1. BUDGET DEVELOPMENT 2012-2013

2. CHALLENGING FINANCIAL TIMES CONTINUE MAKING BUDGET DEVELOPMENT A MORE COMPLEX AND CHALLENGING PROCESS

3. THE PROBLEM Revenue is still at risk Revenue is still at risk Significant cost drivers continue to increase Significant cost drivers continue to increase Major education reform underway in NYS with significant expense Major education reform underway in NYS with significant expense

4. Last Year Local Districts Had to Find a Way To Deliver an Educational Program that Met State and Local Expectations with Less Available Revenue

5. EXPENSES 09-10 10-11 11-12 09-10 10-11 11-12 Budget: $47m $47.4m $47.36m Budget Change: 2.94% 0.7% -.06% Enrollment: 2868 2875 2832

6. 2010-11 STAFF REDUCTIONS Non-instructional 1 bus driver 1 bus driver 1.2 mechanics 1.2 mechanics 1 custodian – MS 1 custodian – MS 1.5 clerical 1.5 clerical 3.5 teacher aides-library & elementary 3.5 teacher aides-library & elementary Instructional Instructional 2.6 elementary teachers 2.6 elementary teachers 1.0 instructional specialist 1.0 instructional specialist 2.0 MS teachers – reductions in phys ed, remediation, French & Spanish- due to enrollment & phys ed schedule modification 2.0 MS teachers – reductions in phys ed, remediation, French & Spanish- due to enrollment & phys ed schedule modification 3.3 HS teachers-reductions in all disciplines but science due to enrollment 3.3 HS teachers-reductions in all disciplines but science due to enrollment 2 coaches 2 coaches

7. 2011-12 STAFF REDUCTIONS Non-instructional Non-instructional 1 transportation director 1 transportation director 1 custodian – HS 1 custodian – HS 1.5 clerical 1.5 clerical 1 aide 1 aide Instructional Instructional.3 Special ed administrator.3 Special ed administrator 1.0 elementary teacher 1.0 elementary teacher 1.0 special ed teacher 1.0 special ed teacher 5.0 HS teachers –reductions due to enrollment 5.0 HS teachers –reductions due to enrollment 1.0 elementary counselor 1.0 elementary counselor.4 Psychologist.4 Psychologist 3.0 teaching assistants 3.0 teaching assistants 1.0 elementary librarian through attrition 1.0 elementary librarian through attrition 13 coaches 13 coaches

8. 2011-12 BUDGET Debt service down 6.3% Debt service down 6.3% Fringe Benefits up 8.51% with pension and health insurance rate increases Fringe Benefits up 8.51% with pension and health insurance rate increases Transportation up 3.01% with staff reduction, extra run reductions Transportation up 3.01% with staff reduction, extra run reductions Operations & maintenance Operations & maintenance down 2.12% with staff reduction down 2.12% with staff reduction Athletics down 8.8% with staff reductions Athletics down 8.8% with staff reductions Technology down 1.6% with ordering less equipment Technology down 1.6% with ordering less equipment District office down 1.8% with staff reduction District office down 1.8% with staff reduction Instructional down 4.18% with staff reductions, decreased staff development, centralizing copying, reducing audio visual support Instructional down 4.18% with staff reductions, decreased staff development, centralizing copying, reducing audio visual support

9. REDUCTIONS OVER TIME 2010-11 2010-11 Reductions were made as far from classroom as possible; Reductions were made as far from classroom as possible; most reductions were in most reductions were in non-instructional and support areas non-instructional and support areas 2011-12 2011-12 Further significant non-instructional reductions were not possible; Further significant non-instructional reductions were not possible; significant reductions made in budgets directly affecting students significant reductions made in budgets directly affecting students

10. PROPOSED EXPENSE PLAN BUDGET 2012-2013

11. DEBT SERVICE Payment of interest and/or principal continues on former and current building projects Payment of interest and/or principal continues on former and current building projects Debt for energy performance contract – paid Debt for energy performance contract – paidTOTALS 11-2 Budget - $3,624,667 12-13 Proposed Budget - $3,493,457 Difference = $131,210 = 3.62% Decrease

