The School Committee’s (SC) proposed F19 budget of $39,288,505 is 4.43% greater than the F18 budget of $37,621,593. This is an increase of $1,666,912. Because of a reduction of state subsidy, however, the amount taxpayers would be responsible for is $2,494,962, or an increase of about 14% over F18. This is why the mil rate would increase by approximately $1.23 per $1,000 of assessed value.
The increase in the municipal budget is 4.7% which will increase the mil rate by 18 cents. The municipal budget is only $14,700,000 so this increase does not have as great an impact on the mil rate as the school budget. Also, there would not be a decrease in revenue on the revenue side, a situation the schools face. Both the town and the schools are experiencing growth and have budgeted similar percentage increases in their budgets.
In anticipation of the Town Council (TC) discussion of the F19 SC budget, the SC decided to send the TC a memo to explain what impact specific reductions would have on the schools. They outlined specific items that would be cut from the budget if the TC voted to reduce the budget by $346,000, by $783,000, or by $1,208,000.
Each of these figures take into account the $392,000 additional monies that the state has added to the original subsidy. This SC voted to use additional money to reduce taxpayer expense.
The first targeted list for a $346,000 reduction of expenses does not include reduction of instructional personnel, but does include buses, supplies, chrome books, professional development, and $135,000 in building maintenance and improvements.
About $400,00 for instructional positions, including three teachers, would also be cut if the budget were reduced by an additional $437,000.
A reduction of another $425,000, or a total reduction of $1,208,000 would mean cutting three more teachers and a substance abuse counselor.
These reductions on the expense side coupled with the $392,000 increase on the revenue side means that the expenditure increases in F19 over F18 range from 3.51% to 1.3%, depending on the amount of the reduction. If the budget were reduced, however, by as much as $1,208,000, there would not be enough budgeted funds to cover contractual obligations for existing personnel and would allow for no additional instructional personnel needed for the additional students already anticipated for the next school year.
The difference between the increase in the school tax on a house assessed at $250,000 if the budget were reduced by $346,000 and if it were reduced by $1,208,000 would be about $135.