Fort Edward board hears 2024–25 budget update; staff says tax impact about $44 per year for $100,000 home

The Fort Edward Union Free School District board on Feb. 28 heard Budget Workshop No. 3, where district staff laid out the proposed 2024–25 budget, an updated tax levy and reserve plans that together would raise the typical $100,000 assessment homeowner’s school tax by roughly $44 annually.

In a presentation to the board, the district’s finance presenter (speaker 5) outlined the three-part budget—administrative, program and capital—saying administrative costs are down from last year while the capital budget increased to cover building and grounds needs. The presenter said the district’s current unassigned fund balance is about $2.5 million and proposed moving $1,200,000 into the capital (H) fund to pay for projects rather than seeking debt.

Why it matters: Board members said they want a clearer five-year projection for recurring costs, and staff stressed that some revenue (an expected $900,000 surplus) may not be posted until fiscal year 2024–25. That timing affects how much fund balance the district can prudently use without risking reductions in future state aid.

Staff said the tax-rate change under the proposed levy would result in an increase of approximately $44 per year (about $3.67 per month) for a home assessed at $100,000. The presenter cautioned projections are fluid and depend on when certain receipts (notably an anticipated ~ $500,000 related to a previous boiler project) are recorded in the audit.

On reserves and capital: Presenter (speaker 5) described keeping several reserves largely unchanged, identified an insurance reserve of about $29,015.76 and recommended adding $20,000 to a retirement/benefits reserve. The transportation-maintenance reserve was highlighted as the likely source to replace aging buses; staff proposed buying a 66-passenger Type C diesel bus and a 21-passenger bus as part of fleet planning.

Food service and BOCES partnership: Board members questioned a plan to begin a BOCES-run food service that requires a one-time $150,000 startup. Staff said the initial investment is expected to "kick-start" the program and could lead to net operating returns in subsequent years, but emphasized staffing and salary variability would affect long-term numbers.

Board response and next steps: Board members, including the superintendent (speaker 4), described the plan as "fiscally responsible" while warning that a high fund balance can attract scrutiny from state aid reviewers. The board asked staff to prepare a five-year projection for the April meeting and noted the capital-project scope (approximately $14.5 million) would be voted on separately.

The board did not take a final budget vote at the workshop; staff will return with the requested projections and related materials in April.