1. CONTINGENT BUDGET OVERVIEW Presented by Michelle T. Bradley Superintendent of Schools and Deborah Coder Assistant Superintendent for Finance April 2012

2. 2 CONTINGENT BUDGET: DEFINED A contingent budget is the term used when the majority of voters vote “no” to the Board of Education’s proposed budget.

3. 3 The Board of Education can put another budget up for vote on June 19 th or they can adopt a contingent budget immediately. However, they are mandated to adopt a contingent budget after a second budget vote defeat. WHAT HAPPENS NEXT?

4. 4 The Board of Education adopted an expenditure budget on April 4, 2012, totaling $79,898,189. This is a budget to budget increase of $894,791, or 1.13%. THE 2012-2013 EXPENDITURE BUDGET

5. 5 The Lockport City School District Tax Levy Limit Calculation is 2.28%. Based on the adopted budget, the actual tax levy increase is 1.5%. THE 2012-2013 TAX LEVY CALCULATION

6. 6 CONTINGENT BUDGET COMPONENTS If the expenditure budget does not pass we have a two-fold obligation per the New York State Education Department. OBLIGATION #1 PERTAINS TO EXPENDITURES NOT ALLOWED DURING A CONTINGENT BUDGET. OBLIGATION #2 PERTAINS TO THE TAX LEVY INCREASE.

7. 7 CONTINGENT BUDGET Expenditure Budget Obligation Our first obligation is that we must continue to abide by contingent budget guidelines, as in past years. This includes removing items from the budget such as: new equipment, athletic uniforms, and student supplies. These items total $121,377. Additionally, community use of buildings and grounds may be assessed rental fees.

8. 8 CONTINGENT BUDGET Tax Levy Obligation Our second obligation dictates we cannot levy more than the previous year’s levy, which was $34,042,352. The non-contingent items account for $121,377 in reductions that would be mandated. This will result in the levy needing to be reduced by an additional $390,941.

9. 9 CONTINGENT BUDGET POTENTIAL STAFFING IMPACT COULD INCLUDE SOME OR A COMBINATION OF THE FOLLOWING: Full Day to Half Day Kindergarten Reduction of Elementary Librarians Reduction of Support Staff Positions

10. 10 CONTINGENT BUDGET POTENTIAL STUDENT IMPACT COULD INCLUDE SOME OR A COMBINATION OF THE FOLLOWING: Increase Student Walking Limits to State Levels of 2 and 3 Miles Reduction of Extra-Curricular Offerings Elimination of Intramural Sports

11. 11 COMMUNICATION OF THE BUDGET TO THE PUBLIC: THE BUDGET NOTICE