If an increase in taxes to the historical average millage increase of .55 mills, budget is $870,000 out of balance.
Yet the School District Budget page states:
The budget currently being developed considers a potential .55 mill increase which is the average increase since Act 1 of 2006 was passed limiting millage increases to an inflationary index. This is a 2% increase in the real estate tax millage rate. In order to provide a budget of this amount, over $600,000 of program reductions are necessary. Proposals to get to a .55 mill increase include some staffing reductions in various areas, taking advantage of retirements when possible. Also being considered are reductions in contracted services, travel reimbursements and supply funding.Where did they find $270,000? Am I reading this correctly?
24 comments:
Weren't they talking about tapping reserve funds in the neighborhood of $270,000 but in the discussion no one was comfortable using that amount?
According to Mr. Copper a .55 mill is like a zero mill increase.
The budget in 2006-07 was $68,112,730.
They say the average increase since 2006 has been .55 mills. So if a .55 mill increase is like a zero mill increase how can we be looking at a $84,469,784 budget in 2013?
On Josephine Posti's blog, "To get down to a .55 millage increase, Dr. Steinhauer is evaluating reductions in IT, custodial / maintenance costs, personnel reductions that result from not filling retirement positions, reductions in travel and reductions in data warehouse and MAP testing expenses at the secondary level." Dr. Steinhauer is evaluating those things? What a great guy. How about taking a pay cut, Timmy? Why don't you take one for the team? Do you want me to say that at the meeting so that we can discuss it publicly, as Mary Birks recommends? I doubt there will be any discussion.
Elaine
Elaine~in an earlier posting, you wrote " $200,000 from the undesignated funds will be allocated as seed money." We are now up to a half million dollars from reserves.
The $200,000 is suppose to be a "loan" to the fund raising effort, to be paid back when enough donations come in.
If i am reading the fake budget correctly, we have $4.8 million in unassigned funds.
Elaine
So is it out of balance by $600,000 or $870,000 with a "no increase" of .55 mills? I am confused.
Elaine
It's always nice to look back on past school board conversations to see exactly where we may be headed tomorrow and whether we can count on the directors to get things right.
http://www.post-gazette.com/stories/local/neighborhoods-south/mt-lebanon-school-board-continues-to-wrestle-with-2-million-budget-gap-321200/
"Considering the grievance brings the sum the board is dealing with to nearly $3 million.
Mr. Steinhauer said some options in the concept list, which is not available to the public, were "not always well thought out." One suggested charging students lab fees for requisite science courses, which some members outright dismissed. Other staff polled suggested reducing consulting and legal fees." isn't that what Mr. Lebowitz is suggesting... higher fees?
"The board briefly discussed closing an elementary school -- No. 68 on the concept list -- to save costs. The school was not named. Some members said a closure could save a significant amount of money, though Mr. Steinhauer said it wouldn't happen this year.
"But that's something that the board may be forced to deal with," he said."
Guess President Cappucci doesn't think Dr. Steinhauer knows what he's talking about that a school closing may be a necessary budget decision.
"School directors also decided to vote Monday on whether to approve a $41,000 professional analysis of the potential success of a $30 million fundraising campaign for the new high school.
Elliott S. Oshry, executive counsel for fundraising consultants Pursuant Ketchum, said in a presentation before the meeting that whether the study predicts success in a fundraising campaign now, it would identify potential donors and fundraising issues for future efforts. The board hopes to raise $30 million and avoid a second bond issue, which could include additional interest costs."
How long are we going to let the future of our school district and therefore the community linger in the hands of people that very rarely get things right?
They said the high school project would likely come in 17% below the cap. Hey directors you missed this one by a mile. Initial bids actually came in 15% OVER your projected cap! STRIKE ONE!
Directors you hope fundraising would yield $30 million and avoid a second bond issue. STRIKE TWO!
"Exacerbating the budget gap is an estimate of nearly $1 million from a teacher's union grievance. If not settled in their favor, the district "could be looking at significant furloughs" to cover the cost, school director Dale Ostergaard said."
OK directors, was the grievance settled in your favor or not? Is this STRIKE THREE?
Wake up call for Cappucci and board!
A.B. Charles Hobby Shop moves to Peters in search of higher profit, lower taxes | TribLIVE
"After 68 years in Dormont and Mt. Lebanon, staff at A.B. Charles Hobby Shop spent the past week emptying a big red barn full of models, magazines and parts, moving the store to a smaller space in Peters, where owner Scott Charles hopes he'll find lower taxes and an affluent clientele.
