School board puts draft 2020-21 budget on hold amid virus uncertainty

RED HOOK, N.Y. » School district trustees have agreed to leave the draft $55.18 million budget for 2020-21 suspended in place until state officials provide direction on the remainder of the current academic year and guidance on the next one.

The spending plan was reviewed during a Board of Education video conference meeting Wednesday. Officials said the budget was proposed to have a 3.13 percent increase of $1.67 million. However, Assistant Superintendent Bruce Martin said the coronavirus pandemic has made all budget estimates fast-moving targets.

“I created this budget ... presentation last Friday and it’s already horribly out of date,” he said. “That’s sort of indicative of the times we live in.”

Under the draft budget, there would be a $35.66 million property tax levy carrying a 3.55 percent increase of $1.22 million. The figure would be $295 under the state levy limit that would require approval from 60 percent of district voters.

“It’s becoming more and more unlikely that this will be the budget we adopt, because, by the time we adopt, we will have heard something from the state about revenue adjustments,” Martin said.

Among concerns is the impact on aid, which was forecast at $16.16 million for a 1.82 percent increase before the pandemic closed schools and created a shortfall in state revenues.

“Now we’re hearing increased likelihood of negative aid adjustments (with) one in May and one in July and then again in January,” Martin said.

Officials said the unknown factors of budget adoption include whether the state will resume the 2019-20 academic year, whether contract payments will be waived if services were not needed, and whether there will be social distancing requirements that alter how classes are conducted when students return to school.

Changes in the proposed budget include salaries at $28.46 million for a 1.68 percent increase; health insurance at $8.18 million for a 1.39 percent increase; and retirement system at $3.36 million for an 11.32 percent increase.