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BOE examines 2021-22 proposed BOCES, Webutuck budgets

WEBUTUCK — With 2021-22 budget planning underway, the North East (Webutuck) Central School District Board of Education (BOE) turned its attention over to presentations by the Dutchess County Board of Cooperative Educational Services (BOCES) School Business Official Matt Metzger and Webutuck Business Administrator Robert Farrier on Monday, March 15, to get a glimpse at next year’s budgets.

The meeting was held via Zoom due to the COVID-19 pandemic.

BOCES Budget

Metzger broke the proposed BOCES budget financial structure into three major categories: programs and services, capital and rentals and administrative. He reminded the BOE that BOCES doesn’t have a fund balance at the end of the year.

“We close our books, we take our revenues and our expenditures and then the amount that’s left over,” he said, “and hopefully it is a positive surplus that goes back to the school districts.”

Metzger highlighted the challenges BOCES has faced in this year’s budget development, noting BOCES must continue to offer programs and services that are cutting edge and meet the districts’ needs while remaining cost effective. Additionally, he reported that, by law, BOCES retiree health insurance costs must be paid through the administrative budget, and that nearly 70% of the administrative budget is retiree health insurance costs.

To date, the proposed 2021-22 administrative budget for BOCES has been calculated at $7,051,000, indicating a 2.36% decrease from last year’s budget. 

Marking a 20.10% decrease from last year, the proposed capital budget for next year totals $1,154,489. Next year’s administrative and capital billings for Webutuck have been calculated at $98,872, indicating a $380 decrease from last year.

Responding to component requests, he highlighted the new programs planned for next year, including a career exploration program at the Career & Technical Institute, a proposed Center of Educational Equity and Social Justice, a shared data privacy specialist and a proposed Center for Sustainability and Climate Education.

Come Tuesday, April 27, Metzger said the component Boards of Education will vote on the administrative budget and BOCES Board members; final service requests will be due to BOCES by Friday, May 7. 

This year’s BOCES Board member nominees include Marie Johnson and Robert Rubin from Wappingers; Richard Keller-Coffey from Webutuck; Edward McCormick from Arlington; and Karen Smythe from Red Hook. BOCES Board seats are for three-year terms, starting July 1 through June 30, 2024.

Webutuck budget

Kicking off his first presentation on the 2021-22 budget development process, Farrier referenced the 2020-21 adopted budget and tax levy, which totals $23,909,545 while the tax levy comes to $15,600,509. Next year’s rollover budget comes to $24,583,227, marking an increase of $673,682 (or 2.8%) from last year’s budget. In addition to contractual salary obligations and district benefits, Farrier remarked that the rollover budget includes changes to special education out-of-district placement, changes to BOCES and debt service.

Farrier reported the 2020-21 allowable tax cap is 4.2% (or $661,780), which he said is the allowable tax cap levy “once you take into consideration and put it into the formula and you’re allowed to exclude capital debt payments, BOCES capital debt payments and transportation.” 

That would equate to a levy of $16,262,289, and Farrier said the BOE will be looking at lower options while still keeping services constant.

Looking at the tax levy calculation, Farrier projected the district’s revenue sources and how state aid is the second largest component other than the levy itself, though he stressed that “it’s the unknown” factor in the budget process. Altogether, the amount to fund the rollover budget comes to $16,208,928.

Factors that the BOE still needs to consider include the unknown medical costs, identifying efficiencies and reductions and if there will be any anticipated increase in the town of Amenia’s overall assessment from development. 

Farrier said the BOE has the option of keeping the district’s programs as they are with some small additions and a 4.2% tax levy, or keeping the programs as they are by finding efficiencies and reductions and a 3.90% tax levy. A levy any less than the above options, he said, will have serious implications to services and staff. Stressing that this is an initial budget presentation, Farrier said the district will be able to pinpoint revenue once it knows more details.

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