Once again it is school budget time. Many voters will be asked to approve tax hikes to cover expenses. This includes Newfield Central School District, just outside of Ithaca.

Newfield has a total of 715 students district-wide, a projected budget of $22.4 million and a proposed tax levy increase of 14% on the ballot this month. According to the superintendent, 63% of the students in the title one school live in poverty. Newfield is one of two schools deemed in "significant fiscal distress" by the New York State Comptroller's Office.

"The first time ever Class C champions, state champions, which is really awesome for us. Basketball has has always been very big in Newfield," says Eric Hartz, Newfield Central School District superintendent.

Newfield's students are elated over their state championship win as Newfield leaders figure out how the district can economically survive after a recent dubious distinction of being one of two districts in all of New York in the worst financial situation.

"One of two schools in the state that are ranked at the lowest and that's not where you want to be on fiscal stress," said Hartz.

The New York State Comptroller's office uses a specific formula to audit school districts and rank them financially. Newfield’s business administrator David Shaw works every day on solutions to return the district to the black.

“The first [category] looks at the operating deficits for the districts. Meaning, are you spending more money than you're taking in Newfield? We spent more money than we've taken in, in the last three years. We've had to use our savings accounts to get by and that's two more of the six factors that the comptroller looks at. Two other factors are about how much cash we have on hand and we've gotten some bad scores on those as well. And finally, the sixth score is about, have we had to take out any loans just to make our payroll? Fortunately, we haven't needed to do that. But, we've been very close because we're so low on our savings and our cash," said Shaw.

“We've done a lot of work to also start to bring the ship back right. And there has been some cuts involved in that. A lot of it we tried to do through attrition. So last year, we offered a retirement incentive, which was very beneficial for some of our people that wanted to retire," said Hartz.

The unique make-up of Newfield actually adds to their financial woes.

“We don't have a large base of industry here in Newfield, or a small rural community. So it really lands on the families and the homeowners and it's a tough ask," said Shaw.

The district is committed to a full financial correction within the next 24 months.

The New York State Comptroller's Office says 21 other school districts are also susceptible to fiscal stress. New York Education Department requires schools to post their final annual budgets on their website, and hold public hearings during the first two weeks of May.

School budget votes statewide are May 17.