Harding Township School District Public Hearing on the

Harding Township School District Public Hearing on the Budget 2020 -2021 Matthew A. Spelker, Superintendent Edward Appleton, Business Administrator May 4, 2020

Board of Education � Davor Gjivoje – President � John Flynn – Vice President � Abi Singh* � Richard Bruno* � Alex Anastasiou * Members – Facilities and Finance Committee

Public Hearing on the Budget � The Public Hearing on the Budget is an annual presentation required by NJDOE. � This Public Hearing was advertised by the district in the April 23 rd edition of the Observer Tribune. � Tonight’s presentation includes: ◦ ◦ Budget highlights Revenues Expenses Tax levy impact

Budget Highlights �A fiscally conservative budget �Meets all 20/21 budget guidelines. �Maintains staffing configuration, cocurricular activities, and small class size. �Low administrative costs �Budgets money for professional development and curriculum writing.

Budget Highlights � Money has been budgeted for facility maintenance and planning for capital projects- Security upgrades, maintenance, HVAC, STEM/Library renovation and Long. Range Facilities Plan projects. � Provides adequate financial resources for yet-to-be named 20/21 district goals. � This budget allows for HTS to maintain its position as one of the premier PK-8 public school districts in New Jersey.

Budget Timeline and Process Timeline Budget Process Fall 2019 Facilities and Finance Committee meetings; Administrative meetings 1/27/20 Preliminary Budget Report 2/27/20 State Aid Data Released 3/9/20 Tentative Budget unanimously approved by BOE 3/11/20 Tentative Budget submitted to ECS 3/24/20 Tentative Budget approved by ECS 5/4/20 Public Hearing on the Budget 7/1/20 Fiscal year begins

Revenue-Local Tax Levy Budget Year(s) 1997 -2011 (average) Local Tax Levy Increase 6. 01% per year average 2011 -2012 1. 96% 2012 -2013 1. 78% 2013 -2014 1. 50% 2014 -2015 2. 81% 2015 -2016 -2017 (included banked cap and health benefits exemption) 3. 32% (included banked cap and health benefits exemption) 2. 90% (included banked cap and health benefits exemption) 2017 -2018 1. 48% 2018 -2019 2. 51% (enrollment adjustment) 2019 -2020 1. 81% 2020 -2021 2. 94% (including banked cap)

1 20 11 /1 2 20 12 /1 3 20 13 /1 4 20 14 /1 5 20 15 /1 6 20 16 /1 20 7 17 /2 01 20 8 18 /2 01 20 9 19 /2 02 20 0 20 /2 02 1 20 1 97 - 19 Local Tax Levy 7. 00% 6. 00% 5. 00% 4. 00% 3. 00% 2. 00% 1. 00% 0. 00%

Categorical State Aid $ Change % Change 2009 -2010 $364, 473 N/A 2010 -2011 0 ($364, 473) (100%) 2011 -2012 $181, 191 N/A 2012 -2013 $225, 137 $43, 946 24. 3% 2013 -2014 $225, 137 $0 0% 2014 -2015 $233, 677 $8, 540 3. 8% 2015 -2016 $233, 677 $0 0% 2016 -2017 $238, 834 $5, 157 2. 2% 2017 -2018 $272, 118 $33, 284 14% 2018 -2019 $406, 173 $134, 055 49% 2019 -2020 $443, 316 $37, 143 9% 2020 -2021 $499, 959 $56, 643 13%

20 09 20 /10 10 20 /11 11 20 /12 12 20 /13 13 20 /14 14 20 /15 15 20 /16 16 20 /17 20 17/ 18 18 20 -20 19 19 20 -20 20 20 -2 02 1 $600, 000 Categorical State Aid $500, 000 $400, 000 $300, 000 $200, 000 $100, 000 $0

State Aid – Total Budget 2009 -2010 2020 -2021 Categorical State Aid $364, 473 $499, 959 Categorical State Aid as a Percentage of the Budget 3. 97% 3. 98 %

Year Saved Banked Cap $ Amount Year Expires 2012 -2013 $82, 496 Added to 15/16 budget 2015 -2016 2013 -2014 $52, 401 Added to 16/17 budget 2016 -2017 2014 -2015 $0 N/A 2015 -2016 $0 N/A 2016 -2017 $0 N/A 2017 -2018 $51, 437 2020 -2021 2018 -2019 $275, 249 2021 -2022 2019 -2020 $20, 000 2022 -2023 2020 -2021 $0 N/A

Detailed Revenues 2019 -2020 $ Changes 2020 -2021 Local Tax Levy $10, 490, 662 $308, 000 $10, 798, 662 Tuition PK-8 $98, 000 ($18, 716) $79, 284 Transportation Fees $8, 233 $1, 067 $9, 300 Building Usage Fees $9, 000 $0 $9, 000 Misc. Revenue $57, 500 $6, 000 $63, 500 Prior-Year Deferred Rev. $0 $189, 000 State Aid (categorical) $443, 316 $56, 643 $499, 959 Extraordinary Aid (SE) $220, 000 $27, 255 $247, 255 Budgeted Fund Balance $359, 187 $5, 813 $365, 000 Capital Reserve $0 $250, 000 Special Revenue $142, 290 ($7, 458) $134, 832 Debt Service (Tax Levy) $0 $0 $0 Debt Service Aid $0 $0 $0 Non-Public Transportation $0 $36, 000 TOTAL $11, 828, 188 $853, 604 $12, 681, 792

Expenses – Operating Budget Revised 2019 -2020 $ Changes 2020 -2021 Gen. Ed. Instruction $2, 578, 470 ($85, 161) $2, 493, 309 Sp. Ed. Instruction $779, 492 $245, 050 $1, 024, 542 $2, 813, 166 $108, 689 $2, 921, 855 Support Services $1, 074, 848 $125, 511 $1, 200, 359 Imp. Instruction $158, 068 $14, 389 $172, 457 Gen. Admin. $369, 100 $24, 247 $393, 347 School Admin. $77, 796 $2, 304 $80, 100 Central Services/IT $180, 141 $32, 226 $212, 367 Operation/Plant $1, 023, 721 $103, 938 $1, 127, 659 Transportation $1, 039, 366 $196, 247 $1, 235, 613 Employee Benefits $1, 377, 100 ($1, 032) $1, 376, 068 TOTAL $11, 471, 268 $766, 408 $12, 237, 676 Special Ed. Tuition & Madison Tuition

Expenses – Funds 11, 12, 10, 20, 40 Revised 2019 -2020 $ Changes 2020 -2021 Total- Fund 11 Operating Budget $11, 471, 268 $766, 408 $12, 237, 676 Total – Fund 12 Capital Outlay $214, 630 $94, 654 $309, 284 Total – Fund 10 Charter School $0 $0 $0 Total – Fund 20 Special Revenue $142, 290 ($7, 458) $134, 832 Total – Fund 40 Debt Service $0 $0 $0 TOTAL $11, 828, 188 $853, 604 $12, 681, 792

Budget Vote and Election � In 2012, Gov. Christie signed legislation that eliminated the need for the public to vote on the school budget if it remains at or below the 2% tax levy cap, including specific exemptions such as banked cap, enrollment adjustment, or the health benefits waiver. � On 2/13/12, the Harding BOE adopted a resolution to move the annual school election to November. � Since the 20/21 budget is within the budgetary guidelines allowing for a 2% increase and use of banked cap and it will not be on the ballot in November. The public will vote for BOE members in the general election on Tuesday, November 3, 2020.

Questions? �Board member questions �Public comment/questions