Budget Presentation 032210

Half Hollow Hills Central School District 2010- 2011 Preliminary Budget Proposal 3/22/10

THE PURPOSE OF THE BUDGET

To meet the educational and fiscal goals of the District by…

Supporting the educational mission Planning for the operational needs of the District Maintaining financial integrity Safeguarding taxpayers dollars

Enrollment Trend 11,000 10,000 9,000 8,000 7,000

7,74 1 7,3 2 4 7 ,2 15 7,0 3 3 7,0 6 9 7,0 5 5 7 ,10 7 7,2 3 6 7,4 9 9 7,8 3 5 8 ,110 8 ,4 71 8 ,7 17 9 ,19 2 9 ,5 83 9 ,9 74 10 ,19 6 10 ,16 8 10 ,14 8 10 ,0 9 8 10 ,0 3 7 10 ,0 2 5

TOTAL ENROLLMENT 1988/89 TO 2010/11

6,000 19 8 9 - 9 0

19 9 2 - 9 3

19 9 5 - 9 6

19 9 8 - 9 9

2 0 0 1-0 2

2 0 0 4 -0 5

2 0 0 7 -0 8

2 0 10 -11

Elementary Enrollment Trend Elementary (K-5) Enrollment 5,500

4, 7 9 7

5,000

4, 9 06

4, 7 7 3

4,500

4, 617

4, 47 5

4, 333

4, 231

4,000 3,500

1 20

10

/1

10 0 20

8/ 0 20

7/ 0 20

9/

0

9

8 0

7 0 6/ 0 20

5/ 0 20

20

0

4/

0

0

6

5

3,000

Secondary Enrollment Trend

Secondary (6-12) Enrollment

1 20

10

/1

10 0 20

/0 08 20

7/ 0

9/

9

8 0

7 0 6/ 0

5,794

5 , 7 04

5 , 623

5 , 5 31

20

20

0

5/

0

0

6

5

5 , 17 7

4/ 0 20

5 , 39 5

5 , 29 0

20

6,000 5,500 5,000 4,500 4,000 3,500 3,000

Continuing Challenges for 2010/11

Run an efficient system without negatively impacting programs for our students New York State’s economic crisis has not improved Governor’s Gap Elimination Plan would reduce our state aid by a net of $2.7 million.

Proposed Mandate for Districts to fund a portion of all Pre-school special education and transportation costs. The program is currently fully funded by NYS and Suffolk County. This proposal is not included in the current budget.

Continuing Challenges for 2010/11 ƒ

ƒ

Proposed State funding for Summer Special Education reduced from 80% to 22.5% . If enacted, this proposal would cost the district approximately $673,000. This proposal is not included in the current budget.

The MTA Tax, implemented for the 2009/10 school year, will continue in 2010/11. This will cost HHH over $400K and is included in the current budget proposal. To date no reimbursements have been received.

2010-11 Preliminary Budget Proposal Summary 2009-10 Total Budget Dollar Increase Percent Increase

2010-11

$201,876,771 $207,881,882 $6,005,112 2.97% Capital $27,147,975 13.06%

Program $159,847,240 76.89%

Administrative $20,886,667 10.05%

Budget-to-Budget comparison Adopted Budget 2009/10

Total Budget % Change

$201,876,771

Rollover Budget 2010/11 (estimated cost of rolling forward budget as is)

Preliminary Budget 2010/11 As of 3/22/10

Total Savings From Original Rollover

$212,250,909 $207,881,882 ($4,369,027) 5.14% 2.97%

2010/11 Budget Reductions of over $4.3 million include:

Retirement Incentive offered resulted in over 20 retirements, producing significant budget savings for 2010/11 22.93 budgeted instructional positions 6.0 administrative and non-instructional staff positions monitor hours district-wide Revision to senior requirements Summer transportation for regular education summer school Interscholastic Freshman Teams

Budget Reductions – cont’d. ¾

Allocation reductions include…

Equipment Contractual service expenditures Capital Project expenditures L.I. High School for the Performing Arts possible modifications Reduction of Summer guidance hours efficient on-line scheduling Curriculum Writing Significant reductions in professional and staff development

Preliminary Budget Proposal General Support 2009/10 Board of Education District Clerk & District Meetings Offices of Chief School Admin.

