BUDGET INFO

































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STATE BUDGET INFO

Martine G. Guerrier

ALERT
On March 31st, the New York State legislature released gross state aid figures for New York City and the rest of the state.

  2004-05 Base 2005-06 Enacted Increase Over Base Increase Over Exec
State
$14,812,439,523
$15,642,871,828
$830,432,305
$349,634,276
 
New York City
$5,617,956,105
$5,940,696,794
$322,740,689
$57,286,928
         



Some Formulae Put to Pasture
Last legislative session the Governor proposed a block grant, Flex Aid, that combined Comprehensive Operating Aid with Education Related Support Services (ERSSA), Extraordinary Needs Aid, Limited English Proficiency, Minor Maintenance and Repair, as well as Summer School. The legislature rejected the Governor's restructuring of school aid formulae. The total school aid for the state came to $14.8 billion, with NYC receiving $5.6 billion in state aid.

This year, the legislative session saw not only the first ontime budget since the early 1980's, it also saw the Governor's Flex Aid proposal adopted. A Court of Appeals ruling, that narrowly interpreted the legislature's budgetary powers as accepting or rejecting the Executive Budget, played a significant role in shaping the school aid formulae. While the much heralded ontime budget does provide an increase of approximately 5.7% in aid over last year's budget, the impact of the new formula structure on school programs will require close monitoring. The new Flex Aid formula provides $3,466,305,284 in aid to NYC. Flex Aid is adjusted by need and regional cost. Additionally, aid for BOCES + Special Services, Excess Cost - Public + Private, Building Reorganization Incentive, Transportation (incl. Summer School), Hardware & Technology, Software, Library, Textbooks, UPK, Early Grade Class Size Reduction, Teacher Support Aid and the newest aid grant Sound Basic Education, all combine for a state aid total of $5,940,696,794 to NYC.

There is some concern that by folding Limited English Proficiency Aid into Flex Aid it will be more difficult to track how the dollars are spent. The stand-alone Minor Maintenance and Repair Aid that augmented local contributions for facilities repairs has also been folded into Flex Aid and may be more difficult to track. Universal Pre-K and Class Size Reduction remain separate formulae, but Class Size Reduction now has changes in maintenance of effort wording.

The 2005-06 legislative budget provides NYC with 60% of Sound Basic Education Aid-- without a requirement for a local contribution. Every school district in the state will receive at least $25,000 in SBE Aid. Changes in Building Aid could provide NYC with at least 50% reimbursement of expenditures for new school construction. The Governor's proposed cut to Excess Cost Aid to Special Education was restored.

Strangely, although the legislature passed major components of the Executive Budget, the Governor could veto this budget or sections of it within ten legislative business days.

2005-06 Estimated Aids Appropriations
New York City
Flex Aid*
$3,466,305,284
 
BOCES + Special Services
101,179,018
Excess Cost - Public + Private
964,162,210
Building + Bldg Reorg Incentive
435,438,928
Transportation Incl. Summer
365,494,401
Hardware & Technology
11,229,750
Software,Library, Textbook
103,093,981
Universal Pre-K (UPK)
146,528,032
Early Grade Class Size Reduction
88,837,812
Teacher Support Aid
62,707,000
Sound Basic Education
195,650,378
 
TOTAL:
$5,940,696,794
Increase over last year:
322,740,689
Percent increase over last year:
5.74

* Includes Additional Aids:COA, ERSSA, ENA, LEP, SUMMER and REPAIR

 

To view the school aid runs please visit: http://stateaid.nysed.gov

 

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