Tuckahoe Common School District

1. Tuckahoe Common School District 1- Property Tax Levy Cap Impact 2- 2012-2013 Budget

2. Property Tax Cap: A change in the conversation In the past The new paradigm Tax levy increases Property Tax Levy Cap is on the levy increase (2% or CPI whichever is lower) beginning in 2012-13 Allows for exemptions beyond the 2% • Budget to budget increases • Contingency Cap / Budget • Tax rate increases from year to year

3. Property Tax Cap Facts • Stays in affect until 2016-17 • Allows for exemptions that could go beyond the 2% • Is a “soft” cap not a “hard” cap – does not relate to the increase in taxes that you will pay individually • Changes the 50.1% majority to a 60% super-majority for all budgets over the maximum property levy limit • If the budget proposal is not approved by the required margin, after two attempts, the Board of Trustees must adopt a budget that requires a tax levy no greater than that of the prior year (0% increase in the tax levy)

4. Property Tax Levy Limit Calculation 15,815,008 X 1.0039 + 29,000 - 383,400 = 15,522,286 X 1.02 - 29,000 + 401,640 = 16,205,372 Prior year tax levy X Tax base growth factor, if any + PILOTS receivable - Taxes levied for exemptions, prior year = Adjusted Prior Year Tax Levy X Allowable levy growth factor (lesser of 2% or CPI) - PILOT for coming year + Available carryover, and any exclusions = “Tax Levy Limit”

5. QUESTIONS ??????

6. Budget Planning Questions • What are the priorities for learning. • How do we efficiently align the resources with learning needs. • How do we effectively implement long term fiscal responsibility and communications. • How do we address rising health care and personnel costs.

7. Challenges Affecting Budget Planning • Increased academic expectations • Increasing tuition, health, and retirement costs • Increases in state mandates for CSE and CPSE • Most ambitious reform agenda from NYSED in decades • Incur additional requirements for teacher training, RTTT, ESL and CSE • Technological Assessments/Instruction • Imposition of a Property Tax Levy Cap • Weary tax base: homeowners bear the primary tax burden • Falling house prices and assessed values • End of Federal Aid (AARA, Jobs Stimulus)

8. Our Budget Planning Reflects: • A learning environment for all. • A proposed budget to include the following: • Class sizes of approximately 20 students/class at all grade levels • Full day pre-kindergarten • Maintain art, music, and technology programs • Special Education services to support learning and speech • ESL intervention that include Language Literacy Intervention • Science curriculum integrated into the General Education Classroom • Produce a budget that will establish a property tax level below property tax levy cap mandates.

9. Budget Planning Reflections (con’t) • The 2011 assessment value of Tuckahoe property. • Decrease in educational services. • Changing non-resident funding (Seneca Falls) formula costs • Service for unfunded mandates from the State/Federal Governments

10. Budget to Levy Increase/Decrease

11. Budget HistoryEfficient/Effective Changes 2011-2012 Reduction of part-time music teacher Reduction of 1 regular education teacher Reduction of 1 part-time monitor Consolidation of Technology and Tech Ed Teacher Reduction of FLES Teacher Reduced Employer share of health insurance through contract negotiations Eliminated AIS cost while keeping program • 2010-2011 • 2 Special Education TA’s • 1 Special Education Teacher • Reduction in Technology Improvements • Teaching Assistants for Grades 2,3,4,5

12. School Year 2012-2013 Respects Each Program as a Priority 2012-2013 Roll Over Budget $18,025,029 2012-2013 Proposed Roll Over Budget Levy Increase 4.839% Efficient/Effective Reductions to Stay Under the Cap 2012-2013 Proposed Budget Levy Increase 2.184% 2012-2013 Proposed Budget $17,605,210 Reality Change between Roll Over Budget and Proposed Budget shows a decrease of $419,818 Programmatic reductions for school year 2012-2013

13. Program changes reflected in 2012-2013 Proposed Budget • Budget items that have been removed or are above the 2.47% include the following:

14. The Property Tax Caps Real Story We cannot keep up with the increasing costs and stay under the cap! * *This change/percentage is based on 2011 CBA agreement that provides short term financial relief. Long-term projections are 7-9% annual increase.

15. Tuition Costs and Choice Southampton HS Only Current HS Choices Westhampton HS Only Hampton Bays HS Only

16. Five Year Projection Summary • Real negative growth for our school • Year-to-Year reduction in future programs • The need to examine the alternatives if we want Tuckahoe Common School District to be Tuckahoe Common School District

17. Spending Projections for Next Five Years as a Surplus (Deficit)

18. Shortfalls Unless the Cap is Pierced

19. What are our Options?? • Attend a less expensive High School • Teach the 9th grade at Tuckahoe Common School District

20. What are our Options?? (con’t) • Research cost effectiveness of a Tuckahoe High School Grades 9-12 • Consider consolidation

21. Voting History 2009-2010 2011-2012 Voters approve budget by 8 votes YES – 165 NO – 157 This represents a 51.24% approval • Voters approve budget by 54 votes YES – 135 NO – 81 This represents a 62.50% approval • Voters approve budget by 19 votes YES – 212 NO – 193 This represents a 52.35% approval 2010-2011

22. Budget Forum Summary • We have one more year to plan for the maiden voyage of the Property Tax Cap Impact before we reach the iceberg. • We have a hard working Teacher and Administrative Staff that will work to route a safe course for your children. • We need your inputs to guide our efforts.

23. This is your Budget Vote on May 15, 2012 7 am – 8 pm We encourage you to vote!!!!

24. QUESTIONS ??????

25. “Some view our schools as burdens as if they were centers for problems. We view our schools as treasures and a citizenship obligation to support our children’s future” Anonymous Author