BUDGETARY OVERVIEW OF 2007-2008 BUDGET

DEVELOPMENT

March 12, 2007Board of Education Meeting

2007-2008 SCHOOL BUDGETSignificant Budgetary Considerations

1. Impact of Tax Certiorari Claims/Settlements

2. Changes in Assessed Valuation3. Transportation

1. BOCES and purchase of replacement buses, or Bid for new service

4. Incarcerated Youth1. Increase in allocation/increase in

resulting state aid

2007-2008 SCHOOL BUDGETSignificant Budgetary Considerations5. Health Insurance Increases6. Salary Increases7. Retirement Cost Increases8. Workers Compensation/Liability

Insurance Cost Increases9. High School Tuition Increases

2007-2008 March 6, Draft # 1 Budget$22,284,194

The Initial Draft Budget provides for: Budget to Budget Increase of 9.28% Projected Tax Rate Increase:

With Tax Certiorari Claims:Greenburgh 18.72%

Mt. Pleasant 18.20% Without Tax Certiorari Claims:

Greenburgh 7.50%

Mt. Pleasant 7.03%

2007-2008 March 12 Draft # 2 Budget$21,830,565

Draft # 2 Budget dated March 12, 2007 provides for: Budget to Budget Increase of 7.05% Projected Tax Rate Increase:

With Tax Certiorari Claims:Greenburgh

16.34%

Mt. Pleasant15.83%

Without Tax Certiorari Claims:Greenburgh

5.35%

Mt. Pleasant4.88%

Tax Rate Comparison 2007-2008 Budget Development

School True Value Taxes onDistrict Tax Rate $500,000 Index

1 19.08 $9,540 2.6910 15.75 $7,875 2.2220 14.64 $7,320 2.0630 12.46 $6,230 1.7540 10.56 $5,280 1.4945 8.78 $4,390 1.24

Pocantico 7.10 $3,550 1.00

2007-2008 Mandated Budget Items Vs. Non Mandated Budget Items

Mandated, $20,849,598

93.56%

Non Mandated, $1,434,547

6.44%

2007-2008 Draft Budget # 1Mandated 93.56% Non Mandated 6.44%

$22,284,145 Mandated and Contractual:

Cost Increases in this category include:Mandated Non

Mandated Salaries $ 6,610,280 $ 609,910 Equipment $ 15,000 $ 91,555 Contractual $ 4,518,014 $ 383,986 Supplies $ 291,120 $ 150,973 Tuition $ 4,979,511 $ -0- BOCES Services $ 1,943,472 $ 144,671 Incarcerated $ 2,448,249 $ -0- Total $20,849,646

$1,434,547 93.56%

6.44%

Tax Certiorari and Assessment Changes A Tax Certiorari Changes Comes About as a

Result of Commercial Property Owner Claim That Their Property Assessment is Too High, and Therefore Their Tax Bill is Too High.

Court Ordered Judgments to Reduce The Assessment of A Commercial Property, Plus Refunds of Taxes Overpaid in Prior Years Affects the School Tax Rate Negatively.

March 12, 2007 Possible Budget Deletions From Draft # 1

A1010-BOARD OF EDUCATION Page 2400-CONTRACTUAL EXPENSES $ 3,205

Consultants, in district travel

A1240 – SUPERINTENDENT Page 3200 – Equipment $ 3,000

A1620- CENTRAL SERVICES Page 7200 –Equipment $ 3,200400 – Fuel Oil $ 30,000400-Contractual Expenses $ 53,000

$ 86,200

March 12, 2007 Possible Budget Deletions From Draft # 1

A2110 – TEACHING REGULAR SCHOOL Page 10

120-Teacher Salary 1-5 $ 58,559

130-Teacher Salary 6-8 $ 50,000

200-Equipment $ 25,935

400-Contractual $ 31,520

450-Materials & Supplies $ 50,000

480-Textbooks $ 15,000

$ 231,014

March 12, 2007 Possible Budget Deletions From Draft # 1

A2250- STUDENTS WITH DISABILITES Page 11150-Instructional Salary $ 5,000400-Contractual $ 4,330450-Materials & Supplies $ 1,000 $ 10,330

A2610-SCHOOL LIBRARY & AV Page 12400-Contractual $ 1,180

A2630-Computer Assisted Instruction260-Computer Hardware $ 5,000450-Materials & Supplies $ 5,000460-Computer Software $ 5,000490-BOCES SERVICES $ 93,000 $109,180

