3.  A NY State Law enacted in June 2011  Puts a limit (a “tax levy limit”) on how much the School District can increase the property taxes it may collect from taxpayers from one year to the next  Requires a majority (50% +1) approval of those who vote on the budget.  Allows voters to override the tax levy limit with a “super majority” if 60% of those who show up to vote support the higher tax levy amount by voting “yes” on the budget.  Baldwin’s 2012-13 tax levy increase was 2.39%  The estimated 2013-2014 tax levy cap is 3.14%

4. Tax Levy Est. tax increase for the owner of a home valued at the average value* for homes within the Baldwin School District Est. Budget Gap 3.14%$258$6M 5%$410$ 4.4M 7%$575$ 2.7M 10%$820$0 *Average home value = $340,326

5. Tax Levy Est. tax increase for the owner of a home valued at the average value* for homes within the Baldwin School District Est. Budget Gap 0% $0$9M 3.14%$258$6M 5%$410$ 4.4M 7%$575$ 2.7M 10%$820$0 *Average home value = $340,326

6.  Minimally, adjustments to all of the following programs will be necessary to close a $6,000,000 gap.  Kindergarten  Art and Music Program  K-12 sports and activities  Administration  Secondary schedules  Class size  Field trips  Gifted and Talented Program  Transportation (with community approval)

7.  Teacher Retirement  Employee Retirement  Health Insurance  Demands/Mandates  Special Education  Academic Standards  APPR  Tax Certiorari  Funding OPEB  Property Assessments  Tax Levy Cap  Decreased State Aid  Capped State Aid  Diminishing Reserves

11. * Presuming within tax-cap limit

13. Based on the following: o Approved 2012-13 Budget of $119.4M o Estimated 2013-14 Rollover Budget of $124M o Estimated 2013-14 Revenues of $118M (3.14% tax levy increase) o Gap = $6M  In order to maintain the educational program without significant cuts, which the Baldwin community has consistently indicated it desires, the BEA Budget Advisory Committee believes this will require piercing the tax levy cap.  Therefore the BEA Budget Advisory Committee recommends piercing the tax levy cap.

14. QUESTIONS?