After hearing concerns and complaints from 40 school officials from seven districts, two state legislators promised swift action last week.
State Senator James Seward and Assemblyman Pete Lopez heard local school officials talk about grappling with rising costs, decreases in state aid and more unfunded mandates at their annual meeting with area schools at Schoharie high school.
At the end of the meeting, Senator Seward promised that he and Assemblyman Lopez will look into ways of easing the financial problems facing local schools.
Senator Seward said officials will research a statewide health insurance program for schools to help reduce insurance premiums, look into stabilizing retirement costs which have been skyrocketing the past few years, and will find a way to lessen the Gap Elimination Adjustment.
School board members and administrators expressed frustration about all three issues last Tuesday evening in Schoharie.
The Gap Elimination Adjustment takes school aid to reduce the state budget deficit.
The effects have been severely felt at Cobleskill-Richmondville, said Superintendent Lynn Macan.
"I don't understand the formula," she admitted.
The impact of the GEA is about $1,565 per students at C-R compared to $300 in other districts in the state, she added.
"We're rural schools but we're not high needs rural schools," according to the state, Ms. Macan said.
C-R has lost about $15 million in the last four years to the GEA.
Schoharie Central School has lost about $5.3 million in three years in the GEA, according to Superintendent Brian Sherman. The loss of aid means that the tax levy is 47 percent higher than it should be.
"We need to eliminate the GEA to have equity," he said.
Ms. Macan suggested that if there must be a GEA, the state should assess the amount to the districts by just dividing up the number by the total GEA.
It is not fair that the wealthiest districts have to return less per student, she added.
The legislators said there are two sources of money in the governor's proposed state budget which could provide some relief for schools.
The governor has proposed fiscal stabilization grants totaling $204 million and a fund of $71 million in competitive grants for new initiatives.
Ms. Macan also asked for a way to lower health insurance rates and suggested a state-wide plan.
A state-wide plan will be looked at, Senator Seward said.
School officials also complained about the rising cost of mandated retirement plans for employees and teachers.
C-R board member Dan Schulte said years ago, the rate was .35 percent. Now the rate is climbing from 11.5 percent to 16.5 percent for next year.
The state-mandated tax cap is around two percent, he added, but costs keep rising.
"We're locked in at two percent but then you add health insurance on top" in addition to the retirement costs, Mr. Schulte said.
"We're sinking faster than the money's coming in."
State officials may stabilize the retirement costs by making the payments at 12 or 13 percent over the next 20 years.
The problem with that, Mr. Sherman noted, is that schools would have to pay more at the end if more money is needed but would not get a refund if rates drop below 12 or 13 percent.
Senator Seward and Assemblyman Lopez also heard complaints about the need for the different APPR regulations in each district and the disadvantages smaller districts face compared to larger districts.
Larger districts can easily afford to hire a professional grant writer to apply for competitive grants from the state while smaller schools have to use their own personnel.
There seems to be a disconnect between the state Education Department and the schools, according to some district officials.
"They don't have a connection with reality when it comes to mandates," Mr. Sherman said.
"It's not good for the kids and that's what I'm here for," said Gilboa-Conesville board member Michael Fleischman.
"When we take out mandates, how much are we spending on our kids?"
The problem is at the state level, not the local level, added Gilboa-Conesville board member Peter Fox.
"It seems the state Education Department is deaf to what's going on in our schools."