Penfield proposes $128.6 million 2025-26 budget; voters to decide May 20 on operating budget and 11-bus purchase

Penfield Central School District officials presented a proposed $128,600,000 2025-26 budget that would increase the tax levy by 3.33% and go to voters on May 20, the district said. The budget would be funded primarily by the real property levy (about 57%) and New York State education aid (about 36%), with other revenue covering the remainder.

At a budget hearing, Dr. Potter, a presenter for the district, and Dr. Driffill, a district presenter, explained the drivers behind the increase: enrollment growth, new staff hires, rising employee benefit costs and capital projects including a new transportation and facilities site. The district said enrollment has risen from 4,614 to a projected 4,711 students and that Penfield is one of roughly 40 New York districts with growth at this scale.

The proposal would raise next year’s total spending from $119,600,000 this year to $128,600,000, an increase of roughly 7.5%. Personnel costs — wages and benefits — account for about 75% of the district’s spending. Since 2021 the district said it has added 59 positions overall; in the current year it added 11 full-time equivalents that were not in the prior budget (three teachers, three directors, four teacher aides and one coordinator). The district plans to add roughly five to six further positions for 2025-26, including two elementary special-education teachers, one teacher aide and two to three security workers.

Administrators cited several specific cost pressures. Medical premiums for employees under 65 were reported as up 14.4%; workers’ compensation premiums were reported up about 20%; and employer retirement contribution rates (the Employee Retirement System) were said to be increasing roughly 9%. The district described these benefit and wage trends as primary drivers of the budget increase.

State aid and other revenues also shaped the proposal. District presenters noted an expected increase in Foundation Aid tied to rising enrollment and described several aid streams: BOCES aid, excess‑cost aid for special education, transportation aid (the district reported a current transportation aid ratio above 70%) and building aid that amortizes prior capital projects. County sales‑tax distributions to school districts were identified as a meaningful local revenue source that has grown in recent years.

On the tax side, the presentation outlined the local levy calculation under New York’s tax‑cap framework. Using available carryover and allowable growth factors, the district said the maximum allowable levy would be $73,764,170; the proposed levy is $72,900,000, about $860,000 below the cap. District staff explained that a levy over the cap would require a supermajority voter approval. The presentation included projected tax‑rate changes across the six towns that include Penfield property (Penfield, Perinton, Pittsford, Brighton, Macedon and Walworth); town equalization rates drive those differences. The district also cited a historical “true value” tax‑rate decline reflecting rising property assessments.

Capital and transportation matters were discussed alongside the operating budget. The district reported a roughly $29,500,000 investment in a new transportation and facilities site, including about $1,400,000 in infrastructure specifically for zero‑emission buses (electrical work, chargers, design and permitting). That facility was described as nearing completion with an anticipated opening in summer 2025 and an expected community open house.

One of the ballot propositions covers a bus purchase from the district’s bus reserve. The district said the planned purchase would acquire 11 buses: six large electric buses, four mini gas buses and one mini gas bus with a wheelchair lift, at an aggregate cost of about $3.5 million. After federal/state rebates and anticipated New York State transportation aid, the district estimated the local cost to the reserve at about $2.1 million and a net local cost of roughly $567,000. Administrators said the district’s NISBIP electric‑bus rebate would stack with state transportation aid, potentially allowing additional reserve funding to be returned to the district. Presenters also noted that, under current state deadlines discussed in the presentation, May 2026 would be the last year to purchase gasoline and diesel buses under the existing mandate.

District staff emphasized fiscal monitoring and outside validation: Moody’s credit rating for the district was cited as AA2 (high quality, low risk), and the Office of the New York State Comptroller’s monitoring system gave Penfield “no designation” for fiscal stress for the year discussed. Presenters said audits and the district’s reserve plan are posted online.

State budget uncertainty remained a caveat. Presenters told the audience that at the time of the hearing no final state aid run had been published and that the district was budgeting based on the governor’s executive proposal and the February aid update available to school business officials. They noted reported elements under negotiation in Albany — including free school meals for all students and a statewide “bell‑to‑bell” smart‑device ban — but said final reconciled state budget legislation and district aid runs were not yet available.

The May 20 ballot will include three propositions: the 2025‑26 operating budget, the bus purchase from the district’s bus reserve, and the board trustee election. Polls were described as open 6 a.m. to 9 p.m.; absentee and early‑voting options were noted, and the district clerk (Clerk Scott) was named as the contact for voting questions. No vote outcomes were reported at the hearing.