School Budget Challenges Lie Ahead
With the economy still struggling along with minimal growth and the possibility of next year's state budget gap approaching $1 billion, Huntington School District officials are working to craft a 2013/14 spending plan.
Superintendent James W. Polansky presented a preliminary overview of next year's budget during a public meeting of the Huntington School Board last week. To meet the state's property tax levy cap law, early estimates indicate the district might have to reduce spending by nearly $1.3 million.
If the district offered a program in 2013/14 that was identical in every way to the current one it provides, the "rollover budget" would require an increase in spending of $4.35 million or 3.89 percent. However, to meet the state's tax cap, Mr. Polansky said officials currently estimate spending can increase by just $3,065,731 or 2.74 percent, requiring a $1,284,269 "adjustment" in discretionary costs.
"The preliminary overview is meant to serve as a snapshot estimate at this point in time," Mr. Polansky said. "There are several critical numbers related to the levy limit and related budgetary calculations that may change in the coming months.
The Huntington School District, like its counterparts across Long Island and the state, is facing a large increase in the mandatory contribution rates assessed by the New York State Teachers Retirement System and the Employees Retirement System.
Huntington's TRS tab is expected to climb by $2.1 million and its ERS bill is going up by $800,000. The district intends to cover $500,000 of the ERS increase by tapping an ERS reserve fund it maintains.
Mr. Polansky said the district is also tentatively budgeting for an 8.7 percent increase in premiums assessed by the state health plan provided to district employees, which will drive up costs by $950,000. The district expects costs for employee longevity and salary schedule lane movement (which occurs when faculty members complete advanced graduate study) to grow by about $600,000 next year.
A budget that meets the state's tax levy cap would result in a tax rate increase of 3.36 percent based upon a current estimate. The district expects revenues to remain flat, including state aid.
While challenges definitely lie ahead and some cuts seem inevitable, Huntington school officials are determined to keep the district moving forward in all areas as it seeks to improve student performance.
"Our goal during this year's budget process will be to maintain the integrity of our programs and services in a fiscally responsible manner – a manner that takes into account the needs of our kids as well as the concerns of and burden experienced by district taxpayers," Mr. Polansky said.