1. HARPURSVILLE CENTRAL SCHOOL
Budget Development for Based on the Executive Proposal March 14, 2018

2. Tonight’s topics Budget goals
Review of current year’s budget performance
Projected expenditures
Changes
Projected revenues
Update on tax levy
State aid – based on Executive proposal
Information on aid ratios
Summary – comparison of projected revenues and expenditures
Next steps and closing the gap

3. Budget goals
Provide an instructional program that meets the educational needs of all students
Many significant student successes this year
Work to eliminate structural deficits in our budgets
Significantly reduced in !
Reduce or eliminate use of reserves
Promote the fiscal health and stability of the school district

4. SUMMARY… (where we were on 2.14.18)
Revenues
Expenditures
Budget Gap
$19,520,645
$20,295,132
($774,487)
We have a budget that accurately reflects the anticipated revenues and expenditures of our district as evidenced by the budget performance. The only direct control we have over revenues is with the tax levy. Even though we have controlled our expenses to about 2% growth from year to year, we are still left to wrestle with the expenditure side of the budget as a means of balancing the budget.

5. Projected expenditures (2.14.18)
Developed using:
Current staff of record
Known benefit rate changes
Known contractual costs/estimated contractual increases
Known debt service payments
Estimated BOCES services based on current year projections
Historical and market trends; current year projections

6. Projected expenditures (updated 3.14.18)
ORIGINAL BUDGET
DRAFT BUDGET 2/14/18
% INCREASE BUDGET TO BUDGET
$ INCREASE BUDGET TO BUDGET
INSTRUCTIONAL SALARIES
$ 5,071,475.00
$ 5,050,289.00
-0.42%
$ (21,186.00)
NON-INSTRUCTIONAL SALARIES
$ 1,596,193.00
$ 1,651,699.00
3.48%
$ 55,506.00
EQUIPMENT
$ ,150.00
$ ,150.00
-15.55%
$ (5,000.00)
CONTRACTUAL EXPENSES
$ 1,491,615.00
$ 1,645,050.00
10.29%
$ 153,435.00
MATERIALS AND SUPPLIES
$ ,581.00
$ ,060.00
2.87%
$ 13,479.00
BOCES
$ 4,350,656.00
$ 4,481,176.00
3.00%
$ 130,520.00
DEBT SERVICE
$ 1,936,099.00
$1,825,957.00
-5.69%
$(110,142.00)
BENEFITS
$ 4,891,199.00
$ 5,091,405.00
4.09%
$ 200,206.00
TRANSFERS
$ ,000.00
$ ,000.00
-4.44%
$ (2,000.00)
TOTAL
$19,883,968.00
$ 20,298,786.00
2.09%
$ 414,818.00

7. Projected expenditures (benefits…2.14.18))
ORIGINAL BUDGET
DRAFT BUDGET
% INCREASE BUDGET TO BUDGET
$ INCREASE
BUDGET TO BUDGET
STATE RETIREMENT--ERS
$232,000
$212,700
-8.32%
($19,300)
TEACHER'S RETIREMENT--TRS
$482,274
$548,144
13.66%
$65,870
SOCIAL SECURITY
$510,492
$516,731
1.22%
$6,239
WORKERS COMPENSATION
$110,000
0.00% $0
UNEMPLOYMENT INSURANCE
$70,000
HEALTH & DENTAL INS
$3,478,683
$3,617,830
4.00%
$139,147
OTHER BENEFITS
$7,750
$16,000
106.45%
$8,250
TOTAL
$4,891,199
$5,091,405
4.09%
$200,206

8. PROJECTED REVENUES Developed using: Tax levy limit calculation
Executive proposal of state aid
Prior year trends/data for other revenues

9. PROJECTED REVENUES (updated 3.14.18)
ORIGINAL BUDGET
DRAFT BUDGET
% INCREASE BUDGET TO BUDGET
$ INCREASE BUDGET TO BUDGET
TAX LEVY
$3,939,554
$4,060,911
3.08%
$121,357
OTHER REVENUE
$836,851
$677,471
-19.05%
($159,380)
STATE AID
$14,349,184
$14,215,917
-0.93%
($133,267)
APPROPRIATED RESERVES
$258,379
$70,000
-72.91%
($188,379)
APPROPRIATED FUND BALANCE
$500,000
0.00% $0
TOTAL REVENUE BUDGET
$19,883,968
$19,524,299
-1.81%
($359,669)

