Sachem trustees hear budget showing $13.4 million gap; adoption set for April 21

District budget presenter Michelle Sarakis told the Saginaw Board of Education on March 31 that the proposed 2026–27 spending plan totals $387,900,000 against roughly $374,000,000 in expected revenues, leaving a $13,400,000 gap that the board will address before a planned adoption vote on April 21.

Sarakis said the district typically budgets a $9,000,000 transfer to capital each year for projects such as boiler and roof replacements, CT/IT renovations and restroom work at Samaset. She told trustees the district now plans to move previously planned parking‑lot work at Somerset to East High School to expand parking there.

"We usually budget that transfer to capital appropriation of $9,000,000," Sarakis said during the presentation, which also outlined student activities, athletics and special‑education expenditures.

Sarakis showed the budget's revenue and expenditure breakdown and described a 1.83% budget‑to‑budget increase (about $6.9 million), with roughly 47% of expenditures directed to salaries and 26% to benefits. She said special education spending is roughly $22 million, largely driven by BOCES services.

"That leaves us with a budget gap of $13,400,000," Sarakis said. She also projected the district will close the current fiscal year with an approximately $17,700,000 surplus driven by underspending and unanticipated revenues, and said the district could appropriate about $1.9 million back into unassigned fund balance, raising it from 3.3% toward about 3.77% of next year's budget.

Board members pressed Sarakis on how sound that projection is and noted auditors generally prefer an unassigned fund balance near 4% as a rainy‑day cushion. Trustees also asked how the district would handle state aid uncertainty; Sarakis said final aid amounts often arrive in late spring and that previous years' one‑time state aid boosts had helped close shortfalls.

Trustees discussed the state mandate to convert school fleets to electric vehicles, and Sarakis said a Wendell Consulting feasibility study estimated conversion costs of about $23,000,000 for construction and bus purchases phased over multiple years. She noted building aid, bus grants and phased purchasing reduce initial local costs but complicate near‑term budgeting.

Sarakis detailed next steps and public dates: the board is scheduled to adopt the budget at its April 21 meeting, hold a public budget hearing May 6 and conduct the public vote — coinciding with the trustee election — on May 19.

The board did not take a final vote on the budget at the March 31 meeting; trustees will return to the item at the April 21 meeting.