ANNUAL BUDGET HEARING

Transcription

1 O V Otselic Valley Central School Otselic Valley Central School PROPOSED BUDGET ANNUAL BUDGET HEARING Tuesday, May 5, 2015 Junior-Senior High School Cafeteria: 7:30 p.m. ANNUAL BUDGET VOTE Tuesday, May 19, 2015 ANNUAL BOARD MEMBER ELECTION Tuesday, May 19, 2015 Elementary School District One Junior-Senior High School District Two Polls Open: Noon To 9:00 p.m. MONTHLY BOARD MEETING Tuesday, May 19, 2015 Junior-Senior High School Cafeteria: 8:30 p.m.

2 From the Superintendent Dear Members of the OV Community: In my former positions in education, I always questioned how the budget process was designed. As I ve been digging into the historical trends of our District s budget and the draft of this year s budget, a few things have surfaced. For example, each of our last four Superintendents brought their own style and philosophy to the issues that came up in the District. How the District uses efficiency savings is a huge philosophical issue. On one hand, each year s savings due to budget adjustments could be spent in that individual year. This means planning isn t an issue and outside influences are not considered we just spend whatever savings we ve identified that year. We remain at the mercy of variables that do change from year to year, however, like the stock market, insurance rates and other trending expenses that are out of the school District s hands. History shows that when districts spend their efficiencies each year, double digit school district tax levies often become necessary. We ve seen some of these challenging budgets pop up over the region from time to time. O V The un-perfect storms exist in those years when additional school district budget efficiencies aren t possible, or other trending expenses balloon due to issues that drive changes in local, state, national and global economies. This year s talk from the Governor about freezing state aid and changing state plans to fund schools in the future could be the beginning of another un-perfect storm. We are working now to address the risks. Otselic Valley During budget preparation, one of our primary concerns is the tax levy. A tax levy is the total sum to be raised by the school district after subtracting out all other revenues including state aid. The tax levy is used to determine the tax rate for property owners in each of the cities, towns or villages that make up a school district. Budget levy increases in the 1% range just won t work as a long-term approach to running our school system. Recent OVCSD budgets have dug deep into the cost saving measures obtained over the past few years. Could we operate for three to five years with more 1% tax levy budgets? The simple answer is yes, as long as outside factors don t play in. Central School After our District savings are gone, we will have to get ready to ride a wave I cannot predict and do not want to see us risk. The budget approach I would like to use is more conservative. This means preserving, as much as is prudent, the efficiencies obtained over recent years due to the closure of educational programs at the Georgetown building, transportation, and the overall restructuring of our School District. I am much more comfortable with a cautious approach. The state provides a formula to calculate our tax levy. The formula has included a 2% tax cap since January 1, 2012, but only in New York State does 2% not really mean 2%. The NYS tax cap legislation allows for exceptions and allowances based on a number of variables including a property growth factor, retirement benefits and capital expenses. Based on the current state calculations, our permissible maximum tax levy increase for the school year is 1.047%, passable by a simple majority. Although we remain concerned about levies in the 1% range, our proposed budget will use this 1.04% tax levy increase to maintain OV s current staffing levels, including art, music, and college courses. We will also continue to provide access to technology and grade-appropriate digital learning opportunities. We can do both stay within the tax levy limit and maintain current staffing and program levels because some of our other costs are manageable. For example, the stock market has protected the investment returns on the teacher and employee pension system to which we contribute. If the stock market declines in future, however, our school budget could become more difficult. This proposed budget is possible because we ve made tough decisions over the past few years with a vision toward the future. As always, we ask hard questions when considering tax levies: What is in the best interest of our school district? Our taxpayers? Our district residents? Our alumni? Our children? What will be the legacy of this period in OVCSD history? Over the next few weeks, I welcome further communication from anyone who would like to weigh in on the philosophy of our District s budget process. There will be ongoing communication with the Board of Education as we look to adopt our budget on April 15, before the May 19 vote. Daniel G. Henner Superintendent of Schools 2

