School district embarks on next year's budget season

PINE PLAINS — Revenue numbers, or the lack thereof, were the subject of Pine Plains’ first budget workshop of the season, held last Wednesday, Jan. 27, in the Stissing Mountain High School library’s conference room.

Michael Goldbeck, assistant superintendent for business and finance, presented the Board of Education (BOE) with an outline of how revenues will shape the 2010-11 school year budget, and how the uncertainty of state aid will factor heavily into the district’s budget-making process.

Gov. David Paterson’s recent budget proposal included significant cuts to state aid. In Pine Plains, state aid accounted for 27.1 percent of the 2009-10 budget, and the governor’s cuts, which would total over $1.1 million in state aid reduction for the school district, represents more than 4 percent of last year’s total budget, which was roughly $26 million.

Each year is increasingly more difficult for school districts in the county and state, according to the BOE. The trend, as Goldbeck illustrated with a series of charts, has been that state aid to the district has remained the same over the last few years while operating budgets have increased.

“The state continues to see Pine Plains as a wealthy district,� he explained. “That’s the issue we’re facing.�

The Pine Plains district will suffer the most significant state aid cuts under the governor’s proposal in the county (at almost a 16 percent reduction, it’s nearly 4 percent more than the second worst, Webutuck). Goldbeck said the problem is  that property values have increased some $200 million in 2007, while school district enrollment has decreased.

It was suggested that people who primarily reside in New York City are claiming Pine Plains as their primary residence in order to vote in Dutchess County, where their individual votes would have more impact in a smaller community.

“It’s a very challenging situation,� Goldbeck acknowledged. The state’s revenue numbers, as they relate to the amount of state aid Pine Plains would be receiving, might not be available until after the April 1 deadline for the school district to present a budget for voter consideration. In that case, the budget would have to use the governor’s proposal, largely considered to be a worst-case scenario for the district.

“Various media reporters have quoted [members of the state Legislature] as saying the governor’s budget is dead on arrival,� district Superintendent Linda Kaumeyer said, adding the district will be preparing itself for the worst.

Another point to consider is the possibility that the budget could be voted down by district residents. If that were the case, as it was two years ago, the Consumer Price Index (CPI) would dictate a 0 percent increase under a contingency budget, Goldbeck said.

Now that the budget season is officially underway, reports will be given to the Board of Education at its regular meetings, and budget workshops will continue to be held on a monthly basis.

The next workshop is scheduled for Feb. 24 and will focus on district expenditures.

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