Budget Ambridge Area School District

1 budget

1.1 state basic education funding

1.1.1 accountability block grants
1.1.2 classrooms future grant
1.1.3 environmental education grant
1.1.4 education assistance grant


1.2 federal stimulus grant

1.2.1 race top


1.3 real estate taxes

1.3.1 act 1 adjusted index
1.3.2 property tax relief

budget

pennsylvania public school districts budget , expend funds according procedures mandated general assembly , pennsylvania department of education (pde). annual operating budget prepared school district administrative officials. uniform form furnished pde , submitted board of school directors approval prior beginning of each fiscal year on july 1.

under pennsylvania’s taxpayer relief act 1 of special session of 2006, school districts of first class a, second class, third class , fourth class must adopt preliminary budget proposal. proposal must include estimated revenues , expenditures , proposed tax rates. proposed budget must considered board no later 90 days prior date of election preceding fiscal year. preliminary budget proposal must printed , made available public inspection @ least 20 days prior adoption. board of school directors may hold public hearing on budget, not required so. board must give @ least 10 days’ public notice of intent adopt final budget according act 1 of 2006.

teacher union strikes

in december 2016, ambridge area teachers union went on strike. current contract ambridge area education association expired june 30, 2015. 1 issue of contention health insurance benefits. teachers pay $25 per month family platinum health insurance policies. there have been multiple teacher union strikes in pennsylvania in 2016, including: shamokin area school district, highlands school district montrose area school district dallas school district , athens area school district.

state law gives pennsylvania department of education power order teachers return students complete 180 days of instruction, june 15.

in 2015, average teacher salary in ambridge area school district $59,759 year. district employed 178 teachers average salary of $59,911 , top salary of $74,715. teachers receive 12–14 days paid sick leave each year. paid $500 per year limit use of sick days 2. plus upon retirement teachers receive cash bonus based on number of sick days have accumulated. teachers receive 5 paid bereavement days , 3 personal days each year, plus other time off various purposes. ambridge area school district teacher , administrator retirement benefits equal @ least 2.00% x final average salary x total credited service. (some teachers benefits utilize 2.50% benefit factor.) after 40 years of service, pennsylvania public school teachers , administrators can retire 100% of average salary of final 3 years of employment. according study conducted @ american enterprise institute, in 2011, public school teachers’ total compensation 50 percent higher receive in private sector. study found generous benefits teachers receive not accounted in many studies of compensation including: pension, retiree health benefits , job security. in 2014-15, state mandated district contribution teacher pension fund rose 21.40% of employee salaries , in 2015-16 rose again 25.84% of total district salaries.

in 2009, ambridge area school district reported employing 380 teachers , administrators average salary of $59,801. top salary of $118,000. teachers work 7-hour, 35-minute day 30-minute duty-free lunch , daily preparation period. teachers contract specifies 186-day work year 180 pupil instruction days. additionally, teachers receive defined benefit pension, taxpayer pays 100% of cost of health insurance employee , dependents vision insurance , dental insurance. teachers receive professional development reimbursement, 5 paid personal days, 12-14 paid sick days, , other benefits. board offers retirement incentive $7,500 year 6 years after retirement. in 2011, average teacher salary in aasd $61,761 year, while cost of benefits teachers receive $16,331 per employee, total annual average teacher compensation of $77,062. according study conducted @ american enterprise institute, in 2011, public school teachers’ total compensation 50 percent higher receive in private sector.[81] study found generous benefits teachers receive not accounted in many studies of compensation, including: pension, retiree health benefits , job security.

in 2007 district employed 197 teachers. average teacher salary in district $52,435 180 days worked. of 2007, pennsylvania ranked in top 10 states in average teacher salaries. when adjusted cost of living pennsylvania ranked fourth in nation teacher compensation.

