Proposed Budget 2013-2014. Introduction The Purpose of this presentation is to share the following information regarding the proposed 2013-14 budget:

North Syracuse CentralSchool District

Proposed Budget2013-2014

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IntroductionThe Purpose of this presentation is to share the following

information regarding the proposed 2013-14 budget: The District’s Current Financial PositionBudget Additions & DeletionsOverview of ExpendituresOverview of Revenues

State Aid Proposed Tax Levy

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District’s Current Financial PositionAs of June 30, 2012:

Our Fund Balance was 1.9% of budget. The average for the other schools in our BOCES is 5.0%

Our Reserves were 1.3% of budget. The average for other schools in our BOCES is 12.8%

Although we have been able to maintain our Aa3 credit rating, Moody’s assigned us a “Negative Outlook” based on our financial condition.

Our Tax on True Value has historically been lower than other large suburban districts in CNY.

We spend less per pupil than other districts in our BOCES. Over the past 5 years we have eliminated over 200 positions.

This year we are proposing the elimination of an additional 14.5 positions.

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Reserves & Fund Balance - % of Budget OCM BOCES Districts

Reserves Fund Balance

High: 26.3%

NSCSD: 1.3%

Average: 12.8% *

NSCSD Rank: Last, 23rd of 23

* Average excluding NSCSD

High: 10.7%

NSCSD: 1.9%

Average: 5.0% *

NSCSD Rank: Last, 22nd of 23

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Tax Rate on True ValuePer $1,000 of True Value

Large Suburban Districts in CNY

District A District B District C District D

District E North Syracuse

$19.00

$20.00

$21.00

$22.00

$23.00

$24.00

$25.00

$26.00

$24.21

$25.04 $24.60

$22.83

$21.47 $21.93

A $1 increase for NSCSD would increase revenue by $3.5 Million

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Expenditure Per Pupil OCM BOCES

DistrictExpenditures Per

Pupil (EPP)1 $28,551 2 $24,683 3 $23,552 4 $21,5305 $21,465 6 $20,422 7 $20,136 8 $19,497 9 $19,390

10 $19,131 11 $17,750

DistrictExpenditures Per

Pupil (EPP)12 $17,485 13 $17,025 14 $16,920 15 $16,855 16 $16,802 17 $16,550 18 $16,409 19 $16,164 20 $15,793 21 $15,786

North Syracuse $14,329 23 $13,896

Source: NYSED 11-12 School Report Card Data

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Full Day KindergartenFull Day Kindergarten was identified as a high priority during the

strategic planning process.

The Board of Education approved for September 2013 at their March 25th meeting.

We believe that this will better prepare students for first grade.Current AIMSWeb Full Day Kindergarten growth data shows a

significantly higher percentage of growth than half day.Conversion Aid paid by NYS will cover the cost for the first two

years – no budget impact 2013-14 & 2014-15.Super Majority likely required for 2015-16 Budget (tax increase

above the Tax Cap).

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3 Additional Elementary AIS Teachers

Currently, 17% of third and fourth grade students are at serious risk of not passing the NYS ELA test. Approximately 37% in grades three and four have a 50% likelihood of passing the NYS ELA test.*

Currently, 20% of third and fourth grade students are at serious risk of not passing the NYS Math test. Approximately 37% in grades three and four have a 50% likelihood of passing the NYS Math test.*

AIS staff would be allocated based on building and grade level needs.

This recommendation would result in hiring 3 AIS teachers at an estimated cost of $240,000.

* according to the AIMSweb Computation Benchmark, as of January 2013.

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1 Additional SRO

In response to the events in Newtown, Connecticut.

In an effort to provide dedicated School Resource Officer (SRO) coverage for all of the large school buildings (C-NS, NSJH, RRMS & GRMS).

The district currently works in partnership with the Onondaga County Sheriff’s Department who provides specially trained, uniformed and armed deputies.

The cost for an additional SRO is approximately $80,000.

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1 Additional Social WorkerIn response to Newtown, Connecticut and to better support

the needs of our student population.

We believe that we need to add an additional full time social worker. Therefore, we recommend the following:

GRMS & RRMS + .6 $48,000 (Shared)C-NS + .4 $32,000

$80,000

NSJH already has a full time Social Worker.

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Maintain Low Class Sizes K-4Early Literacy & Math skills are essential to student success.

Additional resources are required to address student performance in ELA and Math as cited earlier.

The following class guidelines are recommended:

22 students per class in Kindergarten24 students per class in first and second grades26 students per class in third and fourth grades

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Class Size Guidelines 5-12 28 students per class at all other schools

Where students are in labs and technology classes, class sizes may be as low as 24 students.

Elimination of 9.5 teaching positions reduce our costs by $657,000.

We have 13 teacher retirements this year. We will be hiring 15 Kindergarten teachers using the

kindergarten conversion aid.