12. TRANSPORTATION Status quo budget Status quo budget No changes in bus runs No changes in bus runs No changes in personnel, cost up slightly No changes in personnel, cost up slightly Vehicle insurance up slightly Vehicle insurance up slightly Diesel fuel budget status quo Diesel fuel budget status quo TOTALS TOTALS 11-12 Budget $1,814,260 12-13 Budget $1,840,692 Difference = $26,432 = 1.46% increase

13. 2012-13 Bus Purchases 2- 66 passenger w/o luggage $207,438 2- 66 passenger w/o luggage $207,438 1- 66 passenger bus w/ luggage 1- 66 passenger bus w/ luggage $105,706 $105,706 1-30 Passenger bus $96,056 1-30 Passenger bus $96,056 TOTAL $409,200 Last year we purchased 3 buses, 1 suburban – TOTAL $347,536

14. TRANSPORTATION PERSONNEL.5 Safety Officer.5 Safety Officer 1FTE dispatcher 1FTE dispatcher 32 Drivers 32 Drivers 4 Mechanics 4 Mechanics

15. OPERATIONS&MAINTENANCE Status quo budget Status quo budget No changes in personnel, cost up slightly No changes in personnel, cost up slightly Decrease in custodial overtime Decrease in custodial overtime Increase grounds supplies- salt Increase grounds supplies- salt Increase in BOCES Data Processing Increase in BOCES Data ProcessingTOTALS 11-12 Budget $3,284,871 12-13 Budget $3,315,410 Difference = $30,539 =.93% increase

16. PROPOSED EQUIPMENT REPLACEMENT 1 Vacuum cleaner 1 Vacuum cleaner 1 Floor scrubber 1 Floor scrubber 1 Carpet cleaner 1 Carpet cleaner 1 snow blower 1 snow blower Hand held testing equipment Hand held testing equipment Total = $25,000 Total = $25,000

17. OPERATIONS&MAINTENANCE PERSONNEL 1 Director 1 Director 26 Custodians 26 Custodians 5 Maintenance Workers 5 Maintenance Workers

18. FRINGE BENEFITS Increase in payment to Teacher Retirement System and Employee Retirement System Increase in payment to Teacher Retirement System and Employee Retirement System $302,732 increase $302,732 increase Increase in worker’s compensation insurance Increase in worker’s compensation insurance $106,447 $106,447 Increase in health and dental insurance Increase in health and dental insurance $159,648 $159,648TOTALS 11-12 Budget = $12,556,178 11-12 Budget = $12,556,178 12-13 Proposed Budget = $13,137,232 12-13 Proposed Budget = $13,137,232 Difference =$571,054 = 4.54% Increase Difference =$571,054 = 4.54% Increase

19. CENTRAL OFFICE Board of Education status quo Board of Education status quo Central Administration status quo Central Administration status quo Finance status quo, slight increase in personnel costs Finance status quo, slight increase in personnel costs General Support – slight increase in liability insurance cost General Support – slight increase in liability insurance cost Decrease in central office curriculum coordination staff Decrease in central office curriculum coordination staff Increase in curriculum/staff development Increase in curriculum/staff development

20. CENTRAL OFFICE TOTALS 11-12 12-13 Change 11-12 12-13 Change Board of Ed $19,000 $19,000 0% Board of Ed $19,000 $19,000 0% Central Admin $232,000 $233,741.37% Central Admin $232,000 $233,741.37% Finance $285,721 $291,038 1.86% Finance $285,721 $291,038 1.86% Gen Support $397,323 $401,550 1.06% Gen Support $397,323 $401,550 1.06% Curriculum/ $327,497 $250,099 -23.63% Curriculum/ $327,497 $250,099 -23.63% Instruction Instruction

21. CENTRAL OFFICE PERSONNEL Superintendent Superintendent Administrative assistant Administrative assistant Assistant Superintendent Assistant Superintendent Administrative assistant/receptionist Administrative assistant/receptionist Business Official Business Official 3.0 business staff 3.0 business staff Director of Curriculum & Personnel eliminated Director of Curriculum & Personnel eliminated

