1 / 8

Preliminary Budget Analysis

Preliminary Budget Analysis. October 2, 2011 Sean B. Fox, Carrie L. McDermott, and Lisa M. Omeis. Property tax cap applies to the levy, not the rate which is governed by assessments and equalization rates. Expenditures: 2012-2013. Budget Increase $4.6 million $1.4 million in s alaries

shepry
Download Presentation

Preliminary Budget Analysis

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Preliminary Budget Analysis October 2, 2011 Sean B. Fox, Carrie L. McDermott, and Lisa M. Omeis

  2. Property tax cap applies to the levy, not the rate which is governed by assessments and equalization rates. Expenditures: 2012-2013 • Budget Increase • $4.6 million • $1.4 million in salaries • $3.2 million in benefits (pension, health insurance) • Represents a 5.38% (Levy not Rate) • No increase in any other portion of the budget

  3. Revenue Projections: 2012-2013 • Revenue Projections: Best Case Scenario • Loss of Federal Jobs Stimulus money $1,566,651 • Anticipated 4% increase of state aid $1,460,653 • Resulting in a reduction in State Aid by $105,999

  4. Implications of a Property Tax Cap 60% majority override by voters if the budget exceeds the cap (district has not had a 60% majority in recent memory) Over the course of four years, the district will not be able to meet its educational or fiduciary obligations as we run through our fund balance and reserves if the cap did not include other cost savings measures Disconnect among the public’s understanding of a tax cap and its impact on public services

  5. Implications, Exclusions, and Concerns of the Tax Cap • Implications of the Property Tax Cap – 2% • Maximum allowable increase under tax cap $1.7 M • Total required for projected expenditures $4.6 M • Total difference (ex: cuts) $2.9 M • Exclusions to the Property Tax Cap? • Anything above 2% of pension costs is excluded • Concerns of Tax Cap • 50% Voter approval for a 2% budget cap • 60.1% Voter approval for a budget in excess of 2% cap • 2 defeated budget votes is equivalent to a o% budget increase

  6. 2% Tax cap budget Defeated budget with 0% increase Visual Ramifications… Rollover budget: $4,565,894 Tax Cap -$1,736,195 Total cuts needed $2,935,698 No increases allowed: Total cuts needed $4,565,894

  7. Budget: 2012-2013 • Administration will present a budget with a 4% tax levy increase and a 2% tax levy increase • Decision? • Present a budget at the cap • Present a palatable budget to the community for an override • Approach for identifying areas for reduction • Prioritized list • What does the community value? • Possible survey

  8. Proposed Program Reductions and Eliminations Total Proposed Savings: $3.1 million Athletic Uniforms 5% Reduction in office and instructional supplies Interscholastic supplies 2% Reduction in Health Insurance Eliminate ten teaching positions 4th Grade Instrumental ½ Kindergarten 1 Art 1 Physical Education 1 Music Education 1 Library Science 2 Orion Educators 4 Elementary Educators • Printing • Security • Grounds Maintenance • Postage/Printing • Para Professional/Aids • Monitors • Clubs and Intermurals • Census • Orion Program • In-View Test Supplies

More Related