administration spending

ambridge area school district administrative costs, in 2008, $597 per pupil. lowest administrative cost per pupil in pennsylvania $398 per pupil. on july 16, 2008, ambridge area school board awarded, erwin weischedel, five-year contract superintendent initial salary of $118,000. have extensive benefits package includes: defined benefit pension, health insurance, life insurance, paid travel expenses , dues , more. pennsylvania school boards association keeps statistics on salaries of public school district employees in pennsylvania. according association, average salary superintendent 2007-08 school year $122,165. superintendents , administrators receive benefit package commensurate offered district s teachers union.

per pupils spending

in 2008, district administration reported per pupil spending $12,287 ranked 241st among pennsylvania s 501 school districts. in 2010, district s per pupil spending had increased $12,628.28. in 2013, district reported spending $14,041.53 per pupil. among states, pennsylvania’s total per pupil revenue (including sources) ranked 11th @ $15,023 per student, in 2008-09. in 2007, pennsylvania per pupil total expenditures $12,759.

state audit

in april 2011, pennsylvania auditor general jack wagner conducted performance audit of district. district reported deficit fund balance school year ended june 30, 2009. in 2006, district had surplus of $2,649,573. according auditors, significant factor causing general fund deficit failure control expenditures in accordance general fund budgets. findings reported school board , administration. in 2013, district audited again. found school board had address previous issues.

reserves

in 2008, ambridge area school district reported unreserved designated fund balance of $550,000.00 , unreserved-undesignated fund balance of $343,283.00. in 2010, ambridge area administration reported increase $482,166 in unreserved-undesignated fund balance , designated fund of zero. pennsylvania public school district reserve funds divided 2 categories – designated , undesignated. undesignated funds not committed planned project. designated funds , other funds, such capital reserves, allocated specific projects. school districts required state law keep 5 percent of annual spending in undesignated reserve funds preserve bond ratings. according pennsylvania department of education, 2003 2010, whole, pennsylvania school districts amassed $3 billion in reserved funds.

tuition students live in district s attendance area may choose attend 1 of pennsylvania s 157 public charter schools. student living in neighboring public school district or foreign exchange student may seek admission ambridge area school district. these cases, pennsylvania department of education sets annual tuition rate each school district. amount public school district pays charter school each resident student attends charter , amount nonresident student s parents must pay attend district s schools. 2014 tuition rates elementary school - $8,260.77, high school - $8,800.85.

ambridge area school district funded combination of: local earned income tax 1%, property tax set school board each year, real estate transfer tax .50%, coupled substantial funding commonwealth of pennsylvania , federal government. grants can provide opportunity supplement school funding without raising local taxes. in pennsylvania, pension income , social security income exempted state personal income tax , local earned income tax, regardless of income level. average pennsylvania public school teacher pension in 2011 exceeded $60,000 year, plus receive federal social security benefits. both retirement benefits free of pennsylvania state income tax , local income tax funds local public schools. effective 2016, active duty military exempted paying local earned income tax in pennsylvania.

state basic education funding

according report representative todd stephens office, ambridge area school district receives 42.2% of annual revenue state.

in december 2014, pennsylvania education funding reform commission conducted hearing. testimony given regarding state funding @ fastest growing districts , greatest decline in enrollment since 1996. commission developed new basic education funding formula sets new way distribute state basic education dollars. abolished practice of hold harmless funding, gave districts @ least same got previous school year regardless of declining enrollment. plan became law in june 2016 (house bill 1552).

for 2016-17 school year, ambridge area school district received $10,734,465 in basic education funding commonwealth of pennsylvania. 2.6% increase on 2015-16 funding district. highest percentage of bef increase in beaver county 3.9% awarded big beaver falls area school district , midland borough school district under state’s basic education funding formula. 2016-17 school year, pennsylvania increased public education spending record high of $5,895 billion. $200 million increase, 3.51% increase on 2015-16 appropriation. state funded ready learn grants @ $250 million , special education funding received $20 million increase. state paid $492 million school employee social security fund , $2.064 billion teacher’s pension fund. statewide conestoga valley school district received 13.3% increase in state bef funding. 5 pa public school districts received increase of 10% or greater in basic education funding on 2015-16 funding.