March 12, 2007 Possible Budget Deletions From Draft # 1

A2800-PUPIL PESONNEL SERVICES Page 13200-Equipment $ 700400-Contractual $ 1,000450-Materials & Supplies $ 4,000460-Computer Software $ 3,000 $ 8,700

A2855-INTERSCHOLASTIC ATHLETICS Page 13450-Materials & Supplies $ 1,000 $ 1,000

A7142-AFTERSCHOOL PROGRAM Page 15460-Computer Software $ 1,000 $ 1,000

TOTAL $453,629

Assessed Valuation

Mt. Pleasant Greenburgh

2003-04 16,715,484 41,933,416

2004-05 16,631,073 41,723,576

2005-06 16,248,572 40,879,798

2006-07 15,870,156 40,827,504

2007-08 est. 15,274,065 35,001,691

06-07/07-08

Change (596,091) (5,825,813)

Tax Rate Impact: 11.22% 11.17%

Assessed Valuation Mt. PleasantBefore Changes Affecting 2007-2008

Mt Pleasant

15,200,000

15,400,000

15,600,000

15,800,00016,000,000

16,200,000

16,400,000

16,600,000

16,800,000

2003-04 2004-05 2005-2006

2006-2007

2007-2008

Mt Pleasant

Assessed Valuation Mt. PleasantAfter Tax Certiorari Claim Settlements

Decrease of $596,091

Mt Pleasant

14,500,000

15,000,000

15,500,000

16,000,000

16,500,000

17,000,000

2003-04 2004-05 2005-2006

2006-2007

2007-2008

Mt Pleasant

Assessed Valuation – Greenburgh Before Changes Affecting 2007-2008

Greenburgh

39,000,000

39,500,000

40,000,000

40,500,000

41,000,000

41,500,000

42,000,000

42,500,000

2003-04 2004-05 2005-2006

2006-2007

2007-2008

Greenburgh

Assessed Valuation – GreenburghAfter Tax Certiorari Claim Settlements

Decrease of $5,825,813

Greenburgh

30,000,000

32,000,000

34,000,000

36,000,000

38,000,000

40,000,000

42,000,000

44,000,000

2003-04 2004-05 2005-2006

2006-2007

2007-2008

Greenburgh

Contingency Budgets

Single revote: Upon the defeat of the original proposed school budget, a district may resubmit the original budget, submit a revised budget, or adopt a contingency budget. If the voters fail to approve the budget upon the second vote, the district must adopt a contingency budget. Expanded definition: Interscholastic athletics, field trips, other extracurricular activities, and related transportation expenses are contingent expenses.

Contingency Budgets

Administrative cap: The administrative component of a contingency budget will be limited to the lesser of: 1) the percentage of the administrative component in the prior year’s budget or 2) the percentage of the administrative component in the last defeated proposed budget. Cap on total spending: Total spending under a contingency budget may not increase by more than 120 % of national CPI or 4.00%, whichever is lower. For 2007-08 the cap is 3.84 %.

2007-2008 Contingency Budget

How the contingency/austerity budget cap is calculated:

2006-2007 Adopted Budget $19,916,971 Less Debt Service $

( 489,309) Adjusted Base Year Budget $19,427,662

2007-2008 Contingency Budget

How the maximum contingency/austerity budget cap is calculated:

Adjusted Base Year Budget $19,427,662 Adjusted Budget x 120% of CPI 3.84%

$20,173,684 Debt Service $ 538,175 Growth Related Expenditures $ 726,925 Maximum Contingency Budget $21,438,784 Required Budgetary Cuts $ 391,781 Projected Tax Rate Increase:

Greenburgh: 15.91%Mt. Pleasant: 15.40%

Possible Areas of Expense Reduction

Summer Camp/Swim Program Student Supplies Community Use of Buildings and Grounds Certain Equipment Software Staff Technology Overtime Field Trips

Tax Rate Table

BUDGET AMOUNT IMPACT ON TAX RATE$ 100,000 .67%

$ 148,000 1.00%

$ 250,000 1.68%

$ 500,000 3.35%

$ 770,000 5.16%

$ 1,000,000 6.73%

BUDGETARY OVERVIEW OF 2007-2008 BUDGET DEVELOPMENT