DELANCO BOARD OF EDUCATION

BUDGET HEARING

MARCH 24, 2011

7:30 P.M.

SCHOOL BUDGET 2011-12

• TOTAL OPERATING BUDGET increased by $25,463

• General Fund Tax levy Increased By

$ 108,415 [State mandated cap of 2%]

• State Aid increase of $83,545

SURPLUS SHORTFALL

• SURPLUS BUDGETED IN 2009-10 = $706,824• SURPLUS BUDGETED IN 2010-11 = $561,728• SURPLUS BUDGETED IN 2011-12 = $318,382• SURPLUS SHORTFALL = $243,346

• Surplus Taken By State During 2009-10 school year = $ 650,049

Operating Budget up $ 25K / Tax Levy up $108KHow Does That Happen??

Surplus Shortfall = $ 243,346

State Aid Increase = - $ 83,545

Sub-total $159,801

Federal Ed Jobs Aid = - $ 76,290

Sub Total $ 83,511

Operating Budget Increase = + $ 25,463

Miscellaneous Revenue changes = - $ 559

Tax Levy increase = $108,415

INCREASES / DECREASES

Increases• Special Education

Tuition • Fuel costs• Health Benefits costs• Math textbooks

[WSS]• CST/OT/PT costs\• BCIT Tuition

Decreases

• 1.5 Teaching positions

• Riverside tuition• Teaching supplies

frozen • General

Administration

SPECIAL EDUCATION TUITION

• Twenty-four students [K-12] are in out-of-district placements

• Tuitions range from $13,500 to $ 52,500

• Schools include Public schools, Private Schools and Special Services School

• Total budgeted for 2011-12 = $875,986

• Almost 10 % of total district budget

RATABLES ??

• RATABLES ARE THE TOTAL ASSESSED VALUE OF DELANCO.

• IF RATABLES GO UP THE TAX RATE GOES DOWN.

• IF RATABLES GO DOWN THE TAX RATE GOES UP

RATABLES EXAMPLE

• District tax levy =approx $5,900,000

• If ratables are 500,000,000 then tax rate is $ 1.18 per hundred of assessment

• On a $200,000 house tax would be $2360

• Same budget with ratables of 492,000,000 the tax rate is $ 1.20

• Same $200,000 house would pay $2400

Tax Impact of 2011-12 Budget

Township ratables reduced by $7,720,907

Tax rate increase4.6 cents per hundred

Increase if ratables were stable=

2.8 cents/hundred

Impact on home assessed at;

$200,000 = $92.49/yr[$7.71/ mo]

$239,500 = $110.76/yr[$9.23/mo]

$250,000 = $115.61/yr[$9.63/mo]

BUDGET SUMMARY

BUDGET SUMMARY

WHAT HAPPENS NEXT

• ELECTION HELD ON Wednesday,

APRIL 27TH FROM 2:00 TO 9:00 P.M.

• IF BUDGET PASSES REDUCTIONS and INCREASES STAND

• IF BUDGET FAILS – Township Committee has option to make further reductions