Friday, January 28, 2011

$2M shortfall in early budget

Wow, a $2 million shortfall! Remember Bill and Marlys, you guys were the ones who gave your pals some of these "generous salaries and benefits" That is pretty disturbing considering that the SB calls for more voulenteers all the time, and during these "tough economic times", you the Morrisville SB were giving some pretty fat salary increases to some administration. Over 2 years of Hellman and CO. running things, and we have a $2 million shortfall. Not good guys, not good at all!!

from the bcct:
$2M shortfall in early budget

By: GEMA MARIA DUARTE
Bucks County Courier Times
MORRISVILLE SCHOOLS

Increases in salary and benefits are responsible for the shortfall. One board member vowed there would be no tax hike.

The preliminary 2011-12 budget for the Morrisville School District has a shortfall of more than $2 million, though officials said that doesn't mean there will be a tax increase.

School director Marlys Mihok said Wednesday night she wasn't alarmed at the task of trimming the $19.7 million proposal.

"I guarantee you there won't be a tax increase," Mihok said after Wednesday's school board meeting. "Not on my watch."

Increases in salary and benefits are responsible for the shortfall, officials said.

"Our expenses are constantly increasing due mainly to generous salaries and benefits but our revenues are shrinking from the state - primarily because they also have a huge deficit - and other sources such as interest income, real estate transfer taxes, etc. due primarily to our national recession," school board President Bill Hellmann said Thursday.

"I also expect revenues from our federal government will shrink due to their unsustainable deficit. This deficit is preliminary only and our school board will work with the administration to narrow the cap in the upcoming months."


Because of the state's Act 1 law, the Morrisville school board isn't permitted to raise taxes by more than 1.4 percent without a voter referendum.

When the final budget is approved, Mihok predicted that it will be pared to $17.9 million so there will be no deficit.

The school director wouldn't disclose how she proposes to trim the budget, but she stuck to her vow to not increase taxes.

The only other business discussed Wednesday was a permanent superintendent.

Board members were expected to give the job to William Ferrara at Wednesday's meeting.

Ferrara has been the acting superintendent for the district since September. But state law requires that the district open up the position to other applicants before filling the job.

Ferrara's contract requires him to go through a performance evaluation in May.

Ferrara said after the meeting that he would rather go through with the evaluation process than just be given the job.

The school board moved the rest of Wednesday's meeting agenda to Feb. 16 due to the storm.

Gema Maria Duarte can be reached at 215-949-4195 or gduarte@phillyburbs.com. Follow her at Twitter.com/deadlineduarte.

January 28, 2011 02:07 AM