“It's the Cranberry of the South Hills,” Charles said. “Canonsburg has more Mercedeses than Mt. Lebanon now.”
Imagine that-- Canonsburg has more Mercedes than Lebo!!!!
But even if Mr. Charles is wrong counting Mercedes, I'll bet he's right on lower taxes and a more affluent clientele.
"We have not gotten a lot of feedback to this point," Mrs. Cappucci said. "I hope that people will start joining the conversation." -Post Gazette
We'll score that one as a FOUL tip. The count is still O and 2 to the board!
5:04 PM: The residents in Peters are nicer, too. I think Mr. Charles will like it there.
However, I'm sorry to see him leave.
All you need is one screwball judge to reassess property and a great store for kids moves out of Mount Lebanon.
Scott, you will be missed.
Yeah that is a shame. Loved AB Charles. Hey Peters isn't that far and find ourselves heading out that way more and more.
Now that the Red Barn is empty it won't be producing an income stream and, as a commercial property, will be eligible for a LARGE assessment reduction.
Just think - that place could become Pittsburgh's first karate studio,/nail salon/tanning salon mall!.
Oh boy!
I await Posti's next offensive "in the ghetto" essay. After all, she's helping create it.
Here's and idea: turn the barn into a methadone clinic.
JoPo's dream, right up the street from the "UGGH!" store.
Here's a suggest to solve the state's PSERS problem.
I know it's a viable solution because a California State University and MTL school board director showed us the math.
Cut every retiree in PSERS by the percentage similar to that of a .55 mill increase has on the school district budget. What is that 2%?.
Seriously, a .55 mill increase is like a zero increase, so wouldn't a like reduction in teacher pensions be like a zero reduction as well?
Can't wait to see Mr. Cooper's eyes rolling on that suggestion.
Mrs. Cappucci in response to Mr. Kubit's question of undesignated funds ask Mr. Steinhauer: "Tell me Dr. Steinhauer, did the budget you presented [last week] include that number [$150,000 use of fund balance]?"
He never answers whether his presented budget includes that tap of the undesignated fund balance or not.'
He does reply: "ummm, we will be very close to whatever target the board sets for us. so if the board moves ahead with a .55 millage increase that will leave us with about a $175,000 gap to come up with and if the board was interested in using some money from the fund balance we'd be looking for some additional cuts."
Mrs. Cappucci later clarifies that $150,000 use of undesignated funds will still leave a $175,000 gap in the budget using a .55 mill increase.
District librarians if you missed it review the last budget discussion. Mr. Steinhauer threw you under the budget bus.
You can rest assured he probably won't, in my opinion, feel any pain when it runs over you.
Mrs. Cappucci puts the board directors on the spot asking for their individual ideas on how or where to reduce the budget.
Why would she reinvent the wheel, Steinhauer and staff presented a 17 page list of reductions for last year's 2012-13 budget, according to the Post Gazette
"At a discussion meeting Monday night, Superintendent Tim Steinhauer said his team invited every district staff member to meet with them and suggest options for cutting $700,000 in programs, after some board members asked for recommendations based on a hypothetical tax increase of 0.5 mill and use of $250,000 from the fund balance. The suggestions were collected in a 17-page concept list."
http://www.post-gazette.com/stories/local/neighborhoods-south/mt-lebanon-school-board-continues-to-wrestle-with-2-million-budget-gap-321200/
Why wouldn't Mrs. C just start with the reductions on the list that weren't implemented last year.
All that work and they didn't keep the report? Does education in Lebo change so drastically that last years's suggestions have nothing to do with this year's budget?
Talk about saving energy, just start where you left off last year, Mrs. C!
10:04 AM, i just heard the conversation that you shared with us.
Also, Scott Goldman brought up a good point and recommended that the community should look at all the cost reductions that have been presented to the board. Unfortunately, the cost reduction list was not available to the public. Remember "above the line" and "below the line" conversations? We were not privy to any cost reductions below the line.
12:56 PM, you are so right. Start where you left off last year. BTW, publish the entire cost reduction list!
Elaine
Elaine Cappucci said that looking at the lowest paid employees is not the way she would go. Is there a possibility that looking at the highest paid employees is the way she would go? Was giving Jan Klein a 6.9% increase last year a mistake? How about when you gave Tim Steinhauer a 4% raise? I think this might be a better way than eliminating the high school math lab, as suggested by Josephine Posti. Look at the highest paid employees, school board.
Elaine
Why would you keep a high school math lab that sends 23% of our graduates to math remediation in college? The high school math lab is a failure and should be eliminated or totally replaced. Student failure is not a qualification for an overpriced pension.
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