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Expenditure Reductions2013-14

1 building administrator position at GRMSElimination of the 8.5 Program at NSJH Part time Director of Music & Art7 Elementary positions at various locations 5 Teaching Assistants at various locationsCurtailment of bus camera project Pricing concessions from current health care providers

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Expenditures by Category$144,716,279

Instruction104209876

72%

M&O12230365

8%

Central Support4457312

3%

Transportation12876812

9%

Debt Service10941914

8%

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Expenditures by Type$144,716,279

Benefits43599534

30%

Debt Service10941914

8%

Supplies & Fuel3893678

3%

BOCES11305005

8%Contractual

61622974%

Equipment363535

0%

Salaries68450316

47%

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Expenditure Variance2012-2013 2013-2014 Variance

Salaries $67,583,898 $68,450,316 $866,418 1.3%

Benefits $39,155,649 $43,599,534 $4,443,885 11.1%

Debt Service $11,359,982 $10,941,914 ($418,068) -3.7%

Contractual $6,322,889 $6,162,297 ($160,592) -2.5%

BOCES $10,289,341 $11,305,005 $1,015,664 9.9%

Equipment $341,722 $363,535 $21,813 6.4%

Supplies & Fuel $3,717,720 $3,893,678 $175,958 4.7%

Total $138,771,201 $144,716,279 $5,945,078 4.3%

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Revenue By Source$146,613,360

State Aid62725256

43%Tax Levy

7992464355%

PILOTS526450

0%

Sales Tax250000

0%

Other Revenue2121011

1%Interest120000

0%

Fund Balance600000

0%

Rent346000

0%

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Revenue Variance2012-2013 2013-2014 Variance

General Aid $49,145,524 $51,379,899 $2,234,375 +4.5%

Kindergarten Aid (1) 0 $3,250,966 $3,250,966 -

PILOTS $441,000 $526,450 $85,450 19.4%

Sales Tax $430,000 $250,000 ($180,000) -41.9%

Interest $135,000 $120,000 ($15,000) -11.1%

Fund Balance $750,000 $600,000 ($150,000) -20.0%

Rent $381,000 $346,000 ($35,000) -9.2%

Other Revenue $2,390,761 $2,121,011 ($269,750) -11.3%

Sub Total $53,673,285 $58,594,326 $4,921,041 +9.2%

Building Aid (2) $9,220,955 $8,094,391 ($1,126,564) -12.2%

Possible Tax Levy $75,876,961 $79,924,643 $4,047,682 +5.33%

Total $138,771,201 $146,613,360 $7,842,159 +5.65%

(1) $1.4 Mil will be used in 2013-14, the balance of $1.9 mil will be put into Fund Balance and used in future.(2)Represents funds that will be used to pay debt service on our buildings rather than support programs

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Budget History

Budget Levy All Other Revenues

$ % Change $ % Change $ % Change

2009-10 138,409,089 0.9% 67,085,581 2.5% 71,323,508 -0.5%

2010-11 135,467,060 -2.1% 69,289,316 3.3% 66,177,744 -7.2%

2011-12 136,484,471 0.8% 72,797,317 5.1% 63,687,154 -3.8%

2012-13 138,771,201 1.7% 75,876,961 4.23% 62,894,240 -1.25%

2013-14 144,716,279 4.3% 79,924,643 5.33% 64,791,636 3.0% (A)

A: Excludes $1.9 million of Kindergarten Conversion Aid to be used in future years

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Revenue Aid vs. Community Funding

Year State Aid Local Tax Levy

2008-2009 46.9% 47.6%

2009-2010 46.9% 48.5%

2010-2011 42.7% 51.1%

2011-2012 41.6% 53.3%

2012-2013 42.1% 54.7%

2013-2014 42.8% 54.5%

The burden of funding schools has shifted from the State and Federal government to the local school taxpayer.

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State Aid 2013-2014 NYS Budget – Final

State Aid Excluding Building Aid $51,379,89912-13 Final Approved State Aid (Budget) 49,145,524

Difference (+4.5%) $ 2,234,375

Building Aid per Approved Budget $8,094,39112-13 Final Approved Building Aid 9,220,955*

Difference (-12.2%) ($1,126,564)

Kindergarten Conversion Aid $ 3,250,966Amount to be used in 2013-14 1,353,885Amount for future years (Fund Balance) $1,897,081

* Includes 2 years of building aid on Smith Road

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Final Tax Cap Calculation

Tax Levy 2012-2013: $ 75,876,961Tax Base Growth Factor: x 1.0050

$ 76,256,346PILOT Revenue for 2012-2013: $ 441,000Tax Levy for Capital for 2012-2013: -$ 2,264,525

$ 74,432,821Allowable Levy Growth Factor: x 1.02

$ 75,921,477PILOT Revenue for 2013-2014: -$ 526,450Tax Levy for Capital for 2013-2014: $ 1,755,398Other Exclusions (ERS & TRS> 2%): $ 1,240,017Available Carryover $ 107,907Tax Levy Limit Plus Exclusions: $ 78,498,349

Tax Levy Limit Increase: $ 2,621,388 (3.45%)

Required Tax Levy Increase

Note (1): The tax levy increase in accordance with the state tax cap formulaNote (2): Basic STAR, which provides a $30,000 reduction in assessed value or a 30% discount on school taxes for a $100,000 home, is NOT reflected in the numbers above.

