Sewanhaka Central High School District administrators made an initial presentation on the 2013-14 budget at the Tuesday night Sewanhaka school board meeting, projecting a 4.5 percent increase of $7.57 million to $174.6 million from the current budget of $167 million to maintain all existing programs and personnel in the district.
At the outset of the presentation, Sewanhaka Superintendent of Schools Ralph Ferrie said the school board would need to cut $3.4 million from the budget to comply with the state-mandated tax cap. He it would become increasingly difficult to keep district programs and personnel in place to stay with the cap.
“I stand here very concerned about maintaining the outstanding programs in our district and our outstanding staff,” Ferrie said. “It’s going to become more and more challenging as we go forward.”
Based on a budget maintaining the status quo year-to-year, the district tax levy would rise $7.6 million to $137.3 million – a 5.9 percent increase from its current level of $129.6 million. Maureen Kenney, assistant superintendent for finance & operations, said the 2013-14 tax levy would be limited to a 3.28 percent increase to $133.88 million to remain in line with the state tax cap formula.
Ferrie presented a list of potential areas for budget cuts that included staff reductions of 20 to 25 teaching positions, cuts in administrative staff, cuts in clerical staff and a reduction among teaching assistants. Revision of existing district programs and increased class sizes were also on the district administration’s list of potential impacts from needed budget cuts.
He said staff reductions would be addressed first through attrition. Kenney said five staff retirements are anticipated thus far.
All staff salaries will rise by 2.4 percent to $98.6 million in 2013-14 from $96.2 million in the current year. Employee benefits will rise 13.9 percent to $43.6 million from $38.2 million. Kenney said the teachers retirement system rate would be 16.25 percent in 2013-14, a 37 percent increase over the 11.84 rate in the current school year.
In 2011, the Sewanhaka Federation of Teachers agreed to a zero salary increase in the 2011-12 school year, foregoing a 2.95 percent increase that saved the district an estimated $2.1 million and as many as 50 teaching positions. In exchange, they received a two-year extension of their existing contract through the 2013-14 year, with 1.25 percent salary increases this year and next year.
Support staff also accepted a zero salary increase last year, with reduced increases of 1.5 percent in two succeeding years. Administrators, including district principals and assistant principal, accepted salary cuts from flat increases of $3,000 to $1,500 last year.
Board Trustee David Del Santo said school districts that have stressed financial efficiency are disadvantaged under the state tax cap.
“This is very sobering. This is very disappointing,” Del Santo said. “The lean, efficient districts are not being rewarded.”
The Sewanhaka district is currently ranked 54th among the 57 school districts in Nassau County in cost per student at $17,800 per student. There are currently 8,333 students in the district, which Ferrie said is projected to decrease to 8,156 students next year. The number of students enrolled in New Hyde Park Memorial High School, now at 1,716, is expected to drop to 1,614 next year. There are 564 teachers in the district, according to figures provided by the district personnel & administration office.
“We’ve been penalized for the efficiencies we’ve realized over the years,” said Board President Jean Fichtl.
Kenney said the district administration is projecting a 3.5 percent increase in aid from the state education department next year, to $27.16 million from $26.24 million in the current year. Financial assistance from local sources, primarily BOCES, are expected to drop 37.7 percent to $1.65 million next year from $2.64 million this year.
She estimated the district would need to earmark $200,000 to cover the cost of property tax appeals that would reduce district tax revenues. She noted that a lawsuit is still pending challenging the county government’s decision to abandon the county guarantee that previously obliged the county to cover shortfalls in property taxes.
“That sword is still sticking out there,” Del Santo said.