for 2015-16 school year, governor tom wolf released partial basic education funding of $5,079,336 ambridge area school district, in january 2016. part of $10.3 billion in school funding withheld public schools, governor since summer of 2015. dispersement did not follow new basic education fair funding formula had been established pennsylvania general assembly in june 2015.

in compliance legislative mandate passed veto proof majorities in pa house , senate, final bef funding determined 2015-16, in april 2016. ambridge area school district received $10,461,449 in basic education funds 2015-16 school year. 2.81% increase yielding $227,043 increase on previous school year funding. district received $314,428 in ready learn funding state.

for 2014-15 school year, ambridge area school district received $10,253,129 in state basic education funding. district received $329,510 in new ready learn block grant. state’s enacted education budget included $5,526,129,000 2014-2015 basic education funding. education budget included accountability block grant funding @ $100 million , $241 million in new ready learn funding public schools focus on student achievement , academic success. state paid $500.8 million social security on school employees behalf , $1.16 billion state teachers pension system (psers). in total, pennsylvania’s education budget k-12 public schools $10 billion. $305 million increase on 2013-2014 state spending , greatest amount ever allotted commonwealth public schools.

in 2013-14 school year, ambridge area school district received 1.9% increase or $10,255,669 in pennsylvania basic education funding. $189,759 more 2012-13 state bef district. additionally, ambridge area school district received $71,204 in accountability block grant funding focus on academic achievement , level funding special education services. among public school districts in beaver county, midland borough school district received highest percentage increase in bef @ 10.2%. district had option of applying several other state , federal grants increase revenues. commonwealth’s budget increased basic education funding statewide $123 million on $5.5 billion. of pennsylvania’s 500 public school districts received increase of basic education funding in range of 0.9% 4%. 8 public school districts received exceptionally high funding increases of 10% 16%. highest increase in state funding awarded austin area school district received 22.5% increase in basic education funding. highest percent of state spending per student in chester-upland school district, 78 percent comes state coffers. in philadelphia, 49 percent. part of education budget, state provided psers (pennsylvania school employee pension fund) $1,017,000,000 , social security payments school employees of $495 million.

for 2012-13 school year, ambridge area school district received $10,065,910. governor s executive budget 2012-2013 included $9.34 billion kindergarten through 12th grade public education, including $5.4 billion in basic education funding, increase of $49 million on 2011-12 budget. in addition, commonwealth provided $100 million accountability block grant (abg) program. state provided $544.4 million payment school employees’ social security , $856 million school employees’ retirement fund called psers. amount $21,823,000 increase (0.34%) on 2011-2012 appropriations basic education funding, school employees social security, pupil transportation, nonpublic , charter school pupil transportation. since taking office, corbett’s first 2 budgets have restored more $918 million in support of public schools, compensating $1 billion in federal stimulus dollars lost @ end of 2010-11 school year.

for 2011-12 school year, ambridge area school district received $10,065,910 in state basic education funding. additionally, district received $157,573 in accountability block grant funding. enacted pennsylvania state education budget includes $5,354,629,000 2011-2012 basic education funding appropriation. amount $233,290,000 increase (4.6%) on enacted state appropriation 2010-2011. highest increase in state basic education funding awarded duquesne city school district, got 49% increase in state funding 2011-12. in 2010, district reported 1,108 pupils received free or reduced-price lunch due family meeting federal poverty level.

for 2010-11 budget year, ambridge area school district received 4.36% increase in state basic education funding total of $10,828,160. highest increase in state funding among beaver county school districts midland borough school district @ 7.57%. 1 hundred fifty school districts in pennsylvania received 2% base increase budget year 2010-11. highest increase in state awarded kennett consolidated school district of chester county given 23.65% increase in state basic education funding. state s hold harmless policy regarding state basic education funding continued district received @ least same amount year before, enrollment had declined. amount of increase each school district received set governor edward rendell , secretary of education gerald zahorchak, part of state budget proposal given each february. second year of governor rendell’s policy fund districts @ far greater rate others.