3 YOUR QUESTIONS ANSWERED About the Proposed Budget Will the voting continue to be held in both the Georgetown school and the South Otselic school? The Board has authorized polling in both buildings for the budget vote. As with the previous balloting, you must vote within your specific voting district. Call the District Office if you have questions regarding where to vote. How is the budget shown to me in this document? New York State law requires all school districts to present their budgets in three parts: Administrative, Program, and Capital. What will my actual tax rate be? O V Actual tax rates are set after assessments are made by town, county, or state officials. This information comes to us in August. What is the property tax increase for ? Otselic Valley The proposed property tax increase is 1.04%, well below the current allowable tax cap for OV at 1.047%. This is the lowest tax increase during the past 10 years. How will the STAR program affect my school taxes? Central School The Basic School Tax Relief (STAR) exemption remains which can be of significant value to homeowners. Homeowners must apply through their town assessor s office to be eligible for this tax break. Does OV take the taxpayers STAR savings or other programs into account when developing its budget? No. The STAR program is tax relief for homeowners, paid through state taxes. It is not a source of funding for schools. It is not considered when developing the budget. Will voting no on this budget have any impact on salaries and benefits? No. Salaries and benefits are negotiated with employee groups for multi-year periods. What happens if the budget is defeated? Under state law, if the budget is defeated, the Board of Education can schedule one more budget vote using the same or a revised budget. Or, the Board can decide to go directly to a contingency budget that can still include a tax increase based on state formulas. If the budget is voted on again and defeated a second time, the Board must adopt a contingency budget. Certain regulations restrict spending under contingency, which may affect program and/or staffing. Public use of school facilities would be prohibited unless a fee to cover expenses is applied. This would include the prohibited use of athletic facilities, fitness center, and K-12 library. I no longer have children in school. Why should I support the school? The state has determined that public education is funded this way. Well-educated citizens benefit the entire community. Good schools help to increase property values. Schools are a source of community identity and pride. 3

4 Three Part Budget Administration Administrative includes BOE expenses, Finance, Administrators, Supervisors, and Clerical staff, public information and printing, curriculum and staff developments, tax collection, and some legal costs, and benefits. Item Description Change BOARD OF EDUCATION 4,000 4,000 0 DISTRICT CLERK 7,406 7, DISTRICT MEETINGS CENTRAL ADMINISTRATION 154, ,000-19,555 BUSINESS ADMINISTRATION 228, ,400 52,496 AUDITING 31,000 31,000 0 TREASURER TAX COLLECTION 7,550 7,550 0 PURCHASING 3,000 3, FISCAL AGENT FEE 4,000 4,000 0 LEGAL 2,471 10,000 7,529 PERSONNEL 4,500 22,500 18,000 RECORDS MANAGEMENT 5,800 6, PUBLIC INFORMATION & SERVICES 28,250 32,750 4,500 CENTRAL PRINTING AND MAILING 25,300 27,500 2,200 CENTRAL DATA PROCESSING 76,650 76, SPECIAL ITEMS 253, ,859 18,259 SUPERVISION - REGULAR SCHOOL 176, ,617-16,105 EMPLOYEE BENEFITS 209, ,733-97,184 TOTAL ADMINISTRATIVE 1,224,675 1,195,709-28,966 Program Program includes Instruction, Special Needs, Occupational Education, Summer School, Guidance, Library, Health Services, Transportation, Extra and Co-Curricular, and benefits for all employed in this category. Item Description Change LEGAL 2,466 3, INSERVICE TRAINING - INSTRUCTION 5,500 6, TEACHING - REGULAR SCHOOL 2,119,995 2,252, ,587 PROGRAMS FOR HANDICAPPED PUPILS 819, , ,115 SPECIAL NEEDS OCCUPATIONAL EDUCATION 296, ,000 7,010 SPECIAL SCHOOLS 13,300 19,050 5,750 SCHOOL LIBRARY & AUDIO-VISUAL 119, ,200 3,520 COMPUTER ASSISTED INSTRUCTION 364, ,250 53,449 GUIDANCE - REGULAR SCHOOL 74, ,350 26,540 HEALTH SERVICES - REGULAR SCHOOL 106, ,950 2,150 DIAGNOSTIC SCREENING 5,000 5,000 0 CO-CURRICULAR ACTIVITIES - REGULAR SCHOOL 44,801 57,600 12,799 INTERSCHOLASTIC ATHLETICS - REGULAR SCHOOL 96, ,500 8,760 YOUTH PROGRAM 2,000 2,000 0 CIVIC ACTIVITIES DISTRICT TRANSPORTATION 545, ,500-70,377 BUILDING 22,000 26,000 4,000 INTERFUND TRANSFERS 75,000 75,000 0 EMPLOYEE BENEFITS 2,334,318 2,222, ,572 TOTAL PROGRAM 7,049,977 7,024,528-25,449 4