2012-2013 Tax Levy $ 75,876,961

Tax Rate Levy Increase Required Cuts

Tax Increase on $100,000

Home Voter Approval

1.0% 758,770

5,454,287 22 Simple Majority

2.0%

1,517,539


3.0%

2,276,309


3.45%

2,621,388


4.0%

3,035,078

3,177,979 88 Super Majority

4.5%

3,414,463


5.0%

3,793,848


5.33%

4,047,682


6.0%

4,552,618


7.0%

5,311,387 901,670 154 Super Majority

8.0%

6,070,157 142,900 176 Super Majority

Projected School Tax Rates & Amounts2013-2014 (5.33% Increase)

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Cicero Clay Salina

FULL VALUE $ 100,000 $ 100,000 $ 100,000

ASSESSED VALUE (AV) $ 100,000 $ 4,340 $ 100,000

EST. TAX RATEPER $1,000 OF AV $ 23.10 $ 532.39 $ 23.10

EST. ANNUALSCHOOL TAX $ 2,310 $ 2,310 $ 2,310

TAX INCREASE $ 117 $ 117 $ 117

These calculations exclude the benefits of STAR

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Impact of Negative Budget Vote(No Super Majority)

Elimination of some or all athletics programsElimination of some or all extra-curricular

activities Additional Administrative Cuts:

Assistant Director of Special EducationElimination of SRO and Social Worker (Safety

initiative in response to Newtown) Elimination of additional teacher positions

which would result in higher class sizes at all grade levels. We already have high class sizes in 5th -12th grades.

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Bus PropositionKeep the age of our fleet age in the 8 to 10 year range. Operating in the

northeast reduces the useful life of our vehicles to 10 years.Reduces the cost of repairs and avoids problems associated with rusting

frames that prevent the vehicles from passing D.O.T. inspection.We will not purchase new buses to support additional Kindergarten

runs.Proposed purchases for 2013-14:

Ten (10) 65-passenger buses One (1) 39- passenger bus with one to three wheelchair positions, air

conditioning and with a hydraulic liftOne (1) 48-passenger bus with air conditioning

Total Cost: $1,299,145Tax Impact 2014-2015: $61,903 or $1.80 for a house assessed at

$100,000 before STAR.

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Budget Process TimelineJanuary 7th – Board of Education Budget Process Overview Preliminary Tax Cap Calculation

January 22nd – February 1st

Building level staffing reviews

February 4th – Board of Education Fund Balance & Reserve Projections Governor’s Budget proposal

February 25th – Board of Education Initial Budget Updated Tax Cap Calculation

March 4th & 11th – Board of Education Departmental Budget Presentations

March 18th – Board of Education Budget Update Presentation

March 22nd Finalize BOCES Budget

March 25th – Board of Education Final Tax Cap Budget Discussion & Deliberation

April 8th & 15th – Board of Education Budget Discussion & Deliberation

April 22nd – Board of Education Adoption of Budget

May 14th – Budget Hearing

May 21st – Budget Vote

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Vote & Election Tuesday, May 21, 2013 from 6:00 AM to 9:00 PM

Polling places: For residents living NORTH of Route 481, Cicero Elementary School (5979 Route 31)

For residents living SOUTH of Route 481, Jerome F. Melvin Administrative Office Building (5355 West Taft Road) in North Syracuse

Registration: If you are not registered to vote with Onondaga County or the North Syracuse Central School District, you must pre-register. The District will hold a special evening registration on Tuesday May 14th from 4:00PM to 8:00PM at

the District Office and at Cicero Elementary School.

Residents may also register at the District Offices, Monday through Friday from 8:00 AM to 4:00 PM until May 16th .

If you are not sure whether or not you are registered with the County or the District, or wish to obtain an application for an absentee ballot, please call Connie Gibson at 218-2131 or e-mail [email protected] .

Absentee Ballots: Completed applications must be received by the District Clerk no later than 5:00 PM on May 20, 2013 and must be received no later than 5:00 PM on May 13, 2013 if the absentee ballot is to be mailed to the voter.

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Questions & Comments

Significant Budget Changes2012-13 Vs. 2013-14

Revenues State Aid $2.2 Building Aid ($1.1) Full Day K Aid $3.3* Tax Levy @ 5.33% $4.0 Other Revenue ($0.4) Fund Balance ($0.2)Total Revenue $7.8 Mil

Expenditures Health & Other Benefits $1.2 Mil Retirement

ERS (19% increase)$0.6

TRS (37% increase)$2.2

Pay Increases (1% increase) $0.6 Reductions in Staff $(0.6) Full Day K Expense $1.4 BOCES $1.0 Other $(0.5)Total Expenditures $5.9 Mil* $1.4 mil of Kindergarten Conversion Aid to be used in 2013-14, $1.9 mil to be

added to fund balance for future kindergarten expenses.

Documents

Proposed Budget 2013-2014. Introduction The Purpose of this presentation is to share the following information regarding the proposed 2013-14 budget: