Understanding state aid figures under the Governor’s
executive budget proposal
GCSD to see a year-to-year loss in state aid of
$787,000 or -3.6 percent
Jan. 25, 2012—On January 17, Governor Andrew Cuomo
presented his executive budget proposal for the 2012-13 fiscal year. As
widely reported, the Governor maintained his promise to increase state aid
to education by $805 million—an increase of 4.1 percent over the previous
year.
However, this fact alone does not equate to all school districts in New York
State receiving a 4 percent increase in state aid in the coming year. Of the
proposed $805 million increase in education aid, nearly one third ($250
million) is earmarked for competitive incentive grants for schools through a
process yet to be determined and another third ($265 million) is slated for
increases in expenditure-driven aids such as transportation, building, and
BOCES aids.
That leaves about $290 million as the true general increase in state aid to
be shared among more than 700 public school districts in New York State.
So what does the Governor’s proposed budget mean for Guilderland?
According to aid figures released by the state following the release of the
Governor’s budget, Guilderland shows a projected increase in aid of $793,000
or 3.9 percent.
However, much like the $805 million aid figure released by the state,
Guilderland’s reported 3.9 percent increase in aid is also not as promising
as it appears. The district’s loss in Federal Education Jobs Funds monies—a
loss of $1.1 million—was not included in the projected aid figure. This
alone turns what appears to be a $793,000 gain into a $300,000 loss in aid
when comparing the amount budgeted in the current year to the amount the
district will be able to budget in the coming year.
In addition, the district is anticipating that fewer special education
students will be in private placements next year. While district
expenditures may decrease as a result of not sending these students
out-of-district, so too will the district’s related state aid decrease—by as
much as $200,000, depending on the number of students kept in-district.
“When looking at estimated state aid figures, what is most important to note
is not the aid increase projected by the state but how the projected aid
compares to the amount budgeted in the current year,” said Assistant
Superintendent for Business Neil Sanders.
“This is an important distinction to make,” added Sanders, “since projected
aid amounts are not guaranteed but rather based on final expenditure data
and pupil counts each year.”
Based on the district’s existing budgeted state aid,
under the Governor’s
proposal Guilderland will experience a year-to-year loss in state aid of
$787,000 or -3.6 percent. Pending the final number of special education
students who will be removed from private placements, that loss could reach
just over $1 million or -4.6 percent.
“Obviously, a loss of this magnitude may seem like a surprise to those
following the story of state aid in the local media,” said Superintendent of
Schools Dr. Marie Wiles. “It will undoubtedly be a challenging year for our
district.”