Mountainside Board of Ed Presents Preliminary 2011-2012 Budget

Mountainside Board of Education began the public 2011-2012 budget presentations at the February 24th meeting. School Business Administrator and Board Secretary W. Daniel Saragnese presented the budget proposal and outlined the major changes from previous years, which include subscription bussing, pay-to-play sports, turning before-school, after-school and summer camp programs over to the Westfield Area Y and the elimination of six positions. The proposed budget requires a $.09 increase in the tax rate, going from $2.63 to $2.72, which equates to $4,503 for the average home valued at $165,537, in the 2011 tax year.

“This is in no way a final vote on the budget,” said Saragnese, explaining that the version of the budget presented already needs to be adjusted to reflect changes made after the draft was completed. “It was an exciting day,” said Saragnese, as the district’s bonds were sold and refinanced the morning of the presentation and the amount of state aid the district would receive was announced.  The refinancing will result in a 6.77 percent savings equating to $21,803 per year in interest reductions. While the board only anticipated receiving $32 thousand in state aid, the district stands to receive approximately $202,000 in aid.

The budget includes an increase in revenue sought by eliminating courtesy bussing, which is responsible for 83% of transportation costs and used by 519 of the 624 current students. Instead, subscription bussing will be offered at a fee of approximately $650 to $720 per student. The $195 thousand in anticipated revenue is based on assumption that half the students that use courtesy bussing will not use the subscription service.

In an attempt to maintain all co-curricular activities currently offered, the board is planning to adopt a pay-to-play program.  The fee schedule has yet to be developed, but will be reflected in future budget presentations. In another attempt to maintain programs, the board has elected to give up running costly before-school, after-school and summer camp programs, and instead allow the Westfield Area Y to run similar programs out of the schools, resulting in the collection of rent and the elimination of a deficit. “This takes a huge variable off our plate,” said Board President Mary Beth Schaumberg.

“It’s virtually an impossibility to make up this deficit without looking at positions,” said Saragnese about reductions in expenditures. Six positions will be eliminated, resulting in a savings of $283,489 in salaries and $138,236 in benefits. Additionally, Saragnese has proposed a restructuring of the Business Administrator’s Office, resulting in a savings of $96,376, which includes cuts to Saragnese’s own hours and pay.

Expenditures are also being reduced through the tuition rates paid to Berkeley Heights being lower than expected. The original estimate was $13,500 per student, but the current estimate is $13,212 per student, resulting in a $72 thousand reduction in anticipated tuition payment. The final cost of tuition is calculated by the state and will change after a final budget is adopted.

The proposed budget will be revised and presented at the meeting scheduled for March 8th, at Beechwood School, which open session beginning at 7:30 p.m. The budget hearing will be on March 22nd, at the same time and location.