AUBURN — Superintendent Katy Grondin presented a school budget Wednesday night that is $1.6 million more than this year, with health insurance and employee raises accounting for nearly $1 million of that.

The $36.3 million budget for 2012-2013 compares to the current $34.7 million. The spending plan was presented to the School Committee.

A 10 percent hike in health insurance premiums would cost $689,000, and a 1.4 percent wage increase for all workers would cost $300,000. Negotiations with labor groups are ongoing, Business Manager Jude Cyr said.

The 10 percent increase in health care is “on the high end,” Grondin said. “If we learn in the next two weeks that percentage is down, the budget will be readjusted.”

Two new positions, an English language learner ed tech and a speech teacher at Walton school, are in the budget. Also included are a new school bus, updating security equipment in schools, and another round of Apple iPads, tablet computers, for next year’s kindergarten students. The “dire needs” list adds up to $365,000.

The iPads would cost taxpayers $109,000 next year, less than the $230,000 spent for the first round. That’s because, Grondin said, next year’s costs would be spread over three years through a lease agreement. That doesn’t save money in the long run, but would make the costs less next year.

Grondin defended funding iPads, saying they are making a difference.

Auburn schools have made a commitment “to continue to provide the best education we can to our students,” Grondin said. “When there’s a tool we believe can make a difference, we need to account for it in our budget. … If we can find grant sources, it’s icing on the cake.”

The School Department is continuing work to get grant money, she said.

Meanwhile, teachers say the computers make a difference in classrooms, that students are more engaged, learning their numbers and letters better, and the iPads allow them to individualize lessons.

Grondin said she could not yet say what the proposed budget would do to property taxes because “there are still so many variables.” When it becomes clearer what Auburn schools will get in revenue and what salary and health care expenses are, “I’m hoping we can offset some of this increase,” she said, admitting it concerns her.

“We’re still coming out of the recession. There’s pressure around the mill rate, so I am concerned. However, this budget really maintains programming that is making a difference for students. My fear is if we need to go to reductions, it’s going to affect programming,” she said.

Strong schools are critical to Auburn, and do much to attract and maintain jobs and good businesses, Grondin said. She cited a Maine Department of Labor study that showed the top concern of employers is the availability of skilled workers to fill jobs as the economy recovers. 

Data show Auburn’s annual per pupil cost is $8,050, lower than Lewiston’s ($8,514), Portland’s ($10,932), Sanford’s ($9,167), Bangor’s ($9,969) and the state average ($9,623).

The proposed budget does not cut programs or positions.

“What we have we’re going to maintain,” Grondin said. “Then anything we felt is a dire need, things that can’t be ignored anymore, went in.”

The Auburn School Committee will spend weeks going over the budget. Auburn residents will vote on the school budget in referendum on May 8.

Auburn School Department proposed budget

Recommended budget for 2012-13: $36.3 million, up from $34.7 million in 2011-12, a 4.6 percent increase. Superintendent Katy Grondin said much of the $1.6 million increase is due to expected higher costs for health insurance and wages.

Budget highlights: There are two new positions, one ed tech and one speech teacher. There are no new programs; the budget would maintain what Auburn schools have. Only program expanded would be iPads to next year’s kindergarten students, a cost of $109,000, paid for over three-year lease agreement. Other items in the budget are “dire needs,” Grondin said, including a new school bus, updating school security cameras and student transportation.