Newburgh officials: New York budget approved but district aid projections remain a "moving number"

The Newburgh City School District Audit and Finance Committee heard May 13 that the New York State budget has been approved, but district revenue projections remain subject to change.

District staff told the committee the state run used to prepare aid ``runs'' is now set for the year, but adjustments can come at any time and the district will monitor revenues and report back to the board. The committee was told Governor Kathy Hochul’s initiative to fund free and reduced lunch is a positive development for the district but guidance on household certification and implementation is still pending.

Why it matters: state and federal aid are major revenue sources for Newburgh schools; changes to those figures can affect staffing, services and end-of-year fund balances.

At the meeting Miss Peterson, district staff, said, “the New York state budget was approved. The local runs usually are given to us, and we base our projections on what the state presumes. There will be adjustments throughout the year, so we're not seeing any large scale changes.” Miss Peterson added that the governor’s free-and-reduced-lunch initiative was “definitely” beneficial but that the district was still waiting for guidance on whether additional family certification would be required.

Mr. Rothman, district staff, emphasized that the Board of Education had already approved its budget using the state aid projections. “So it doesn't change what was passed by the Board of Ed,” he said, noting that revenue estimates remain projections until actual aid is received. Committee members were reminded that some parts of state aid can increase or decrease after the runs are issued and that the district has seen discrepancies in the past, particularly with excess-cost special-education aid.

On federal funding, staff said some federal dollars flow through the state and are then distributed under the state’s foundation-aid formula, while other grants are direct. The committee discussed “6 11, 6 19” grants and the district’s food-service program as funding streams that carry some uncertainty. Miss Peterson said advocates in Washington have lobbied to protect special-aid funding but cautioned that if federal adjustments occur over the summer or fall, the administration and board would need to consider budget changes.

District staff said year-end revenue and expenditure projections are prepared in June and that recommendations for any use of surplus funds or transfers will go to the full board for approval. The committee was told the district aims to monitor revenues closely and return to the board with updates if figures change.

Less-critical details and next steps: staff expect formal projections on fund balance and any recommended transfers to be available in June; the district will update the public as changes occur.