This reorganization study is particularly unique, in that any realignment of the existing BOCES would only carry a projected future benefit for shared academic services and student performance in light of projected enrollment declines in the major population centers of the greater Corning-Elmira-Horseheads region. Other than the marginal cost savings of an administrative restructuring, there is little compelling evidence to otherwise demand an immediate consolidation of the Steuben-Allegany and Schuyler-Chemung-Tioga BOCES. Both organizations afford their component districts sound opportunities for instructional and support services, and, of greatest significance, demonstrate high levels of customer satisfaction. Arguably, the costs are relatively high, but there is a depth of service provided that, in many circumstances, justifies the expense.

Influencing this study, however, is a measure of caution, particularly from the population centers, that fiscal restrictions may well prevent the BOCES from maintaining services in the future; and a suggestion that a larger critical mass of students mitigates against program decline, or a lack of access to programs and services for the smaller, more rural districts. The Schuyler-Chemung-Tioga BOCES is particularly vulnerable to programmatic decisions of the Elmira City and Horseheads Schools, which carry 66 percent of the total Resident Weighted Average Daily Attendance (RWADA) of the region. Elmira alone accounts for 42 percent, and a decision on its part to withdraw from a service or program could effectively result in an inability of the BOCES to continue that facet of the program.

The business community, particularly in the eastern region, is aggressively in support of a reorganization, for reasons both of cost efficiency and program maintenance. Of tertiary benefit is an opportunity for a consolidated workforce development initiative corresponding to similar regional efforts in the private sector.

The educational community of the Schuyler-Chemung-Tioga BOCES is generally in support of a reorganization; the majority of districts in the Steuben-Allegany BOCES are not. Any reorganization would need to be addressed with sensitivity to the needs of the rural districts in Steuben and Allegany counties, and timed such that the Cooperative Boards and their staffs would have sufficient opportunity and resources to effectively plan for what will be a complex reorganization, as some features of each BOCES would need to remain intact, at least initially.

It is the finding of this study that there is not a sufficient level of readiness in the region for a reorganization to take place at this time. The investigators are of the opinion that, with the appointment of a new District Superintendent in Steuben-Allegany BOCES, discussions should begin between the two organizations with the goal of building partnerships and collaborative relationships that could prove to be the foundation for reorganization at the time of a subsequent vacancy in the office of district superintendent and statutory survey. It would seem reasonable to realign the statewide affiliation of these two BOCES, such that they participate in the same Joint Management Team, as a preliminary measure to foster opportunities to gain awareness and to build a cooperative spirit between the two organizations.

Further, while a study recommendation that excludes immediate reorganization may not mandate a public hearing, it is a concurrent recommendation of the study that an opportunity for public comment be integral to the dissemination of this report and subsequent review.

Education Law Section 2201 provides that, whenever a vacancy occurs in the office of district superintendent in any supervisory district, the Education Department shall conduct a survey of that supervisory district, and those contiguous districts, to determine if redistricting is advisable in order to better serve the educational interests within the region. If the survey indicates that redistricting may be useful, the Commissioner is authorized to conduct a study to examine the possible reorganization of the supervisory district if no such study has occurred within five years.

Such a vacancy has occurred in the Office of the District Superintendent of the Sole Supervisory District of Steuben and Allegany Counties. The required survey was completed, and this study was conducted, at the request of the Commissioner of Education, to assist him in carrying out his statutory responsibilities relative to the organization of the Steuben-Allegany Supervisory District and Board of Cooperative Educational Services.

A supervisory district is a territorial subdivision of the State, defining the jurisdiction of the District Superintendent of Schools. The New York State Legislature in 1910 provided for a system of Supervisory Districts to be established throughout the State to ensure effective management and supervision of the public schools. Each supervisory district contains varying numbers of school districts. Boards of Cooperative Educational Services (BOCES) were created by Legislature in 1948. A BOCES is an organization of school districts in a supervisory district, formed for the purpose of providing, on a shared basis, certain educational services and facilities which can be more effectively and efficiently organized on a regional basis. In accordance with Education Law, a BOCES functions within each Supervisory District.

The district superintendent is a local representative of the Commissioner of Education, and his/her duties are to supervise the administration of the various school systems in the supervisory district and to advise school boards and local staff on all school matters. As Education Department staff, district superintendents receive a salary from the State of New York. The Commissioner of Education and the Board of Cooperative Educational Services share in the responsibility of selecting the district superintendent who is also chief executive officer of the Board of Cooperative Educational Services.

The District Superintendent serves a unique dual governmental and educational function through which State and local purposes are carried out together. As vacancies have occurred in the office of district superintendent, the Commissioner of Education has exercised his statutory responsibility to survey the area supervisory districts and their BOCES and to order redistricting as he determines necessary to achieve optimum regional educational services and effective State purposes. Originally there were 207 supervisory districts in the State. By 1958, there were 121 supervisory districts and 82 newly-created BOCES. In June 1993, there were 41 supervisory districts. Currently there are 38 Supervisory Districts, each of which has a BOCES.

