budget prep 1713
DESCRIPTION
Budget Prep 1713TRANSCRIPT
HALF HOLLOW HILLS SCHOOL DISTRICTof Huntington and Babylon
First Community Meetingin preparation for the
2013‐14 Budget
January 7, 2013
Community Meeting on the 2013‐14 Budget – January 7, 2013
Agenda• Welcome/Introductions• Meeting Purpose/Objectives• Challenges in Developing the 2013‐14 Budget• State of the 2013‐14 Budget• Additional Information Regarding Budget Survey Reference Guide
• Survey • Questions and Answers
2
Community Meeting on the 2013‐14 Budget – January 7, 2013
Agenda• Welcome/Introductions• Meeting Purpose/Objectives• Challenges in Developing the 2013‐14 Budget• State of the 2013‐14 Budget• Additional Information Regarding Budget Survey Reference Guide
• Survey • Questions and Answers
3
Community Meeting on the 2013‐14 Budget – January 7, 2013
2012‐13 Budget Basics ‐ Expenses
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Salaries & Benefits
Vendor Contracts & Other*
Equipment & Supplies
80%
18%
2%
$222million
* Includes contract transportation, outside service providers, TAN, debt service, transfer to capital and BOCES
Community Meeting on the 2013‐14 Budget – January 7, 2013
Salaries & Benefits
2012‐13 Budget Basics ‐ Expenses
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Of this 80% of the budget:0.88% Superintendent & Assistant Superintendents5.82% Administrators70.94% Teachers13.67% Clerical/Paras/Monitors3.02% Transportation5.66% Custodial/Maintenance/Grounds
80%
Community Meeting on the 2013‐14 Budget – January 7, 2013
2012‐13 Budget Basics ‐ Revenues
6
$222million
Tax Levy
State Aid
Other*
82%
11%
7%
* Other includes PILOTs and use of fund balance and reserves
Community Meeting on the 2013‐14 Budget – January 7, 2013
What is the Property Tax Levy Cap?
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State Aid
Legislation in effect for the 2012‐13 budget year and forward whose goal was to address rising property taxes across
New York State.Requires districts to complete a State
formula for calculating the allowable tax levy and imposes severe
constraints to maintain local control.
Community Meeting on the 2013‐14 Budget – January 7, 2013
BEFORE the Property Tax Levy Cap
Educational Priorities
ProposedBudget
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Key Budget Development Considerations:Educational priorities drive the process
Local control over a large portion of revenuesSimple majority (50% +1) means an approved budget
Implications of a failed budget create unique challenges
Community Meeting on the 2013‐14 Budget – January 7, 2013
Property Tax Levy Cap
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What we heard
• 2% cap on growth of property taxes
• Mandate relief is coming
• Districts should use their “rainy day” funds
• Legislation is fair and equitable since everyone follows the same formula
What we know
• 2% is not 2%• There is no cap, just a voting threshold
• Simple majority versus super majority
• New rules for Contingent Budgets will devastate programs
• There was no pertinent mandate relief
• Further separation of communities across Long Island: “haves” versus “have‐nots”
How we responded
• We used more of our “rainy day” funds
• We communicated early and often
• We reduced our 2012‐13 budget by over $9 million
• We began planning for the 2013‐14 budget even earlier
Community Meeting on the 2013‐14 Budget – January 7, 2013
What Did “2%” Really Mean?
0.00%
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%The “2%” Calculation for Western Suffolk Districts in 2012‐13
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The State formula allowed a 2.33% property tax levy increase for HHH by achieving a simple majority at
budget vote time.
Community Meeting on the 2013‐14 Budget – January 7, 2013
Using More of Our “Rainy Day” Fund
$‐
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
$9,000,000
$10,000,000
2008‐09 2009‐10 2010‐11 2011‐12 2012‐13
Use of Reserves Use of Fund Balance
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Community Meeting on the 2013‐14 Budget – January 7, 2013
Pros and Cons of “Rainy Day” Fund Use
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Minimize program reductions
Reduce burden on taxpayers
Budget gap in
subsequent years
Increased borrowing
costs
Respond to State and local input
Limited purpose use
Comptroller & External Auditors
Local control
Community Meeting on the 2013‐14 Budget – January 7, 2013
2013‐14 Budget Development
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Employment Contract
Obligations
Benefits Costs
Vendor Contracts
Equipment & Supplies
Utilizing projections and known increases or decreases to expenses, the preliminary estimated cost to keep all programs and services in place as they exist today would
mean the following for 2013‐14:
7.1% estimated budget to budget increase
8.5% estimated property tax levy increase
Community Meeting on the 2013‐14 Budget – January 7, 2013
2013‐14 Budget Development
$9.5 million of reductions needed in 2013‐14 budget
State Aid
Use of “Rainy Day” Fund
Tax Levy Increase of 2.8%
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• Assumptions: State Aid remains constant
Use of fund balance and reserves remains constant
No piercing of the property tax levy “cap”
Simple majority means an approved budget
Community Meeting on the 2013‐14 Budget – January 7, 2013
Which Brings Us to Tonight…
Engage & Educate
Utilize more reserves and/or fund balance?
