Budget talk: Board agrees to start at tax levy of 2.4%, RFP issued for new bus contract

After a public presentation outlining the instructional portion of the Northport-East Northport school district’s proposed 2024-2025 budget, board members came to a consensus on a tax levy “starting point” of 2.4%. The tax levy, presented as Scenario A by Superintendent of School Dr. Dave Moyer, was one of three tax levy scenarios discussed at the district’s March 14 board of education meeting. 

All scenarios are tax levy compliant. 

Six out of the seven board members agreed to start at the 2.4% tax levy (this year’s maximum levy authority) for now, with only Trustee Dave Badanes opting for a 1.99% tax levy, or Scenario C. 

“These are all very tough choices, but if you tell somebody they can spend more money, they’re going to spend more money,” he said at the meeting. “It would be very difficult for me to vote for a budget that is going to go over that 1.99.”

Current levy scenarios (1.99%, 2.2% and 2.4%), represent an additional impact on individual homeowners from, on average, $163 to $196, and are dependent on the restoration of state aid. 

Deficit reduction options, as recommended by Superintendent Moyer, to get to a balanced budget in the numerous tax levy scenarios (with anticipated state aid) include staffing attrition of over a dozen employees; a change in an attendance zone policy, approved at the March 14 meeting, that removes the eligibility of transportation for students attending, via a variance, in-district schools other than their homeschool; consolidating bus routes; cutting back on paper/toner; a 10% reduction in clubs and activities; and removal of a backhoe purchase originally included in the budget. 

At the maximum levy increase of 2.4%, and with state aid restored, Moyer feels staffing cuts can be accomplished through attrition, though he did mention he’s currently “wrestling” with some open positions and potential transfers. “We feel confident that we can get down to zero real job loss, we still have some finagling to do to get to that, but we’re almost there,” he said. 

In the other two scenarios of 2.2% and 1.99%, the board would have to consider excessing existing staff, specifically – depending on the scenario – up to two counselors, two administrators and an elementary school teacher. 

“If we go to lower levy amounts, it’s going to be virtually impossible for us to do that without real job loss,” Moyer said. 

Without the restoration of state aid, job loss would happen even at 2.4%, he added. (Bob Howard, assistant superintendent of business, said at a March 7 meeting of the financial planning board committee, however, that there’s a good likelihood the district’s state aid will increase by an additional $240,000 to $518,000.) According to Moyer, going below the 1.99% levy increase would require additional reductions that would impact programming.  

“It’s a good starting point, let’s figure out where we are, it doesn’t mean that’s where we’ll end up,” Trustee Donna McNaughton said of the 2.4% scenario at the meeting. “We’re hearing about the impact and nibbling around the edges. This is the first time the community has had the opportunity to hear what we’re talking about – it gives them time to digest it and look and give us some feedback at the public hearing….” 

The next BOE meeting is scheduled for April 4, at which a preliminary public hearing will be held after the board discusses the revenue, fund balance and reserves portions of the budget.

The final proposed budget will be up for adoption on April 16, with a public hearing on May 9, and the budget vote on May 21. 

RFP for new bus contract issued
Last week’s budget discussions came after an announcement by Assistant Superintendent of Business Bob Howard that Huntington Coach, the district’s transportation provider, would not be renewing its contract with the district. The transportation world is a monopoly, Howard said, where one company/bidder can dictate prices, and even force a higher price by not renewing a contract, resulting in an organization having to go out to bid for services. Neighboring districts in similar situations have seen a 10 to 15% increase in new bids, Howard said, which could account for up to an $800,000 increase in the transportation contract. 

“I’m trying hard not to express my frustration but I’m very frustrated,” Howard said at the March 14 meeting. 

When asked for an update on the situation, Howard told the Journal the district issued an RFP (request for proposals) with a return date of April 10. “We hope to be able to review the proposals and have a better understanding of what the actual budget impact is prior to the budget adoption...,” he said. 

All 130 pages of the Draft 2024-2025 Proposed Budget and Educational and Operational Plan can be found here, along with links to each budget presentation and other budget information. The budget vote and election of trustees is on Tuesday, May 21, from 6am to 9pm. Both Trustees Victoria Buscareno and Carol Taylor’s terms are expiring.