PROPOSED BUDGET 2018-19 Overview and Revenue Projections GARDEN CITY PUBLIC SCHOOLS PROPOSED BUDGET 2018-19 Overview and Revenue Projections 2/6/18

Tonight’s Agenda 2018-19 Budget Numbers Tax Levy Cap -The compromise between expenditures and the Cap The Revenue Picture The Budget Design Process, Principles, and Priorities Q & A

Proposed overall budget: $115,805,283 Budget to budget increase: $3,143,702 or 2.79% Projected tax levy increase (with STAR): 3.54% Maximum Allowable Tax Levy: 3.54 % BUDGET IS AT CAP

GARDEN CITY SCHOOL DISTRICT Mission Statement The Garden City School District seeks to create an environment for learning which enables each student the opportunity to grow as an individual as well as a group member while striving to achieve the optimal level of academic, social and personal success. Students will thrive in a learning environment that is developmentally appropriate, individualized and challenging. Our goal and responsibility is to help each student develop an enthusiasm for learning, a respect for self and others, and the skills to become a creative independent thinker and problem solver. 4

Garden City Public Schools A long tradition of high achievement Excellent “return on investment” A history of sound fiscal management A commitment to continuous improvement A key element in making Garden City a “destination location” A major component of the local economy

Garden City Public Schools: One of the Country’s Best School Districts Garden City has been designated by the NAMM Foundation as one of the nation’s “Best Communities for Music Education” for five years running! Five NYSSMA All-State performers, 3 All-eastern performers, 87 All-County performers AA1 bond rating Collaborative relationship with Village government Participation in county & regional consortia seeking to lower costs District provides its own bus transportation

Garden City Public Schools: One of the Country’s Best School Districts PLUS Excellence in academic achievement: 98% of students go on to higher education 91% of graduates attend 4-year colleges 100% of graduates receive Regents diplomas 87% received Advanced Regents or Advanced Regents with Honors distinctions 93% of Class of 2017 that applied to college were accepted to at least one of Princeton Review’s “Best Colleges” Ranked #2 public high school on Long Island - “Best High School”: U.S. News & World Report Ranked #1 public high school on Long Island: schooldigger.com Ranked #8 public high school on Long Island - The Washington Post’s “America’s Most Challenging High Schools” 14 National Advanced Placement Scholars, 1 National Merit Scholarship finalist, 13 NMS Commended Students; 3 National Hispanic Recognition Program Scholars PLUS PLUS PLUS

The School District Budget The school district budget serves as the Board of Education’s plan to provide resources in support of district goals and maintain the excellence for which our school district is known. The budget is a multi-year plan and must consider both long term goals and short term options Any reductions in expenditures must reflect the long term goals and the ability to recoup in the future

The Tax Levy Cap: How It Works and the Challenges It Presents

School Budgets and the Tax Levy Cap Not exactly a “cap” Instead, requires a much higher level of voter approval (“supermajority”) if the proposed property tax levy increase goes beyond the “tax levy limit” “Supermajority” = 60% of voters must approve There is an 8-step formula for determining the “tax levy limit”

The 2018-19 Tax Levy Cap is: 3.54% or $3,439,473 The 2018-19 CPI is 2% ($1,933,000) as opposed to 1.26% in 2017-18 The 2018-19 tax base Growth Factor is 1.0162 ($1,575,000) up from 1.0042 in 2017-18 The increase in Growth Factor positively impacts the tax rate

CPI History: An Average Far Below 2% CPI Used for Tax Cap Calculation Actual CPI 2013-2014 2.00% 2.10% 2014-2015 1.46% 2015-2016 1.62% 2016-2017 0.12% 2017-2018 1.26% 2018-2019 2.13%

Where Does This Leave Us?

