Depew UFSD proposes $55.45 million budget, 4.62% levy increase; voters to decide May 20

Depew Union Free School District held a public budget hearing on May 13, 2025, during which district staff presented a proposed 2025-26 general fund budget of $55,451,247 and explained that the plan would set the tax levy increase at 4.62% ($942,761). The hearing was called to order by President Bush; the budget presentation was given by Dr. Reid.

The presentation listed major cost drivers for 2025-26: a 6.8% increase in the Teacher Retirement System and Employees' Retirement System, an 11.8% increase in health insurance, and a 4.7% increase in negotiated salaries. Those items together account for a roughly $2 million increase in major cost drivers and contributed to a projected overall budget increase of about 2.61% on the revenue side.

District officials said state aid for the district was verified in May and that changes to the foundation aid formula will take effect for the 2025-26 school year, including replacing a census-based poverty factor with a three-year free-and-reduced-price lunch average and a modest increase to the English language learner weight. The presenter said the district still faces uncertainty about federal education funding.

The draft budget uses $2.5 million from reserves, including $1.3 million from the employee benefit accrued liability reserve, roughly $750,000 from the vehicle reserve to buy buses, and up to $400,000 from a repair reserve for an emergency structural project at the middle school. The emergency work involves deteriorated steel beams under a loading-dock area and replacement of associated concrete slab and impacted spaces; the district characterized the repair as necessary to ensure the health and safety of students, staff and visitors.

The package before voters includes four propositions. Proposition 1 is the 2025-26 budget (presenter: Dr. Reid). Proposition 2 is a $9 million small-scope capital project to finish items left from the 2021 capital project and address urgent facility needs: additional bathrooms and air conditioning at the middle and high schools, track resurfacing, site and parking repairs, bus garage roof and masonry work, pool aesthetic upgrades, decommissioning a cogeneration plant and creating a family support center at an elementary school identified in the presentation. Proposition 3 would authorize use of nearly $750,000 from the vehicle reserve to purchase four 66-passenger buses equipped with Wi-Fi and luggage compartments; the district said four older vehicles with combined mileage above 300,000 would be declared surplus. Proposition 4 would authorize the sale of a little more than one acre of district-owned land behind the middle school; proceeds would go to the district’s general fund.

The presenter explained how the levy was calculated under statutory caps: the Consumer Price Index used in the formula was 2.95%, growth on the tax base (new property) added roughly $28,000, and estimated PILOT (payment in lieu of taxes) adjustments affected the final number. After statutory exemptions (chiefly local capital expense of about $526,000), the levy change was set at 4.62% ($942,761). The district projected how that levy change would affect homeowners: using the district’s equalization rates, a $100,000 assessed home in Cheektowaga would see an estimated increase of about $80.58, while the same assessed home in Lancaster showed a different effect based on that town’s equalization.

The three-part budget presentation required by state statute showed a 0.05% decrease in administrative spending, a 6.81% increase in program spending and a 16% reduction in capital spending (driven by debt service reductions after prior projects closed out). The presenter said transportation costs would rise and benefits would increase, while debt service would fall as older borrowing is paid off.

The presenter also explained the contingency budget formula should the proposed budget fail: the district would be unable to increase the tax levy, and the $942,761 would be removed from the budget resulting in cuts such as eliminating nonunion salary increases (estimated $35,000), reducing BOCES training and equipment costs (about $807,000) and removing the capital outlay. Community use of district facilities would be restricted under contingency unless full reimbursement of costs was provided.

No formal vote on the 2025-26 budget or the propositions occurred at the hearing; the presenter reminded the public that the budget vote is scheduled for May 20, 2025, from noon to 8 p.m. in the high school gymnasium and that eligible voters must be U.S. citizens, 18 years old and district residents for 30 days prior to the vote.