Reduce which services?
Eliminate which programs?
Close a building?
Pierce the “Cap”?
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Community Meeting on the 2013‐14 Budget – January 7, 2013
Agenda• Welcome/Introductions• Meeting Purpose/Objectives• Challenges in Developing the 2013‐14 Budget• State of the 2013‐14 Budget• Additional Information Regarding Budget Survey Reference Guide
• Survey • Questions and Answers
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Community Meeting on the 2013‐14 Budget – January 7, 2013
Budget Survey Reference Guide• Responding to additional information on: Controlling Administrative Costs Closing Fran Greenspan Administrative Center Transportation Option to close Chestnut Hill Elementary School Option to close Candlewood Middle School Option to close High School West Middle School 8‐Period Day
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Community Meeting on the 2013‐14 Budget – January 7, 2013
Controlling Administrative Costs
School Year# of
AdministratorsAdministrator Salaries
as a % of the Overall Budget
Increase or (Decrease) from
Prior Year
2009‐10 56 3.9% ‐
2010‐11 54 3.8% $58,341
2011‐12 52 3.6% ($312,976)
2012‐13 50 3.4% ($127,586)
Total Administrator salary expense has decreased by $382,221 since 2009‐10
Community Meeting on the 2013‐14 Budget – January 7, 2013
Controlling Administrative Costs• Reduction of Administrative Positions Assistant Superintendent for Research, Assessment and Special Services Chief Information Officer Coordinator of FACS and Instructional Computing Elementary Assistant Principal High School Dean of Students Special Education Literacy Specialist
Community Meeting on the 2013‐14 Budget – January 7, 2013
Controlling Administrative Costs• Elimination of SBAs and Liaison stipends• Reduction in eight administrative support positions
• Reassignment to Building Level from Central Office: School Psychologist Social Worker
Community Meeting on the 2013‐14 Budget – January 7, 2013
Controlling Administrative Costs• Contractual Negotiations for Administrators’ Association 2011‐12: 0% Increase 2012‐13 & 2013‐14: 0% Increase & Step FreezeTwo‐year savings of over $1.2 million
• Since 2009‐10, Superintendent and Assistant Superintendent salary expenses have decreased by $287,108
Community Meeting on the 2013‐14 Budget – January 7, 2013
Center for American Progress• January 2011 independent evaluation of 611 New York State School Districts ranked Half Hollow Hills: In the 92nd Percentile in Student Achievement50th out of 611 NYS School Districts
In the 6th Percentile in Administrative Costs as a percentage of the overall budget573rd out of 611 NYS School Districts
In the 23rd Percentile in Administrator to Pupil Ratio470th out of 611 NYS School Districts
Community Meeting on the 2013‐14 Budget – January 7, 2013
Center for American ProgressReturn on Investment: An Independent District‐by‐District Evaluation of
Educational Productivity: “Doing What Works” (January 2011)
Half Hollow Hills has the highest State Achievement Index of any school of its diversity!
Community Meeting on the 2013‐14 Budget – January 7, 2013
Fran Greenspan Administrative Center• Why not close the Fran Greenspan Administrative Center?
Houses 107 employees and Reach/CYA staffContains offices of Superintendent and Assistant Superintendents, Human Resources, Special Education, Curriculum, Payroll, Accounting, Technology Infrastructure, Board Room, District Clerk, Facilities, Central Mailroom, Central Registration, School Lunch and Reach/CYA
If close building, savings are three custodians and one hall monitorConsiderations
– Cost of relocating and redistribution of employees spread among 11 buildings– Relocation and recreation of technology infrastructure– Reduced efficiency due to loss of centralized personnel/services– Loss of public meeting spaces
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Community Meeting on the 2013‐14 Budget – January 7, 2013
Transportation • Can we eliminate 100% busing? Changes to universal busing can only be accomplished through a public vote Universal busing is in place due to:Wide expanse of District’s boundariesMain roads surrounding many of our buildings Lack of sidewalks for student walkers
• Currently the District contracts out approximately 100 buses
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Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close an Elementary School• Why is this an option? Decreasing enrollment at elementary level 2013‐14 budget reductions needed
2,000
2,500
3,000
3,500
4,000
4,500
June 2011 June 2012 December 2012 2013‐14 2014‐15
Total K‐5 Elementary Enrollments
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close Chestnut Hill• In choosing which elementary school to close, the considerations are to: Create optimal feeder patterns for students transitioning to the middle and high schools Achieve enrollment balance in all schools Chestnut Hill’s location on the south service road of the Long Island Expressway provides potential for leasing
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close Chestnut Hill
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Candlewood Middle School
Forest Park Elementary
Otsego Elementary
Vanderbilt Elementary
West Hollow Middle School
Signal Hill Elementary
PaumanokElementary
SunquamElementary
Chestnut Hill
Elementary
For 2013‐14 and beyond, Candlewood enrollment will be substantially lower than West Hollow.