22. INSTRUCTIONAL PROGRAM BUDGET Central Office Curriculum/Instruction Central Office Curriculum/Instruction Athletics Athletics Technology Technology Building Level Instructional Budget Building Level Instructional Budget

23. ATHLETICS –Status quo budget –No change in personnel, cost up slightly – 13 coaching positions –jv cheer, assistants in boys/girls lacrosse and track, modified positions in girls/boys soccer, boys/girls lacrosse, baseball, softball, track, and cross country remain out of the budget – Increase in official expenses –No uniform purchases TOTALS TOTALS 11-12 Budget $613,818 12-13 Budget $618,816 Difference = $4,257=.69% increase

24. ATHLETIC PERSONNEL 1 Director 1 Director 1 clerical 1 clerical 84 coaching positions 84 coaching positions

25. TECHNOLOGY No change in personnel No change in personnel Increase in summer hourly work Increase in summer hourly work from $10,000 to $20,000 from $10,000 to $20,000 New equipment cost unchanged New equipment cost unchanged $54,000 per level = $162,000 $54,000 per level = $162,000 Increase in cost for infrastructure support from BOCES as new infrastructure project begins- upgrading wired network and replacing the wireless network Increase in cost for infrastructure support from BOCES as new infrastructure project begins- upgrading wired network and replacing the wireless network $150,000 $150,000

26. TECHNOLOGY PERSONNEL 1 District Coordinator 1 District Coordinator 1 Network Technician 1 Network Technician 5 District Assistants 5 District Assistants

27. TECHNOLOGY TOTALS 11-12 Budget - $891,318 11-12 Budget - $891,318 12-13 Budget - $1,098,713 12-13 Budget - $1,098,713 Difference = $207,395 = 40.28 % increase Difference = $207,395 = 40.28 % increase

28. BUILDING LEVEL INSTRUCTIONAL BUDGET No change in building administration, cost up slightly No change in building administration, cost up slightly No change in number of K-12 teachers, cost down due to retirement savings No change in number of K-12 teachers, cost down due to retirement savings No change in number of assistants, cost up slightly No change in number of assistants, cost up slightly No change in number of aides, cost up slightly No change in number of aides, cost up slightly No change in current library staff, decrease in budget No change in current library staff, decrease in budget No change in guidance, cost up slightly No change in guidance, cost up slightly New testing requirements from Albany New testing requirements from Albany $65,000 $65,000 New elementary math teaching materials New elementary math teaching materials $105,000 $105,000

29. SPECIAL EDUCATION Budget reflects cost to serve students in non-public schools in district Budget reflects cost to serve students in non-public schools in district No change in number of special ed teachers, cost down due to retirement savings No change in number of special ed teachers, cost down due to retirement savings No change in number of assistants or aides, cost up slightly No change in number of assistants or aides, cost up slightly Slight increase in number of psychologists Slight increase in number of psychologists Increase in cost for BOCES placements Increase in cost for BOCES placements $244,000 $244,000

30. INSTRUCTIONAL STAFF 5 Principals, 4 assistant principals 5 Principals, 4 assistant principals 65.3 K-4 Teachers 65.3 K-4 Teachers 68.2 5-8 Teachers 68.2 5-8 Teachers 64.4 High School Teachers 64.4 High School Teachers 13 Teaching Assistants, 13 aides 13 Teaching Assistants, 13 aides 6.8 Clerical 6.8 Clerical

31. SPECIAL EDUCATION STAFF 28 Teachers 28 Teachers 2 administrators 2 administrators 25 Teaching Assistants 25 Teaching Assistants 2 clerical assistants 2 clerical assistants 34 Teacher aides 34 Teacher aides 3.4 Occupational/Physical Therapists 3.4 Occupational/Physical Therapists

32. OTHER INSTRUCTIONAL STAFF 4 Librarians 4 Librarians 1 AV Specialist 1 AV Specialist 8 Guidance Counselors 8 Guidance Counselors 4 Guidance clerical staff 4 Guidance clerical staff 1 Attendance Aid 1 Attendance Aid 5.4 Nurses 5.4 Nurses 5.9 Psychologists 5.9 Psychologists 2 Alcohol/Drug Counselors (ADAPEP) 2 Alcohol/Drug Counselors (ADAPEP)

