2. Mexico Academy & Central School District MISSION STATEMENT We will support student achievement by developing and sustaining exemplary educational experiences; creating and maintaining an environment that supports learning and embraces individuality; engaging in professional development that drives good instruction; and connecting with our larger community to present opportunities for adult involvement in the educational process.

3. Fiscal Year 2013 – 2014 PROPOSED BUDGET

4. Budgetary Goals Continue to provide a solid academic program for students to ensure they are college and career ready at high school graduation; Maintain our schools and facilities in an effective and cost efficient manner to ensure a quality learning environment for students and staff; Safeguard the health, wellness, and security of our school community via secured buildings and programs that promote healthy lifestyles; Maintain our Fine Arts and Sports programs; Support creative and innovative learning opportunities for students to enhance their educational experience (i.e. use of technology, academic enrichment); Ensure long-term financial stability and provide for a responsible tax increase to our community; Expand our community recreation program to offer additional programs, resources, and time to our school community.

5. Challenges Unfunded/Underfunded Mandates: While mandates increase accountability and in many cases improve educational quality, they can also limit flexibility and impact how districts spend money. Essentially, increasing the cost of operating a school district in New York State; Examples: Retirement system contributions are State-mandated; Salaries & benefits are legally-binding contractual obligations; Special Education Costs (i.e. Individualized Education Plans) Common Core Standards adoption, implementation and realignment of existing curriculum. Annual Professional Performance Reviews for teachers and principals, including the creation of a district APPR plan Transportation Costs (i.e. students with disabilities, private and parochial) Numerous plans and reporting requirements (approximately 150 per year) And Many, Many More…View the list at http://www.p12.nysed.gov/fmis/mandaterelief

6. About the Cost… Mandated Budget Items + Contractual Obligations = Majority of Budget Spending

7. Budget = $50,997,996

8. Current VS. Proposed Budget Category2012-2013 Approved Budget 2013-2014 Proposed Budget % Change General Support$6,464,616$7,024,8688.67% Instructional$23,699,573$25,093,2635.88% Pupil Transportation $2,647,914$2,765,7274.45% Community Services $82,000$104,52027.46% Undistributed$14,205,897$16,009,61812.70% TOTAL:$47,100,000$50,997,9968.276%

9. Expenditure Highlights Maintains ALL academic, curricular, co-curricular opportunities for our students – NO CUTS Salary increases as per collective bargaining agreements Positions added during 2012-2013 to address enrollment shifts Inclusive of additional positions needed for 2013-2014: LAN Technician (1) AIS Teacher (.5) Special Education Teacher (3) Teacher (K classroom) (1) Department Coordinators (stipend) (5)

10. Expenditure Highlights Expansion of Community Recreation Program Funding for Common Core materials and training Utilities are projected to increase 3% and gasoline 5% Teachers’ Retirement System Contribution (TRS) for 2013- 14 is 16.50% (2012-13 was 11.84%) Employee Local Retirement System Contribution (ERS) for 2013-14 is 20.9% (2012-2013 was 18.9%) Health, Medical, Dental projected increase of 6% Other Insurances projected increase between 6-10% (i.e. Social Security, Life, Disability, Worker’s Compensation)

11. THREE-COMPONENT BUDGET

12. Three-Component Budget The State legislation which requires the state’s school districts to have a public budget vote, includes the requirement that the budget be divided up into three components: program, capital, and administration.  Program Budget: This portion covers teacher salaries, school supplies, and all related educational costs.  Capital Budget: Refers to all facilities costs such as leases, annual debt service, custodial salaries and benefits, service contracts, custodial supplies, maintenance and repair of facilities, and utilities.  Administration Budget: This section includes central administration and school offices, along with clerical support, salaries and benefits, and related expenses of all school administrators, board of education expenses for planning, and other administrative activities.

13. Three-Component Budget

15. Revenue Sources Where does our money come from?

16. Revenue Sources

17. Property Tax Cap What is this Property Tax Cap Law all about?

18. Total Levy to Support Proposed Budget TAX LEVY LIMIT + Coming School Year Exclusions = MAXIMUM ALLOWABLE TAX LEVY (requiring a simple majority vote 50% +1)

19. Tax Levy Limit Prior Year Tax Levy X Tax Base Growth Factor + PILOTs (Prior Year) - Prior Year Exemptions (Not ERS & TRS) = Adjusted Prior Year Tax Levy X Allowable Levy Growth Factor (lesser of 2% or CPI) - PILOTs (receivable in coming year) + Allowable Carryover = TAX LEVY LIMIT

20. Coming School Year Exclusions The pension cost exemption applies only when ERS and/or TRS employer contribution rates increase by more than 2 percentage points over the prior year. ERS Costs = Tax levy necessary for expenditures for coming school year for employer contributions caused by growth in the system average actuarial contribution rate, minus two percentage points. (No exemption for 2013-2014) TRS Costs = Tax levy necessary for expenditures for coming school year for employer contributions caused by growth in the normal contribution rate, minus two percentage points ((4.41% increase, 2.41% excludable portion=.0241 X $16,858,465 = $406,289 (Exempt Amount) Exemption = % over 2% X Salary Base = Exempt Amount

21. Coming School Year Exclusions Capital Tax Levy = Tax levy necessary to support capital local expenditures Capital Local Expenditures = The tax levy associated with budgeted expenditures resulting from the construction, acquisition, reconstruction, rehabilitation or improvement of school district capital facilities or capital equipment, including debt service and lease expenditures, and transportation capital debt service. Exemption: Aid – Expense = Exemption

22. MAXIMUM ALLOWABLE LEVY Tax Levy Limit + Coming School Year Exclusions

23. 2013-2014 Proposed Levy 2013-14 Proposed Budget less Estimated State Aid less Appropriated Fund Balance & Reserves less Other Revenues _______________________________ 2013-2014 Proposed Tax Levy 2013-2014 Maximum Allowable Levy 2013-2014 Tax Levy Limit + Coming Year Exclusions _______________________________ 2013-2014 Maximum Allowable Levy What will the voter threshold be? $50,997,996 Proposed 2013-2014 Budget -$23,000,000 Estimated State Aid -$ 3,622,587 Appropriated Fund Balance & Reserves -$ 434,000 Other Revenue ________________________________________________ $23,941,409 PROPOSED TAX LEVY for 2013-2014.94% $23,535,120 Tax Levy Limit + $406,289 Coming Year Exclusions ______________________ $23,941,409.94% Maximum Allowable Levy

24. Supports all Music & Art Programs Maintains all Sports Teams & Events Maintains all Extra-Curricular Activities & Clubs Expands the Community Recreation Program Supports Professional Development for staff Maintains all academic programs (UPK, AP Courses, Boces courses, Nova Net, ASAP) and enrichment opportunities Allows for the Upkeep and Maintenance of our Facilities Our School District continues to be a GREAT place for our children to learn! What Does the Budget Support?

25. Vote Please remember to VOTE on Tuesday, May 21, 2013 at our District Elementary Schools from 12:00 noon to 9:00 p.m. Budget Information can be found on the District website at www.mexico.cnyric.org and at each of our school buildings including the district office. www.mexico.cnyric.org THANK YOU for your support!