Staff at the Ventnor Educational Community Complex give thanks to volunteer members of the Board of Education Wednesday, Jan. 23.
VENTNOR Keeping true to its promise to avoid the negativity and confusion experienced during last year's school budget process, the Board of Education discussed this year's budget as a committee of the whole at its meeting Wednesday, Jan. 23.
Despite the board's effort to adhere to the flat tax levy proposed by the Board of Commissioners, it may find it is required to increase the tax levy this year.
According to Business Administrator Terri Nowotny, who attended a county-wide mid-year budget review meeting earlier this month with Acting Superintendent Carmella Somershoe, the Executive County Superintendent of Schools may require the board to increase the tax levy.
Nowotny said the meeting reviews what we are doing well, things that could use some improvement and compares us to other districts.
Because the district has reduced its tax levy over the last several years last year it was a $1.3 million reduction they are saying it is necessary for the district to increase the local tax levy by 2 percent, Nowotny said. Also, we've taken into consideration the additional loss of $564,526 in adjustment aid over the next several years. This is a legal requirement, but it is the county office's recommendation.
The district will be notified about the executive superintendent's recommendations in letter, she said.
The district will have three retirements this year, which is projected to save $89,610, but tuition payments to the Atlantic City school district for Ventnor students who attend Atlantic City High School could change. Nowotny projected the tuition line item could change considerably, because Atlantic City will be charging the actual tuition amount per student this year. Atlantic City discounted tuition amounts in prior years.
Board President James Pacanowski Jr. asked Nowotny to provide an estimate of what the tax levy would be if her projected costs were accurate.
I'm not comfortable enough with these numbers to start looking where we will (make cuts), she said.
More than half of the numbers presented to the board for review are estimates, Nowotny said.
Staffing is one number the district nearly sure of, she said. Except for non-affiliated staff whose contract is being negotiated this year, the staffing line item will increase 3 percent to $9.2 million.
The adjustments to tuition paid last year won't be known for a few weeks, she said. However, she estimated a 5-percent increase over last year's amount, which was $4,743,614. The exact number won't be known until February.
It could swing $500,000 one way or the other, she said.
Insurance costs are not known at this time, but health insurance could increase as much as 12 percent and dental insurance 7 percent, she said. Exact figures will not be available until mid- to late-February.
Transportation costs also won't be known until the new Consumer Price Index is set, she said. She projected a 2-percent increase for the next budget cycle. It was 1.5 percent for this year's budget cycle and 3.1 percent the year before.
Also unknown is the district's state aid for the 2019-2020 school year. However, documentation shows the district can expect a 13-percent reduction in Adjustment Aid. Last year, the district had its adjustment aid reduced by $94,015, and the district is expecting a $85,610 decrease this year, she said.
Nowotny said the district won't have firm numbers until the very end of the district's budget process, when the state releases state aid figures. The schedule shows the state will notify districts on Feb. 28, but could be delayed a week, she said. The budget is due to the Atlantic County Executive Superintendent of Schools on March 7, but may be delayed, she said.
The district is planning to purchase a quad to help with snow removal at a cost of $7,396. Police Chief Douglas Biagi said the Police Department would provide training for the district's maintenance crew.
The board also agreed to extend its existing three-year maintenance contract by one year. It will be required to go out for bids in year four, Nowotny said.
Pacanowski said the district is budgeting $50,000 for remediation of the Green Acres site at the rear of the school. Site inspections and testing is estimated to cost around $31,000, but Pacanowski estimated the cost as a bit higher, to be safe, he said.
Ventnor Education Association President Gina Perkins reminded the board that Mayor Beth Holtzman last year stated it would not be a problem if the district increased its tax levy by the 2 percent allowed by state law.
We implore you to keep that in mind. We understand the zero, but administration has come in at a zero budget for years now and with impossible circumstances, Perkins said. The city needs to give their support to what we are trying to do here. We have a great staff and administration and we need to maintain that.
The next board meeting will be held 6 p.m. Wednesday, Feb. 27 at the Ventnor Educational Community Complex.