33. INSTRUCTIONAL TOTALS 11-12 Budget $25,090,855 11-12 Budget $25,090,855 12-13 Budget $25,050,876 12-13 Budget $25,050,876 Difference = $39,979 = -.16% Difference = $39,979 = -.16%

34. TOTAL BUDGET PLAN 2012-2013 11-12 Budget $47,366,845 11-12 Budget $47,366,845 12-13 Proposed Budget $47,835,195 12-13 Proposed Budget $47,835,195 Difference =$468,350 =.99% increase Difference =$468,350 =.99% increase

35. REVENUE PICTURE AT J-D

36. SOURCES OF REVENUE 10-11 11-12 10-11 11-12 State Aid 24% 21% Other Sources 7% 8% Federal & County Property Tax Levy 69% 71%

37. STATE AID SUMMARY 09-10 $12.4 Million (Included: $1.7 Million $1.7 MillionFederal Stimulus funds) 10-11 10-11 $11.1 Million (Included: $641,000 $641,000 Federal Federal Stimulus funds) 11-12 11-12 $ 9.8 Million

38. PROJECTED STATE AID 2012-13 Total $10,468,136 JD Share of $94,183 JD Share of $94,183 promised 4% increase promised 4% increase

39. OTHER REVENUE SOURCES 09-10 09-10 $1.22 million $1.22 million Special Ed Aid Special Ed Aid (Includes:$479,000 (Includes:$479,000 Stimulus Money) Stimulus Money) $330,000 $330,000 Remediation Aid Remediation Aid $75,000 $75,000 Stimulus Money Stimulus Money County Sales Tax County Sales Tax $668,000 $668,000 10-11 10-11 $1.22 million $1.22 million Special Ed Aid Special Ed Aid (Includes:$479,000 (Includes:$479,000 Stimulus Money) Stimulus Money) $282,000 $282,000 Remediation Aid Remediation Aid $65,500 $65,500 Stimulus Money Stimulus Money County Sales Tax County Sales Tax $600,000 $600,000 11-12 11-12 $789,000 $789,000 Special Ed Aid Special Ed Aid $220,000 $220,000 Remediation Aid Remediation Aid County Sales Tax County Sales Tax $319,000 $319,000

40. LOCAL TAX LEVY 09-10 10-11 11-12 09-10 10-11 11-12 Levy: $31.9m $32.7m $33.9m Levy Change: -1.9% 2.5% 3.6%

41. LOCAL TAX LEVY PROJECTIONS ( Tax Levy Limit) Prior year levy $33,914,477 Prior year levy $33,914,477 Multiplied by tax base growth factor determined by the state to be 0.51% Multiplied by tax base growth factor determined by the state to be 0.51% Subtract local share of 11-12 capital costs Subtract local share of 11-12 capital costs This is multiplied by the allowable growth factor based on CPI which this year will be 2% This is multiplied by the allowable growth factor based on CPI which this year will be 2% Tax Levy Limit = $34,358,804 Tax Levy Limit = $34,358,804

42. Our Allowable Tax Exemptions share of capital expenditures $760,011 Local share of capital expenditures $760,011 Court Orders $0 Portion of Retirement Costs $26,886

43. MAXIMUM ALLOWABLE TAX LEVY $35,145,700 which represents a $35,145,700 which represents a 3.63% increase in the levy 3.63% increase in the levy Not the highly publicized 2% Not the highly publicized 2%

44. OTHER REVENUE SOURCES 2012-13 Sales Tax reduced $160,635 Sales Tax reduced $160,635 Other Revenue Sources projected to remain the same – e.g. interest, reimbursement from other districts, e- rate, medicare reimbursement Other Revenue Sources projected to remain the same – e.g. interest, reimbursement from other districts, e- rate, medicare reimbursement Federal ARRA/Jobs Money $0 Federal ARRA/Jobs Money $0

45. MAJOR REVENUE SOURCES 2012-13 Other Revenue Sources $1,512,359 Other Revenue Sources $1,512,359 State Aid $10,468,136 State Aid $10,468,136 Tax Levy at 3.63% limit $35,145,700 Tax Levy at 3.63% limit $35,145,700 Fund Balance $709,000 Fund Balance $709,000 Total Revenue $47,835,195 Total Revenue $47,835,195

