Amherst Exempted Village treasurer warns of shrinking state funding, recommends considering 1% school income tax

The Amherst Exempted Village Board of Education received a detailed fiscal 2024 audit and a five-year forecast at its regular meeting, where the district’s treasurer warned that expenditures are rising faster than revenues and urged action on both revenue and cost containment.

The treasurer reported the fiscal 2024 audit — performed by an independent public accountant and available on the Auditor of State’s website — yielded an unqualified opinion, with two management-letter comments tied to ESSER fund advances and a missed local records commission meeting. The treasurer then walked the board through the five-year forecast and the assumptions that underpin it, emphasizing that the assumptions are as important as the point estimates.

“Revenue is static as we know it. Expenditures grow rapidly and new revenue is necessary,” the treasurer said, summarizing the forecast’s central tension. The presentation showed property tax and unrestricted state funding as the district’s two largest revenue streams and noted revenue gains tied to a recent reappraisal and new construction, but also projected potential reductions to state foundation funding in the coming biennium.

The treasurer identified two revenue actions in the forecast assumptions: a proposed 1% earned school district income tax to generate new revenue and a November 2027 renewal of the district’s 2012 current-expense levy, which the presentation estimated would yield roughly $2.9 million annually if renewed. The treasurer stressed these items were recommendations for planning, not board decisions.

The forecast also quantifies risks: the presentation estimated a possible reduction to state funding on the order of $1.0–$1.3 million over the next biennium under some legislative scenarios, and noted the district relies on roughly $1.25 million annually in federal program funding (Title I, IDEA, ESL and others) that currently offsets compensation costs.

Board members responded with questions about immediate contingency planning if a ballot measure to eliminate property taxes were to pass. One board member asked about timing and impact; the treasurer said a successful measure could be effective Jan. 1 and would sharply reduce incoming local property tax revenue, shortening the district’s runway.

“How are we supposed to forecast fiscal ’28 and ’29 when pending legislation continues to erode funding?” the treasurer asked during the presentation, urging board members and the public to read the assumptions document rather than fixate on single-year figures. The treasurer said the district currently projects a positive cash balance at the end of the forecast but that the outlook depends on new revenue and cost containment.

The treasurer concluded by calling for coordinated advocacy: the presentation encouraged parents and community members to contact state legislators (Sen. Manning and Rep. Joe Miller were named as local contacts in the discussion) and suggested a district-provided sample letter to support outreach.

Next steps: the forecast will inform budgeting and strategy discussions. The treasurer said any levy or tax proposal would require later board action and community vetting; no levy or tax was placed on the table for a vote at the meeting.