1. 2011-2012 GAP ANALYSIS Mary June King Business Administrator

2. Current Year Revenues Revenue Source Budgeted 2010-2011 Anticipated 2010-2011 Difference State Aid6,718,4106,466,703- 251,707 Federal Aid36,000867,389831,389 Miscellaneous1,856,7321,271,507- 585,225 PILOTS2,401,9332,402,400467 Tax Levy13,364,83113,369,9075,076 Total$ 24,377,906 0

3. Revenue Gap Issues Diminishing State aid –Past 2 years, state has reduced formulaic aid amount by around $1,350,000 each year Loss of additional Federal aid –Past 2 years, the state has used federal stimulus money to back-fill for some of its reductions in formulaic aid Loss of assessed property value: AES Cayuga –Property is slated to decrease by another $10,000,000 for the 2011-2012 fiscal year

4. Other Caveats Appropriation of funds Limited Reserves

5. Projected Revenue Gap Revenue Source Anticipated 2010-2011 Projected 2011-2012 Difference State Aid6,466,7036,465,164- 1,539 Federal Aid867,38930,000- 837,389 Miscellaneous1,271,507491,732- 779,775 PILOTS2,402,4002,217,600- 184,800 Tax Levy13,369,907 0 Total$ 24,377,90622,574,403- 1,803,503

6. Budget Projection Current budget: –$24,377,906 Projected budget (at 4% increase) –$25,353,023

7. Budget Projections Caveats ERS/TRS anticipate large increases again Health Insurance increase averages 7 – 8% Have not increased M&S, Contractual, Equipment for several years Settled Contracts Health Insurance give-backs in settled contracts

8. Projected Budget/Revenue 2011-2012 Gap Rollover FYE12 @ 4% $25,353,023 $975,117 Budget 2010-2011 $24,377,906$2,778,620 $1,803,503 Revenue for 2011-2012 $22,574,403