46. PUTTING THE BUDGET PIECES TOGETHER J-D High Achieving District With High Expectations J-D High Achieving District With High Expectations Economic Environment - Calls for Even More Vigilance on Monitoring and Controlling What We Spend Economic Environment - Calls for Even More Vigilance on Monitoring and Controlling What We Spend Political Environment- Where Every Government Entity is Being Asked/Forced to Do More with Less Political Environment- Where Every Government Entity is Being Asked/Forced to Do More with Less Environment of Significant Educational Reform on Accelerated Time Schedule Environment of Significant Educational Reform on Accelerated Time Schedule

47. EXPENSE SIDE - SHORT AND LONG TERM Majority of Our Cost is People Majority of Our Cost is People Downsized Non-instructional Operations Downsized Non-instructional Operations Refinanced Debt Refinanced Debt Participate in consortiums that Help Moderate Benefit, Energy, and Purchasing Costs Participate in consortiums that Help Moderate Benefit, Energy, and Purchasing Costs

48. BUDGET STRATEGY Goal is to Maintain a Quality Comprehensive K-12 Program Goal is to Maintain a Quality Comprehensive K-12 Program Decreased the Expenses in Some Areas So We Would Not Lose Any Program in its Entirety Decreased the Expenses in Some Areas So We Would Not Lose Any Program in its Entirety

49. HOW IS 2012-2013 DIFFERENT 2010-11 reduced 8.2 non-instructional positions, 8.9 instructional positions, 2 coaching positions 2010-11 reduced 8.2 non-instructional positions, 8.9 instructional positions, 2 coaching positions 2011-12 reduced 4.5 non-instructional positions, 12.7 instructional positions, 13 coaching positions 2011-12 reduced 4.5 non-instructional positions, 12.7 instructional positions, 13 coaching positions 2012-13 – 1 position recommended to be reduced 2012-13 – 1 position recommended to be reduced

50. WHY IS 2012-2013 DIFFERENT In these fiscally challenging times, we can recommend a status quo budget because a significant number of retirements last year saved personnel costs this year. In these fiscally challenging times, we can recommend a status quo budget because a significant number of retirements last year saved personnel costs this year. Very few staff are now eligible to retire, so we will not see those savings again Very few staff are now eligible to retire, so we will not see those savings again

51. WHAT DOES THIS MEAN LONG TERM It will cost more in 2013-14 to maintain a status quo budget It will cost more in 2013-14 to maintain a status quo budget Personnel costs, and fringe benefit costs will continue to rise Personnel costs, and fringe benefit costs will continue to rise There will be no more savings in debt service There will be no more savings in debt service There will be cost to the educational reform There will be cost to the educational reform

52. LONG TERM REVENUE PICTURE  Our 3.63 % levy limit is one of the highest in the area  Most districts are trying to come close to the publicized 2% cap  Our state aid increase is high because of new building aid. The new formula aid is $94,000 and we are not a high needs district

53. SUSTAINING A HIGHER COST STATUS QUO BUDGET If state aid increases remain modest and If state aid increases remain modest and Our levy is capped in the future at 2% Our levy is capped in the future at 2% We will have to use reserves to make up the difference We will have to use reserves to make up the difference

54. SO WHY NOT JUST USE THE RESERVES? The revenue plan presented to the board is projected to leave us with the same amount of reserves next year as we have this year The revenue plan presented to the board is projected to leave us with the same amount of reserves next year as we have this year If we decrease those reserves for this budget, there will be less available to support a status quo budget in 2013 - 14 going forward If we decrease those reserves for this budget, there will be less available to support a status quo budget in 2013 - 14 going forward Program reduction would be the result Program reduction would be the result

55. LONG TERM GOALS No loss of program No loss of program Long term sustainability of current state Long term sustainability of current state

56. COMING NEXT Budget Adoption April 2 nd Budget Adoption April 2 nd Budget Hearing May 7 th Budget Hearing May 7 th Budget Vote May 15 th Budget Vote May 15 th