Revenue Plan Expenditure Plan Educational Plan

The Revenue Picture

Garden City Public Schools Facts and Figures A K-12 public school district enrolling approximately 3,876 students Highly regarded programs for all students at all achievement levels 7 school buildings: 3 primary (K-1), 2 elementary (2-5), 1 middle (6-8), 1 high school (9-12) 2 support buildings: central administration and transportation

Budget Design Principles Maintain high Standards Stay within Tax Levy Cap Utilize available reserves Minimize controllable costs Maintain flexibility for the future Limit student/instructional impact Consider short and long term implications

2018-19 Proposed Budget Sources of Revenue State Aid Local Revenue PILOTs (Payments in Lieu of Taxes) Appropriation from Reserves Fund Balance Allocation Property Taxes

2018-19 REVENUE SOURCES Category Budget 2017-18 Proposed 2018-19 Dollar Change State Aid 5,978,173 5,807,317 (170,856) Local Revenue 1,703,800 1,723,800 20,000 PILOT 3,906,519 3,986,853 80,334 Appropriation from Reserves 920,000 970,000 50,000 Fund Balance 2,500,000 - Fund Balance for capital projects 275,000 (275,000) Inter-fund Transfer 150,000 STAR Reimb. 5,156,182 5,113,931 (42,251) Property Taxes 92,071,907 95,553,382 3,481,475 TOTAL 112,661,581 115,805,283 3,143,702

Revenues from State Sources Summary of Revenues Revenues from State Sources Actual 2016-17 Budget 2017-18 Proposed Budget 2018-19 Foundation & Other Operating Aids $ 2,807,788 2,651,363 2,495,430 Transportation 193,943 200,280 219,175 BOCES 448,369 438,511 438,900 Special Education 2,235,519 2,326,011 2,291,411 Textbook 260,494 259,639 260,929 Computer Software 72,938 72,438 72,480 Library Materials 30,431 29,931 28,992 TOTAL STATE AID 6,049,482 5,978,173 5,807,317

Summary of Revenues

Revenue Category Percentages Proposed Budget 2018-19 % of Overall Budget State Aid 5,807,317 5.01 Local Revenue 1,723,800 1.49 PILOT 3,986,853 3.44 Use of Reserves 970,000 0.84 Fund Balance 2,500,000 2.16 Inter-fund Rev 150,000 0.13 STAR Reimb. 5,113,931 4.42 Property Taxes 95,553,382 82.51 TOTAL 115,805,283 100.00%

2018-19 Proposed Budget : Sources of Revenue

OVERVIEW This year is more difficult than before: Tax Levy Cap did not cover rollover expenses No reduction in State Mandates Increase in Mandated ENL services and students Increase in minimum wage Increase and uncertainty over Health Insurance Costs NY State $4 billion deficit and reduced Aid increases Major increase in 17-18 Kindergarten enrollment Subsequent increase in 1st grade enrollment Major increase in Special Education costs Change in State TRS calculation resulting in a major cost increase

Building Our Budget Step I Roll over existing budget to new year Maintain all programs/services at current levels Identify changes in population/enrollment Include all mandated increases Add any new mandates Review existing programs for efficiencies Review expenditure plan for alignment with long term goals Explore new program service options to benefit students

Building Our Budget Step II Revenue Determination State, Federal, Local, other Calculate Tax Levy Limit Figure gap between allowable Tax Levy Limit and initial expenditure budget Reduce controllable costs Maximize available reserves Recalculate the gap Review options for eliminating the gap Focus on non-program changes Propose budget that functions within the Cap

Result: Budget is under the Allowable Tax Cap Allowable Tax Levy Cap $3,400,000 Rollover Budget: Levy Increase $5,050,000 Difference ($1,650,000) Various reductions ($ 565,000) (enrollment, supplies, contractual efficiencies) Additional Reductions ($1,085,000) Result: Budget is under the Allowable Tax Cap

The 2018-2019 Proposed School District Budget… Complies with the tax levy cap, and therefore requires only a simple majority for passage Maintains the robust programs that prepares our students for the rigors of college and the demands of citizenship Recognizes the value of investments in STEAM and continues to provide resources for technology upgrades Includes funds for capital improvement Five Year Plan Maintains RtI, the continuum of special education services, and opportunities for diverse learners Strategic reductions in staffing overages to maintain compliance with the Levy Cap

Please don’t forget to vote on May 15th!