Government and Demographics Advisory Committee

1
Government and Demographics Advisory Committee

• First Interim Report to the Edgemont School Board
  and Community - February 28, 2006

2
Mission of the Government and Demographics
Committee

• Identify factors, outside of the traditional
  purview/control of the school district, that have
  affected the Edgemont school district tax rate
  over the past 15 years
• Determine trends and related issues
• Develop recommendations

3
Factors that affect how much you pay in school
property taxes
Cost of Education
Government Mandates
Cost per Student
Students
COSTS

• of Houses/Apts
• of Houses/Apts with Students
• Size of Families

• Curriculum Programs
• Class Sizes
• District mgmt
• Education cost/inflation

• Government Requirements

SchoolProperty Taxes
Tax Base

• Size of Tax Base
• Commercial v Residential split

REVENUES

• State Federal Aid
• Tuition
• Sales Tax
• Grants Donations

Other Revenue
4
In-the-Box Factors Factors that are within
the traditional purview/control of the
administration and board
Cost of Education
Government Mandates
Cost per Student
Students
COSTS

• of Houses/Apts
• of Houses/Apts with Students
• Size of Families

• Curriculum Programs
• Class Sizes
• District mgmt
• Education cost/inflation

• Government Requirements

Property Taxes
Tax Base

• Size of Tax Base
• Commercial v Residential split

REVENUES

• State Federal Aid
• Tuition
• Sales Tax
• Grants Donations

Other Revenue
5
Out-of-the-Box Factors
Cost of Education
Government Mandates
Cost per Student
Students
COSTS

• of Houses/Apts
• of Houses/Apts with Students
• Size of Families

• Curriculum Programs
• Class Sizes
• District mgmt
• Education cost/inflation

• Government Requirements

Property Taxes
Tax Base

• Size of Tax Base
• Commercial v Residential split

REVENUES

• State Federal Aid
• Tuition
• Sales Tax
• Grants Donations

Other Revenue
6
Overview of Committee Work
Demographics
Cost of Education
Government Mandates
Cost per Student
Students
COSTS

• of Houses/Apts
• of Houses/Apts with Students
• Size of Families

• Curriculum Programs
• Class Sizes
• District mgmt
• Education cost/inflation

• Government Requirements

Property Taxes
Tax Base

• Size of Tax Base
• Commercial v Residential split

REVENUES

• State Federal Aid
• Tuition
• Sales Tax
• Grants Donations

Other Revenue
7
Out-of-the-Box Factors
Tax Base
Cost of Education
Government Mandates
Cost per Student
Students
COSTS

• of Houses/Apts
• of Houses/Apts with Students
• Size of Families

• Curriculum Programs
• Class Sizes
• District mgmt
• Education cost/inflation

• Government Requirements

Property Taxes
Tax Base

• Size of Tax Base
• Commercial v Residential split

REVENUES

• State Federal Aid
• Tuition
• Sales Tax
• Grants Donations

Other Revenue
8
Out-of-the-Box Factors
Government
Cost of Education
Government Mandates
Cost per Student
Students
COSTS

• of Houses/Apts
• of Houses/Apts with Students
• Size of Families

• Curriculum Programs
• Class Sizes
• District mgmt
• Education cost/inflation

• Government Requirements

Property Taxes
Tax Base

• Size of Tax Base
• Commercial v Residential split

REVENUES

• State Federal Aid
• Tuition
• Sales Tax
• Grants Donations

Other Revenue
9
Edgemont Revenue Sources
Edgemont Revenue Sources (2005-6 Budget) Edgemont Revenue Sources (2005-6 Budget) Edgemont Revenue Sources (2005-6 Budget)
Property Taxes 34,071,000 92
State Aid 2,079,000 6
Tuition 360,000 1
Sales Tax Allocation 300,000 1
Other (e.g. Border Property Reimbursements, Donations, Grants) 100,000 0
Interest Income 75,000 0
Total 36,985,000
10
Property Taxes What does the Average Homeowner
Pay?
2005/6PropertyTaxes Average Single-Family House (30,000 Assessment) Average Apartment (6,000 Assessment)
School 14,000 (12,100 w Basic STAR) 2,800(900 w Basic STAR)
Town 3,600 700
County 2,700 500
Fire 2,400 500
Other 800 200
Total 23,500 (21,600 w Basic STAR) 4,700 (2,800 w Basic STAR)
Source Property Tax Bill 2005/6 and 2004
Edgemont Tax Roll.Basic STAR exemption 4,060
reduction in assessment, for school tax purposes,
for owner-occupied residence 2005/6 value to
taxpayer 1,900 NYS reimburses district.
11
Trends Comparison of Edgemont to NYS
12 Years
(1990/1 to 2001/2)
Edgemont NYS
61 65
29 11
25 49
Expenditures
(CPI 36)
Enrollment
Exp per Student

