ELDRED, NY — The May 16 ballot will include three resolutions, and voters will have their say on whether to approve a bus-leasing arrangement that has been the subject of much public discussion but, some say, fuzzy math.

One resolution is whether to lease 14 66-passenger school buses, one 24-passenger school bus and one 20-passenger school bus equipped with wheel chair access, rather than to maintain an aging fleet. The five-year lease would not exceed $1,405,000.

Despite administrators’ statements that the arrangement is cost-neutral, discussion of the issue brought to light that in the 2017-2018 budget, approximately $163,300 of additional transportation costs would be incurred. Proceeds of more than $70,000 from the sale of current equipment would partially offset these costs in the first year. The possible effect in years two through five was not addressed other than to state that the lease cost would be capped at $1,405,000.

Upon examination by a board member and follow-up questions by a member of the public at the Eldred school board meeting on April 20, business administrator Ruth Luis and Superintendent Robert Dufour acknowledged that the cost neutrality was achieved only by reducing by a similar amount several non-transportation line items that had been incorrectly accounted for, or were historically over budget and therefore not spent previously. Whether these items would have served to decrease overall expenses, absent the leasing arrangement, was not explored.

Resident Paul Clark questioned some of the information in a press release that is posted on the school district’s website, specifically asking how the allowance of 12,000 miles per leased vehicle (a total of 192,000 miles) reconciled with the 273,000 miles the district’s transportation fleet travels in a year. Luis responded that the district will continue to operate and maintain a minibus, two vans and a Suburban, which are available to make runs for special programs. The lease agreement would invoke a cost per mile for miles over the allowances, but Luis said that such overages will not be allowed to happen.

Subsequent to the meeting, the press release posted on the district website addressing the lease proposal was updated, reflecting favorable changes in mileage allowances and agreement terms that were not discussed at the board meeting. No reason was included for the changes.

Voters will decide whether to authorize an overall budget of $17,172,172 for the 2017-2018 school year.

This proposed budget includes an overall increase in spending of $409,278, of which $179,490 would be funded by district property owners. The remainder is from a combination of state and other funding sources.

Board member Brian Siegel noted that of the $409,278 in additional revenue made available through this budget, $356,821 is earmarked for additional health insurance costs that go directly to Orange-Ulster Health, the insurance consortium of which the district is a partner. This increase results in no benefit to the district or its employees, who receive no additional benefits as a result of the increased costs. Crunching the numbers, Siegel calculated that 13.86% of the total budget is eaten up by this increase. Luis acknowledged that the district plan is soon to be considered a “Cadillac” plan. “This is top of the line health insurance,” she said.

Also eroding the additional available revenue are contractual salary increases for teachers of $56,434 after accounting for one retirement and two resignations. In addition, salary increases for the positions of superintendent, business administrator, principals and guidance counselor total over $28,000. Luis averred that due to a lack of consistency in the business department in past years, many line items were incorrectly stated, which skews the comparison with prior-year numbers.

Dufour emphasized repeatedly that no student programs or services are cut due to the budget and reminded the board that the district is mandated to provide counseling and other services that the student body requires and to make whatever adjustments to spending are necessary through the school year to accommodate those mandates. 

Siegel opined, “We can get through another year or so, but this budget is not sustainable.”

The third resolution is to fund the Sunshine Hall Free Library in the amount of $14,500, consistent with the prior year.

There was a question as to the number of “aye” votes necessary to advance the resolutions to the ballot, because only three of five board members were present. Siegel noted that the people will have their say on voting day. After the board votes were recorded, Dufour acknowledged that the necessary “aye” vote was of the majority of the board, not the quorum.

A Meet the Candidates Forum and budget hearing are set for Thursday, May 4 at 7 p.m. at the Eldred Junior/Senior High School.