Mount Vernon Schools Start Cost-Cutting While Planning To Reopen

MOUNT VERNON, NY — With costs sure to go up as schools reopen under pandemic protocols, and a legal fight with the city's controversial Comptroller, who has withheld taxes collected for the district, the Mount Vernon Board of Education has sent an open letter to the community about what they pointed out is a "health, educational and fiscal crisis."

"We have promised to be transparent about the state of our district, especially the financial status, which is the Board’s primary responsibility. In keeping this commitment, we feel it is necessary to inform you that we are faced with a number of significant financial challenges," the school trustees wrote.

District officials have been taking steps already: the district in May froze salaries for several school officials.

They listed the biggest problems facing Mount Vernon schools now:

1. Past Years’ Tax Revenues. This is the most significant and immediate risk to our financial stability. The Office of the Comptroller of the City of Mount Vernon, which has been responsible for collecting taxes on behalf of the School District until this year, has failed to transfer a significant portion of school tax revenue legally due to the MVCSD. The gap between taxes billed and revenue received from the City over the past two years is in excess of $25 million (roughly 10% of the Annual School Budget). Despite our increasingly persistent efforts, the Comptroller has provided no accounting of the taxes remitted on behalf of the School District, and no information on forthcoming transfers of revenue to the District. Having exhausted all efforts to resolve this amicably, we unfortunately have no choice left but to pursue legal remedies to address this deeply troubling problem which is jeopardizing the welfare of our children.

1. Potential Cuts to State Aid. State Aid represents approximately half of our annual School District budget. Governor Cuomo has indicated that, without federal support, it may be necessary to reduce state aid to schools in the coming fiscal year. This could happen at any moment.

1. COVID-19 expenses. In order to comply with new state and federal guidelines for school this year, we will definitely incur incremental expenses related to cleaning, safety and social distancing protocols. The extent of these additional costs will depend on the protocols we are required to follow.

1. Current (20/21) Tax Revenue. We do not yet know what impact the economic devastation of the COVID-19 pandemic will have on our current year school tax collection.

The trustees directed Superintendent of Schools Dr. Kenneth R. Hamilton to begin to make cost reductions necessary to ensure the district's ability to maintain financial stability and successfully manage operations, they said.

This spring, voters approved a budget with a zero percent tax levy increase.