1. 1 MIDDLE TOWNSHIP PUBLIC SCHOOLS

2. MIDDLE TOWNSHIP PUBLIC SCHOOLS BOARD OF EDUCATION Calvin Back, President Dennis Roberts, Vice President Robert Bakley, II George DeLollis Burgess Hamer Linda Koch Andrew Melchiorre Patricia Taylor StephanieThomas Patricia Ziolkowski, Dennis Township Representative 2

3. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET The primary issue in the development of the 2013-2014 budget was striking a balance between providing high quality educational programs for our students and the effect of the proposed budget on the taxpayers of Middle Township. 3

4. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET These are some of the obstacles faced in the development of the 2013-2014 budget. 4

5. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET THE DISTRICT REALIZED A NET REVENUE DECREASE IN SENDING DISTRICT TUITION IN THE AMOUNT OF ($470,959) 5

6. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET AVALON SCHOOL DISTRICT TUITION 2012-2013 2013-2014 $156,967 $ 78,534 DECREASE: ($78,433) 6

7. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET DENNIS TOWNSHIP TUITION 2012-2013 2013-2014 $2,562,895 $2,146,300 DECREASE: ($416,595) 7

8. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET STONE HARBOR DISTRICT TUITION 2012-2013 2013-2014 $158,927 $ 182,996 INCREASE: $24,069 8

9. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET The decreased tuition and a reduction in budgeted fund balance have created a shortfall in excess of $870, 000 9

10. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET Due to contractual obligations and increases in costs for health benefits and other insurances, the overall budget would need to be reduced by $2.2 million dollars if no tax increase was proposed. 10

11. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET The overall budget would need to be reduced by $1.8 million dollars with a 2% tax increase. The overall budget would need to be reduced by $1.3 million dollars with a 4% tax increase. 11

12. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET STATE AID ALLOCATIONS 2012-2013 2013-2014 $12,981,238 $13,189,265 INCREASE $208,027 Minus as increase in SDA Assessment of $48,884 Net Increase $159,143 12

13. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET To maintain the educational programs that will permit our students to be college and career ready, the proposed budget calls for a 4% tax increase. Because there was no tax increase last year, the proposal incorporates the use of a 2% banked cap. 13

14. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET Even with the proposed 4% increase, the district is recommending reductions in the amount of $1.3 million. 14

15. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET A summary of the proposed budget reductions include: 1 administrative position 2 custodial positions 12 teaching positions 1 support staff position 1 transportation position 15

16. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET Field trips Athletics Schedule B positions Professional development Maintenance 16

17. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET Our district school tax rate for the 2012-2013 budget is $0.803 when adjusted for the revaluation, the current rate is $0.844. 17

18. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET With our proposed budget, the tax rate will be $0.878 or an increase of $0.034. 18

19. MIDDLE TOWNSHIP PUBLIC SCHOOLS The Board of Education will continue to participate in programs to reduce operating expenses and increase revenues. 19

20. MIDDLE TOWNSHIP PUBLIC SCHOOLS SHARED SERVICES & INTERLOCAL AGREEMENTS Middle Township School District provides Child Study Team services to Avalon and Stone Harbor Boards of Education Middle Township School District provides student transportation to Avalon and Stone Harbor Boards of Education 20

21. MIDDLE TOWNSHIP PUBLIC SCHOOLS SHARED SERVICES & INTERLOCAL AGREEMENTS Middle Township School District minimizes costs by participating in the following:  Atlantic/Cape May Business Officials Joint Insurance Fund – for all insurance  Cape May County – for purchase of gasoline and diesel fuels 21

22. MIDDLE TOWNSHIP PUBLIC SCHOOLS SHARED SERVICES & INTERLOCAL AGREEMENTS Middle Township School District minimizes costs by participating in the following:  Cooperative pricing agreement for electrical services with CMC Special Services, CMC Technical SchoolCape May and Upper Township Boards of Educations  Alliance for Competitive Telecommunications (E-RATE) 22

23. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013-2014 COST SAVINGS INITIATIVES  The district will continue to realize savings due to our participation in the solar power purchase agreement and energy conservation program. 23

24. WHERE DOES THE MONEY COME FROM? 24

25. 25 3 Year Funding 2011-20122012-20132013-2014 12,880,67212,815,78513,050,178 MIDDLE TOWNSHIP PUBLIC SCHOOLS COMPARISON OF STATE AID

26. 2013/2014 MIDDLE TOWNSHIP PUBLIC SCHOOLS Total Revenue $40,176,407 26

27. WHERE DOES THE MONEY GO? 27

28. 2013/2014 MIDDLE TOWNSHIP PUBLIC SCHOOLS Total Expenses $40,176,407 28 **Included in Instruction is $620,000 for extra-curricular and athletics or 1.5% of the total budget.

29. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET Even with the proposed 4% tax increase, the overall budget will be reduced from $41.8 million in 2012-2013 to $40.1million in 2013-2014, a decrease of approximately $1.6 million. 29

30. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET  The district spends $3,459,540 below adequacy The State defines “adequacy” as the amount of money a district must spend to provide its students with a “thorough & efficient” education as mandated by the NJ Constitution 30

31. MIDDLE TOWNSHIP PUBLIC SCHOOLS 2013/2014 BUDGET 31 Questions?