Published: April 01, 2009 11:40 pm      

School aid not enough for all

Area superintendents: N.Y. budget better, but tough choices remain

By Mark Boshnack

Staff Writer

Area school districts still face economic challenges, superintendents said Wednesday, despite the final state budget restoring funding cuts proposed by Gov. David Paterson.

The lack of increased funding in the largest state aid category over the next two budget cycles means difficult choices remain, administrators said.

The budget being finalized by the state Legislature includes education aid of about $21.9 billion in 2009-10, an increase of $405 million, or 1.9 percent, according to a media release from Paterson’s office.

This reflects the elimination of the $1.1 billion Deficit Reduction Assessment he proposed to balance the budget. That money is being offset by using federal stimulus funds in the American Recovery and Reinvestment Act.

When combined with federal economic recovery aid of $398 million for special education and remediation programs, support for school districts is expected to increase by $1.2 billion, he said.

Unadilla Valley

“The good news is that the proposed budget puts a lot of money back on the table,” said Unadilla Valley Central School Superintendent Robert Mackey. “But we have to be very careful.”

Most of the additional money is from federal stimulus funds, he said, including a restoration of a $437,000 cut to basic operating aid _ or foundation aid _ for the district.

Instead of a cut, all districts are expected to have foundation aid frozen for the next two budget cycles, during which the federal funds will be available.

The district will also see an increase of $199,000 in special education and remediation funding from the stimulus funds for 2009-10. Mackey said he is waiting for clear guidelines on how to use those funds.

The funding is expected to be received in time to finish the district budget before it is scheduled to be finalized April 21. Statewide, voters will decide on the spending plans May 19.

At the moment, the Unadilla Valley school budget calls for a tax levy increase of less than 4 percent, he said. He wants to keep the levy as stable as possible with future funding uncertain, he said.

“We will be able to avoid layoffs” he said, but about eight of 12.5 positions open because of resignations, retirements or reorganization will not be filled.

“My goal as superintendent has to be to cut expenditures to offset loss of revenue in the future,” when the stimulus funds run out, he said. “We are looking at a long-term plan to deal with the issue.”

A local state senator praised the education aid, though he called for more.

“Aid to education is one of the bright points in a bad budget,” said state Sen. James Seward, R-Milford. “By utilizing federal stimulus funds, we could eliminate the DRA and allow expense-driven aid (such as transportation and building aid) to flow.

“But there’s more work to do,” he added. While the federal funds are available, “we need to use the time to make some changes.”

Those changes, he said, include mandate relief to help schools with the expense side of the equation. He is asking school districts to identify state requirements that are “onerous and expensive,” he said, which could include the myriad of reports required by the state Education Department.

Walton

At Walton Central School, Superintendent Tom Austin said “we are very pleased” with the budget funding. When compared to Paterson’s proposal, it’s a considerable increase in revenue, Austin said.

This includes the elimination of the $473,000 deficit reduction cut as well as elimination of a proposed shift for preschool funding that would have cost the district about $50,000, he said. The district also expects to be able to use some portion of about $130,000 in federal money for special education and remediation funding, Austin said.

The district’s financial situation is helped by eight staff retirements, he said. While he was “sad” to see experienced people leave, the board will decide whether to replace staff with full- or part-time employees or cut the positions, he said.

The board will be considering a third budget draft at an upcoming meeting, he said, that will include a budget and tax levy hike in the low single digits.

“The next couple of years will be difficult, so we are doing what we can to reduce the costs or slow the increase,” Austin said. Those efforts include the possibility of stretching the time frame during which federal funds can be used, he said.

“We don’t want that big cliff” when the stimulus money is do to expire, he said.

Unatego

At Unatego Central School, with the cuts that have been made and the state revenue projections, “we will be OK,” said Superintendent Charles Molloy.

With several retirements, the district is looking at an additional layoff to help keep the tax increase below 3 percent, he said.

“The time I’m concerned about is down the road when the stimulus funds dry up,” he said. “If the economy does not turn around we will feel a real pinch.”