Many factors are considered in reaching a determination relative to the redistricting of supervisory districts. The organizational structure of the supervisory district should ensure that the following criteria are met:

In deciding on the most appropriate administrative organization for the region, geographic and demographic factors and the location of existing BOCES centers within an area are also considered.

Since a BOCES operates within each supervisory district to provide shared services to component school districts, the ability of a BOCES to respond effectively and efficiently to area educational needs is a primary consideration when viewing redistricting alternatives.

The Board of Regents views the following as major responsibilities of BOCES:

There are four options, or combinations thereof, which the Commissioner of Education may wish to consider in redistricting a district: 1) retaining the Supervisory District as currently constituted; 2) transferring districts from a contiguous Supervisory District to the Supervisory District(s) where the vacancy is occurring; 3) transferring districts from the Supervisory District where the vacancy is occurring to a contiguous Supervisory District; or 4) combining the Supervisory District where the vacancy is occurring with a contiguous Supervisory District.

Each of these options was evaluated and considered as a study of the Steuben-Allegany Supervisory District was undertaken in respect to the following criteria:

Included are information and statistical data collected from BOCES, district superintendents and district files maintained within the Education Department. The enrollment and financial data are taken from the SBM-4, SA-111, BOCES COSERs and the Annual 602 Report, to assure that there is consistency in the source data and the time in which it was developed. Since the most recent audited data dates back to the 2001-02 school year, the investigators attempted to get the most recent data as reflected in 2003-04 participation rates and interviews with program administrators.

In an effort to provide some context and comparative information, the following tables have been included at the conclusion of this document to assist the reader in understanding the Steuben-Allegany Supervisory District in comparison with neighboring supervisory districts and other supervisory districts in the State.

1. Steuben- Allegany and Schuyler-Chemung-Tioga District Data- provides information on enrollment and geographic size of these two Supervisory Districts.
2. Supervisory District Profiles -- provides comparative data for the Steuben-Allegany Supervisory District and contiguous supervising districts.
3. Enrollment and Size of Supervising Districts -- rank orders the 38 supervisory districts by enrollment and geographic size.
4. Pupils per Square Mile and Number of Components – rank orders the 38 BOCES by pupils per square mile and number of component school districts.

All of these data tend to suggest that, if consideration is given to merger, the most logical partner for a merged BOCES would be the Schuyler-Chemung-Tioga BOCES. The investigators therefore, focused their attention on the Steuben-Allegany and Schuyler-Chemung-Tioga BOCES. An effort was made to compare existing programs, costs for these programs, and administrative expenses for both organizations. In addition, a comparative analysis of workforce development initiatives was also undertaken. Furthermore, focus group sessions were conducted with the following groups within the Schuyler-Chemung-Tioga and Steuben-Allegany Supervisory Districts:

Finally, other factors that would impact merger considerations were also considered, including:

• Non-Instructional programs and cost
• Appropriate student data
  • Regional enrollment history and trends
  • Participation rates in student programming

The report that follows includes the findings of this investigation, and begins with a side-by-side analysis of the major divisions of each BOCES.

The Steuben Allegany BOCES offers 14 CTE programs:

11 Career and Technical 2-year programs
2 New Visions Programs (Engineering and Health)
1 Introduction to Careers

Alternative programs for students in the Steuben-Allegany region are offered at both the Wildwood and Coopers Plains sites. Currently 99 students are enrolled in two programs – 51 at Coopers and 48 at Wildwood. Students spend a full day in the program; half day in regular education and half day at career and technical education. In addition there are a small number of students (6) enrolled with GED programs following the same model – GED preparation for a half day and career and technical education for a half day. As part of the Alternative Education Program, students receive instruction in the four core areas and have opportunities for career exploration and in-depth career and technical education. Class size in the core academics is maintained at 10 or less. Staff support includes a counselor, a psychologist and a career coach. An Alternative Education Advisory Committee, comprised or representatives from participating school districts, works with the BOCES in support of the program.

Services for students with disabilities in the Schuyler-Chemung-Tioga Supervisory District are provided both at the Horseheads campus and at remote sites. There are five primary program areas administered by three supervisors, a principal, and an assistant principal. There is no Director of Special Education and it was noted by the staff that, while the administrative organization was rather unique, it was the "culture of the organization" that made it work. Administrators are assigned by program area, including six 15:1 classes serving seventy-five (75) students; four 8:1:1 classes out in the districts; twenty-four (24) 6:1:1 classrooms on campus; ten (10) autistic classrooms serving fifty-seven (57) students, all on campus; and ten (10) 6:1:1 classrooms for multiply disabled children, also on campus. Unique to the 6:1:1 emotionally disturbed programs are the full replacement of teacher aides with social workers, a third of whom are supported by the Elmira Psychiatric Center, and an on-site psychiatrist, also provided by the Elmira Psychiatric Center. The staff felt the programs enjoyed a very strong relationship with the seven Committee on Special Education chairs in the districts and were extremely proud of their program for autistic children. The superintendents clearly supported the 6:1:1 classrooms, and were not concerned about the relatively high tuition and staffing costs therein. Special education administrators, as was the case with career and technical education, felt restricted by the lack of space available, and also noted the increase in severity of disability and mental health needs for younger and younger students. Schuyler-Chemung-Tioga BOCES educates 287 children with disabilities. Twenty classrooms are located in component districts; and the remaining 25 are housed in BOCES operated sites.

