HALF HOLLOW HILLS SCHOOL DISTRICT of Huntington and Babylon
2014-15 Budget Preliminary Overview February 10, 2014 Budget Workshop
Budget Overview - Preliminary $228,254,916
$234,400,000*
* Estimated as of February 7, 2014; final proposed budget figure will differ.
$6 million year-over year $ increase* 2.7% year-over year % increase* 2.63% property tax levy cap increase*
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2014-15 Budget – Preliminary Overview as of February 10, 2014
2014-15 Expenditure Drivers BUILDING CLOSURES SALARIES PROPERTY & LIABILITY INSURANCE BENEFITS TRANSPORTATION EQUIPMENT
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Expenditure Drivers BUILDING CLOSURES SALARIES PROPERTY & LIABILITY INSURANCE BENEFITS TRANSPORTATION EQUIPMENT
• Closing two elementary buildings will save $3 million in salaries, as follows:
▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪
Clerical (4) Food Service (6) Monitors (18) Paraprofessionals (10) Custodians (6) Security (2) Nurses (2) Librarians (2) Math Specialists (2) Reading Specialists (2) Physical Education Teachers (1.5) Art Teachers (1.5) Music Teachers (2) Psychologist (1)
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Expenditure Drivers BUILDING CLOSURES
• Salaries comprise over 50% of the total
• SALARIES PROPERTY & LIABILITY INSURANCE BENEFITS
•
•
budget Budget projections based off of employee contracts Employee contracts expiring as of June 30, 2014: ▪ Teachers ▪ Administrators When an expired contract exists, budget projection for that bargaining unit is based on status of negotiations and remains confidential
TRANSPORTATION EQUIPMENT
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Expenditure Drivers BUILDING CLOSURES SALARIES PROPERTY & LIABILITY INSURANCE
• Insurance policies carried by the District: ▪ General Liability ▪ Property ▪ Vehicle ▪ Crime ▪ Boiler/Machinery ▪ Excess ▪ Student Accident - optional • Most policies through the New York
BENEFITS
•
TRANSPORTATION
•
Schools Insurance Reciprocal (NYSIR) Projected increase of 5% on all policies other than Student Accident Student Accident policy projected increase of 15% (actual increase of approximately $15,000)
EQUIPMENT
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Expenditure Drivers BUILDING CLOSURES SALARIES PROPERTY & LIABILITY INSURANCE BENEFITS
• ERS (for civil service employees) ▪ Employee Retirement System ▪ Mandated by law ▪ ERS provided an anticipated blended ▪ ▪
• TRS (for NYS certified employees)
▪ Teachers Retirement System ▪ Mandated by law ▪ TRS provided an anticipated employer
TRANSPORTATION EQUIPMENT
rate of 20.1% of salaries Rate decrease of 3.8% 25% of total payroll made up of ERSeligible employees
▪ ▪
contribution rate range of 17.25% to 17.75% of salaries Rate increase of over 9% 75% of total payroll made up of TRS-eligible employees
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Expenditure Drivers • Health Insurance ▪ Empire/NYSHIP rate increases
BUILDING CLOSURES 14%
Family
12%
Individual
10%
SALARIES
8% 6% 4%
PROPERTY & LIABILITY INSURANCE
2% 0%
2010
2011
2012
2013
2014
2013
2014
▪ HIP rate increases BENEFITS
12% 10%
8%
TRANSPORTATION
6% 4% 2%
EQUIPMENT
0%
2010
2014-15 Budget – Preliminary Overview as of February 10, 2014
2011
2012
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Key Expenditure Drivers BUILDING CLOSURES
• Two types of transportation, same level of
SALARIES PROPERTY & LIABILITY INSURANCE
•
BENEFITS TRANSPORTATION
• EQUIPMENT
service and expectations: ▪ District-owned/operated buses ▪ Contracted buses ▪ 66 and 72 passenger buses ▪ 3 and 4 hour regular and wheelchair vans ▪ Matrons Contracted buses through Educational Bus Transportation ▪ Board-approved three-year contract extension ▪ Increase of 3.0% or CPI, whichever is lower Budget projection provides for flexibility in routing related to building closures
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Expenditure Drivers BUILDING CLOSURES
• Equipment budgeted for 2014-15 at same SALARIES
•
PROPERTY & LIABILITY INSURANCE
infrastructure
BENEFITS TRANSPORTATION EQUIPMENT
dollar level as current year Main areas where equipment is needed: ▪ Technology – instructional and
•
▪ ▪ ▪ ▪ ▪
Fine Arts Athletics Physical Education Special Education Facilities 2014-15 budget includes the purchase of three new 72-passenger buses
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Revenue Drivers STATE AID PILOTs
PROPERTY TAX LEVY
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Revenue Drivers • Governor’s Executive Budget released January 21st
STATE AID
▪ General operating aid (Foundation Aid) ▪ ▪ ▪
remains flat BOCES aid higher due to additional expenses in this area Building aid – misstated in Governor’s budget due to exclusion of interest rate recalibration being conducted by the State Gap Elimination Adjustment (GEA) “shrunk”
PILOTs
PROPERTY TAX LEVY
• Governor’s Executive Budget provides •
for $26.38 million in Aid for HHH (1.6% increase) Anticipate Legislative approved budget by April 1st
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Key Revenue Drivers • Payments In Lieu Of Taxes negotiated through two entities: ▪ Town of Babylon Industrial Development Agency (IDA) ▪ Suffolk County Industrial Development Agency (IDA) • District has no authority in approving or denying an IDA agreements Town of Babylon IDA: 30+ agreements Suffolk County IDA: 3 agreements Awaiting information from both IDAs on their projections for 2014-15
2014-15 Budget – Preliminary Overview as of February 10, 2014
STATE AID PILOTs
PROPERTY TAX LEVY
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Key Revenue Drivers • Property Tax Levy Cap formula • HHH projected calculation = 2.63% •
STATE AID
increase Formula components finalized:
Tax base growth factor (1.0031) CPI (1.46%) No TRS exclusion No ERS exclusion
PILOTs
PROPERTY TAX LEVY
• Formula components tentative: PILOTs Capital expenditures
2014-15 Budget – Preliminary Overview as of February 10, 2014
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Where We Stand Now… 2014-15 Projected Revenue* Property Tax Levy State Aid Use of Fund Balance & Reserves PILOTs
$ 192,653,926 $ 26,380,000 $ 9,500,000 $ 3,125,831
2.63% increase estimated 1.6% increase flat to current year flat to current year
Miscellaneous
$
flat to current year
Total projected revenue
$ 233,401,757
2014-15 Projected Budget*
$ 234,400,000
1,742,000
* Estimated as of February 7, 2014
2014-15 Budget – Preliminary Overview as of February 10, 2014
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