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Superintendent’s Proposed 2013-2014 General Fund

Budget

Community Budget Presentation

May 2013

Katonah-Lewisboro Union Free School District

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Board of Education Goal # 3.0 – Budget Adoption

Adopt a fiscally responsible 2013 – 2014 budget, that to the maximum extent possible,

•maintains and, where feasible, enhances district programming and;

•achieves spending levels within the property tax cap mandated by the State of New York.

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The Proposed BudgetThe current budget:

$112,996,167

The proposed budget:$114,879,543

Budget to BudgetPercent Increase: 1.67%

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Budget HistoryActual

BudgetsBudget Net Tax Levy % Tax Levy

Increase% Budget-to-

Budget2008-09 $107,642,00

0$94,739,000 2.35% 3.89%

2009-10 $107,811,326

$95,352,201 0.65% 0.16%

2010-11 $109,281,408

$96,895,146 1.62% 1.36%

2011-12 $111,020,044

$99,783,239 2.98% 1.59%

2012-13 $112,996,167

$101,615,151 1.84% 1.78%Proposed Budget Net Tax Levy % Tax Levy Increase

% Budget-To-Budget

2013-14 $114,879,543 $102,981,072

1.34% 1.67%

The District has been operating under a “self imposed” tax cap for numerous years.

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Major Budget IncreasesHealth Insurance $ 890,000

State mandated Teachers Retirement System (Based on 16.25 % contribution rate)

1,591,000

State mandated Employees Retirement System (Based on 20.9% contribution rate)

355,000

In-service Training Instruction 197,000

Technology 121,000

Safety – Including School Resource Officer 280,000

Middle School/Elementary Science & Math 138,000

Diesel Fuel 134,000

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Reductions/Mitigations in Cost Increases

Staff/Personnel $ 826,000 Transportation (Equipment) $ 1,040,150 Special Education $ 500,000

(Majority of Special Ed reductions included in Staff/Personnel above)

Debt (Bus Purchases/Other) $ 113,000

* Healthcare: Although healthcare was mentioned on the previous slide associated with significant increases, it is important to note that nearly $300,000 of increase in this area was offset through transitioning Pharmacy Benefit Managers with the assistance of a health benefits consultant. The District continues to conduct significant work in this area which should result in significant savings in the 2014-15 budget.

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Tax Cap The allowable Tax Levy increase for KLSD, including

exemptions is $1,558,178 or 1.53%. The Tax Levy increase proposed in the 2013-2014

Superintendent’s budget is $102,981,072 or 1.34%. The budget as proposed would require a simple majority

vote to be approved (at least 50% plus 1 vote). If the Board of Education presented a budget that

necessitated a Tax Levy increase in excess of $1,558,178 then a (super) majority vote of 60% would be required.

In addition to the New York State tax cap, most of the contingent budget requirements still remain in effect.

A budget may only be presented twice to the voters for consideration.

If the budget is defeated both times, then the Tax Levy will be $101,615,151. This would require reductions, in addition to what is already presented, in the amount of $1,365,921.

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Enrollment

2004

-05

2006

-07

2008

-09

2010

-11

2012

-13

2014

-15

2016

-172900310033003500370039004100 4106

3950

3852

3575

3344

3053

District Enrollment

District Enroll...

From 2004-05 to 2013-14 the district will ex-perience an enrollment drop of nearly 18.5%

Projected 2013-14 3,344

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Staffing

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14

500

550

600

650

700

750716 717

679

636

615

589577.4

District Staffing Full Time Equivalents

District Staff...

Since 2007-08 the District has experienced a reduction in staffing of approximately 19%

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Tax Levy

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Projected Revenues*

*At this time, all revenues are projected and may be adjusted when new information becomes available.

Property Tax (including STAR) 101,615,151 102,981,072 1,365,921 Health Services 200,000 200,000 - Insurance Refunds 95,500 95,500 - Medicare Part D Reimbursement 250,000 250,000 - Interest & Earnings 150,000 150,000 - Rentals 12,000 12,000 - Admissions & Fees 30,000 30,000 - State Aid 6,543,411 6,875,866 332,455 Refunds from BOCES 150,000 135,000 (15,000) County Sales Tax 830,000 830,000 - MTA Payroll Tax Reimbursement - - - Miscellaneous 62,500 62,500 - Committed Reserves 553,593 753,593 200,000

2,504,012 2,504,012 - Total 112,996,167 114,879,543 1,883,376

Resulting Tax Levy Increase 1.34%(Proposed)