in 2009-10 budget year, commonwealth of pennsylvania provided 3.08% increase in basic education funding total of $10,375,907. 4 county school districts received increases of on 4% in basic education funding in 2008-10. big beaver falls area school district received 5.26% increase. majority of beaver county districts received 2% increase in bef. in pennsylvania, on 15 school districts received basic education funding increases in excess of 10% in 2009. muhlenberg school district in berks county received highest 22.31% increase in funding. in contrast, ninety (90) public school districts received base 2% increase.

in 2008-09, state s basic education funding ambridge area school district $10,065,910.42 amount of increase each school district received determined governor , secretary of education through allocation set in state budget proposal made in february each year.

accountability block grants

beginning in 2004-2005, state launched accountability block grant school funding. program has provided $1.5 billion pennsylvania’s school districts. accountability block grant program requires taxpayer dollars focused on specific interventions increase student academic achievement. these interventions include: teacher training, all-day kindergarten, lower class size k-3rd grade, literacy , math coaching programs provide teachers individualized job-embedded professional development improve instruction, before or after school tutoring assistance struggling students. 2010-11, district applied , received $427,691 in addition other state , federal funding. district used funding provide longer school day/year, student tutoring after school , implementing research-based instruction improvement strategies.

classrooms future grant

ambridge participated in pennsylvania s classrooms future grant initiative during 2008/2009 school year receiving $107,792. board did not apply first 2 years. program discontinued commonwealth in 2009, due severe tax receipts shortfall in state government precipitated national financial crisis of 2008. in beaver county largest grant went freedom area school district got $476,723. highest funding statewide awarded philadelphia city school district in philadelphia county - $9,409,073. in 2010, classrooms future funding curtailed statewide due massive state financial crisis.

environmental education grant

the environmental education grant program established environmental education act of 1993, mandates 5 percent of pollution fines , penalties collected annually department of environmental protection set aside environmental education. in 2010, ambridge area school district did not apply participate in funding.

education assistance grant

the state s eap funding provides continuing support of tutoring services , other programs address academic needs of eligible students. funds available eligible school districts , full-time career , technology centers (ctc) in 1 or more schools have failed meet @ least 1 academic performance target, provided in section 1512-c of pennsylvania public school code. in 2010-11 ambridge area school district did not apply funding.

federal stimulus grant

the district received $2,277,051 in arra - federal stimulus money used in specific programs special education , meeting academic needs of low-income students. funding limited 2009-10 , 2010-2011 school years. due temporary nature of funding, schools repeatedly advised use funds one-time expenditures acquiring equipment, making repairs buildings, training teachers provide more effective instruction or purchasing books , software.

in 2009, district reported 1,020 students received federal free or reduced-price lunch due low family income.

race top

ambridge area school district officials did not apply race top federal grant have brought district on $1 million additional federal dollars improving student academic achievement. participation required administration, school board , local teachers union sign agreement prioritize improving student academic success. in pennsylvania, 120 public school districts , 56 charter schools agreed participate. pennsylvania not approved in first round of grant. failure of districts agree participate cited 1 reason pennsylvania not approved. second round of state rttt application judging occur in june 2010.