All students attending Steuben-Allegany BOCES programs for students with disabilities attend classes in inclusionary settings. The school districts of Corning, Bath, and Hornell entered into an agreement with the Steuben-Allegany BOCES to construct classroom space adjacent to their regular education space at the elementary, middle, and high school levels. A total of 187 students enrolled in 12:1:1, 8:1:1, and 6:1:1 programs attend classes in these inclusionary settings. The Director of Special Education reported a decline in the number of students enrolled in 12:1:1 programming as districts are making decisions to move these students into programs with their non-disabled peers in their home school districts. Tuitions range from $22,110 to $24,810 as funds are provided for a number of support services within these inclusionary settings; e.g., nursing services, administrative support, maintenance and custodial services.

The Schuyler-Chemung-Tioga Regional Information Center (RIC) carries full subscription from the component districts and picks up cross contracts from the Steuben-Allegany and Tompkins-Seneca-Tioga BOCES, among others. Corning is an active participant. The RIC provides services that might better be categorized as a regional computer support center, as it provides, supports and maintains the regional infrastructure for data communications, along with the implementation of nearly all hardware and software in the region. The Center supports a single product for regional student information system use and another single product for finance. All Schuyler-Chemung-Tioga services come through the RIC, including internet, and all schools have the same hardware standard. There is a very detailed, and highly customized, level of service for the component districts.

Most of the school districts within Steuben-Allegany BOCES purchase administrative and instructional computer support through the Western New York RIC (WNYRIC) housed at the Erie I BOCES. There is some cross-contracting with the Schuyler-Chemung-Tioga BOCES for computer support services, primarily by the Corning City School District. Those receiving services from the WNYRIC experienced high satisfaction with the service. Many indicated involvement in the data warehousing service and wanted assurance of its continuation. Furthermore, many districts have invested in a broadband network being developed by the WNYRIC. A detailed side-by-side analysis of RIC services would be required before making any judgment about comparability of program or of cost.

The Schuyler-Chemung-Tioga BOCES provides a relatively wide range of management services, including health-safety-risk management (three full-time specialists), printing, health insurance and workers compensation consortia and a comprehensive food service program that manages all the food service programs in the seven component school districts.

The total budget for non-instructional support services is $3,453,639.00. Most of the expenditure, $2,769,726, is for Administrative Computer Support through the WNYRIC at the Erie I BOCES. That leaves a total of $683,913 for other non-instructional services. Of that amount, direct services provided by the BOCES amount to $323,376 and cross contracts amount to $360,537. When RIC services are taken out of the equation, 53 percent of the non-instructional services are provided through cross contract. More than half of the funds expended within the local BOCES ($169,979) are for telecommunications services. Thus, the total dollar amount expended on services provided directly by the BOCES outside of telecommunications is $153,397. Few services are provided directly by the Steuben-Allegany BOCES. This is a program area that may benefit from a partnership with the Schuyler-Chemung-Tioga BOCES.

The Instructional Support division at the Schuyler-Chemung-Tioga BOCES is currently in a state of transition. A supervisory position is being held vacant, pending the outcome of the consolidation study, and capacity issues have been raised in terms of staff development, distance learning and coordination of the Special Education Training and Resource Center. Staff development is regionally classroom imbedded and the component districts support a very high level of program in the area of computer assisted instruction. All seven component districts participate in an RWADA share of the staff development services base cost and further support a full-time data analyst. Schuyler-Chemung-Tioga BOCES houses the Teachers Center to which the city school district of Corning belongs. The BOCES also houses the regional science resource center and participates in the Mid-State (Syracuse) Regional School Support Center.

A review of the 2001-02 audited data suggests that instructional support services offered directly by the Steuben-Allegany BOCES was limited. The expense for the 2001-02 year was $2,320,189, of which $1,069,796 (46 percent) was delivered via cross contract. It should be noted that much of this expense was from instructional computer support services through the WNYRIC at Erie I BOCES. At this same time, however, it appears that a significant portion of staff and curriculum development services were also delivered via cross contract. The data raised questions regarding the capacity of Steuben-Allegany BOCES to assist and support schools in helping all students meet the State Learning Standards. These issues were discussed with the staff at Steuben-Allegany BOCES. It was reported that several changes have occurred since the 2001-02 school year. A new Director of Instructional Support Services was hired by the BOCES. Over the next three years, seven staff developers were added to the staff to serve as curriculum mentors and work directly with teachers in the classroom as part of a "push-in" staff development model. Twelve of the fourteen school districts within the BOCES participated in this expanded service, and research based curriculum and staff development activities form the foundation of the service. It was also reported that Special Education Teacher Resource and Educational Centers (SETREC) program is linked to this service, and the SETREC staff developer also utilizes the "push-in" model. The SETREC funded position is included among the seven positions previously cited.

