Depew presents draft $55.45 million budget; district says draft now balanced after state-aid and attrition gains
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Summary
The district presented a draft 2025-26 budget for $55,451,247, showing enrollment projections, major cost drivers and the district's plan to use reserves and expected state aid increases to balance the budget without further reductions at this time.
Depew Union Free School District officials presented a draft 2025-26 budget of $55,451,247 on March 18 and said updated revenue estimates and projected retirements reduce the budget gap to zero at this stage of development.
The district's draft presentation projected fall 2025 enrollment at about 1,779 students and outlined major cost drivers: increases in Teachers' Retirement System (TRS) and Employees' Retirement System (ERS) costs estimated at about 6.8 percent, health-insurance increases around 6.3 percent and negotiated salary increases averaging about 4.7 percent (an overall average personnel increase the presenter gave as roughly 5.1 percent).
Officials said preliminary state-aid projections raise total state aid by about 4.7 percent and foundation-aid by roughly 5.8 percent; staff added that increased expense-driven aids (transportation and building aid) produced more than $800,000 in additional revenue in the district's projections. The district also expects to use reserves in amounts similar to the current year: approximately $1,300,000 from the employee benefit accrued liability reserve and roughly $749,000 from the capital reserve for vehicle purchases.
District materials and the presenter noted that a combination of increased state aid, natural reductions through attrition and retirement breakage and prioritization of new requests allowed the district to close an initial gap of about $951,150 and present a balanced draft budget. "Our draft budget right now is $55,451,247, matches our revenues and therefore, we have no shortfall," the presenter said during the meeting.
The board discussed vehicle purchases, including a plan to buy four 66-passenger buses equipped with Wi-Fi and luggage compartments; staff said purchasing buses with district cash and receiving state reimbursement has historically generated net savings compared with leasing or other financing. Capital outlay projects were also discussed as a continuing method to address discrete building needs while preserving longer-term capital planning.
Officials reviewed the district's tax-levy formula as required by state law and the board's local levy policy: presenters described the levy calculation steps and noted the district's approach to exemptions and adjustments, and said the climate is not favorable to exceeding the tax levy cap at this time.
The budget development schedule presented to the board calls for a final draft and further board review in April, a public hearing on May 13 and the budget vote on May 20.
Ending: District staff said they will return in April with a revised draft for formal adoption and continue to monitor state aid developments ahead of the May vote.