5 Capital Capital includes purchase of new buses, maintenance staff, insurance, debt service to buildings, and utilities. Item Description Change OPERATION OF PLANT 463, ,000 15,200 MAINTENANCE OF PLANT 248, ,275 1,755 REFUND ON REAL PROPERTY TAXES 1,000 1,000 0 SERIAL BONDS 1,278,145 1,076, ,396 B.N.s (BUS) EMPLOYEE BENEFITS 180, ,433-8,122 TOTAL CAPITAL 2,172,020 1,979, ,563 TOTAL BUDGET 10,446,672 10,199, ,978 Revenues Item Description Change State Aids FOUNDATION AID 4,087,816 4,102,940 15,124 TRANSPORTATION AID 685, ,840 (180,933) SOFTWARE, LIBRARY, TEXTBOOK AID 28,438 27,658 (780) HARDWARE AND TECHNOLOGY AID 5,802 5,399 (403) BOCES AID 710, ,903 7,600 HIGH COST EXCESS COST 108,811 66,873 (41,938) BUILDING AID 1,102, ,470 (137,592) GAP ELIMINATION ADJUSTMENT (108,189) (4,296) 103,893 Miscellaneous Aids MEDICAID ASSISTANCE Local Efforts STUDENT FEES AND CHARGES ADMISSIONS TUITION/REGULAR SCHOOL INTEREST AND EARNINGS 2,500 2,500 0 REFUND/PRIOR YRS EXPENSE 65,000 65,000 0 INTEREST AND PENALTIES 7,000 7,000 0 From Emp. Ben. Accrued Liab. Res From Debt Service Fund 100,773 58,946 (41,827) Other Federal Aid - QZAB 155, ,333 (2,516) Appropriated Fund Balance 380, ,000 0 Property Tax Levy 3,114,734 3,147,128 32,394 TOTAL REVENUES 10,446,672 10,199,694 (246,978) 5

6 Candidates for the Board of Education The following messages were submitted by the candidates. Gregory Brown Hi, I am Gregory Brown. I am running for another term on the Otselic Valley Board of Education. I want to keep working for the students of our District, to give them as many opportunities as possible. We have a very good staff here at Otselic Valley Central School that can help to prepare all students for their lives after school here in the Valley. Ricky Collins Hi, my name is Ricky Collins. I live in Otselic with my wife and son. Both my wife and daughter graduated from Otselic Valley. My son, Andy, is in the eighth grade. I am retired from the U.S. Postal Service and I am also a disabled veteran from the U.S. Army. You may have seen me helping the kids and booster club at the school concessions. I am running for the school board to give our staff, students, and tax payers a voice. I will always be available to anyone. We still need change at our school. Brian Wood My name is Brian Wood and I have lived in the Otselic Valley for 38 years. I graduated from OV in 1994 and attended Morrisville College where I received my degree in Fish and Wildlife Management. I have been employed by our family business, E. L. Wood Braiding in Marathon, for 20 years where I am the Production Manager. As a shareholder and owner, I am involved in the everyday operations of running a business. I have been involved in the town youth sports program with our 12-year-old son who attends Otselic Valley Central School. I am excited to be a candidate for the position on the school board in hopes that I can make a difference in our school community. I am truly looking forward to the experience and believe this is a great opportunity to be a part of the Otselic Valley School District. 6

