Lower Elementary Board Approves Zero Tax Increase

COLD SPRING — Lower Township School Elementary School District approved its 2009-2010 budget with no tax increase at a March 31 meeting.
Superintendent Joseph Cirrincione said total appropriations for 2009-2010 are $28.3 million, up from $27.3 million last year, an increase of 3.6 percent which includes a $1 million roof replacement for the Sandman Consolidated School.
Taking the roof out the equation lowers the increase to less than 1 percent.
The amount to be collected by local taxes is $13.8 million, the same amount as last year, said Cirrincione.
The budget has $472,000 of debt service.
“This will be the last year Lower Township Schools will be in debt,” said Cirrincione.
The district will be debt free as of June 30, 2010 which will trim a penny off the tax rate of the 2010-2011 budget.
Enrollment as of March 25 was 1,893 students, a gain of 12 children since Sept. 1, 2008. Enrolment by grade level ranges from 213 children in kindergarten, 232 in third grade and 262 in sixth grade.
The district’s administrative costs per pupil are 29 percent or almost $1 million below the maximum level allowed by the state. Cirrincione said when administrators have left the district, they have not been replaced.
One way the district has saved $279,000 is by offering a $4,500 health benefits waiver to employees who have a spouse or significant other who is covered by a health plan at their place of employment and opt-out of coverage from the school district. A total of 25 staff members participate in the waiver program, up from 18 last year, said Cirrincione.
The cost of the district insuring a family is $16,44 per year. An opt-out saves the district $11,900. Cost to insure a husband and wife is $13,775 and an opt-out saves the district $9,000. The $279,000 savings takes a half-cent off the tax rate.
Being a member of the Joint Insurance Fund has saved the district $1.1 million over a five-year period, this year alone, a savings of $285,000.
A new roof for the Sandman School will cost $1.2 million with the district paying $766,000 and the state contributing $511,000.
Overall, the tax rate has risen one half cent in the past four years. Cirrincione said if all goes well, there will be no tax increase in the 2010 school year.
The 2009-2010 budget uses $1.7 million in surplus funds with most of that earmarked for the roof replacement. Remaining surplus will be reduced to $12,915.
Cirrincione said eight staff members retired with only five replacements hired which were at the lower end of the pay scale for a savings of nearly $500,000.
Total comparative cost per pupil is $13,106, up $479 from last year.
Cirrincione said 50 percent of students in the district are eligible for free or reduced lunches, which labels the district as a Universal District with “students at risk.” He said it is the first time in the history of the school district that 50 percent of students were in that category.
Cirrincione said the school would receive $249,000 in aid for half day, preschool education program. He said the district is seeking state or federal stimulus money, of which no figures have been released, but $217,000 is expected under Title One funding.
Lower Township School District has no need for new buildings now or in the next 10 to 15 years, he said. He said school buildings were in good shape and large enough to take in preschool students.
Funding is also available under the Individuals Disability Education Act but no figure is available at this time, said Cirrincione. He said the district estimated it needs $2.1 million to run a full day program for 195 preschool students based on state formulas but could actually operate the program for much less.
“If we get half of that, we’ll be fine,” said Cirrincione.
He said no taxpayer money would be used to run a preschool program and if the funding is not made available from state and federal sources, the program will not be started.
The program would start with a full day program for four year olds.
Board member Ralph Bakley congratulated Cirrincione for bringing in the budget with a zero increase in tough economic times.
The school budget vote will be held 4 p.m. to 9 p.m. April 21.