Finance/Purchasing/Accounting Auditing Svc./Legal Services Public Information, District-wide Administration and Records Mgmt Operation and Maintenance, MIS, Printing and Mailing Insurance/BOCES Admin. and Special Items (including MTA tax) Total General Support *excluding MTA tax, general support would be virtually flat

2010/11

Change

$8,887

$8,887

$103,921

$106,721

2.69%

$3,059,946

$3,017,794

-1.38%

$14,542,459 $14,664,237

0%

.8%

$1,723,211

$2,143,437 24.38%

$19,438,424

$19,941,076 2.58%*

Preliminary Budget Proposal Instructional Budget Curriculum Development & Supervision - including

2009/10

2010/11

Change

$7,864,017

$7,703,126

-2.05%

$93,343,048

$96,004,482

2.85%

$493,958

$476,458

-3.54%

$4,816,297

$4,726,879

-1.86%

$10,609,379

$10,687,097

0.73%

$117,126,699

$119,598,042

2.11%

Principals & Clerical In-Service Training & Pupil Personnel Services

Teaching Regular School and Students with Disabilities Adult Ed/Summer School Instructional Media & Support Pupil Services - including Health Office, Guidance, Psychologists, Social Workers, Interscholastic Athletics & Co-Curricular Activities

Total Instruction

Preliminary Budget Proposal Other Budget Categories 2009/10 Transportation

2010/11

Change

$12,514,979

$12,626,115

0.89%

$85,450

$90,450

5.85%

$8,362,775

$11,151,472

Other Employee Benefits

$33,212,630

$33,845,087

Debt Service/TAN

$10,008,167

$9,601,993

-4.06%

$882,000

$782,000

-11.34%

$245,647

$245,647

0%

$65,311,648

$68,342,764

Community Recreation NYS Mandated Employer Contribution to Retirement System

Transfer to Capital Transfer to Special Aid Fund Total of Above Categories

33.35%

1.9%

4.64%

Factors that may affect Expenditure Budget The following proposed unfunded mandates are not included in the current budget proposal. We hope to receive a decision from the State on these items before budget adoption.

State reimbursement for Summer Special Education reduced from 80% to 22.5% ($673,000) Special Education Pre-School – Suffolk County’s share capped at a 2% increase over current costs. The District would be responsible for any cost increases in excess of 2%

Projected Revenues 2010/11 t a x levy 2 .00%

3 .81 %

1 2 .3 6%

81 .83 %

St a t e a id a p p ro p .

F und ba la nc e misc . rev

Revenue Comparison 2009/10 to 2010/11 Total Budget

2009/10 Budget Base Year $201,876,771

2010/11 Proposed Budget $207,881,882

State Aid

$28,205,435

$25,695,605

-8.90%

Miscellaneous Revenue including P.I.L.O.T. Tuition and Interest on Investments Appropriated Fund Balance

$3,588,000

$4,178,000

16.44%

$4,150,000

$4,150,000

0.0%

Use of Reserves

$1,250,000

$3,750,000

200%

$164,683,336

$170,108,277

3.29%

Tax Levy

% Change 2.97%

State aid trend

1

12.36%

13.9 7 %

10 20

9/ 0 20

/1

10

13.86% 9 20

0

8-

0

9 -9 98 19

19

88

-8

9

23.82%

25 % 20% 15 % 10% 5%

15 .0 5 %

ST ATE AID AS A PERCENT AGE OF TOT AL BUDGET

*2009/10 State Aid estimate and 2010/11 Governor’s Proposal

The State Aid Guessing Game

As of this date we do not know the direction the Legislature will take in regard to the Governor’s proposal. The Governor’s proposal as is …

Imposes a net $2.7 million Gap Elimination Adjustment Gap Elimination Adjustment could have been even worse:

Administrative Efficiency Aid reduces this amount by $211,824 Federal Restoration (ARRA funds) return $1.7 million to the District through an application process and must adhere to strict use and reporting requirements

State Aid Proposal

State Aid

2009/10 State Aid Base Year Estimate @ 3/31/09

2009/10 State Aid Base Year @ 1/19/10

2010/11 Proposed State Aid Governor’s Proposal including Federal Restoration Aid and Administrative Efficiency Aid

2010/11 Proposed State Aid reduction

$28,205,435

$28,331,615

$25,695,605

-2,636,010

Administrative Efficiency „

„

The District may receive Administrative Efficiency Aid which offsets a portion of the GAP reduction. This aid is for districts with an Administrative Efficiency ratio (central office administration expense to total expenditures) of less than 2%. The Half Hollow Hills administrative efficiency ratio is 1.54%, the 9th lowest on Long Island.

This aid could potentially return $211,824 in funding to the District for the 2010/11 school year

Safeguarding taxpayer dollars

Positive NYS Comptrollers Audit!

In 2009 only six (6) of the 200 audits conducted by the State Comptroller’s Office contained positive findings. Half Hollow Hills was one of the six and the only Long Island District.

The NYS auditors found our system of controls were well designed and operating effectively.

Aa2 Moody’s Bond Rating for Half Hollow Hills CSD! Aa2 rating reflects the solid financial position and below average debt burden of the district, prudent budgeting practices and effective management of our reserves.

CONTINGENCY BUDGET WHAT DOES IT MEAN FOR THE DISTRICT?

Currently the contingency budget is -.04% which would require an additional $6.7 million in budget cuts.

The State Legislature is considering a Bill which would use a 5 year average calculation in determining the contingency budget cap. This calculation would result in an approximate 3% contingency budget.

Under a contingency budget spending constraints are imposed within the overall budget cap.