To achieve enrollment balance between buildings, more students will need to transition into
Candlewood versus West Hollow.
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close Chestnut Hill• The least disruptive option is to close a school with students who transition to West Hollow and distribute the majority of those students to schools which transition to Candlewood Of the schools which transition to West Hollow, Chestnut Hill has the lowest enrollment, therefore effecting the least number of students Chestnut Hill busing patterns are most conducive to a redistricting for only the effected school
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close Chestnut Hill• Chestnut Hill student relocation plan achieves: Average class size of 22.5 students throughout the District Balanced enrollment among remaining six elementary schools
• Relocation of 437 regular education Chestnut Hill students to five elementary buildings
Forest Park
Vanderbilt
Signal Hill
Otsego
Sunquam
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close Chestnut Hill• 2013‐14 regular education projected enrollments by elementary building achieve balance as a result of the proposed student distribution under the closing of Chestnut Hill option
Forest Park568
Paumanok530
Otsego560
Signal Hill569
Vanderbilt554
Sunquam538
Candlewood West Hollow
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close Chestnut Hill• The closing of Chestnut Hill option as proposed ensures better balancing over time of fifth graders transitioning to both middle schools
2013‐14275 students
2013‐14333 students
2014‐15321 students
2014‐15372 students
2015‐16328 students
2015‐16297 students
Projected number of 5th Graders transitioning to West Hollow
Projected number of 5th Graders transitioning to Candlewood
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close a Middle School• Why is this an option? Decreasing enrollment at middle school level 2013‐14 budget reductions needed Over $3 million in potential savings from reductions in:
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CustodialClericalMonitors/ParaprofessionalsSecurity
Building AdministratorsTeachersProgram ModificationsSupport ServicesNurse
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close Candlewood• How is this achieved? Sixth grade students would remain at their present elementary school
All seventh and eighth grade students would attend West Hollow Middle School
• If Candlewood were to close, enrollment at West Hollow would be:
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1,423 1,607 1,3982012‐13Actual
(Grades 6‐8)
2013‐14Projected
(Grades 7‐8)
2014‐15Projected
(Grades 7‐8)
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close High School West• What does it mean? Sixth grade students would remain at the elementary level Ninth grade students would remain at the middle school level All tenth, eleventh, and twelfth grade students would attend High School East
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Community Meeting on the 2013‐14 Budget – January 7, 2013
Option to Close High School West• Projected middle school enrollments:
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West Hollow(Grades 7‐9)2013‐14
1,420 students
Candlewood(Grades 7‐9)2013‐14
1,039 students
Current1,852
2013‐142,483
2014‐152,531
Combined high school enrollment (Grades 10‐12)
(Grades 9‐12)
• Projected High School East enrollment:
Community Meeting on the 2013‐14 Budget – January 7, 2013
Option of Middle School 8‐Period Day• What does it mean? Elimination of the following courses:Computers ‐ Grade 6Seminar in Math ‐ Grade 7Seminar in Social Studies ‐ Grade 8
Modification of the following courses:Exploration of World Languages ‐ Grade 6Music (opposite Physical Education) ‐ Grade 6Health ‐ Grade 6
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Community Meeting on the 2013‐14 Budget – January 7, 2013
Agenda• Welcome/Introductions• Meeting Purpose/Objectives• Challenges in Developing the 2013‐14 Budget• State of the 2013‐14 Budget• Additional Information Regarding Budget Survey Reference Guide
• Survey • Questions and Answers
38
Community Meeting on the 2013‐14 Budget – January 7, 2013
Agenda• Welcome/Introductions• Meeting Purpose/Objectives• Challenges in Developing the 2013‐14 Budget• State of the 2013‐14 Budget• Additional Information Regarding Budget Survey Reference Guide
• Survey • Questions and Answers
39