7 OTSELIC VALLEY CENTRAL SCHOOL School District Budget Notice Overall Budget Proposal Budget Adopted Budget Proposed Contingency Budget 15-16* 10,446,672 10,199,694 10,049,694 Increase/Decrease for the School Year Percentage Increase/Decrease in Proposed Budget -2.36% Change in the Consumer Price Index 1.62% Total Budgeted Amount, Not Including Separate Propositions -246, , % Proposed Tax Levy to Support the Total Budgeted Amount 3,114,734 3,147,128 B. Levy to Support Library Debt, if Applicable 0 0 C. Levy for Non-Excludable Propositions, if Applicable ** 0 0 D. Total Tax Cap Reserve Amount Used to Reduce Current Year Levy 0 0 E. Total Proposed School Year Tax Levy (A + B + C - D) 3,114,734 3,147,128 F. Permissible Exclusions to the School Tax Levy Limit 100,773 58,946 G. School Tax Levy Limit, Excluding Levy for Permissible Exclusions 3,120,415 3,088,409 H. Total Proposed Tax Levy for School, Excluding Permissible Exclusions and Levy for Library Debt, Plus Prior Year Tax Cap Reserve (E - B - F + D) 3,013,961 3,088,128 I. Difference: (G - H) Negative Value Requires 60.0% Voter Approval ** 106, Administrative Component 1,224,675 1,195,709 1,194,709 Program Component 7,049,977 7,024,528 7,007,428 Capital Component 2,172,020 1,979,457 1,847,557 Est. Basic STAR Exemption Savings 3,088,409 List Separate Propositions that are not included in the Total Budgeted Amount** 1 Desc: Desc: Desc: Desc: *Statement of assumptions made in projecting a contingency budget for the school year, should the proposed budget be defeated pursuant to Section 2023 of the Education Law. The annual budget vote for the fiscal year by the qualified voters of the Otselic Valley Central School District, Chenango & Madison Counties, New York, will be held at the K-12 and Georgetown schools in said district on Tuesday, May 19, 2015 between the hours of 12:00 Noon and 9:00 p.m. prevailing time, in the K-12 and Georgetown schools, at which time the polls will be opened to vote by voting ballot or machine. 1 The basic school tax relief (STAR) exemption is authorized by Section 425 of the Real Property Tax Law. **Tax Levy associated with educational or transportation services propositions are not eligible for exclusion and may affect voter approval requirements. 7

8 OTSELIC VALLEY CENTRAL SCHOOL Georgetown, New York South Otselic, New York Board Members Marcia Marshall, President Rachel Peabody, Vice President Gregory Brown Jeremy Foster Donna Liuzzo Gail Evans Burpee, District Clerk Non-profit Organization U.S. Postage P A I D South Otselic, NY PERMIT #3 DCMO BOCES Printing Service Norwich, NY CURRENT RESIDENT OR ECRWSS BOXHOLDER The Otselic Valley Central School District does not discriminate on the basis of race, color, religion, gender, sexual orientation, national origin, age, disabilities, marital or veteran status. Contact person: Daniel Henner, Superintendent, P.O. Box 161, 125 County Road 13A, South Otselic, NY (315) VOTER ELIGIBILITY To vote, you must be: At least 18 years old; A U.S. citizens; A resident of the Otselic Valley School District for at least 30 days; Registered in your county of residency or registered with the school district; and You must vote within your voting district. Voting District One: Madison County Voting District Two: Chenango County Contact the District Clerk at , ext with questions. ABSENTEE BALLOTS To vote by absentee ballot: Contact the District Clerk at , ext Directions for filing an absentee ballot must be accurately followed.