1. Octorara Area School District 2016-2017 Proposed Final Budget Presentation May 9th

2. 2016-17 Budget Summary Proposed Final Display Document 2 Total Revenues$49,434,879 Total Expenditures$52,405,602 Deficit($2,970,723) 3% Act 1 Tax Increase$964,727 Revised Deficit($2,005,996) Sources to balance budget Use of General Fund Balance Budget Reductions Increased State Funding

3. 2016-17 Anticipated Budget Summary 3 Total Revenues$49,434,879 Total Expenditures$52,405,602 Deficit($2,970,723) 3% Act 1 Tax Increase$964,727 Budget Contingency$350,000 Known Debt Service Savings$340,000 Increase in State Revenue *$486,313 Proposed Budget Reductions$537,800 Deficit($291,883) Use of General Fund Balance $291,883 $0 *Governor’s Proposed 16-17 Budget as of May 2016

4. 2016-17 Anticipated Budget Summary 4 Total Revenues$49,434,879 Total Expenditures$52,405,602 Deficit($2,970,723) 2.5% Act 1 Tax Increase$803,333 Budget Contingency$350,000 Known Debt Service Savings$340,000 Increase in State Revenue *$486,313 Proposed Budget Reductions$537,800 Deficit($453,277) Use of General Fund Balance $453,277 $0 *Governor’s Proposed 16-17 Budget as of May 2016

5. Homestead/Farmstead Reduction 2016-2017 Assessment ReductionTax Reduction Chester County$6,976$269 Lancaster County$9,383 $269 Total Amount of State Property Tax Reduction Allocation for Octorara Area School District 2016-2017: $1,122,663 or $269 Per Property 5

6. Octorara Area School District Items to Consider: 1. Tax Increase, 0% - 3% (3% in Proposed Final Budget) 2. Budget Reduction Strategies $0 – $537,800 ($0 Reduction in Proposed Final Budget) 3. State Funding Possible Increase of Approximately$486,313 (0% increase in Proposed Final Budget) 4. Will be voting on a final budget in June, what do we include from items 1, 2 and 3. 6

7. Questions 7