MCS Trims Budget Gap to 277K for 2025-26

MIDDLEBURGH - Middleburgh school officials have been able to cut the 2025-26 budget gap from $403,315 to $276,882.

School business manager Robyn Bhend told school board members at their second budget workshop of the season on February 12 that two retirements for next year and reduced costs in health insurance and other areas cut the proposed budget by more than $277,000.

Officials had been looking at a rollover budget that totaled $25.46 million, about $556,000 or 2.33 percent more than the current budget. The reduced costs and retirements put the latest budget proposal at $25.18 million, about $278,000 more than the current budget or 1.12 percent.

Among the changes in the current proposal is a health insurance hike of 6.5 percent, down from 10 percent in the first plan, Ms. Bhend said. Other changes were: an increase of five percent for drug prescriptions instead of 15 percent, workers' compensation down by $18,000, and a hike of $20,000 in the cost for the Capital Project bond anticipation note.

Ms. Bhend also reviewed the buildings and grounds budget for next year and it included a second Ventrac tractor system for $65,000.

On the revenue side, the estimated state aid is down by $113,000 to $12.7 million or 0.89 percent. 

The budget maintains all current programs and services for students and maintains all current staffing levels, with some small additions and changes.

The budget gap of $276,882, but will decline as budget talks continue through the spring until the public vote in May. A gap of $276,000 is not excessive and has been much more in prior years. It is usually lowered to a manageable amount by the time the budget is approved by board members in the spring.

The tax levy is projected at $10.556 million, a hike of  $156,000, or 1.5 percent.

In addition to the budget, other voter propositions expected for consideration:

* School Bus Purchase ‐ Total cost not to exceed $484,000. As per Bus Replacement Plan – diesel engine buses, two-65 passenger buses with luggage compartments, one-30 passenger Wheelchair bus.

* Capital Project/Capital Reserve Proposition, $8 million total project cost. Withdrawal $2.1M from 2023 Capital Reserve for no additional tax impact.  Ability to continue funding reserve for next project after withdrawal (additional $2M through 2033). Anticipate a capital project every five years to maintain/upgrade buildings and grounds.

* Repair Reserve Transfer. Per Reserve/Fund Balance plan - Reserve balance as of December 31, 2024, $421,011. Transfer not to exceed $600,000 (voter approval required/actual amount TBD by board). Funds set-aside for one-time unanticipated repair expenditures