(To the Public: The 2004-2005 Budget Plan presentation, reported to the board of education by Dr. Lawrence E. Bozzomo, superintendent of schools, is available on the district's website at Manhasset.k12.ny.us. For information, please call the Office of Community Services at 627-4400, ext. 2101.)

At its Feb. 5 meeting, the Manhasset Board of Education heard the difficult facts regarding development of the district's 2004-05 school budget. A detailed presentation given by Dr. Lawrence Bozzomo, superintendent of schools, outlined a plan that will include the potential loss of educational programs and almost 30 staff members.

"The fiscal challenges that are currently facing the Manhasset Public Schools are some of the most difficult ones that the district has had to address in recent years," said Dr. Bozzomo. "In order to meet a challenge of this magnitude, the solutions offered and decisions that must be made will have far-reaching effects throughout our district, affecting every grade level, and instructional and support department."

Dr. Bozzomo prefaced the remarks by explaining Manhasset's budget climate: State Aid revenues are flat; reassessment has hit Manhasset especially hard; and high per pupil cost due to the richness of our programs and services is being questioned. Replicating the current year's budget challenges, the major drivers placing pressure on next year's budget are employee benefit costs. The Employee Retirement System's (support personnel) mandated contribution rose from 7 percent to 12 percent, and the Teachers Retirement System's contributions rose from 4 percent to 6 percent. Regarding health and medical benefits, the district has projected a 14 percent increase from January to June 2004 and another 14 percent prorated increase from January to June 2005.

Enrollment continues to impact budget expenditures as well. It is projected that 2868 students will be enrolled in the district in September 2004. According to the Citizens' Advisory Committee for Finance, additional costs associated with this additional enrollment is estimated to be $1.3 million.

Dr. Bozzomo emphasized that these factors, retirement benefits, health benefits and enrollment needs, will add at least $3,755,310 to the 2004-05 budget.

Prior to developing a financial plan for the 2004-05 district, the board of education directed the administration to build a budget based upon reports and recommendations from the CAC on finance. The committee focused its research in the areas of per pupil costs, long-range budget projections (five-year model) and an analysis of the MEA (teachers' collective bargaining until contract. Dr. Bozzomo said that the recommendations presented were used as one of the planning tools to help the district inform negotiations, search for the most profitable ways to bring expenditures in line with community expectations, and to get a handle on fiscal planning to ensure the long-term fiscal viability of the school district.

Dr. Bozzomo outlined the 2004-05 budget goals in developing next year's financial plan:

• Keep quality of education in Manhasset high, comparable to other quality Long Island school districts.

• Seek cost reductions and efficiencies in administrative overhead that will not substantially affect the quality of education that children receive.

• Prudently reduce personnel by reducing/eliminating educational programs that will not diminish the quality of the core curriculum.

• Keep class size at current levels in elementary and secondary core subjects.

The preliminary budget was built using the following assumptions:

• State Aid will remain flat

• Healthcare will increase 14 percent in first half and an additional 14 percent in second half of the Fiscal Year

• Salary of a new teaching position with benefits is assumed to be $81,000

• Salary of a new teacher assistant or supervisory aide position with benefits is assumed to be $37,800

• We assume we will have four teacher retirees, saving $40,000 per teacher or $200,000 (note: over the last three years, our teacher retirees numbered: 2001-11; 2002-8, 2003-6).

• MEA: (representing teachers, librarians, and pupil personnel services) expires June 2004. The budget contains an amount the district believes to be fair under the economic conditions and in relation to the market.

• MESPA: (representing clerical, bus drivers, mechanics, grounds, custodial, TAs, SAs) expires June 30, 2005, but the district has approached the union to open the contract regarding bus drivers' overtime. Otherwise, the budget supports funding of this contractual obligation.

• MASA (administrators): contract expires June 30, 2006. The budget supports funding of this contractual obligation. Raises are based on merit.

• Confidentials: (Central Office staff, Business Office) No contract. The budget supports raises based on merit.