Workforce Development

Programs offered by the Steuben-Allegany BOCES are typical of those found at other BOCES. There are approximately 40 adults integrated into full day career and technical programs. In addition, the BOCES offers a number of late afternoon and evening programs at both the Wildwood and Coopers Plains facilities. Furthermore, workforce development/ preparedness programs are offered to adults who lack skills to enter the workforce. Reported enrollments for all programs for 2003-04 were 1578. When queried on alignment with workforce development in other regions, Steuben –Allegany administrators cited:

From a workforce development perspective, it should be noted that the workforce development initiative in this region is linked to three counties – Schuyler, Chemung, and Steuben counties. There are Workforce Development Board representatives from these three counties; and an economic development specialist indicated that there is an effort to strengthen ties between the three counties.

The seven component superintendents of the Schuyler-Chemung-Tioga BOCES are in favor of the reorganization. They cite a better opportunity to reach critical mass in any number of services along with an improved opportunity for the smaller districts to be able to support programs. Further, it was noted that the addition of the Corning City School District would offset the now very significant impact of Elmira and Horseheads, representing 66 percent of the total RWADA of the BOCES. The superintendents are very pleased with the quality of the services offered and do not have an issue with either administrative or program costs. They recognize that they are paying for, in many cases, a very sophisticated level of service. The superintendents felt that opportunities for growth should be noted in computer support technology, distance learning, management and support services, and that better instructional opportunities could be provided for non-traditional students. The superintendents felt that the geography of the region was an issue, and that all three current centers would need to remain operational. They saw an administrative move to the Coopers Center, with Hornell and Horseheads becoming two satellite centers. The superintendents acknowledged that the geography of the new BOCES would present a challenge, as would the varying nature of the health insurance consortia between the two BOCES. The superintendents also recognized that the current model of having every district represented on the BOCES Board (Schuyler-Chemung-Tioga) would not continue.

The Schuyler-Chemung-Tioga Cooperative Board felt very strongly about the quality of services offered to the component districts and the stability of leadership within the Board. They recognized that the limited geography of the region facilitated logistical matters, and cited the open communication between the Board, the component districts, and representative leadership of each. Areas noted for improvement included programs previously offered under the Alternative High School; a possibility to expand to a four-year technical education program; and a current study being undertaken to create a shared business office service. The Board felt that a reorganization plan might help them address some of their issues, but it would very much depend on how that reorganization took place. An immediate need to begin conversations between leadership was cited, as was a recurring theme that the geography of a complete reorganization might prove problematic. The Board was concerned about the Commissioner losing a representative in the field (due to consolidation of the District Superintendent’s office) and also expressed concern about their relatively new District Superintendent picking up duties and responsibilities for fourteen new districts.

At a regional meeting of component school board members, many of the same opinions were shared, with a further suggestion that perhaps an option might be available for one particular district to migrate to the adjacent Tompkins-Seneca-Tioga BOCES.

Thirteen of 14 superintendents of the Steuben-Allegany BOCES attended a meeting on October 12, 2004 to discuss three options in relation to the future of the BOCES:

• Remain intact with 14 component districts;
• Allow some districts to leave the BOCES and join contiguous BOCES organizations;
• Merge the Steuben-Allegany BOCES with the Schuyler-Chemung-Tioga BOCES.

A rather large majority of those in attendance favored keeping the BOCES intact. The superintendents felt that Steuben-Allegany was a customer-oriented BOCES responsive to the needs of the local schools. Several cited a BOCES high performance work plan that focused on improving student achievement. They expressed satisfaction with all programs and were most pleased with the development of the Instructional Support Services Program with its focus on embedded staff development. Those superintendents from small school districts expressed concern about becoming "lost" in a larger BOCES organization. In addition, many of the districts expressed satisfaction with the level of services provided by the WNYRIC, housed at Erie I BOCES. They cited data warehousing, the development of a broadband network, and the personalized service being received as examples of services they would not like to lose through any type of merger.

Those same themes were generally represented in meetings with the Steuben-Allegany Cooperative Board and the Steuben-Allegany School Boards Association. The groups were highly suspicious of the motivation for the study, felt they could not respond adequately to proposals without seeing comparative data, and expressed satisfaction with the quality of the services offered through their current BOCES, and did not raise program costs as an issue.

