What is driving up budget costs in Mayfield for 2011-12?

March 15, 2011

Mayfield, like just about every other school district in New York State, is preparing to face what could be a potentially grim budget season.

Governor Cuomo’s proposed budget includes cuts of $1.5 billion in state aid to schools during 2011-12. Under the proposed budget, Mayfield would lose $1.36 million in state aid or 13.89 percent from what it received this year. Before the Gov. Cuomo announced his budget, the district anticipated only a 2-3 percent state aid reduction.

While Mayfield’s 2011-12 budget is not yet fully assembled, district leaders have been told to expect increases in teacher and staff salaries, health insurance and state-mandated retirement costs. That means expenses will increase, driving up the amount of money the district needs to raise to balance its budget.

Officials expect the following three categories to account for a $1.5 million increase for the 2011-12 budget:

Healthcare costs
Healthcare costs will rise 16.5 percent for the 2011-12 school year. That means the district will pay about $800,000 more compared to this year. Districts normally pay between 85-88 percent of healthcare costs for employees.

Retirement rates
School districts typically pay into both the New York State Teachers’ Retirement System (NYSTRS) and NYSERS New York State Employees’ Retirement System (NYSERS). NYSTRS costs will rise from 8.62 to 12.1 percent, or about $180,000 and NYSERS rates will increase from 11.2 to 15.6 percent, or about $90,000. Combined, the district will pay about $270,000 more in 2011-12.

Employee salaries
Both the Mayfield Teachers Association and the Mayfield Professional Staff Association have contracts which last through 2012. Their contacts for the upcoming year call for an increase of approximately 6 percent. The increases in salary of those employees mean a $430,000 increase in the 2011-12 budget.