eliminating one first-grade teacher position. A first-grade teacher will retire at the end of the school year and will not be replaced. This will reduce two first-grade sections to one section. Creating a K-2 Behavioral Adjustment class. Staffed with one teacher and one aide, this class is for students with significant behavioral management needs. Creating an elementary reading teacher position. This teacher would provide extra support to students who require additional individual attention, particularly in reading. Reducing the library media specialist to a half-time position. Elementary enrichment classes previously taught A note about Foundation Aid by the library media specialist will be taught by other staff. Reducing two fifth-grade sections to one section. Teacher aide support will help ensure students are given appropriate attention and support. Removing a school bus from the fleet. One bus run was eliminated at the start of this school year, enabling the district to remove a bus from the five-year bus purchasing cycle. Purchasing a new plow truck. The district will use the trade in value of the school bus (above) as well as revenue from the sale of an old plow truck and minivan to offset the cost of a new plow truck. It s important to note that the Schenevus Central School District continues to be underfunded in Foundation Aid. New York State s Foundation Aid formula was created in 2007 as a way to ensure that districts are provided with enough funding to support the needs of its students. However, the phase-in of Foundation Aid stalled in the wake of the 2008-09 recession, and the state has withheld schools $4.3 billion in Foundation Aid. With Foundation Aid still frozen at 2008 levels, many districts with declined enrollments are being overfunded. Schenevus schools, however, have been unfairly underfunded as state aid has not taken into account the district s current levels of increased enrollment and student needs. If Foundation Aid was fully phased in as intended, Schenevus would have received an additional $4.99 million over the past six years. Based on the district s enrollment and wealth, the district should be receiving an additional $918,180 for the school year alone. The proposed budget is a direct result of the board s goal to provide strong programming and support for students while dealing with the significant shortfall in foundation aid, Superintendent of Schools Thomas Jennings said. The district strives to provide a sound academic program even when state aid is insufficient.

www.schenevuscsd.org BUDGET NEWSLETTER 2018 3 Projected Revenues REVENUES BUDGETED PROJECTED $ Change % Change State Aid $5,127,318 $5,398,233 $268,686 5.24% Property Taxes $3,145,040 $3,266,010 $120,970 3.85% Refunds, Tuition and Other $188,876 $126,046 -$62,830-33.3% Reserves $289,319 $339,484 $52,394 18.11% Fund Balance $300,000 $65,000 -$235,000-78.3% Total Revenues $9,050,553 $9,194,773 $144,220 2.8% Proposed Expenditures PROGRAM EXPENDITURES BUDGETED PROJECTED $ Change % Change Teaching $3,881,054 $3,646,814 -$234,240-6.0% Instructional Media $127,867 $116,859 -$11,008-8.6% Pupil Services $401,066 $371,980 -$29,086-7.3% Pupil Transportation $422,819 $388,068 -$29,086-8.2% Employee Benefits $2,048,816 $2,148,670 $34,751 4.9% Program Subtotal $6,881,622 $6,672,392 -$209,231-3.0% ADMINISTRATION EXPENDITURES BUDGETED PROJECTED $ Change % Change Board of Education $11,990 $11,790 -$200-1.7% Central Administration $168,489 $165,293 $3,196-1.9% Finance $99,871 $120,814 $20,943 21.0% Staff $66,183 $33,748 -$32,435-49.0% Central Services $37,573 $35,372 -$2,201-5.9% Administration & Improvement $159,493 $170,370 $10,877 6.8% Employee Benefits $100,739 $117,645 $16,906 16.8% Special Items $173,426 $183,444 $10,018 5.8% Administration Subtotal $817,764 $838,476 $20,712 2.5% CAPITAL EXPENDITURES BUDGETED PROJECTED $ Change % Change Central Services $502,863 $553,355 $50,492 10% Debt Service $647,243 $926,707 $279,464 43.2% Interfund Transfers $20,000 $20,000 $0 0% Employee Benefits $181,061 $183,844 $2,783 1.5% Capital Subtotal $1,351,167 $1,683,906 $332,739 24.6% TOTAL EXPENDITURES $9,050,553 $9,194,773 $144,220 1.6%