Appropriated and Undesignated Fund Balance

2012-13 Revenue

2013-14 Proposed Revenue

Increase or (Decrease) in

Budgeted Revenues

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Tax Rate

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The Percent Share of the Tax Levy is Proportioned Based on the Total Full Value of the Property in Each town…

Town Percent of Total Full Value 2012-13

Percent of Total Full Value 2013-14

Change in Percent Share of Total Levy

Bedford 35.091% 36.887% + 1.796%Lewisboro 61.643% 59.727% -1.916%North Salem 1.024% 1.078% +0.054%Pound Ridge 2.242% 2.308% +0.066%Total 100% 100%

As you can see – During 2013-14 the total full value of the property in the school district is shifting from Lewisboro to Bedford. Because of this phenomenon, even if the tax levy was exactly the same in 2013-14 as it was in 2012-13, the tax rate in the Town of Bedford would still increase by 5.27%

Projected Tax Rates:

Bedford 2013-14 Rate 6.68% 2012-13 Rate 6.53% 2011-12 Rate 2.06% 2010-11 Rate 7.45% 2009-10 Rate -1.47% 2008-09 Rate 5.30%

Lewisboro 2013-14 Rate 0.22% 2012-13 Rate 1.69% 2011-12 Rate 5.79% 2010-11 Rate 1.22% 2009-10 Rate 1.98% 2008-09 Rate 0.50%

Note: Rates are subject to change based on change in assessed values.

Tax Rate Changes14

Projected Tax Rates:North Salem 2013-14 Rate

6.10% 2012-13 Rate -

1.31% 2011-12 Rate

7.69% 2010-11 Rate -

2.75% 2009-10 Rate

1.98% 2008-09 Rate

7.80%

Pound Ridge 2013-14 Rate 5.17%

2012-13 Rate -2.05%

2011-12 Rate 8.23%

2010-11 Rate 0.56%

2009-10 Rate 1.53%

2008-09 Rate 2.15%

Note: Rates are subject to change based on change in assessed values.

Tax Rate Changes15

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The tax rate in the Town of Bedford is projected to increase by 6.68%.

How much will my tax bill increase?

Assessed Value: $64,548Market Value: $650,030Taxes: $13,203

Assessed Value: $64,454Market Value: $660,389Taxes: $14,065

2012-13

2013-14

Increase of $862 or 6.52% Assumes value of home tracks according to trend in the Town of Bedford

Modifications in equalization rates and assessed values account for approximately 5.34% of the 6.68% tax rate change in the Town of Bedford. i.e. If assessed values and equalization rates in each of the 4 towns stayed the same in 2013-14 as they were in 2012-13 - the tax rate increase in each town would be 1.34%

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The tax rate in the Town of Lewisboro is projected to increase by 0.22%.

How much will my tax bill increase?

Assessed Value: $63,000Market Value: $620,700Taxes: $12,607

Assessed Value: $61,727Market Value: $581,200Taxes: $12,379

2012-13

2013-14

Decrease of ($228) or (1.81%) Assumes value of home tracks according to trend in the Town of Lewisboro

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Budget Summary Addresses RTI and APPR requirements Increased staff development opportunities Reflects staffing reductions Maintains course offerings Maintains extra curricular programs Integration of technology in

teaching/learning Continues bus replacement cycle Increases funding for safety and security Proposed budget: $114,879,543 Budget-to-budget percentage increase:

1.67%

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PropositionsProposition Number 1 (The Budget)RESOLVED, that the 2013 – 2014 budget, be and the same is hereby adopted for the appropriation of the necessary funds to meet the estimated expenditures, and authorizing the levy of tax of and for said Katonah Lewisboro Union Free School District, Westchester County, New York as set forth in the detailed statement of expenditures, which will be required for school proposed and estimated direct expenses for the ensuing year, in the amount of $114,879,543. Said budget is within the tax cap limitations established by the State of New York in June 2011.

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Proposition Number 2 Bus Replacement

RESOLVED, that the Board of Education of the Katonah-Lewisboro Union Free School District, Westchester County, New York, is hereby authorized to purchase and pay for twelve (12) seventy-eight (78) passenger school buses at a cost of approximately $138,275 each; and one (1) wheelchair accessible van at a cost of approximately $65,000; for a total cost not to exceed $1,724,300 which sum shall be raised by a levy on the taxable property of the School District and collected in annual installments as provided in Section 416 of the Education Law, and in anticipation of such tax, issue obligations of the School District.

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Katonah-Lewisboro School District

May 9, 2013 Public Budget Hearing

May 21, 2013 District Budget and Board of

Education Vote

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Katonah-Lewisboro UFSDBudget Vote

andBoard of Education

ElectionMay 21, 2013