Haldane Delves into 2020-21 Budget
The Haldane School Board got a glimpse into how the district’s 2020-21 budget may shape up during its Dec. 3 meeting.
According to Business Manager Ann Dinio, the district’s $25.6 million rollover budget – which is the starting point in developing next year’s budget – is about $200,000 more than last year’s rollover budget.
The rollover budget is based on contracts that are already in place and projected increases, as well as what it will cost to operate the district with the current staffing and programs in place. It factors in items that may come out of the budget, what the district is hoping to add, support items, and compares that to projected revenue.
“It’s a snapshot of the staff and programs right now; what will it cost next year?” said Dinio.
It is estimated that the district’s required contribution to the employee retirement system will increase to 14.6 percent of salaries, and health premiums will increase 3 percent.
Dinio explained that while the district saw a decrease in its contribution rate to the teacher retirement system last year, that rate is on the rise again.
“What we enjoyed in 2019-20 is almost the exact opposite,” she said. “It went from 10.6 to 8.86 percent, and now it’s back up to over 10 (10.25 percent) again.”
Dinio explained that the close to 1 percent increase in the rollover budget from last year is mostly due to the teacher retirement system and benefits increase, which is determined by the state. Last year the benefit portion only increased $20,000, while this year it is going up $325,000, she said.
These three items, she said, are the heaviest areas of the budget.
“Those combined is a $300,000 swing in the rollover budget, so without those items we would be less, our rollover budget would be less than it was last year,” she said.
Superintendent Dr. Philip Benante said he will be proposing that the district draft a budget that meets the state-mandated property tax cap.
“Considering the increase costs we are likely to incur for the retirement system and health insurance, I think it’s even more important this year to be up to the levy limit,” he said.
School Board Vice president John Hedlund said it will be important moving forward to look at what programs the district currently offers, and see what is worthwhile and what may no longer be relevant.
“I like the intent of maintaining programs for students, but if we have a program that is no longer fitting the intent of the students in our community, I think we should make sure we’re not spending money that would be better spent for the greater good somewhere else,” he said.