Over the past three years, administrators at Schuyler-Chemung-Tioga BOCES have very much paid attention to their administrative infrastructure, attempting to mitigate relatively high administrative costs. There have been a number of staff reductions over the past 18 months, including several critical administrative vacancies that have not been replaced. It was repeatedly cited, while it might appear to an outside observer that the capacity was not present to sufficiently oversee programs, that it was due to the culture of collaboration by and among the districts that allowed this particular infrastructure to function. However, it is highly extraordinary for programs of this size to be administered without either a Director of Career and Technical Education or a Director of Special Education. With a multi-building campus clearly at capacity, the districts have long supported an annual contribution of approximately $600,000 to the capital budget and will be retiring approximately 50 percent of their current encumbrance for rentals next year. Retiree health benefits now make up 40.7 percent of the administrative budget, with net decreases in the administrative budget due to reductions in staff. While the administrative budget has held relatively flat for the past few years, there was a need in 2004-05 alone to offset a $311,900 increase in retiree health insurance.
 

The General Administrative Budget for the Steuben-Allegany BOCES for 2001-02 was $2,404,381 with actual expenses of $2,116,690. Expenses were further reduced by $314,656 as a result of interest earned ($295,390) and miscellaneous revenues ($18,966) resulting in a net expense of $1,802,334. This yielded a gross administrative cost of $101 per resident weighted average daily attendance (RWADA). This gross cost of $101 per RWADA was further reduced to $94 per RWADA after refunds were made to the component districts of the BOCES at the close of the 2001-02 fiscal year. It also should be noted that Steuben-Allegany BOCES proposed to expend $414,692 in interest payments on a revenue anticipation rate. It is the position of the Steuben-Allegany BOCES to borrow the total anticipated expense and bill the participating districts at the end of the program cycle.

Total Capital expenditures for 2001-02 were $420,882; the Capital charge for 2001-02 was $65 per RWADA as compared to the State average of $33 -- nearly double the average. It should be noted that the only remaining Capital obligation was $35,375 on the Corning East High Project, and Capital expense in 2003-04 was $291,040. It is also worth noting that the school districts of the Steuben-Allegany BOCES have agreed to an annual contribution of $800,000 to the capital budget for facilities maintenance and upkeep. Of further note, the Steuben-Allegany BOCES may have an expense for mitigation related to a chemical spill at a site that once housed the BOCES Administrative Offices. Anticipated cost of the remediation is in the $250,000 range.

In reviewing the 2001-02 program budget, the following should be noted:

• 50 percent of the expenditures were planned for programs in Career and Technical Education and Special Education. This is consistent with the State average of  51 percent.
• 21 percent was directed to instructional support and non-instructional support as compared with the State average of 28 percent. The most noticeable difference was in the instructional support area – 8 percent for Steuben-Allegany as compared to the State average of 14 percent.

A review of tuition charges showed that the Career and Technical Education tuition of $6,817 was nearly $600 above the State average of $6,300. All of the charges for Special Education were below the State average but above all other neighboring BOCES with the exception of one program in one other BOCES; the tuition of 6:1:1 programming was $21,766 at the Steuben-Allegany BOCES versus $26,800 at the Wayne-Finger Lakes BOCES.

The budget figures for 2001-02 suggest that nearly 15 percent of the expenditures were directed at General Administrative and Capital, and 85 percent at programs. The State average is 9 percent for Administrative and Capital and 91 percent for programs. There appears to be some evidence to suggest that General Administrative Expenses are higher than would be expected for a BOCES the size of Steuben-Allegany.

* Steuben-Allegany BOCES Administration -- Interest on RAN $414,692: billing done on an annual basis – borrow total amount of expense with reimbursement at the end of the fiscal year.

Source: NYS Education Department

Capital Expense
2001-02

Notes:

Source: NYS Education Department

Source: NYS Education Department

The investigators conducted a focus group discussion with invited business and community leaders from throughout the region, comprising local industry representatives, county executives, and workforce development professionals. A total of 14 leaders attended the meeting, representing the following organizations: Chemung, Schuyler and Steuben Counties; Southern Tier Economic Growth; Southern Tier Regional Planning and Development; City of Corning; Three Rivers Development Corporation; Workforce Development Career Center; Cornell University; Corning Inc.; and Hardinge, Inc.

Thoughtful and spirited comment and debate centered on:

The discussion also included strategies on how to strengthen the relationships across the multi-county region, including a recognition by those in the Corning-Elmira area that they must reach out to the communities in the western section of Steuben County. It was suggested that a broad-based task force might be charged with facilitating this transition. There was an acknowledgment that a collective focus on job growth is essential to the vitality of the region and that there must be a sensitivity to the needs of small, rural districts, which do not have the capacity to provide programs unless they are shared. There must be a balance struck between the varying capacities of Elmira, Corning and Horseheads, and the rural districts that would come to comprise approximately half the student population in a fully reorganized BOCES.

Given a recommendation to the contrary, it might seem somewhat unique to discuss the logistics of a merged BOCES in this study. However, given the prospective possibility of a reorganization in the future, it is the opinion of the investigators that such a presentation might be informative and germane.