• Cabinet (three assistant superintendents) No contract. The budget supports raises based on merit.

• Budget contains three positions for growth $243,000.

• Budget contains two positions for growth in Special Education (note: these positions might be used in General Education if necessary): $162,000.

• Budget includes a growth allowance in art, music, K-6 and PE K-12 to meet state requirements: $97,200.

• No new programs have been added.

Dr. Bozzomo outlined the educational program impact, reductions being considered and related decreases in staff:

Reduction of 7.5 teaching positions at the elementary level is anticipated in the following areas:

• 3rd Grade Strings/Other Specials 0.5

• Elementary Foreign Language 3.0

• Science teachers 2.0

• Dimensions 1.0

• Elementary Social Worker 1.0

At the secondary level each department would lose at least 1.2 teachers for a total of 9.9 positions, estimated as follows:

• Math 1.3

• Science 1.3

• Social Studies 1.5

• English 1.7

• Foreign Language 1.2

• Music and Art 1.5

• Special Ed 1.4

The total number of teachers reduced, district-wide, is projected at 17.4.

At the high school level, the Course Planning Guide will be revised to reflect changes. Students will be limited to scheduling eight periods (except academic intervention services, special education and lab courses).

Recommended reductions in other educational and support areas:

• Athletics will be reduced by 15 percent (savings $63,000).

• Substitute salaries, conferences, curriculum development, library/media: computer equipment expenditures will be reduced by 10 percent (savings $66,050)

• K-12 coordinators will teach one period (savings $33,400)

• District-wide clerical staff will be reduced by 10 percent (savings $384,000). This includes restructuring the Community Relations Office.

• A transportation goal to reduce overtime costs by 50 percent by moving to a full day kindergarten; reducing and/or eliminating a.m. and p.m. bus transportation runs, reducing sports runs and field trips; initiating a bus replacement plan will save $200,000.

• Building and Grounds will reduce at least one position (saving $75,000)

• Technology will reduce at least one position, redesign one position; renegotiate consultant contract. (savings: $100,000)

Dr. Bozzomo summarized the total reductions and savings projected by implementing recommendations

• Reduction of programs and educational personnel - $1,409,400

• Athletic Schedule C positions - $63,000

• Educational Support Services - $66,050

• Administrative/Support Services - $792,400

Reductions will total $2,330,850 and will include the loss of 17.4 members of the professional staff and 11.5 members of the support staff.

The administration also offered other recommendations and considerations to meet budget challenges in the future:

• Adjust Course of Study book to reflect changes in secondary staff

• Prepare austerity budget

• Explore articulation agreements with local colleges to allow for college and high school credit for advanced/low incident and/or enrichment courses such as Advanced Math and Studio Art

• Solicit proposals to outsource transportation (entire operation, buses only, driver only)

• Consider placing a referendum on May Ballot to increase walking distances: elementary, 3/4 mile; secondary, 1 1/2 miles.

• Continue to pursue efficiencies in Xerox/duplicating (explore outsourcing, establish a chargeback system)

• Clerical/phone support (use experts to study)

• In Athletics, explore signage on fields and charging admission to events

• Eliminate all community use of schools unless out-of-pocket costs are recovered

• Investigate sponsorships of events such as Friday Night Live, and publications (calendar, continuing education brochure, community packets, as appropriate) and website links.

At the conclusion of Dr. Bozzomo's presentation, all board members said that it was painfully evident that recommendations would make deep cuts into educational programs for the children of Manhasset.

Barbara Donno, board president, commented, "It pains and saddens all of us to have to make these cuts. At the same time, we are listening to the community - from parents to senior citizens alike. During this process we will be working together to present a budget that will be acceptable to our community, while trying to maintain the outstanding educational environment we currently provide."

The board will continue to discuss the 2004-05 Budget Development at future board meetings. For meeting information, please call the Office of Community Services at 627-4400, ext. 2101.