WPCNR SCHOOL DAYS. By John F. Bailey. February 8, 2010 UPDATED FEBRUARY 10, 2010(iTALICS): Layoffs of from 60 to 100 job positions would possibly be required according to WPCNR estimates to compensate for the projected $3.7 Million fall in the White Plains Assessment Roll revealed two weeks ago by the city. Without layoffs a tax increase of 8% (about $1,000 on a $650,000 h1ome in White Plains) would be required to keep the staffing where it is.
WPCNR calculates that even if the city school budget for 2010-11 stays at the 2009-10 level of $185.7 million, the district still faces the necessity of replacing $2 Million in revenue because the city assessment roll is projected to decline $3.7Million to $281.5 Million of Assessed Value.
If the school district wishes to maintain its current staffing numbers, the decline in assessments alone would require severe cost-cutting measures to fund approximately $5 Million in scheduled teacher increases in 2010-11.
The School District presents the second part of its 2010-11 Budget with the “Instructional” portion tonight at Education House at 7:30 P.M., 5 Homeside Lane. The Revenue projections will not be compared to expenses by the District until March 8.
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The assessment shocker comes from an estimate of the 2010 Assessment Roll provided the City Budget & Management Committee last week, where city budget consultant Eileen Earl Bradley submitted the estimate. (There was no one from the school district attending that committee meeting).
In addition, another complication is that the school district aid from the state is expected to decline $2 to 3.5 Million based on Governor David Paterson’s budget.
To replace just the revenue of about $ 2 Million, lost from the projected assessment roll decline, the district would have to enact a 4% property tax increase – if they keep the school budget at $186 Million (where it is this year). That 4% would raise the tax rate to $535/$1,000 of assessed valuation from the present $515.15, roughly raising the tax on a median priced home of $650,000 to $8,586, up about $600.
School Teacher Raises now in effect, Administrator Raises Now Being Negotiated Key Factor that May Trigger Layoffs.
However, the district negotiated a contract effective last June raising teachers’ salaries 5.5% in 2010-11 (including automatic “step” raises based on years of service and progress towards degrees). To maintain present staffing the school district has to find about $5 Million to pay those raises for its 641 teachers. If teaching staff, administrative staff (now negotiating salary increases), and teaching assistants remain at the same employment numbers, that $5 Million has to be found somewhere.
WPCNR estimates 60 to 100 terminations are needed to keep the school budget at the $186 Million level, or a massive influx of revenue needs to be found.
Terminations could come from administrative positions,(paid more than teachers and teaching assistants),or teaching assistants of which there are 297 (232 in the 5 elementary schools, 41 in the Middle Schools and 24 in the high school, according to Assistant Superintendent for Human Resources, Lenora Boehlert).
The Teaching Assistants are paid an average of $50,000 a year(figure includes salary and benefits). Full-time teachers are paid an average of $94,000 a year or first, second and third year teachers (untenured, B.A. only) earning $52,269, $54,173, and $56,144, respectively.
Should the district decide to fund the present teacher staffing next year, this would raise the school budget to $191 Million. To fund that, the district would require a 9% property tax rate increase to $560 per $1,000 of assessed valuation that would increase school taxes on the $650,000 home to about $9,000 (a $1,000 tax increase).
There is the problem though of how much state aid the school district will lose. If the present Governor Paterson plan that would eliminate $2 Million to $3.5 Million in state aid to White Plains goes into effect, the district would be faced with providing a tax increase to replace that, too, or eliminate programs.
Taxpayers will also pay more if the governor 18% STAR EXEMPTION is approved in the new 2010-11 state budget. The new tax rates projected here by WPCNR use the new 18% lower STAR Rates applied to an $18,475 assessed home.
Cutting some $6 Million in pay raises agreed to for next year that could mean the termination of as many as 60 to 100 employees (one means of cutting the budget)
To date the district has eliminated 6 positions on their operational budget totaling $59 Million, leaving some $126 Million to go in their attempt to keep the budget where it is at $186 Million. The School District unveils part of its Instructional Budget this evening, in the second phase of its budget-building process. The District is holding off showing the revenue side of the budget until March 8.
However, the projected assessment roll unveiled by city consultant Eileen Earl Bradley two weeks ago show the Assessment Roll decline $3.7 Million which would mean a drop of approximately $2 Million in revenue for the school district, in addition to anticipated loss of $2 to $3.5 Million in School Aid to the district.
Another factor that may drop the Assessment Roll lower than $281.5 million is that City Assessor, Lloyd Tasch, reported that there were 1,155 Assessment Challenges filed by the deadline of January 21, and 783 were residential owners. Both figures are all time records.
It should be emphasized that the $3.7 Million assessment roll decline is estimated at this time.