By combining Steuben-Allegany and Schuyler-Chemung-Tioga Supervisory Districts, the enrollment base would be more than 35,000, nearly doubling current enrollment base. The reorganized BOCES would rank in the middle, statewide, just below Broome-Delaware-Tioga BOCES at 37,464, and approaching the statewide target student base of 40,000. The combined district base of 21 (after the Canisteo-Greenwood merger) ranks it eleventh largest statewide, the same as Rensselaer-Columbia-Greene. The geographic size of the reorganized BOCES would be 2,144 square miles, seventh largest in geographic size among all of the BOCES, just after Clinton-Essex-Warren-Washington BOCES.

Some savings could be achieved by combining the BOCES, however, major cost savings would not be achieved upon merging the two BOCES. Immediate savings would be realized through elimination of one Office of the District Superintendent and associated expenditures. In addition, only one business office would be needed. Savings would also occur as certain duplicated staff functions are eliminated, such as assistants to the District Superintendent for administration and instruction. Further analysis would need to be done of the administrative structure in program areas to determine if savings could occur. They might not be as significant as otherwise anticipated, because of staff reductions that have already taken place within the Schuyler-Chemung-Tioga BOCES. Some savings are probable in combined purchase of supplies and equipment for the career and technical education classes as well as service contracts. In some instances, and as demonstrated in other reorganized BOCES, these costs may be reduced by 20 to 30 percent.

An estimated administrative budget savings projected as a result of a reorganization of Steuben-Allegany BOCES with Schuyler-Chemung-Tioga BOCES is $800,000, based upon the 2001-2002 audited financial data. This amount would result in an estimated administrative charge per RWADA of $86 for the districts of the combined Supervisory District based on actual budget charges after refunds. Analysis of the impact of the reorganization on component districts' administrative charges for each former BOCES shows that districts of both BOCES would achieve savings. It should be noted, however, that the component districts of the Schuyler-Chemung-Tioga Supervisory District would have greater savings if reorganized with the Steuben-Allegany Supervisory District. This is because the Schuyler-Chemung-Tioga administrative charge was estimated to be $117 per RWADA (net cost) as compared to $94 (net cost) in Steuben-Allegany. The Steuben-Allegany component districts would have administrative costs reduced by 11 percent and achieve an $8 per RWADA reduction in their administrative charges, based on 2001-02 RWADA data. Schuyler-Chemung-Tioga component districts would have administrative costs reduced by 26 percent and achieve a $31 per RWADA reduction in administrative charges. Currently, both BOCES have general administrative charges significantly above the State average and significantly above neighboring BOCES. Again, caution must be exercised, in that SCT administration reports reductions within the administrative budget that could result in savings less than reported using the 2001-2002 audited data.

Both BOCES have large capital budgets. Schuyler-Chemung-Tioga will be reducing its rental budget in fiscal 2005-2006 as a lease purchase is completed. Following that, the combined total for rented space would be $700,000 to $800,000 or less. Both BOCES have had on-going capital projects for renovations: in 2001-02 Schuyler-Chemung-Tioga budgeted $600,000; and Steuben-Allegany budgeted $800,000 in same time period. If there were a reorganization, the combined Cooperative Board and the component districts would determine the nature and size of future capital improvements. Steuben-Allegany also faces a potential liability of $250,000 in relation to a chemical spill at a site that once housed the BOCES administrative offices.

Cost savings in other areas are likely to be modest, as the three existing Centers would need to continue current programs and services due to travel time to component districts and current utilization. When BOCES are reorganized, students are usually not shifted to other facilities unless their school district requests such a change in order to reduce travel time or to take advantage of other program offerings.

While the Career and Technical Education tuitions at the two BOCES are within $226, it is projected that Career and Technical Education tuition would be in the $7000 range for the combined BOCES. The reason for this is that current staffing levels are projected to remain the same.

The special education program tuitions of the two BOCES are different in two of the three staffing ratios which they both operate. In the 1:12:1 class, Schuyler-Chemung-Tioga is about $5,000 less and in the 1:8:1 class, about $4000 less. In the 1:6:1 class, the costs are very similar. Tuitions in the Steuben-Allegany BOCES tend to be somewhat higher, in that all students with disabilities are educated in inclusionary settings. Support systems for inclusionary programs tend to be more costly than Center-based programs due to costs for support services such as administration, nursing and operations/maintenance.

A review of the program data in the other service areas shows that Steuben-Allegany does not offer as broad an array of services as does Schuyler-Chemung-Tioga, particularly in the instructional support and non-instructional support categories. The itinerant program area of Steuben-Allegany BOCES is much larger than that of Schuyler-Chemung Tioga BOCES: about $1.6 million in budget to $420,000. However, the itinerant service of BOCES is the hiring of personnel for school districts to share where there are insufficient students to employ full-time staff. It should be noted that itinerant services do not involve program design or delivery that must be managed by BOCES. Steuben-Allegany BOCES has a larger budget because there are a number of small districts in the BOCES which benefit from part-time staff.

