NORTH SALEM, N.Y. - It takes a community to build a budget, says North Salem’s schools chief, Dr. Duncan Wilson.
Thanking the Board of Education on Wednesday, March 6 for the “opportunity” to make his first-ever presentation on the annual spending plan, Wilson noted that, traditionally, it’s the superintendent’s job to “lead off the process and then introduce specialists along the way before making final recommendations.”
There will be ample room for “questions and dialogue” while members of the district’s leadership team present their work, he said.
That evening, those included Barbara Briganti, the district’s interim assistant superintendent for business, and North Salem Middle/High School Principal Vince DeGrandi and Pequenakonck Elementary School Principal Dr. Roy Martin.
Making the second set of presentations on Wednesday, March 13 were Deputy Superintendent Dr. Adam VanDerStuyf, who outlined special education and pupil personnel services; Dr. Julio Vazquez, director of instruction and human resources, on curriculum and human resources; and Ramon Santos, EduTek operations manager and member of the district’s technology department team, on technology.
Presentations on buildings and grounds, athletics, and technology were scheduled for Wednesday, March 27.
Briganti, who had previously been the district’s assistant superintendent for business administration, has stepped in for Eric Stark, who resigned as director of business administration in February.
North Salem is among hundreds of school districts in New York bracing for cuts in Foundation Aid from the state due to proposed changes to the program’s formula sought by Gov. Kathy Hochul in her proposed 2024-2025 state budget.
Because of these new challenges, this current budget season will definitely require all hands on deck.
Wilson’s taking a “looking back to look ahead approach” to setting priorities as the district navigates these choppy fiscal waters.
Looking back, those were: low class size, mental health and social emotional wellbeing, safety and security, and facilities planning.
Looking ahead, they include continuing to spend responsibly, maintain programs and opportunities for all students, making plans to facilities that go beyond a year, and focusing on innovations that aren’t “dependent on levy growth.”
“I know innovation is important. I know one of my charges is to understand and help plot out a path for the future, but we have to acknowledge that, from a population perspective, North Salem is not growing,” said Wilson, adding that one of the challenges the district faces is finding ways to innovate and grow “without necessarily simply relying on hiring.”
While the district has ways of controlling its spending, it is also controlled by the amount of revenue it has.
Spending minus revenue equals the tax levy, Wilson explained before revealing the numbers.
He is proposing a 2024-2025 budget of $50,536,389, which represents an increase of 2.44 percent over the current $49,332,136 spending plan.
That minus projected revenues -- such as aid, tuition, and sales taxes -- of $7,195,385, leaves $42,341,004 to be raised through the tax levy. This represents a $1,223,060, or 2.90 percent, increase over the current levy.
“Yes, I’m acknowledging this is the first time you’ve seen the spending over $50 million. Remember revenue also includes state aid,” Wilson said.
The levy is limited by the so-called state tax cap.
After adjustments and exclusions, the maximum allowable (without an override, or supermajority vote) was 2.69 percent in 2023-2024. The district only went to 2.57 percent.
In fiscal year 2024-2025, the max is 2.90 percent, and North Salem is going for 2.90 percent.
“Given the unexpected cut in (state) aid of over $200,000, we feel we need to keep these numbers where they are, so we can maintain all of our priorities,” Wilson said, saying the the district has and “will continue to keep budget to budget spending under control.”
Between fiscal years 2020-2021 and 2024-2025, spending increases ranged from a high of 4.24 percent (attributable to a large increase in state aid) to a low of 2.11 percent. Taken all together, the average increase amounted to 2.87 percent.
During that same five-year period, the average levy hike was 2.2 percent, with the lowest being 2.07 percent and the highest (the latest proposed), 2.90 percent.
The superintendent also made note of the district’s “interesting” tax setup.
Tax rates are set by towns. North Salem serves four towns (itself, Somers, Southeast, and Carmel) in two counties: Westchester and Putnam.
Final assessment rolls aren’t set until the summer.
The budget will be recapped on April 10. The board is scheduled to adopt the plan on Tuesday, April 16. There will be a public hearing on May 8 and the budget vote and trustee elections are May 21.
There are two seats up for grabs. They are currently occupied by Paul Giamundo and Brian Lange.
Giamundo confirmed that he will be seeking re-election in May. Lange couldn’t be reached before press time.
Enrollment
So how does the budget relate to enrollment?
This year, the district had a total of 978 students. It expects that figure to drop to 968 in 2024-2025. (In 2009-2010, it was 1,343)
There is expected to be a slight uptick in enrollment on the elementary school level, from 446 in 2023-24 to 474 in 2024-2025.
