2020-21 Budget First Draft MARCH 9, 2020 First Budget Draft - - - PowerPoint PPT Presentation

2020-21 Budget First Draft

MARCH 9, 2020

+ First Budget Draft - Expenditures

 We began the first budget draft by rolling over the expenditure

budget from 2019-20 and making these adjustments:

 Increasing salaries for all current positions according to

contracts (retiree savings are factored into the draft budget)

 Applying the 20-21 Employee Retirement System (ERS) and

Teachers Retirement System (TRS) required contribution rates to payroll.

 Applying health insurance rate increases for all current

positions – RX- 0, CDPHP-5.2 Blue Shield 6.75%

 Adjusting program spending changes based on special

education needs, BOCES services, etc.

 Estimating Transportation and Operations needs  Adjusting debt repayments to reflect advancement on the

repayment schedules

+ Changes in Budgeted Expenditures in the Draft

Budget from January to April

 The TRS rate increase is going up from 8.86 to 9.53  The TRS rate increase will add approximately an additional $48,000 to the annual

budget

 The ERS rate also increased by .3% and will add an additional $30, 000 to budget  Drug -0.0% (expectation is all bargaining units will adopt the managed formulary by April 1st otherwise rates will need to

be increased)

 Blue Shield -6.75 % and CDPHP- 5.2% ( adoption of model plan reduced rate from

9.6%)

 Workers Compensation- 0.0%  BOCES –Special education tuition rates are a 5% increase on average.

2020-21 Tax Cap

The maximum levy the district can go to is 3.139% for 2020-21 this will generate $570,907.79.

Tax Levy Percent Revenue

1% $181,847 2% $363,695 3% $545,542

+

Expense Based Aid

Aid received from the state based on prior year’s expenditures.(The more you spend the more aid you’ll receive)Each

category has a predetermine aid percentage. BOCES Transportation Building

Foundation Aid

FOUNDATION AID- A FUNDING FORMULA BY NYSED IN 2006. THERE ARE FOUR FACTORS THAT GO INTO DETERMINING FOUNDATION AID.

1.

THE COST OF EDUCATING A STUDENT

2.

DIFFERING LEVELS OF STUDENT NEEDS

3.

DIFFERENT COSTS OF LIVING ACROSS THE STATE

4.

THE VARYING FUNDING CAPACITIES OF DIFFERENT DISTRICTS THIS YEAR OUR FOUNDATION AID INCREASE WAS ABOUT $10,000

First Draft of Revenues 2020-21

The revenues of the school district come from two main sources:

• 1. The Taxy Levy Limit for our district is 3.139% for 2020-21

We have used the 3.139% tax levy increase for the first draft of the budget

• 2. NY State Aid amount from the Governor’s budget proposal increase of

$64,889. The district typically will see an increase in aid over the Governor’s proposed budget

when the final budget is approved by the legislature

We are now able to determine what revenues look like at this preliminary stage.

Total Revenues 2020-21

 Tax Levy = $18,755,667 estimated  Total State Aid = $6,533,948 expense based aid can fluctuate up or down  Misc. Revenues (Medicaid Reimbursement, Fees, Sale of Surplus Property,

Interest) = $492,500

 Fund Balance Applied = $300,000 (same as 19-20 budget)  Total Revenues = $26,082,115

District Evaluation and Reallocation of Resources

 The district has and will continue to evaluate the delivery of programs and

how to maximize all resources within it.

 Through this process we have created cost saving measures to include

part-time staffing reductions while having no impact on class size or programming

 Increase Elementary staffing to address increasing enrollment  Looking at increasing social conditions and safety support district wide  Increase professional development by $5,000 -investment in staff is an investment in students  FACS teacher back to a 1.0 FTE

Major Categories of Spending in 2020-21 draft budget

Spending Category Total Amount % Change from 2019-20 $ Change from 2019-20 General Support $2,684,369 1.2% $32,385 Instruction $12,939,381 2.9% $366,400 Transportation $994,218

• 8.7%

$ -95,782 Employee Benefits $7,843,616 5.3% $394,543 Debt Service $1,499,994

• 3.6%

$ -56,815 Total Expenditures $26,082,578 2.4% $677,346

Budget Facts

 Budget Increase

• $656,882 (2.617%)down from $686,657 last year

 Tax Levy Increase

 $570,907 (3.139%)

 State Aid Increase(Governor’s budget)

 $64,889 ($10,000 of which was foundation aid)

Revenues minus Expenditures

 Total Revenues = $26,062,115  Total Expenditures = $26,082,578  Budget Gap = ($20,463)  The budget gap is 0.008% of total budget  The legislature usually increases state aid as compared to the

governor’s proposal, but given the fiscal climate in the state this year, a large increase in state aid is unlikely

Bus Proposition

 VCSD

 Maintains a multi-year plan for replacing buses

 Buses run approximately 10 – 12 years

 Plans to purchase one 65-passenger bus and two 28 –passenger

buses.($236,000)

 Will auction off two buses  Will receive State Aid on the bus purchases at approximately 60% of costs

Next Steps in the Budget Process

 The budget will be a discussion topic at each board meeting from

now through April

 The Legislature is scheduled to pass the final budget by April 1 –

final state aid figures will be known at that time

 There will be a special budget meeting on April 6th prior to the

regular meeting to finalize the budget.

 Adoption of the budget by the board of education is anticipated

to be at the April 6 regular meeting

 The voters will decide on the proposed budget on May 19