Sachem's Budget Questions Answered

As the luminous voting day of May 18 approaches, more questions regarding the budget and the Sachem Central School District's financial practices have begun to surface as they do like clockwork at this time every year.

The last three years Sachem has had a zero percent increase in its school budget and plans on a 1.9 percent weighted tax rate increase for the 2010-11 school year.

Last September, the district's Board of Education approved a resolution to increase the budget $3.5 million for a repair to the roof of Sachem High School East, meaning the 2009-2010 budget increased from $274 million to $277 million. Because of that action, the district is entitled to 76.6 percent in New York State aid, which is included in Governor David Paterson's 2010-11 State aid proposal, according to Bruce Singer, Sachem's Assistant Superintendent for Business.

"We are now seeking community support of a $280 million budget," said Singer. "If we eliminate the expense, then we must eliminate the revenue [of State aid] then the percentage increases remain the same [1.9 percent]." 

On all budget documents, the district notes that the 2009-10 budget has been modified because of the East roof adjustments. It should be noted that budgeted capital expenditures are one-time expenses and the budget cannot be raised in the future because of the one-time capital project.

"The East High School roof was a one-time budgeted expense and we receive revenue only once in the following year," Singer said. "We had to move $3.5 million from the reserves to the general fund to deal with the emergency situation and that raised our budget to $277 million."

Singer said the district will receive State aid of about $3 million to compensate for the repairs.

As for the appropriated fund balance for 2010-11, it stands at $14.3 million. This comes from a combination of under-spending 2009-10 budgeted expenditures and over collecting 2009-10 budgeted revenue, Singer said.

"The purpose of the appropriated fund balance is to reduce taxes in the following year, which is exactly our course of action," Singer said.

Singer also mentioned that because of President Barack Obama's American Recovery and Reinvestment Act of 2009, Sachem received $20 million in federal money over the past two years.

"That has been the main source of additional revenue to fund our operations," he said. "Not additional taxes."

The difference between an approved and failed budget is $4.6 million. If the budget is defeated, the district must remove $877,000 for two capital projects: bleachers at Samoset Middle School and a new track at Sachem High School North. Singer said the remaining $3.7 million must be program reductions determined by the Board of Education.

To ask questions and learn more about certain budget issues in the Sachem Central School District, go to the public budget hearing Wednesday, May 5 at Samoset at 7:30 p.m. 

Follow Sachem Patch in the coming weeks for coverage of budget hearings, the voting process and to learn more about the Board of Education elections.