It isn’t impacting class sizes or increasing the need for staff, Wilson said, adding: “We’ve had many years of four sections of kindergarten. That’s been the gold standard.”
The middle school’s enrollment is projected to be 212 in 2024-2025, down about three students from the current numbers.
Enrollment at the high school is expected to drop to 282 the coming school year from the current 302.
Why? Because the largest class of students – 90 – is currently in the 12th grade.
“It’s the first time we’ve seen such a large class drop off without a large class replacing it, Wilson explained.
Meanwhile two relatively small classes are making their way through the middle school/high school. That’s the current sixth grade with 61 students and the 11th grade with 57.
From kindergarten through 12th grade, most classes fall within the 70 to 80 students range, he said.
The eternal question is: “Why are costs going up when enrollment is going down?”
Inflation. Everything costs more.
Also, in this past year the district settled two contracts with clerical and custodial staff. Salaries and benefits are going up.
Piece of the Pie
Of course, no budget presentation would be complete without a pie chart.
“It’s an important reminder that so much of our costs are salaries and benefits. Contractually derived, they will grow as contracts grow and they’re not something we can control. Also, salaries are connected to programming. So when we try to save money by cutting positions, we’d probably be cutting opportunities for students as well,” Wilson noted.
Expenditure-wise, salaries at 53.91 percent and benefits at 23.58 percent make up the biggest piece.
The remaining is carved up into contractual, supplies, 6.55 percent); BOCES, 2.35 percent; transfer to special aid, 0.17 percent; special education, 5.90 percent; transportation, 0.89 percent; technology, 2.01 percent; debt service, 4.58 percent; equipment, percentage not shown on chart.
Propositions
Besides the budget, voters will be asked to approve two propositions.
The first would use a 16-year bond to fund a $715,000 renovation of the water treatment plant at Pequenakonck Elementary School.
Last year, the district completed the Middle/High School water system upgrade.
All drinking water now flows through 12 new granular activated carbon and greensand filters that work together to remove perfluorooctanoic acid (PFOA), perfluorooctane sulfonate (PFOS), and minerals such as iron and manganese, from the campus’s well water.
The underground water storage tank was cleaned and disinfected and new fittings and pipes installed.
The maximum cost of the proposed PQ project would be set at $1.4 million, of which the district already has $691,162 available. That leaves $715,000 to be raised through taxes.
According to Wilson, the project has been “many years in the making” and was initially developed as a middle school/high school project that was funded through the district’s capital reserves.
“We need clean water at PQ. It’s part of the life of the school for drinking water, for food preparation, for gardens, for everything,” he said, explaining that significant changes in the county Board of Health’s standards required testing for PFOS/PFOA, known as “forever chemicals” because they’re nearly indestructible.
Tests revealed the need to “significantly expand the scope of the project,” Wilson said.
It took more than three years to make it through the county Board of Health’s permitting process, said Wilson, arguing that delaying funding would risk losing these approvals, lead to cost increases down the line, and force the district to start from scratch.
If the proposition passes, work on the new PQ water plant will commence over the upcoming summer break.
The second proposition would allow the district to spend $513,016 through a five-year bond to replace buses and vans that have traveled more than 200,000 miles and are approaching the end of their 15-year lifespan, modernize the transportation fleet’s security and communications systems, and to buy labor-saving groundskeeping equipment.
Of that amount, $100,000 will be invested in new security technology such as radios, cameras, and GPS systems, in all district buses and vans. The goal is to “improve safety and response time.”
The new grounds equipment will allow workers to operate on sloped areas, significantly decreasing mowing time and freeing them up to complete other projects “more efficiently.”
According to the district, delaying funding for the transportation proposition could result in increased maintenance costs due to an aging fleet, emergency fleet replacement costs, or longer and disrupted student routes, as older vehicles may break down.
“This proposition is an investment in the safety, security, and productivity of our transportation and facilities operations,” Wilson said. “It allows us to look down the road consciously and sustainably, rather than reacting to crises with costly emergency repairs and replacements.”
According to the district, the two bond propositions are “designed to achieve long-term improvements through sensible fiscal practices.”
This means that the district can fund the projects gradually by borrowing smaller sums as required instead of taking on the entire debt upfront.
Stay Engaged
All budget meetings will be livestreamed on the internet and be available for on-demand viewing. All budget presentations will be posted on the district’s website just before the meetings are held. Questions can be directed to the superintendent’s office via the email address dwilson@northsalemschools.org.
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