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UDSD 2012-12 Budget Still $465,000 in the Red

The Upper Dublin School District administration has cut the deficit nearly in half since March, but the 2012-13 budget still shows a $465,000 deficit.

The Upper Dublin School Board took a look at the 2012-13 budget on Monday night during the .

Much of the discussion compared the adjustments made since the as well as comparing the 2012-13 budget to the 2011-12 budget.

Brenda Bray, Business Administrator for the District, said, “Budgets are becoming more and more difficult.” She added that the 2012-13 budget is still a work in progress.

Bray was optimistic that the Earned Income Tax revenue in the district has remained stable over the past two years. However, revenue from real estate taxes and real estate transfer taxes have both decreased during the current year and are expected to do the same next year and will affect the 2012-13 school district budget.

The district expects to save $240,000 by joining the health care consortium. However, Bray said more districts are joining the consortium and that number could be on the conservative side.

One of the substantial cuts over the past number of years has been to facilities and grounds. The 2012-13 school year will be no different for Upper Dublin facilities; cuts have been made to facilities repairs and materials and facilities supplies. An additional $280,000 has been cut from the facilities budget in the 2012-13 budget.

Bray explained that the facilities budget includes things such as classroom supplies, books, music instrument repairs, field trips, etc. The cuts for next school year come from all buildings.

Bray also told the Board that there is no money budgeted for the budgetary reserves for the 2012-13 budget. “Right now we’re in a state of flux,” said Bray.

Board President Joseph Chmielewski said the board could put some funds into the budgetary reserves and at the end of the school year, the money simply falls back into the fund balance.

Budgetary reserves are typically set aside by districts in case of unforeseen expenditures during the year.

The budget is currently showing a $465,000 deficit as of early April.

Superintendent Michael Pladus said the .

School Board member Art Levinowitz, said, “I wish I could say ‘mostly good’…but it’s mostly bad [news].”

Upper Dublin School District 2012-13 Budget Timeline

April 23: Special Budget Meeting at 6 p.m.

May 7: Presentation of proposed final budget at 6 p.m.

May 14: Board to approve 2012-13 Proposed Final Budget at 7 p.m.

June 13: Board to adopt 2012-13 Final Budget at 7 p.m.

Joe Koenig April 10, 2012 at 07:37 PM
And yet, they still want to borrow an additional $2.5 MILLION when they refinance the bonds to purchase still unnamed specific projects at a cost of in my estimate $75,000.00 per year or $$1,500,000 over the term of the bonds. They say money is cheap, but we still have to pay it back!!!! When are they going to learn, that the credit card is at it's limit!!!! If this went to a referendum, do you think it would win? The budget process is not easy, and the Board is trying, but they still don't get it. In two years, if the economy does not improve dramically, there will be class size increases, reduction in staff, and other major cuts, as the Board is limited in the tax increases they are allowed to pass on to the taxpayers, due to Act 1.
Joe Koenig April 10, 2012 at 09:04 PM
And yet, the Board wants to borrow an additional $2,500,000 in a bond refinance which will reduce our debt service (interest) fo unspecified capital projects. This will cost (reduced savings) in my estimate, $75,000.00 per year, or $1,500,000.00 over the life of the bond. The budget process is difficult, and the Board has a hard job, but this $$ must be paid back, and we don't have the money. They still don't get it, the credit card is maxed out. In reality, they are borrowing because they don't have the $$ for these normal capital projects. The reserve may be used up, and with Act 1, they cannot raise taxes enough to cover costs. Ultimately, they will have to increase class size, cut programs, and defer projects. Do you think this additional borrowing would pass a referendum if required???
Concerned Resident April 10, 2012 at 11:41 PM
Joe Your comments are taken with great credence.........this district is smart enough to be fiscally responsible to the community
Dennis F. Pawlowski April 11, 2012 at 01:52 PM
The School Board along with the township supervisor's should start listening to the senior citizens. Each year the taxes go up and up. The school and the firehouse are massive. The citizens can not afford the taxes and are being forced out of their homes.
Joe Koenig April 11, 2012 at 04:40 PM
I commented at a previous School Board meeting that an increase in the EIT (if legally possible) would be a fairer way to tax (if necessaary). This would accomplish two things, one: those on fixed incomes would not be as affected, and those who rent in the township would have more skin in the game, i.e.: those with children in the school system would see that the new High School did and does cost us a lot of $$. Nothing is free!! While their rents rise, they do not associate that with increase in taxes. Basically my question was not answered.

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