Budget workshop 12412

HALF HOLLOW HILLS SCHOOL DISTRICT of Huntington and Babylon

Community Budget Forum High School East January 24, 2012 7:00 pm

2012/13 Budget Development

Community Budget Forum – January 24, 2012

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How Budgeting Has Changed Historical Budget Development Sequence

Community Budget Forum – January 24, 2012

2012/13 Budget Development Sequence

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2012/13 Budget Development

Community Budget Forum – January 24, 2012

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Property Tax Levy “Cap” • Through public budget forums, residents learned: The 2% Property Tax Levy “Cap” is NOT 2% The Property Tax Levy “Cap” is really a voter threshold Boards of Education can choose to go above the formula‐ calculated threshold ¾ Simple majority – 50% + 1 of residents who come out to vote say “yes” to the budget – Tax levy is at or below the figure which the formula provides

¾ Super majority – 60% or more of residents – Tax levy is above the figure which the formula provides

Right now, HHH’s “cap” is at 2.37% Contingent budgets (due to two voter defeated budgets) require a property tax levy FLAT to prior year Community Budget Forum – January 24, 2012

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2012/13 Budget Development

Community Budget Forum – January 24, 2012

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Rollover Budget • What is it?

Doing everything the District does “today” (2011‐12), but at the cost “tomorrow” (2012‐13).

• Included in the development of a “rollover budget”: Adhering to employment contracts Thoughtful and detailed analysis of consultant/vendor contractual codes and materials/supplies including negotiation of rates/fees Input from various budget supervisors Projections on the “unknown” items based on trending and other metrics (i.e. healthcare, pension contributions) Community Budget Forum – January 24, 2012

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Evolving Budget Development Process • November 2011 projection to meet the property tax levy “cap” required $12.7 million in reductions

Community Budget Forum – January 24, 2012

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Progression of Budget Development • December 2011 through January 2012 updates: On the revenue side: ¾Additional use of Unreserved Fund Balance ¾Additional use of Reserved Fund Balance ¾Increase in State Aid

On the expense side: ¾Repeal of MTA Payroll Tax ¾Healthcare projected savings ¾Tax Anticipation Notes projected savings Community Budget Forum – January 24, 2012

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Progression of Budget Development • On the expense side: (continued)

BOCES tuition freeze Pension contribution rates lower than expected Retirements: 5 teachers + 1 teacher assistant Two‐year hard salary freeze for members of the HHH Administrators’ Association

• Updated figures for use in Property Tax Levy “Cap” formula $6.8 million in cuts Community Budget Forum – January 24, 2012

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HHH’s Revenue Sources Figures shown represent the approximate percent of the District’s budget which comes from the noted revenue source.

* Includes use of fund balance and reserves, charges for services, PILOTs, and interest income

Community Budget Forum – January 24, 2012

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Revenue: “Other” Use of Unreserved Fund Balance

Community Budget Forum – January 24, 2012

Incremental use of Unreserved Fund Balance becomes problematic if the District cannot sustain this level of support to reduce what is needed through the collection of taxes.

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Revenue: “Other” Incremental use of Reserved Fund Balance causes a sharp and dangerous decline in these balances to use in future years.

Community Budget Forum – January 24, 2012

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HHH’s Revenue Sources Figures shown represent the approximate percent of the District’s budget which comes from the noted revenue source.

* Includes use of fund balance and reserves, charges for services, PILOTs, and interest income

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Revenue: State Aid What the Governor reported:

What Newsday reported:

Increase in Aid for 2012‐13:

Increase in Aid for 2012‐13:

$904,229 (with building aid) OR $531,962 (without building aid)

$531,962 (without transportation and building aid)

SUBTRACT OUT OF GOVERNOR’S PROPOSAL $788,745 UPK ($588,745) & LOCAL SHARE OF EDUCATING CERTAIN STUDENTS ($200,000)

WHAT’S ACCURATE: Increase in Aid for 2012‐13 from 2011‐12 Budgeted Aid:

$624,570 (including all aid categories)

Community Budget Forum – January 24, 2012

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History of State Aid

Included $5,500,000 of Federal money which State used to “Band‐Aid” the funding problem.

estimated

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estimated

Progression of Budget Development • Proposed reductions to rollover budget: Teachers: 35 positions Elementary Teachers Sixth Grade Teachers Reading Teachers Art Teachers Music Teachers Physical Education Teachers Health Teacher Family and Consumer Science Teacher

Business Teachers Dean of Students World Language Teachers Psychologist Special Ed Literacy Specialist Science Teacher Social Studies Teachers

In addition, all presently‐assigned part time teachers will not return for the 2012/13 school year

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Progression of Budget Development • Proposed reductions to rollover budget: District‐Wide Support Staff: 26 positions Monitors Paraprofessionals Custodian Managerial/Confidential position

Clerical employees Transportation employee Job Coach

Budget Modifications SBA/Liaison positions Public Relations contract No combined musical at MS’s Various athletic reductions Reduction in overtime Eliminate “Safety Sally” Reduction to K‐12 clubs

Community Budget Forum – January 24, 2012

Mandatory Lunch at High Schools Stop printing of District calendar Reduction to professional development Reduction to contractual/supplies Textbook reductions Reduction in use of teacher substitutes Reduction in use of teacher chaperones

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2012/13 Budget Development

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The Proposed Budget Maintains Quality • • • • • • • • • • •

Universal Pre‐K Full‐Day Kindergarten Elementary Class Size AHAP / Enrichment Elementary Summer School Hills on Stage Discovery Center / Planetarium Universal Busing Field Trips Special Education / ESL Elementary AIS (14 in Reading and 7 in Math) • Band, Orchestra & Chorus in Grades 4‐12

Community Budget Forum – January 24, 2012

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6th Grade Foreign Language 9‐Period MS / HS School Day 131 Athletic Teams 27 Advanced Placement Courses LIHSPA for Seniors MS / HS Musicals Drivers Education Research Program Investment in Technology Participation in SCMEA, NYSSMA and LISFA • Extracurricular Clubs K‐12

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2012/13 Budget Development

Community Budget Forum – January 24, 2012

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Progression of Budget Development • Budget recommendations at this point result in: Total preliminary budget of $221,900,000 Budget‐to‐budget increase of 2.75%

LOWEST BUDGET‐TO‐BUDGET INCREASE IN 15 YEARS

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Budget‐to‐Budget History

10‐year average increase 20‐year average increase

LOWEST BUDGET‐TO‐BUDGET % INCREASE IN 15 YEARS

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Preliminary budget recommendation is a 2.75% year‐over‐year increase with a tax levy increase of 2.37%, complying with the new Property Tax Levy “Cap” Law and requiring a simple majority to pass.

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Thank You for Participating

A well informed community member is our student’s biggest ally.

Thank you for taking the time to become informed!

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