10. PROJECTED REVENUES (2.14.18) Tax Levy
ORIGINAL BUDGET
DRAFT BUDGET
% INCREASE BUDGET TO BUDGET
$ INCREASE BUDGET TO BUDGET
TAX LEVY
$3,939,554
$4,059,965
3.06%
$120,411
NOTES:
3.06% is the maximum allowable limit under the tax cap law
The district would remain compliant under the law with this levy
1% change to the tax levy is approx. $39,396

11. PROJECTED REVENUES (updated 3.14.18) Tax Levy
ORIGINAL BUDGET
DRAFT BUDGET
Updated 3/6/18
% INCREASE BUDGET TO BUDGET
$ INCREASE BUDGET TO BUDGET
TAX LEVY
$3,939,554
$4,060,911
3.08%
$121,357
NOTES:
3.08% is the maximum allowable limit under the tax cap law
The district would remain compliant under the law with this levy
1% change to the tax levy is approx. $39,396
Sale of the BAN for the purchase of the new buses on 3/1/18 impacted the Tax Levy limit slightly.

12. Tax levy cost ($) Tax Increase True Value Tax Rate Tax on $50,000 Home
Change from
Current 17-18 $
$756.20
3.08% $
$779.50
$23.30
True Value Tax Rate
Yearly Difference $
$0.47 $
$0.29 $
$0.48 $
$0.37 $
$0.33 $ $
$0.59

13. PROJECTED REVENUES - “Other” Revenue (updated 3.14.18)
Payments in lieu of taxes (PILOT)
$9,012
$9,453
Interest & Penalties on Real Prop Taxes
$13,000
Day school tuition from other districts
$15,000
Interest and earnings
$2,000
$5,000
Rental of real property (SUNY Broome)
$29,000
Sale of scrap
$1,000
Medicare D Reimbursement $0
Refund of prior year exp--BOCES
$350,000
$190,000
Refunds of prior years expenditures (Health Ins. & CPSE)
$12,000
Other unclassified revenues
Other unclassified revenues-BOCES (after-school/enrich./sub reimburse)
$263,050
$240,000
Medicaid Assistance
$20,000
$25,000
Inter-fund Transfer from Debt Service
(premium to offset debt)
$117,789
$133,018
TOTAL OTHER REVENUE
$836,851
$677,471

14. PROJECTED REVENUES (no change) “State Aid”
Type of Aid
Foundation Aid
$9,948,196
$10,089,198
includes $89,804 of community schools aid
Excess Cost Aid
$372,000
$366,000
Building Aid
$1,506,751
$1,309,404
Transportation Aid
$1,029,607
$1,088,713
BOCES Aid
$1,412,007
$1,284,968
Tuition Aid Handicapped $0
Instructional Materials Aid
$80,623
$77,634
TOTAL STATE AID
$14,349,184
$14,215,917

15. Why the change in the ratios?
Aid ratios
Gain/(Loss) of Aid
Transportation Aid Ratio
90.0%
No change
BOCES Aid Ratio
78.1%
79.3%
$20,000
Tier 3 & 4 Building Aid Ratio
88.1% Tier 3
92.0% Tier 4
89.3% Tier 3
93.2% Tier 4
$17,000
High Cost Aid Ratio
78.3%
78.6%
$1,000 based on current estimate
Why the change in the ratios?

16. Potential expense reductions (these are NOT decisions - just quantifying possible changes!)
4 teacher resignations due to retirement
$319,764 (salary & benefits, excluding health ins.)
1 administrator
$114,818 (salary & benefits, including health ins.)
personnel changes included with initial projections
1 teacher - $76,942 (salary & benefits, including health ins.)
1 support staff - $49,445 (salary & benefits, including health ins.)
BOCES reductions (anticipated changes to student placements, related services, minimal changes to shared services)
$139,599
TOTAL: $700,568

17. SUMMARY… (assuming 3.14.18 changes reflected above and possible savings/staff changes)
Revenues
Expenditures
Budget Gap
$19,524,299
$19,598,217
($73,918)

18. April 11th – Budget Workshop
Next steps
Anticipate the Legislative proposal for school funding
Usually a little more aid; really hard to know this year
Evaluate enrollment trends and staffing patterns
Identify other areas of potential expense reduction
Program changes and/or changes to student placements
Savings realized through contract settlements
Continue to “scrub” the budget
April 11th – Budget Workshop

19. THANK YOU!