real estate taxes

for 2016-17 school year, ambridge area school board set property tax rates @ 79.2941 mills. mill $1 of tax every $1,000 of property s assessed value. irregular property reassessments have become serious issue in commonwealth creates significant disparity in taxation within community , across region. property taxes, in commonwealth of pennsylvania, apply real estate - land , buildings. property tax not levied on cars, business inventory, or other personal property. types of property exempt property taxes, including: places of worship, places of burial, private social clubs, charitable , educational institutions , government property. additionally, service related, disabled military veterans may seek exemption paying property taxes. pennsylvania school district revenues dominated 2 main sources: 1) property tax collections, account vast majority (between 75-85%) of local revenues; , 2) act 511 tax collections, around 15% of revenues school districts. when school district includes municipalities in 2 counties, each of has different rates of property tax assessment, state board equalizes tax rates between counties. in 2010, miscalculations tax board widespread in commonwealth , adversely impacted funding many school districts.

the average yearly property tax paid beaver county residents amounts 3.49% of yearly income. beaver county ranked 375th out of 3143 united states counties property taxes percentage of median income. according report prepared pennsylvania department of education, total real estate taxes collected school districts in pennsylvania rose $6,474,133,936 in 1999-00 $10,438,463,356 in 2008-09 , $11,153,412,490 in 2011. property taxes in pennsylvania relatively high on national scale. according tax foundation, pennsylvania ranked 11th in u.s. in 2008 in terms of property taxes paid percentage of home value (1.34%) , 12th in country in terms of property taxes percentage of income (3.55%). pennsylvania s 2011 tax burden of 10.35% ranked 10th highest out of 50 states. tax burden above national average of 9.8%. pennsylvania s taxpayers paid $4,374 per capita in state , local taxes, including school taxes.

act 1 adjusted index

the act 1 of 2006 index regulates rates @ each school district can raise property taxes in pennsylvania. districts not allowed raise taxes above index unless allow voters vote referendum, or seek exception state department of education. base index 2010-2011 school year 2.9 percent, act 1 index can adjusted higher, depending on number of factors, such property values , personal income of district residents. act 1 included 10 exceptions, including: increasing pension costs, increases in special education costs, catastrophe fire or flood, increase in health insurance costs contracts in effect in 2006 or dwindling tax bases. base index average of percentage increase in statewide average weekly wage, determined pa department of labor , industry, preceding calendar year , percentage increase in employment cost index elementary , secondary schools, determined bureau of labor statistics in u.s. department of labor, previous 12-month period ending june 30. school district market value/personal income aid ratio (mv/pi ar) greater 0.4000, index equals base index multiplied sum of .75 , mv/pi ar current year. in june 2011, pennsylvania general assembly eliminated 6 of ten exceptions act 1 index. following exceptions maintained: 1) costs pay interest , principal on indebtedness incurred prior september 4, 2004 act 72 schools , prior june 27, 2006 non-act 72 schools; 2) costs pay interest , principal on electoral debt; 3) costs incurred in providing special education programs , services (beyond paid state); , 4) costs due increases of more index in school’s share of payments psers (pa school employees pension fund) taking account state mandated psers contribution rate.

the school district adjusted index ambridge area school district 2006-2007 through 2010-2011.

for 2016-17 budget year, ambridge area school board applied 1 exception exceed district s act 1 index limit, due escalating teacher pension costs. statewide 299 school districts adopted resolution not exceed act index in 2016-17.

for 2015-16 budget year, ambridge area school board did not apply exceptions exceed act 1 index limit. school budget 2015-16, 310 pennsylvania public school districts adopted resolution certifying tax rates not increased above act 1 index limit. 187 school districts adopted preliminary budget leaving open option of exceeding index limit. regarding pension costs exception, 172 school districts received approval exceed index limit in full, while others received partial approval of request. special education costs, 119 districts received approval exceed tax limit. no pennsylvania public school districts received approval grandfathered construction debts exception.

for 2014-15 budget year, ambridge area school board did not apply exceptions exceed act 1 index limit. in 2014-15, pennsylvania school districts required make 21.4% of payroll payment teacher’s pension fund (psers). school budget 2014-15, 316 pennsylvania public school districts adopted resolution certifying tax rates not increased above act 1 index limit. 181 school districts adopted preliminary budget leaving open option of exceeding index limit. districts may apply multiple exceptions each year. pension costs exception, 163 school districts received approval exceed index in full, while others received partial approval of request. special education costs, 104 districts received approval exceed tax limit. 7 pennsylvania public school districts received approval grandfathered construction debts exception.

