Are School Finances a Valid Reason to Merge Schools?

Canajoharie and Fort Plain Central School Districts both have financial stability that is the envy of other districts. Our school district financial status can in no way provide a valid reason to subject our students or communities to the negative consequences of a merger. (Guest post by an anonymous collaborator.)

Evidence of our districts’ fiscal health comes from the NYS Fiscal Stress Monitoring System (Fiscal Stress Monitoring System | Office of the New York State Comptroller). This system, which scores districts from 0 (no stress) to 100 (high stress), reveals both districts are performing exceptionally well.

For Canajoharie: As of December 2025, Fiscal Stress Score (0)
2023: Gross Revenues: $23,814,919; Gross Expenditures: $21,743,637; Amount Saved: $2,071,282
2024: Gross Revenues: $25,939,365; Gross Expenditures: $22,561,803; Amount Saved: $3,377,562
2025: Gross Revenues: $25,207,918; Gross Expenditures: $22,457,924; Amount Saved: $2,749,99

Canajoharie achieved a perfect 0-point fiscal stress score in 2024 and 2025, demonstrating excellent management of reserves, no operating deficits, strong liquidity, and no reliance on short-term debt.

For Fort Plain: As of December 2025, Fiscal Stress Score (3.3)
2023: Gross Revenues: $22,721,603; Gross Expenditures: $19,470,479
2024: Gross Revenues: $23,149,304; Gross Expenditures: $20,986,695
2025: Gross Revenues: $23,657,870; Gross Expenditures: $22,886,481

Fort Plain consistently generated significantly more revenue than it spent in these years, indicating financial stability with healthy fund balances and no reliance on short-term debt.

Comparing these Fiscal Stress Scores to other districts like Cooperstown (30), OESJ (6.67), Schalmont (6.7), Amsterdam (20), Fonda(0), it becomes clear that Canajoharie and Fort Plain’s fiscal health is phenomenal, even with facing declining enrollment and inflation over the last decade. It challenges the idea that these districts are suddenly predicted to experience financial or educational hardship within the next five years. Do these strong fiscal scores indicate the districts have already achieved the excellence, equality, and sustainability they seek to match?

If the documented history of fiscal success and resilience is dismissed as irrelevant to the future outlook, then, by the same logical standard, past enrollment trends should not be given singular dictatorial power over future strategic decisions like a merger.

This raises the critical question: if comparable in size districts are not actively pursuing mergers, is declining enrollment a sufficient rationale for Fort Plain and Canajoharie to consolidate now, or is the current discussion driven by choice rather than necessity?

This fiscal prudence is further evidenced by Fort Plain’s recent budget proposal for the 2025-26 school year, which includes a modest 1% tax levy increase. This proposed increase remains significantly below the district’s allowable tax cap of 5.15%, a move designed to maintain all current academic programs and personnel while providing additional support and learning opportunities for students. Such responsible financial stewardship, coupled with their revenue-surplus operations, underscores the district’s capacity for independent and sustainable management without placing undue burden on taxpayers. (Fort Plain Central School District, 2025)

Despite the robust evidence of fiscal strength, healthy reserves, significant state and federal aid, and the districts demonstrated capacity to add to programming, proponents of the merger frequently continue to assert that remaining independent will inevitably lead to a loss of offerings for students. This persistent narrative often leverages a framing of urgency and potential future scarcity, aiming to create a perceived threat that only a merger can avoid. Such arguments may selectively interpret long-term projections of declining enrollment, downplay present fiscal stability as temporary, or suggest that while current offerings are maintained, a consolidated district could provide even more or superior opportunities, thereby shifting the goalposts of what constitutes sufficient provision.

This approach can also capitalize on information asymmetry within the community, using readily digestible claims of future cuts to influence public perception, often overlooking the detailed financial resilience and the documented advantages of smaller, well-resourced learning environments, and the current reality of expanded student opportunities.

Instead of merging, various alternative strategies warrant further exploration. NYSUT (Fact Sheet 25-3 School District Mergers/Consolidations) notes that most districts avoid consolidation, preferring shared services, often in collaboration with BOCES, to achieve savings without merging.

Thank you to the unknown, anonymous collaborator who sent me this information. This is only an excerpt of what was sent, more will be shared in future posts. The author writes: “consider this unsigned. And as you try to pinpoint the author, let’s hope you also delve into the real reasons for a merger.”

I welcome all well documented, evidence based, and on topic contributions. If you have impactful information to share, send it to the email address at the bottom of this page.

Thanks to all for reading and seeking to become well informed on the consequences of merging schools.