In the general education program area, the services of the two BOCES are quite similar, yet each BOCES operates a few services that the other does not. However, there are four programs both BOCES operate that could be combined: arts in education, alternative education, advance placement and summer school. Economies in the area of program management for Arts in Education, Advanced Placement, and Summer School might occur whenever parallel programs are being operated in the two BOCES. Alternative Education would have to be offered at all three Centers and savings in this area are likely to be marginal.

In the instructional support category, Steuben-Allegany operates fewer programs than Schuyler-Chemung-Tioga, based upon the 2001-2002 audited data. Both provide school/curriculum improvement, which is critical for helping teachers to implement the State Learning Standards, as well as educational communications, library automation and printing. Beyond that, Schuyler-Chemung-Tioga has additional staff and curriculum development offerings, i.e., elementary science kits, equipment repair and instructional computing. Since 2001-2002, the Steuben-Allegany BOCES has expanded its Instructional Support offerings with the addition of a Director and seven staff developers. It has been reported that, while this was occurring at Steuben-Allegany BOCES, the Schuyler-Chemung-Tioga BOCES has experienced some reduction in Instructional Support Services staffing. Further analysis would need to be done to determine if any real cost savings can be accomplished.

In non-instructional support services, the Steuben-Allegany BOCES is operating a few services directly, but the bulk of service is by cross-contract. If consolidated with Schuyler-Chemung-Tioga, Steuben-Allegany would have a larger array of other services in which it could participate and would have a voice in many matters, including decisions about how services are operated and charged e.g., safety-risk management, employee assistance, public relations, substitute calling. Not only would the Steuben-Allegany districts gain more control over services if they were components rather than a cross-contractor, but the services themselves would benefit.

In charging the study of a reorganization of the Steuben-Allegany and Schuyler-Chemung-Tioga BOCES, the Commissioner asked that six questions be addressed. The study’s recommendations are offered within the context of those questions.

• Are there educational benefits of a merger? It can well be argued that the initial programmatic impact of a consolidation would be marginal. The geography of the region demands that the three existing education centers be maintained. Program opportunities are relatively rich and comparable between the two BOCES. However, the increased capacity of a reorganized BOCES might well prevent program decline in the future, particularly if population and enrollment trends continue. In addition, the increased capacity could stabilize programming for the smaller, rural districts should the larger districts elect to withdraw from services. Alternative education programs could be advanced; and a long-term plan to coalesce the delivery of programs for students with disabilites would be critical to bring about equality of opportunity and service delivery in the new BOCES region.

• Are there cost-savings benefits? As long as a reorganized BOCES would be willing to stand by the often difficult process of reducing duplicated staff, there are immediate savings to be accrued in the administrative budget; estimated at $800,000. Again, one must keep in mind that the estimate is based upon 2001-2002 audited data. If the reported reductions at Schuyler-Chemung-Tioga BOCES materialize, the savings could be somewhat less. It is difficult to project the long-term impact of program savings, but other BOCES mergers have demonstrated efficiencies after a number of years. Mitigating this would be the collective bargaining to bring about new employee agreements, the possible expense of continuing two non-compatible health insurance consortia, the geographical size of the new region, and the need to retain all three operating Centers.

• Are there workforce development implications? As noted by business and community leadership, there does appear to be benefit to consolidating workforce development initiatives in the three-county region. A merger would align with the existing makeup of the Workforce Development Board.

• Will BOCES services to raise academic standards and close achievement gaps be enhanced? Each BOCES currently provides sound service in this regard, and there would be no reason to believe that a consolidation alone would diminish that capacity. In fact, there might well be benefit gained from the synergy of the two instructional support divisions working together.

• Will the District Superintendent be able to address the needs of the new Supervisory District? The investigators are confident that the District Superintendent of the Schuyler-Chemung-Tioga Supervisory District has the capacity to work with a reorganized BOCES, yet there are two mitigating factors. First, the incumbent has been in the position for less than a year, and is just learning about the responsibilities of the district superintendency and the intracacies of the BOCES operation. Second, the geography of a merged BOCES presents a challenge in terms of size and sparsity.

• Any other factors?

Population Base – The State Education Department has determined that a base approaching 40,000 enrolled pupils increases the likelihood that a broad range of shared services will be available to local districts to ensure that diverse student characteristics, needs, and interest are met. A four-year history of enrollment for the Schuyler-Chemung-Tioga and the Steuben-Allegany Supervisory Districts is as follows:

From Fall 2000 to Fall 2003, the Steuben-Allegany student population base dropped by 2.5 percent, and the Schuyler-Chemung-Tioga BOCES student population base dropped by 4.3 percent. Both districts rank in the lower one-third in size; Schuyler-Chemung-Tioga is ranked 26^th in size and Steuben-Allegany is ranked 28^th. Both are well below the recommended size of 40,000, and a combined BOCES would provide a student base of just over 35,000. This approaches the mid-range of BOCES with regard to student size and is close to the recommended student base.

Geographic Size – The Steuben-Allegany Supervisory District has 14 component districts spread over 1414. The Schuyler-Chemung-Tioga BOCES is comprised of 7 component districts within 730 square miles. The combined Supervisory District would be made up of 21 districts over an area of 2144 square miles. This would make a newly formed Supervisory District the seventh largest in the State.