(CPI 36)
Source of underlying data NYS Dept of Education
website Edgemont School District.
12
Trends Comparison of Edgemont to Westchester
Comparable Schools(14 including Scarsdale,
Chappaqua, Rye Brook)
10 Years (1996/7 to 2005/6)
Edgemont78
Expenditure Growth
162
71
(CPI 28)
Edgemont26
Enrollment Growth
18
51
Source of underlying data Edgemont School
District analysis from Westchester/Putnam School
Boards Association and NYS website.
13
Preliminary Findings Tax Base

• Commercial tax base 13 million (1958 value)
  comprises 18 of the tax base.
• Residential tax base 58 million (1958 value)
  comprises 79 of the tax base
• Utilities and non-profits account for the
  remaining 2 million or 3.
• Edgemonts total tax base has remained flat at
  73 million for 20 years.
• Population data used for County sales tax
  allocations appears to be understated by 18

14
Edgemont Revenue Sources and Composition of
Property Taxes
Edgemont Revenue Sources (2005-6 Budget) Edgemont Revenue Sources (2005-6 Budget) Edgemont Revenue Sources (2005-6 Budget)
Property Taxes 34,071,000 92
State Aid 2,079,000 6
Tuition 360,000 1
Sales Tax Allocation 300,000 1
Other (e.g. Border Property Reimbursements, Donations, Grants) 100,000 0
Interest Income 75,000 0
Total 36,985,000
Composition of Property Taxes Composition of Property Taxes Composition of Property Taxes
Residential 26,916,000 79
Commercial 6,133,000 18
Other(e.g. Utilities) 1,022,000 3
Total 34,071,000 100
15
Trends Edgemont Tax Base School Tax Levy
Source Greenburgh Tax Records.
16
Preliminary Recommendations Tax Base

• Continue to monitor certiorari proceedings and
  aggressively fight, where appropriate
• Consider forming a standing advisory committee
  for assessment and certiorari issues
• Look for ways to enhance the commercial tax base,
  in coordination with ECC (e.g. zoning and
  planning interventions and business liaison
  program)
• Stay informed and carefully evaluate proposed
  residential development
• Appoint a Board Treasurer to focus on tax issues,
  as well as budget, state aid and other issues
  that affect the finances of the district

17
Preliminary Findings - Demographics

• Edgemont housing stock 909 apartments and 1,965
  houses
• 45 of single-family houses have students in the
  district
• 27 of apartments have students in the district
• Blended average of households with students in
  the district is 39
• Average of students in the district per
  student-household is 1.7
• (Note these numbers are subject to change, as
  reconciliation continues)

18
Distribution of Households by of Students
55 of single-family houses do not have students
in the district. 45 of single-family houses
have students in the district. The average
number of students per house that has students in
the district is 1.7
73 of apartments do not have students in the
district. 27 of apartments have students in the
district. The average number of students per
apartment that has students in the district is 1.4
19
Preliminary Recommendations - Demographics

• Look for ways to keep empty nesters in the
  community
• Improve the district database (all household
  addresses should be included, with demographic
  information and tax account references)
• Exercise caution in district publicity and
  communications

20
Preliminary Findings - Government

• NYS Aid covers only 6 of Edgemonts school
  budget and this has declined in recent years
• Edgemonts NYS aid is fairly consistent with
  comparable districts we are all penalized for
  having high property values
• Edgemont has not yet received building aid for
  the recent construction project
• Unfunded and under-funded mandates cost the
  district 4 million per year
• The district is an active participant with many
  industry organizations involved with lobbying
  however, success has been limited
• 4 northern Westchester districts have formed READ

21
Preliminary Recommendations - Government

• Maximize aid by filing all documentation promptly
  and working with consultant to make sure all
  potential aid is identified
• Expand lobbying activities with the objectives of
  obtaining increased aid and relief from
  burdensome government mandates
• Consider forming an advisory committee
• Consider forming a consortium of
  lower-Westchester districts

22
Summary
Cost of Education
Government Mandates
Cost per Student
Students
COSTS

• of Houses/Apts
• of Houses/Apts with Students
• Size of Families

• Curriculum Programs
• Class Sizes
• District mgmt
• Education cost/inflation

• Government Requirements

Property Taxes
Tax Base

• Size of Tax Base
• Commercial v Residential split

REVENUES

• State Federal Aid
• Tuition
• Sales Tax
• Grants Donations

Other Revenue
23
Summary
Upward pressures on property taxes
Cost of Education
Government Mandates
Cost per Student
Students
COSTS

• of Houses/Apts
• of Houses/Apts with Students
• Size of Families

• Curriculum Programs
• Class Sizes
• District mgmt
• Education cost/inflation

• Government Requirements

Property Taxes
Tax Base

• Size of Tax Base
• Commercial v Residential split

REVENUES

• State Federal Aid
• Tuition
• Sales Tax
• Grants Donations

Other Revenue
24
Further research

• Historical comparisons of enrollment and tax
  base
• Further research re zoning and potential
  development
• Further research re tax assessments,
  certioraris, valuation methodology and potential
  revaluation
• Further demographic research
• Further research on state aid and discussion re
  lobbying activities

25
Government and Demographics Advisory Committee

• Questions and Answers