Budget Assumptions .pptx - Read-Only · (56 (vwlpdwhg udwhv e\ 7lhu ri wr qrqh *67 %2&(6...
Transcript of Budget Assumptions .pptx - Read-Only · (56 (vwlpdwhg udwhv e\ 7lhu ri wr qrqh *67 %2&(6...
Overview & Assumptions
February 5, 2020
Budget AssumptionsExpenditures = Revenues
Expenditures Salaries/Contractual Projections Health Insurance Projections TRS & ERS Projections
Revenueso State Aido Federal Aido Grantso Property Taxeso Reserves
Expenditures Projections
Category Change Est. Net
Salaries/Contractual PRELIMINARY (averaged) +3.17% +$252,910
Salaries for Instructional Program needs new +$297,333
Health Insurance: Excellus (Increase) +17% +$284,977
Health Insurance: United Health Care Medicare Advantage (Decrease)
-42% -$365,953
TRS: Estimated rates increase btw. 9.25% - 10.25% +0.89% +$47,158
ERS: Estimated rates by Tier of 9.7% to 16.2% none +$7,340
GST BOCES – PRELIMINARY based on a 1.9% increase • BOCES Director meeting scheduled for early March to
provide initial budget information. +1.9%GST BOCES Total Cost
$5,613,007
Maintenance
Capital Outlay Project: $225,000
Historically @ $100,000
Why the difference?
Identified need to address the TAE front entryway:
Structural Concern
Security
Functionality/efficiency
Impact on 20-21 Budget
Review existing Building Condition Survey to prioritize need.
Maintenance
Capital Outlay Project $225,000 - Potential scope of work to be completed at TAE.
Renovation of Main Entrance doors
Sump Pump with warning sensor in Boiler Room
Updates to Lighting Switches in Gym
Window Seal Upgrades
Upgrade paging wire and speakers
Community Room audio /visual upgrades
All work dependent upon cost constraints.
Expenditure Impact of Proposed Budget
19-20 Adopted Budget $22,797,180
20-21 Preliminary Proposed Budget $23,497,858
20-21 Projected Expenditure Increase $ 700,645
reflects a 3.07% increase
Sources of Revenue:State Aid
Governor’s Proposal
Foundation Aid – Increase of $93,747 or 1.23%
Executive Budget Proposal includes consolidating 10 expense based aids into Foundation Aid.
Additionally this is the first year of Community Schools Set-aside allocation.
Expense Based Aid – Building, Transportation, & Public Excess Cost High Cost Aid. Revenue is based on projection of current year expenditures and are higher than can be expected to be received.
Governor’s Proposed Budget
Governor’s Proposed Budget
The Impact of the Lack of Fully Funding Foundation Aid Formulas
Sources of Revenue Reserves
Current BalancesRetirement Contributions Reserve $ 1,169,864
TRS Contribution Reserve $ 125,000
Unemployment $ 176,307
Workers Compensation $ 696,466
Employee Benefit Accrued Liability $ 259,068
Tax Certiorari $ 7,249
Capital $ 901,374
Repair Reserve $ 205,769
The establishment and funding of reserves is an important consideration in the maintenance of a sound financial plan for any school district.
Sources of Revenue: Property Taxes
2nd largest source of Revenue
Historical Impact on Revenues2011-12 $ 6,736,1382012-13 $ 6,997,7152013-14 $ 7,375,5922014015 $ 7,440,6662015-16 $ 7,433,5942016-17 $ 7,446,3832017-18 $ 7,631,7982018-19 $ 7,811,9972019-20 $ 7,969,265
Range 0% 7,969,265 to Projected Tax Cap 1.96% = $8,125,569
Preliminary Tax Cap CalculationsTax Levy Cap - Calculations and Totals
Tax Levy Limit (Cap) Before Exclusions
Tax Levy Fiscal Year Ending (FYE) 06/30/2020 $7,969,265
Total Tax Cap Reserve Amount from FYE 06/30/2020 $0
Tax Base Growth Factor** 1.0059
PILOTS receivable FYE 06/30/2020 $180,181
Capital Tax Levy for FYE 06/30/2020457,362
Allowable levy growth factor*** 1.081
PILOTS receivable FYE 06/30/2021 $82,321
Available Carryover from FYE 06/30/2020 $0
Total Levy Limit Before Exclusions $7,796,859
** As determined by the NYS Office of Real Property Tax Services (ORPTS)
*** As determined by the NYS Office of the State Comptroller
Preliminary Tax Cap Calculations Cont’d
ExclusionsTax levy necessary for expenditures resulting from tort orders/judgments over 5% FYE 06/30/2020 tax levy
$0
Capital Tax Levy for FYE 06/30/2021 $328,710
Tax levy necessary for pension contribution expenditures casued by growth in the system average actuarial contribution rate (ERS) or normal contribution rate (TRS) in excess of 2 percentage points:
ERS $ 0
TRS $ 0
Total Exclusions $ 328,710 Tax Levy Limit, Plus Exclusions $ 8,125,569
Tax Levy Limit, Plus Exclusions % 1.96%
Proposed Levy for FYE 06/30/2021 $8,125,569
Difference Between Tax Levy Limit Plus Exclusions and Proposed Levy
($0)
Do you plan to override the cap in 2020? Yes No
Projected Expenditure to Revenue Gap
Proposed Budget Projections $23,497,825
Projected Revenues $23,090,824
based on 1.96% Cap
Current Gap $ 407,001
What is at stake?
18
If the resubmitted or revised budget is defeated the BOE must adopt a contingent budget consisting of “teachers” salaries & ordinary contingent expenses, subject to a cap on the administrative portion of
the budget, with no increase in tax levy over the prior year.
The Gap increases to $563,305
If the Voters reject the District’s proposed budget the Board of Education may do one of the following:
Resubmit the defeated budget
Submit a revised budget
Adopt a contingent budget
Questions?
Next Steps
March 4th
Updated Projections
Expenditure Adjustments
Prioritized Wants & Needs Lists
March 25th
Final Budget Adoption if Completed