1. Tax Levy Limit Plattsburgh CSD 2013-2014

2. Review Tax ‘levy limit’ Introduced 2011 – discussed as ‘trade’ for mandate relief, but was ultimately coupled with NYC rent control legislation Applies to school districts and municipalities Established tax levy ‘transition’ point (at which a 60% ‘super’ majority approval replaces the 50% ‘simple’ majority approval rate) Not 2%

3. Very brief history 2012-2013 tax levy limit (w exclusions) was $19,897,113 (3.01% inc.) (re-vote) 2012-2013 tax rate was $21.56 (0.9% inc.) Reminders: State budget deadline is 4/1 ‘Unofficial’ deadline for PCSD budget approval is 4/18 Statewide budget vote/election is 5/21

5. Data Input #1 Prior Year Tax Levy 2012-2013 Tax Levy = $19,863,597 Data Input #2 Reserve Amount $0

6. Data Input #3 Tax Base Growth Factor Clinton County 092201 Ausable Valley1.0050 092401 Beekmantown1.0093 163401 Chateaugay1.0024 093001 Chazy1.0079 092801 NE Clinton1.0080 093601 N. Adirondack1.0022 094001 Peru1.0034 091300 Plattsburgh1.0065 094401 Saranac1.0128 164601 Saranac Lake1.0026 “Tax Base Growth Factor: Based on Tax and Finance determination of “quantity change”, such as new construction, newly taxable status of existing property, or measurable improvements to taxable property within the boundaries of the local government or school district.” Automatic input into formula

7. Data Inputs #4 & #8 PILOTs Receivable ‘Prior year’ is automatic input from ORPS/OSC at $136,576 Estimate ‘coming year’ at $140,000 Certain PILOTs are tied to rental revenue, and not reported until January/April

8. Data Inputs #5 & #11 Local Capital Tax Levy Levy necessary to support capital local expenditures which included any 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. Capital Local Levy worksheet FY 2012-2013FY 2013-2014 ExpensePrincipal + Interest2,386,351ExpensePrincipal + Interest2,490,541 Capital Outlay0 0 Bus Purchase0***Bus Purchase0 Energy Perf. Contract0 0 Building and Bus Leases0 0 AidBuilding2,219,359AidBuilding2,195,193 Transportation44,823Transportation38,749 122,169256,599

9. Data Inputs #6 & #10 Tort Exclusions $0 for both years Must be greater than 5% of prior year levy Excludes tax certiorari settlements

10. Data Input #7 Levy Growth Factor Possible range is 1.00 – 1.02 “Allowable levy growth factor: Lesser of 1.02 or inflation factor (percent change in CPI for the 12 month period ending 6 months before the start of the coming fiscal year over the prior 12-month period), but never lower than 1.00.” Source of confusion about 2% cap? Actual inflation figure was 2.1% (so 2% used in formula) Automatic input into formula

11. Data Input #9 Carryover N/A in 2012-2013 Not as straightforward as difference b/w tax levy limit and levy from prior year School District Available Carryover Calculator (for fiscal year beginning 2013) To use this calculator, you must enter information in the yellow shaded cells. Note: If your 2012-13 actual levy was equal to or more than your 2012-13 Total Levy Limit (before exclusions), there is no available carryover for 2013-14. Please enter your school district's… 2012-13 Tax Levy Limit (before exclusions) 1) 19,877,284 1.5% of 2012-13 Total Levy Limit 2) 298,159 2012-13 Actual Amount Levied3) 19,863,597 Difference (line 1 - line 3) 4) 13,687 Your 2013-14 available carryover is the lesser of 2) or 4)...

12. Data Input #12 Pension Exclusion PENSION EXCLUSIONS for 2013-2014 ERS Rate 2013-14: 20.9% -2012-13: 18.9% Dif. 2.0% -2.0% ERS Exclusion = 0.0% (below required 2.0% point increase) NO ERS Exclusion TRS Rate 2013-14: 16.25% - 2012-13: 11.84% Dif. 4.41% - 2.0% TRS Exclusion = 2.41% x 2012-13 Salary or 2013-14 Salary Estimate for TRS = 2.41 % X $15,956,792 = $384,559

13. Summary of Formula

14. What does it mean? Only establishes point at which a 60% supermajority (rather than 50% simple majority) is required for approval… BOE can offer any budget proposal it approves. Already reported to OSC (3/1 deadline). Figure could change, as budget development progresses.

15. Data of interest City tax levy limit is 5.2% (levy set at max) County tax levy limit is 3.1% (levy set at 1.3%) In 2012 in NYS, 99% of budgets with levy increases at or below the limit passed at first vote, and 60% which exceeded the limit passed at first vote In April, 2012 OSC projected NYS schools’ tax levy limit at 3%... 2013 likely higher?

16. Misc…. Reported to OSC, but can be changed OSC field-verifies 1/3 of Districts each year Slideshow posted on District website I