4 Everyone will be Challenged. Everyone will Contribute. Everyone will be Responsible. Have questions? We have answers. Q. What is the difference between the tax levy and the tax rate? A. The tax levy is the total amount of money a district raises from local taxpayers, while the tax rate is the amount of tax that property owners pay per $1,000 of assessed property value. Q. Does the proposed budget meet the district s legal limit under the tax levy cap law? A. The proposed budget includes a tax levy increase that is below the district s limit of 4.16 percent. Since the proposed budget meets the district s maximum allowable levy, a simple majority of voters (more than 50 percent) is needed to pass the budget. The tax levy cap, often mistakenly referred to as a 2 percent tax cap does not limit a tax levy increase, tax rate increase or individual tax bills to 2 percent. A district must use an eight-step formula determined by the state to calculate its individual tax levy limit. The phrase 2 percent tax cap comes from one step of the tax levy limit calculation. Q. Can the district predict how the budget would affect my taxes? A. It s impossible to say with certainty what each town s tax rate will be in September. Factors outside the school district s control such as assessments and equalization rates affect tax rates in each of the district s towns. Actual tax rates are set in August by the town assessor. Q. How could STAR reduce my taxes? A. STAR is New York State s School Tax Relief Program, which provides partial school property tax savings to eligible homeowners. Most New Yorkers who own and live in their homes are eligible for STAR savings on their primary residences. There are two STAR programs with different eligibility requirements: The Basic STAR exemption is available to homeowners with incomes below $500,000. The Enhanced STAR exemption is available to senior citizens (age 65 and older) with yearly household incomes not exceeding $86,000. Income eligibility for 2018 is calculated using information from the 2016 tax year. Contact your town assessor s office or visit www. tax.ny.gov for more information. Q. Why are debt service costs increasing? A. This proposed budget includes increases in debt service payments that stem from the capital project that voters approved in 2015. Q. What happens if the proposed budget is not approved by voters? A. If the proposed budget is defeated in May, the board of education can put another budget the same or revised up for a vote in June, or immediately adopt a contingent budget. If the budget is defeated twice, Schenevus must adopt a contingent budget which would result in $120,970 in reductions to programs and services. The high school yearbook staff will design, publish, print and bind this year s yearbooks in-house at the school s Mac Lab.

www.schenevuscsd.org BUDGET NEWSLETTER 2018 5 Also on ballot: Bus proposition The May 15 ballot will include a proposition to authorize the purchase of one 65-passenger school bus. The total cost is estimated not to exceed $115,000 minus trade-in. Approximately 90 percent of the bus purchase cost would be returned to the district in the form of state transportation aid. The bus would replace two buses that are currently in service. The vehicles that will be retired have a combined trade-in value of $76,000. Schenevus maximizes the trade-in value of its buses by maintaining a five-year bus replacement schedule. Maintenance and repair costs for new buses are much less than for older buses, as the new vehicles come with five-year warranties. To date, the district s bus fleet travels an average of 500 miles per day. Between the reimbursement from state aid, the sale of the old buses and the projected maintenance savings, the district does not anticipate an increase in local costs from purchasing the buses. The proposition will read: Resolved that the Board of Education of the Schenevus Central School District is hereby authorized to undertake the acquisition of one 65-passenger school bus, at an estimated maximum cost of $115,000, less trade-in value, if any, and that such costs, or so much thereof as may be necessary, shall be raised by the levy of a tax to be collected in annual installments; and, in anticipation of such tax, debt obligations of the school district as may be necessary not to exceed such estimated maximum cost shall be issued, or the school district may enter into an installment purchase contract if the Board of Education determines that it is in the best interest of the school district to finance the purchase in that method. Proposed revenues Where the money comes from... Proposed expenditures...and where the money is spent. Schenevus Tax Levy Increase In Percent 4.0 3.5 3.0 2.5 2.0 1.5 1.0 0.5 0.0-0.5 Tax levy trend 2013-14 3.87% 3.85% 3.69% 2014-15 2.31% 1.13% 2015-16 2016-17 School Year - 0.50% Property Taxes: 35% State Aid: 59% Reserves: 4% Fund Balance: 1% Refunds, Tuition, Other: 1% Administration: 9% Capital: 18% Program: 73%

6 Everyone will be Challenged. Everyone will Contribute. Everyone will be Responsible. District Highlights Mr. Calleja and Mrs. Whiteman s cooking club provides students the opportunity to learn basic kitchen skills and create simple, nutritious recipes. Senior Victoria Hunter qualified as a semi-finalist at the April 2018 Future Business Leaders of America (FBLA) Competition in Binghamton. Video games? Board games? Card games? The district s new Game Club has tried them all and is always welcoming new members. Second grader Zachary Stabile earned the privilege to pour slime over Dean Melissa Leonard s head after raising more than $330 for the Jump Rope for Heart event.