Elementary Program Highlights Full day Kindergarten Universal Prekindergarten at each elementary school Variety of extra-curricular clubs and activities at each elementary school After School Foreign Language Clubs at each elementary school Hills on Stage – District-wide Fifth Grade Theatre Program

Elementary Program Highlights Keyboarding Instruction for all students in third and fourth grade Three computers in every classroom Weekly scheduled computer instruction utilizing mobile laptop labs K-4 Additional shared mobile laptop lab 5th grade Many classrooms now with built-in projectors All classrooms with Internet access and computers

Elementary Program Highlights Planetarium Program Space Shuttle Program After School Support Programs in English Language Arts and Math Weekly Art, Music, Library instruction Bi-weekly Physical Education instruction Universal Busing

Elementary Program Highlights Band/Orchestra lessons in 4th and 5th grade Health Instruction K-5 Enrichment AHAP Program Reading Support Services Math Support Services New Elementary Math Series

Middle Level Highlights A “Full Teaming” Model in Grades 6-8 Immersive Language Program beginning in grade 6 in French, Italian and Spanish Chinese now offered in Grades 6, 7 and 8 All Core Classes (ELA, SS, Science, Math, LOTE) work in a “vertical articulation” model towards the goal of maximizing college readiness as well as Advanced Placement participation and achievement Honors Earth Science and Mathematics classes now available to over 45 % of school population

Middle Level Highlights Full Band, Chorus and Orchestra Program Multiple concert opportunities for all maintained Comprehensive Theater Program Multiple performance opportunities for all maintained Two computer labs per school, music computer lab and highly effective 28 station laptop carts Smart Boards supplement the use of projectors installed in classrooms and classroom computers Full Health and PE program PE every other day

Middle Level Highlights Interesting “elective” programs such as Law Seminar and Mastery Seminar in Grade 8 Full range of support services from Guidance to Social and Academic Strong middle level Athletic program Students make use of our unique, full scale Planetarium and Space Shuttle program Support maintained for academic and competitive field trips Large array of extra-curricular opportunities Science Olympiad

High School Highlights Multiple Electronic Assets

Infinite Campus Student Management System Gradebook The Parent and Student Portal Administrative Productivity Suite Ad-hoc report generator Scheduling

Naviance College Management Software Multiple Electronic Library Services AP Photo Archives

Student Edge College and High School prep package available to parents

High School Highlights 26 National Level Advanced Placement courses Last year more than 2,000 AP Examinations were written

A comprehensive academic research program Summer Placements at top universities Support for local and in-house academic research

Numerous and where appropriate, advanced courses in Art, Business, Family and Consumer Sciences, Computers, Health, Music, Drivers Education and Physical Education

High School Highlights Drivers Education includes outstanding guest speakers which provide insight into the dangers of student driving Deep content level course work in the core areas; Mathematics, Science, LOTE (including ASL), English and Social Studies Large array of electives to take advantage of our nine-period day program Full use of our in house Planetarium for multi-disciplinary work Graphing Calculators are provided for students

High School Highlights Each high school has six computer labs including an Art lab for graphic and media arts and a Music lab for composition.

New High-tech Science Labs Laptop carts are available for teachers to supplement their lessons with rich content Many classrooms now with built in projectors All classrooms with Internet access and computers

High School Highlights Full range of support services from Guidance to Social and Academic Guidance Support has outstanding student to counselor ratios A deep and highly competitive Athletic program which meets the needs of thousands of students Over 180 Coaches working in over 130 teams From Football to Fencing!

A full Natatorium (Pool) complex, which allows us to have an excellent swim and dive team as well as to support community swim activities

High School Highlights A comprehensive after school Independent Study Foreign Language program Multiple languages from Hebrew to Latin to ASL and Japanese

Continued support for academic and competitive field trips Extremely large array of extracurricular opportunities

Special Education Highlights Full continuum of special education and related services for over 1400 students with disabilities living in the community New York State Education Department “Model Program” for children with Autism Special Education instructional expenditures per pupil are $5,000 less than NYSED Similar District Group.

More information….

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Budget information is available on our webpage http//www.hhh.k12.ny.us Follow the Discover HHH link to the District Financial Information page

Dates to Remember Date

Time

Place

Description

Monday, March 22, 2010

8:00 pm

Vanderbilt

Budget Presentation

Tuesday, March 23, 2010

7:00 pm

HSE Lecture Elementary PTA Hall Budget Presentation

Wednesday, March 24, 2010

7:00 pm

HSE Lecture Secondary PTA Hall Budget Presentation

Monday, April 19, 2010

8:00 pm

Fran Greenspan Admin. Ctr.

Adopt Budget

Monday, May 10, 2010

8:00 pm

Fran Greenspan Admin. Ctr.

Public Hearing

Tuesday, May 18, 2010

7:00am to 10:00pm

H.S. East

Budget VOTE

Voting Tuesday: May 18, 2010 7AM to 10PM High School East: East Gym