WPCNR SCHOOL DAYS. By John F. Bailey. January 15, 2009: In an unprecedented promise, Fred Seiler, Assistant Superintendent for Business, told an audience of 100 persons at tonight's Community Forum on the budget that the district was not going to do a roll over budget plus increases for 2009-2010. He promised the district would be looking to keep the budget at this year’s number: $184.4 Million. This would necessitate a $9.2 Million cut in spending, based on Seiler's estimate of a 5% increase to continue at the present spending level.
Outgoing Superintendent of Schools, Timothy Connors, addressing over 100 residents at the Community Forum on the school budget Thursday night. Mr. Connors successor has been chosen, but the Board of Education did not reveal the identity of the new Superintendent or that they had accepted last night.
WPCNR has also learned from a member of the Board of Education that a new Superintendent of Schools to shepherd the district after June 30 has been chosen by consensus by the Board and that person will be announced to the media Friday according to Michele Schoenfeld, Clerk to the Board of Education.
The candidate has accepted and the money has been preliminarily agreed upon. No one WPCNR talked with would reveal the identity of the new superintendent choice. Persons familiar with the choice said all 4 of 5 of the finalists had excellent financial backgrounds and were outstanding candidates.
Superintendent of Schools Timothy Connors said he had not had a role in reviewing the candidates, but expected to work with the new hire after they join the district. Next in the process will come site visits by the Board to the new superintendent’s district, and vice versa. WPCNR was told by our Board source that the money had been “worked out.”
Assistant Superintendent for Business, Fred Seiler announced the budget policy goal in his opening remarks, briefing slightly over 100 citizens at the first Community Forum on the budget at White Plains High School. Seiler confirmed WPCNR projections on the budget saying if the budget was rolled over it would increase 5%, or $193.6 Million. WPCNR had predicted at the district average 6.4% rise over the last 11 year, $196.3 Million.
Seiler detailed cut after cut in anticipated district revenue loss, painting a gloomy picture of lost state aid amounting to $4 Million-plus , and additional debt service of $1.7 Million. The projected shortfall has prompted the district to set a no-increase goal for this year.
Though Seiler did not mention what a roll—over figure would be. His estimate of "about 5%" of $184.4 Million would work out to $9.2 Million and that would total $193.6 Million. Average increase in the school budget the last 11 years has been 6.4%, as WPCNR has noted in past articles.
Donna McLaughlin said that the anticipated increase in the White Plains Teachers contract had been “figured in,” despite the contract negotiations being in mediation at this time.
The Pressures
Seiler said that the anticipated aid cuts including the new debt service related to the capital project to be put out for financing shortly would create a 9.3Million shortfall, (if, mind you the governor’s education cuts for 2009-10 is not changed).
Seiler told WPCNR, two legislator he talked to said they did not expect those cuts to be changed.
Seiler added that assessments and equalization rates had not been set and it was too early to tell that impact.
However, the preliminary assessment roll figure did come out January 1 is in and it is $288.4 Million, resulting in a shortfall in the levy, if it holds at that level. In order to keep the budget where it is, the budget has to be cut an additional $1.7 Million down to $182.7 Million to avoid a $7 increase in the tax rate.
Certioraris Forever
Seiler also predicted school liability for $8 to $10 Million in certiorari refunds in 2009-2010 and going forward “annually,” giving no indication when the certiorari drain will stop. This certiorari debt payment was apparently not figured into the cuts, or did not appear to be, but may be. How that debt would be paid was not addressed last night.
It is worthwhile for school board members and the newly chosen Superintendent of Schools to note, that the new 2008 White Plains equalization rate of 2.75, last year’s was 2.74. This is the magic number that drives certiorari filings. It portends a wave of repeat certioraris in the years ahead from big name successful cert filers of the past. If that comes to pass, it could mean dire problems for the city and the school district and ultimately the tax payers, unless of course the state, or someone legislates a freeze on certiorari filings.
Seiler has reported previously that the $8 Million in certs for 2009-2010 will go out for financing with the capital project bond since interest rates are at their lowest point in years.
STAR Mayhem Revealed
Additonally, Seiler said the Governor’s 2009-2010 budget included a further 10% STAR reduction for each homeowner. The Department of Real Property Services reports that the reduction included in the Governor’s budget actually is more than that for BASIC (under 65 Homeowners) and ENHANCED STAR homeowners (over 65), it is 18%. This will cost each White Plains BASIC taxpayer $300, and each ENHANCED Star Recipient, $596 in taxes from the start. Seiler mentioned also that the STAR Rebate up to $1,000 has been eliminated in the Governor’s new budget.
Things may not be as dire as painted last night, if the state legislators throw out the Governor's cuts and President-Elect Barack Obama shoots massive billions in aid to New York State as a green tourniquet for New York as a financial disaster area, wiping out the state $15 Billion deficit in one swoop.
Seiler said the Governor has proposed a decrease in state aid to the district of $2 Million (taking away last year’s increase in state aid 75% of which was actually paid for by White Plains taxpayers thanks to the legislature stealth STAR Exemption cut of 10%. WPCNR reported this last April. In fact WPCNR told the School District about this cut at the time.
Give us Your Ideas for Cuts
With this as a gloomy background the 100 residents of White Plains arriving on the snowy night were then given a chance to weight in with suggestions for cuts. Theresa Niss gave the group their marching orders and each table was asked to give the district their ideas on how the budget would be cut.
The Superintendent said the district wanted the attendees ideas on how to cut the budget and what areas should be cut. Two 20-minute lightning-round discussions were held at each table to discuss the following issues:
The First 20-minute Lightning Round Questions the respondents were asked were:
1. What are the programs and/or services the school district should cut or eliminate?
2. What are some other ideas that would generate cost savings within the school district?
3. With less revenue, what can the district do without?
The Second 20-minute Lightning Round Questions respondents were asked to comment on were:
1. What areas of personnel (staffing) can be reduced or eliminated?
2. In what areas can class size be increased?
3. How could we generate additional revenue?
After each session, Superintendent of Schools circulated among the tables reminiscent of Jerry Springer asking a spokesperson from each of the tables to give one suggestion. The suggestions were written up on large easels at each table. They will be tabulated and e-mailed to participants.
Suggestions were written on easels at each table. They were collected and will be e-mailed to participants prior to the next Community Forum on February 25.
Wrapping up the evening, it was said that the Board and administrators would be looking at the suggestions and using it to craft a budget, apparently no larger than $184.4 Million. The new budget would be presented February 25 again at the high school with the district decisions for public comment.
The primary announced suggestions were cutting benefits, cutting personnel, cutting administration, a long-range budget cutting plan, expanding class sizes, cutting transportaion. But this is not an all-inclusive list.
