LOCKPORT CITY SCHOOL DISTRICT 2015-16 Preliminary Budget Overview Deborah A. Coder Assistant Superintendent for Finance and Management Services January 28, 2015

Preliminary Expenditure Budget Base As of January 21, 2015 – The “Roll-Over” Budget was: $90,988,334, which was an increase of $4,659,678 or a 5.40% budget to budget increase This “roll-over” budget figure also included estimates for vendor increases, anticipated contractual obligations, benefit increases and building/department level budget requests

Components of the 2015-16 Budget as of January 21, 2015 PROJECTIONS UNKNOWNS Revenue Side: State Aid increase is currently at $0 Reserves to be used (Debt Service, Employee Retirement (ERS), Employee Benefit & Insurance Reserve) increased $1,012,878 over 2014-15 use Expenditure Projections: Triborough Amendment & Employee Benefits increased $2,405,901 over 2014-15 Contractual Expenses increased $470,342 over 2014-15 Debt Service (Principal & Interest) increased $318,033 over 2014-15 BOCES Services increased $942,021 over 2014-15 SWD Agency Tuitions increased $277,700 over 2014-2015 State Aid Retirements Students with Disabilities transfers into the district Building/Facilities emergencies Additional transportation expenses for change in student IEPs Impact of additional federal sequestration Any other unknowns

Major Factors Causing the Increase are: Wages and Related Benefits that are mandated under the Triborough Amendment BOCES Services Contractual Obligations for Service Agreements Agency Tuitions Debt Service

Why Salary & Benefit Increases? Salary increases are in alignment with negotiated agreements among the collective bargaining units in the district. Additionally, salary codes represent substitute personnel as well as supplemental salary items such as longevity, attendance bonus and health insurance opt-out. Pension expenses have decreased slightly, while other employee benefits such as health insurance are still being analyzed. Total Amount Budgeted in 2015-16 Salary Codes: $39,170,669

Why BOCES Services Increases? The increased need for special education services as well as anticipated rate increases for all BOCES services account for the $942,021 increase.

Why Contractual Cost Increases? Transportation increases are $172,862. Most of this is attributable to price increases, which will be based on the lower of 3.25% or CPI. Tuition increases for agency schools and charter schools, not limited to CSE recommendations, are $289,700.

Re-Cap of Major Expenses Employee Benefits $1,479,850 Salaries $ 926,051 BOCES $ 942,021 Contractual $ 470,342 Increase Total $ 3,818,264 Expenditure Budget Increase $4,659,678 or 5.40% The budget increase is MORE THAN the increase for the four major components above by $841,414. Why? Debt Service Increase $ 318,033 (will be offset by building aid revenue) Tuition (to agencies) $ 289,700 Transfers to Federal & Lunch $ 180,146 Supplies, Equip., Books, Etc. $ 53,535

Revenue Budget Overview State Aid (2014-2015) $42,397,396 Other Revenue $ 3,527,516 Reserves $ 3,491,313 App. Fund Balance $ 2,000,000 Total Revenues $51,416,225

2015-2016 Tax Levy Impact Preliminary Expenditure Budget $90,988,334 Preliminary Revenue Budget $51,416,225 Preliminary 2015-16 Tax Levy Needed $39,572,109 2014-2015 Current Tax Levy $36,044,694 Preliminary Tax Levy Increase $ 3,527,415

2015-2016 Tax Levy Limit Calculation Simple Majority Limit is 2.02690473249888% or $36,775,286 Current Tax Levy Amount is $36,044,694 This budget is OVER the Tax Levy Limit by $2,796,823

Budget Discussion Opportunity