for 2013-14 budget year, ambridge area school board applied exception exceed act 1 index limit, due rising costs of teacher s pensions program. in 2013-14, pennsylvania school districts required make 16.93% of payroll payment teacher’s pension fund (psers). school budget year 2013-14, 311 pennsylvania public school districts adopted resolution certifying tax rates not increased above index. 171 school districts adopted preliminary budget leaving open option of exceeded index limit. pension costs exception, 169 school districts received approval exceed index. special education costs, 75 districts received approval exceed tax limit. eleven pennsylvania public school districts received approval grandfathered construction debts.

for 2012-13 budget year, ambridge area school board applied 3 exceptions (debt, pension costs, special education costs) exceed act 1 index. 2012-2013, 274 school districts adopted resolution certifying tax rates not increased above index; 223 school districts adopted preliminary budget leaving open option of exceeded index limit. exception pension costs, 194 school districts received approval exceed index. special education costs, 129 districts received approval exceed tax limit. exception pension costs, 194 school districts received approval exceed index. special education costs, 129 districts received approval exceed tax limit.

for 2011-12 school year, ambridge area school board applied 4 exceptions exceed act 1 index: grandfather debt, pension costs, special education costs , maintenance of local tax revenue). each year, ambridge area school board has option of adopting either 1) resolution in january certifying not increase taxes above index or 2) preliminary budget in february. school district adopting resolution may not apply referendum exceptions or ask voters tax increase above inflation index. specific timeline these decisions published annually, pennsylvania department of education.

according state report, 2011-2012 school year budgets, 247 school districts adopted resolution certifying tax rates not increased above index; 250 school districts adopted preliminary budget. of 250 school districts adopted preliminary budget, 231 adopted real estate tax rates exceeded index. tax rate increases in other 19 school districts adopted preliminary budget did not exceed school district’s index. of districts sought exceptions: 221 used pension costs exemption , 171 sought special education costs exemption. 1 school district sought exemption nonacademic school construction project, while 1 sought exception electoral debt school construction.

ambridge area school board did not apply exceptions exceed act 1 index budget in 2011. 2009-10 school budget, board did not apply exceptions exceed index. in spring of 2010, 135 pennsylvania school boards asked exceed adjusted index. approval granted 133 of them , 128 sought exception pension costs increases.

property tax relief

in 2016, ambridge area school district approved 6,517 homestead properties receive $161 each. among beaver county school districts, aliquippa school district received highest tax relief - $376 each. relief subtracted total annual school property tax bill. property owners must apply relief through county treasurer s office. farmers can qualify farmstead exemption on building used agricultural purposes. farm must @ least 10 contiguous acres (40,000 m) , must primary residence of owner. farmers can qualify both homestead exemption , farmstead exemption. in beaver county, 64% of eligible property owners applied property tax relief in 2009.

2015-16 - $162
2012-13 - $161
2010-11 - $161 property tax relief 6,517 approved residents
2009-10 - $161 per approved permanent primary residence. in district, 6,534 property owners applied tax relief. in beaver county, highest tax relief went aliquippa school district set @ $350. highest property tax relief, among pennsylvania school districts, went homesteads of chester upland school district of delaware county received $632 per approved homestead in 2010. second year received amount.

additionally, pennsylvania property tax/rent rebate program provided low income ambridge area school district residents aged 65 , older; widows , widowers aged 50 , older; , people disabilities age 18 , older. income limit $35,000 homeowners. maximum rebate both homeowners , renters $650. applicants can exclude one-half (1/2) of social security income, consequently people have income of substantially more $35,000 may still qualify rebate. individuals must apply annually rebate. can taken in addition homestead/farmstead property tax relief.