Gains that might be realized by expanding the student base would likely be offset by the geographic size of a new Supervisory District and by sparsity. The three Centers would have to remain open, and extended travel time would be a barrier for expanded student offerings, with the exception of the Corning City School District.

After reviewing the data, discussing current programming with the BOCES Administrative staff, and soliciting the input of various stakeholder groups, the study investigators believe that there are three options for the Commissioner of Education to consider:

1. Leave the two Supervisory Districts intact with no change.
2. Leave the two Supervisory Districts intact with the directive that steps be taken to prepare for the future merger of the two districts.
3. Merge the two Supervisory Districts.

The investigators are of the opinion that the most realistic course of action would be to leave the Supervisory Districts intact, allow the Steuben-Allegany Cooperative Board to fill the position of District Superintendent, and challenge both Cooperative Boards to begin a process of dialogue and study that addresses programmatic and administrative efficiencies, component district membership and potential reorganization patterns for decision at the time of the next opening in the position of District Superintendent in either Supervisory District.

The investigators are of the belief that this is the most appropriate course of action for the following reasons:

1. There is strong support for both BOCES organizations as reflected in the participation rates in the programs offered by each BOCES.
2. There is willingness on the part of leaders in both Supervisory Districts to explore and build partnerships.
3. There is a need to do an in-depth analysis of instructional and non-instructional computer services to determine the appropriate vendor for these services.
4. There are significant differences in delivery systems for programs for children with special educational needs. Steps need to be taken to find common ground and common direction before attempting to merge these programs.
5. While there is a three-county effort to build a common workforce development system, the workforce development programs in both BOCES appear to be somewhat disconnected with the workforce development effort. The planning period would provide them with the opportunity to build a framework for a common system.
6. The only area in which significant cost savings can be realized is within the Administrative Budget. Given the size of a newly formed supervisory district, it would be difficult to merge or consolidate educational programs. The study period would provide an opportunity to look at options that might result in greater efficiencies.
7. Given the geographic size of a merged Supervisory District, the BOCES leadership needs to be given the opportunity to look at program options that would provide the maximum benefit to all children within the merged district, and determine how these programs would be delivered.
8. Both BOCES are experiencing a decline in student enrollment. At some point, this will impact the ability of each to offer viable programs to their participating districts. Through partnering, collaboration, and possible merger, the two BOCES could sustain quality programs that both currently enjoy.
9. The investigators do not believe that district transfer into or out of the Steuben-Allegany Supervisory District presents a viable option. With regard to this alternative, three possibilites were investigated: transfer of the Corning City School District to the Schuyler-Chemung-Tioga BOCES; transfer of the Alfred-Almond Central School District to the Cattaragus-Allegany BOCES; and transfer of the Canaseraga Central School District to the Cattaragus-Allegany BOCES. The Corning City School District has a student population of 5831, constituing 32.3 percent of the Steuben-Allegany student base. Transfer would marginalize the Steuben-Allegany BOCES and severely limit their ability to offer viable programs to the remaining districts. The other two transfer options are limited by reasons of geographic proximity to the Wildwood Center in Hornell.

Therefore, while considerable planning and analysis remains, and subject to other considerations that may be presented at a public hearing, it is the primary finding of this study that while reorganization of the Steuben-Allegany and Schuyler-Chemung-Tioga BOCES might eventually be in the best interest of student achievement, educational opportunity, and fiscal efficiency of the region, there is insufficient readiness and evidence in any number of areas to warrant an Order of the Commissioner at this time.

A successful reorganization would be predicated upon a detailed collaborative planning process that utilizes verified data to design and implement strategies for administrative oversight and program supervision in a new organization. That process necessarily begins with a conversation between the two existing Cooperative Boards, component superintendents, and BOCES program staff. The organizations need to become familiar with each other before designing a new infrastructure. In addition, it must be acknowledged that this particular reorganization, at least initially, would demand a number of seemingly duplicative services. Of particular concern are computer support/regional information system services; health insurance consortia and the delivery of instructional services to students with disabilities. Given maintenance of the current centers, it is somewhat unlikely that instructional staff would be affected by the pending change. Such would not be the case with staff and support personnel funded through the administrative budget, as genuine cost savings could be realized in this area.

• Administrative Budgets and Allocations to Components: Schuyler-Chemung-Tioga and Steuben-Allegany BOCES

• Steuben-Allegany Component District Data

• Schuyler-Chemung-Tioga Component District Data

• Supervisory District Profile Summary Data: Steuben-Allegany and Contiguous Districts

• BOCES: Student Enrollment and Area

• BOCES: Pupils Per Square Mile and Number of Components

Source: NYS Education Department

STEUBEN-ALLEGANY COMPONENT
DISTRICT DATA

• Canisteo and Greenwood are reorganizing as a single district as of 7-1-04.

Source: NYS Education Department