Clifton-Fine district looking at 1 percent hike in tax levy

STAR LAKE — Clifton-Fine Central School District is projecting a 1 percent tax levy increase for 2009-10, in a $9.4 million budget that includes the hiring of an elementary teacher for a growing number of pupils.

"We believe the reopening of the Newton Falls Paper Mill and its growth will keep some of the families with younger children in the area," Superintendent Paul J. Alioto said. "We're seeing an increase in the elementary enrollment."

Last year, the number of pupils in prekindergarten through third grade at this time was 115. This year, it is 133.

The district is considering adding a second fourth-grade teacher to accommodate the pupils. Since 2004, the district cut more than 25 percent of its instructional staff, mostly through attrition, and redistributed teachers to address the district's declining enrollment.

For the first time in recent memory, the district's cost for health insurance dropped — $75,000 in one year — because teachers and administrators agreed to higher co-pays for medical services and prescription drugs, Mr. Alioto said.

Overall, the proposed budget is up 2.51 percent, from $9,143,342 for the 2008-09 school year to $9,373,294. Board members have told Mr. Alioto to keep the tax levy stable, or up to a 2 percent hike. The district probably will use $199,000 from its fund balance to keep the levy increase low.

"Right now, the tax levy increase in our working budget is about 1 percent," Mr. Alioto said. "We've increased our applied fund balance by an amount that's close to our budget deficit. Using that amount, we should be secure for the next few years if this economic downturn continues."

The levy is tentatively projected to rise from $3,808,421 to $3,854,122.

Mr. Alioto said the district is cautiously optimistic that some federal economic stimulus money will filter down to the school.

"If that happens, it's very possible that the tax levy could be reduced further," he said. "I'm concerned about many of the folks, especially senior citizens, who have watched their retirement savings evaporate with the market. It's our responsibility to keep the levy down so we don't continue to place more of a burden on these folks."

The board also is worried about the effect of a proposed cap on what the state pays in property taxes for land it owns.

"If the tax cap becomes a reality, that would place a disproportionate burden on local taxpayers. That's clearly unfair," Mr. Alioto said.