www.schenevuscsd.org BUDGET NEWSLETTER 2018 7 THREE-PART BUDGET Administrative: Amount: $817,764 $838,476 Capital: Amount: $1,351,167 $1,683,906 By law, all school districts divide their proposed budgets into three portions: administrative, capital, and program, and compare them to the current year. Schenevus three-part budget breaks down as follows: The administrative portion includes salaries and benefits of all professional staff members who spend 50 percent or more time in administration, finance and supervision. This portion also includes clerical staff, public information, curriculum development and supervision, planning, legal services and school board costs. The capital portion includes debt service on building additions and renovations, bus purchases, tax certiorari and court-ordered costs and operations and maintenance costs, including staff. Program: Amount: $6,882,633 $6,672,391 Schenevus fiscal health improves through strategy Since receiving its moderate fiscal health designation from the State Comptroller s office, the district has reconfigured the special education program to be more cost efficient. Earlier this year, the district announced that State Comptroller Thomas P. DiNapoli released a report that had designated the Schenevus Central School District as a district under moderate fiscal stress. The report examined financial indicators from the 2016-17 fiscal year, including revenue, deficit, cash holdings and yearend fund balance. During that school year, the district used more fund balance than it had intended to use in order to cover an unanticipated spike in special education costs. The district has since then worked with its auditor and the Office of State Comptroller to conduct a financial audit that has helped the district better plan for the future. The program portion includes salaries and benefits of all certified faculty and staff, teacher aides, monitors and nurses as well as in-service training, library costs, transportation, co-curricular programs and interscholastic athletics. Voters to fill two seats on the board of education Voters will be asked to select from two candidates to fill two open seats on the Schenevus Board of Education on May 15. These vacancies are caused by the expiration of the term of Thomas Jory on June 30, 2018 and the resignation of Matthew Sweeney on Dec. 5, 2017. The candidate with the most votes will earn the five-year term. The candidate with the second most votes will earn the three-year term. The candidates, in the order they will appear on the ballot are Stacie Haynes and Liz Reed. Mrs. Haynes is the executive director for the Susquehanna Animal Shelter. Mrs. Reed is employed by Bassett Medical Center and is the owner and operator of Creekside Farm, a beef and heifer-raising business. Drama Club will present The Little Mermaid May 4-5 The Schenevus Central School Drama Club will present The Little Mermaid on May 4 and 5 at 7:30 p.m. in the Draper Room. Tickets are $5 per person and free of charge for senior citizens and children under 3. Tickets will be available for purchase at the door. For more information, visit www.schenevuscsd.org.

SCHENEVUS CENTRAL SCHOOL 159 MAIN STREET SCHENEVUS, NY 12155 www.schenevuscsd.org Bulk Rate Non-Profit Org. US POSTAGE PAID Permit #1 Schenevus, NY 12155 BOARD OF EDUCATION Thomas Jory, President Dr. Kelly Gallagher, Vice President Dr. Jay Deitchman Kathryn Fredette Liz Reed SUPERINTENDENT Thomas G. Jennings BOXHOLDER Produced in cooperation with the Capital Region BOCES Communications Service. 8 Everyone will be Challenged. Everyone will Contribute. Everyone will be Responsible. The Annual School Budget Vote is Tuesday, May 15 VOTER INFORMATION Who can vote? In order to vote, you must be at least 18 years old, a U.S. citizen and a resident of the Schenevus Central School District for at least 30 days prior to the vote. When and where is the vote? The school budget vote and board election will take place from noon to 9 p.m. on Tuesday, May 15, in the hallway of the school s main entrance. Can I vote by absentee ballot? To vote by absentee ballot, you must fill out an application. Call the district office at 607-638-5530 to obtain an application. Voters who would like an absentee ballot mailed to them must submit an application by May 10. Voters who plan to pick up their absentee ballot must submit an application by May 14. Completed absentee ballots must be returned by 5 p.m. Tuesday, May 15. What exactly am I voting on? Residents are voting on a $9,194,773 proposed budget for the school year that would increase spending by 1.6 percent and increase the tax levy by 3.85 percent. Because it is under the tax cap, the proposal requires a simple majority of votes (50 percent plus one) to pass. Residents are also voting to fill two seats on the Schenevus Board of Education and deciding on a proposition to purchase one school bus. Where can I learn more about the proposed budget? Detailed copies of the budget and proposition are available at the district office. Additional information is also available on the district s website, www.schenevuscsd.org. In addition, the district will host a budget informational meeting at 7 p.m. May 3 at the Westford Town Hall. A public hearing on the proposed budget is scheduled for 7 p.m. May 8 in the school cafetorium. SENIOR CITIZENS BREAKFAST Please RSVP by May 9 by calling 607-638-5881