By David Avitabile
SCHOHARIE - Faced with a budget gap of more than $300,000, Schoharie school officials are faced with some tough decisions as they finalize the 2025-26 budget.
Currently, the preliminary tax levy increase for next year is at 2.95 percent or $246,675, school business administrator David Baroody told school board members last Thursday.
The district is looking at a preliminary budget of $28,752,414. This would be an increase of 4.09 percent or $1,128,493 over the current spending plan, Mr. Baroody said.
The major reasons for the budgetary increase are tuition costs for students with special needs that are placed in alternative settings, and health insurance costs for both medical and prescriptions. The increased cost of employee benefits is up by $900,000 and the increase in debt service payments is up by another $450,000.
The continuation of the increased tuition costs for students with special-needs has seen an approximately $400,000 increase over the last two years, Mr. Baroody added. Over the course of the last two school years, the district saw a 50 percent increase of students who have moved into the district in need of outplaced special education services.
Superintendent David Blanchard said that the increase in special education costs has been "very significant" for the last two years. The costs have had a "detrimental impact on the budget," as the district has to meet the needs of all students.
Items to be finalized at this point include BOCES costs, health insurance and energy costs, student services cost, and public/private school tuition.
At this point in the budgetary process, the budget gap falls between $300,000 and $400,000, Mr. Baroody said.
The budget remains fluid in his numbers, he added. The gap will fluctuate as the district refines projections and explores potential adjustments.
Potential reductions include the reduction of three full-time positions at the elementary school, one full-time position at the secondary school, the reduction of one full-time administrator, and the discontinuation of the summer enrichment program for 2025, according to Mr. Baroody.
Officials said that the cut in administrators could be through attrition since one position is currently open.
Some relief could come from the state. Currently, the governor has proposed a 2.66 percent or $224,322 increase in foundation aid for 2025-26 for the Schoharie school. The state budget has not been finalized and the talks are that the state legislature may increase the state aid hikes from two to three percent. This may push the SCS aid increase form 2.66 percent to 3.66 percent.
Mr. Blanchard noted that the governor had put a lot of money in the budget for education.
The district has seen an increase in state aid since it has not lost enrollment in the last three years, he noted.
The tax levy increase of 2.95% is below the inflation rate of 3.10 percent over the last 12 months, Mr. Baroody said. The increase is calculated by the district to meet the New York State tax cap requirement.
The budget is expected to be approved by the school board on April 23 and go to voters in May.
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