A preliminary look at expenses for the Rome school district’s 2010-11 budget shows a nearly 5 percent increase to about $100 million.

But it is too early to address possible local tax impacts or spending reductions in that budget, says Superintendent Jeffrey P. Simons.

Initial projections for the 2010-11 spending plan, which would not be presented for district voters’ approval until May 2010, were reviewed by the Board of Education Wednesday night.

District officials’ estimates increased most expense categories by 3 or 3.5 percent, while contributions for some retirement funds were projected to rise by about 10 percent, said Jennifer Geiger, chair of the board’s finance committee. Simons previously had said that significant increases were ahead in the district’s state retirement system contributions for district employees, based on forecasts linked to poor Wall Street returns on pension fund investments.

The district budget projections are only "a guess right now," said Geiger. Another consideration still to be determined is state aid, which Geiger said is anticipated to "not be as much as we need." In the months ahead, the board and district officials will work to refine the budget plan so that its expenses will "match what we’re going to get" in revenues, she added.

The district’s current $95.6 million budget for 2009-10 included a spending increase of less than 1 percent over the prior fiscal year, while the local property tax levy rose by 1 percent. It is in effect through June 30, 2010.

The initial 2010-11 budget expense projections were compiled without considering potential spending cuts or state aid levels, Simons noted. They were based on anticipated increases for salaries, health benefits and retirement expenses, plus a "formula" standard 3.5 percent increase for supplies and certain other ongoing expenses, he added.

The district is getting an earlier start on the budget process compared to prior years, Simons said, due to increased concerns about state financial problems coupled with better internal reports from the district’s business office. The district will be "taking a closer look at areas to reduce expenses," and seeking to bring the preliminary budget back below the $100 million level, he commented.

It is "too early to speculate" on possible tax levies without knowing the revenue levels, said Simons, adding that the district now has "significant work to do" in compiling a 2010-11 budget that "protects programs and taxpayers."