APPROVED
Chilmark Board of Selectman / Finance Committee Minutes January 17, 2007
Members present:
Board of Selectmen: Warren Doty, Frank Fenner, and Riggs Parker
Finance Committee: Marshall Carroll (Chair), Sarah Shipway, Doug Sederholm, William Randol, Richard Williams, and Frank Yeomans
Town Hall: Melanie Becker, Tom Wilson, Annette Anthony, & Chuck Hodgkinson
Members absent: Tim Carroll
Public: Peg Reagan – MVRHS, James Weis & Amy Tierney –Superintendent’s Office, Diane Gandy – Chilmark School.
Up – Island Regional School Members: Susan Parker, Roxanne Ackerman, Dan Cabot, and Skipper Manter.
Sandra Polleys – student.
Marshall C. called the meeting to order at 7:31 pm and welcomed everybody to the joint Finance Committee. He said that Tim C. was out sick.
Sarah S. said that the Committee needed to vote on the approval 2 sets of minutes from April and September of 2006. Riggs P. noted that in the Sept. minutes first paragraph there was a motion and second, but no vote. Sarah S. said that she would amend the paragraph to include the vote. Sara S. made a motion to accept the 2 sets of minutes from 2006 with the amendment of the Sept. 7th minutes per discussion and Frank Y. seconded. All members were in favor. Sarah S. said she would make amendment and e-mail members the final version.
Tom W. said he would take a few minutes to review budget book contents and answer any question the Committee might have regarding the book.
Riggs P. said he wanted to raise a point in the payroll schedule. He said that there were a number of employees that were fractioned between various departments and that the amount of compensation applied to the various departments bore very little relationship to the actual time expended by the employee of that department. He told the Committee that they might want to think about combining those. He felt that the combined positions lost visibility in the Town Report and that they could be all put together under Administrative Services line and then allocate items to the board on a percentage basis. He felt that this way would give the Board greater flexibility to pick up some of the requests for minor extra help, which were listed in the budget book. He felt that there were cost saving to be made if the administration
could be all lumped together.
Tom W. explained Chapter 77 transfer in which the state allowed the Finance Committee to offset deficit between departments. Riggs. P. Noted that $ 12,681.00 was transferred for electricity, and noted they needed to work hard to get it right this year, which may be impossible to do.
Tom. W. continued to explain last year’s transfers. Warren D. asked if there was currently a balance of $ 40,000.00 and Tom W. said yes. Warren D. noted that meant the Finance Committee had $ 40,000.00 for that fiscal year. Riggs P. made brief comments on the fixed /variable expenses for the Housing committee, that was not properly there. Tom W. noted that there was $ 22,000.00 in housing that should be shifted over to fixed.
Tom W. explained the department surpluses for FY 06, fiscal recap for 2007, and the estimated levy on the calculations for the budget that had been proposed. He explained that the figure of $ 67, 061.00 reflected that they were over the levy limit, and that they were probably going to change that. He noted in particular there were articles that were submitted that were really more appropriate as free cash and not “ raise and appropriate”. He said once the changes had been made they would be under the levy limit, by
$ 70,000.00.
Warren D. noted that the Town would be under the levy limit immediately with the elimination of one particular line, which was the VTA (Vineyard Transit Authority) assessment that the town owed. There was a brief discussion on prior year VTA assessment that the state maintained the Town owed. He said currently no decision regarding that issue had been made and that currently there was no appropriation for it so the payment could not be made. Warren D. stated that in order to make an appropriation to pay VTA that there must be a town meeting voted 90 % because it was a bill from previous years of 2000, 2001, 2002 and 2003. He noted that in some of those years listed the Town had sent them a check, in which they refused to cash. He felt that the 90% vote would not happen. Riggs P. asked if Tom's review of prior years claims
was completed and Tom W. said yes, that the figure was $ 121,00.00 and that the original claim was for $ 171,000.00 and came down to $ 151,000.00 and then reduced further upon finding additional payment that had not been verified by the State yet. Tom W. said he was confident that the payment was made properly because the Treasurer had the cancelled check. Therefore there was no dispute.
Tom W. continued to review the budget book. There was a brief discussion regarding revenue by department, and specifically about the Harbor, which was deferred until the Harbor comes before the Committee. Tom W. stated that currently without any adjustments the budget increase was about $ 217,000.00 which represented approximently 4%.
EDUCATION: MVRHS (Martha’s Vineyard Regional High School)
Peg Reagan began her discussion regarding the budget for MVRHS by distributing a handout, which showed the schools 5-year capital improvement plan from FY- 2008 – FY 2012. She explained in detail the current plan included the purchasing of new busses for that school. There was a discussion about the buses, how they were purchased and the cost over 2 years. Peg R. stated the state required an annual audit of all facilities, therefore the capital plan showed what the schools intended to improve / upgrade in the next 5 years. She said this plan included long-term maintenance on the building. She noted the newest part of the building was 11 years old. Frank F. asked why in the spreadsheet the concession stand figure was not carried over to 2010, 2011, and 2012. Peg. R. said that was an error, and that the total in the
last column reflected the amount as included. She apologized for the error in the chart. Peg R. discussed the vehicle expenses listed and the bond associated with the buses purchased. There was a general discussion about the budgets E& D (excess and deficiency) and that they knew the E & D would be around
$ 400,00.00. She noted that a big portion of the E& D would be used for vehicles, replace tile and carpet, and long term maintenance such as painting of the outside trim. There was a brief discussion regarding Chapter 71 and reimbursement for transportation cost. She noted that transportation used to be reimbursed at 84% FY07, but for FY 08 it was only 34%. There was a brief discussion regarding the 6.9% increase in instruction. She noted that was teachers and staff salary. She noted that there were 2 more students from Chilmark this year. There was a discussion regarding the current school formula used to calculate the budget and that the numbers were not State figures. She noted the State figures would not be available until some time in February. Riggs P. asked if she knew what the projections from the State would
be and what numbers they look at. James W. said that the model for the potential numbers for FY08 were not actual numbers. He noted there was a 5 –year phase in. there was a long, detailed discussion on the 5-year phase –in, how many towns were affected, and how the legislation worked regarding this issue.
Warren D. said that he felt the wealth-based formula was very confusing and complicated and wondered why nobody would explain the formula for it. There was a general discussion on the wealth based formula, how it came to be, who implemented it, who it effected the most, the rules on the formula, how it would effect the budget as it is currently written, and what the general feelings were regarding the wealth based formula. There was a general agreement among the Committee that the wealth-based formula was not the best formula for the Vineyard. James W. said that the School Committee would decide which formula to use. James W. noted that the wealth-based budget worked for the other 20 or so towns in Mass. and didn’t think the State would consider changing it because it didn’t work in the 6 towns here on MV.
Frank Y. asked why the budget had increased so much if there were only 2 additional students from Chilmark and Peg R. said that many items in the budget were not per pupil.
Amy T. noted that by adding the 2 students it changed Chilmark’s overall percentage of Chilmark’s share. Susan P. gave an explanation using Oak Bluffs as an example. She said that OB went form 214 students to 213 students in the MVRHS, which was only a
1-student decrease, therefore not changing their percentage of their portion of their budget contribution. She noted their total increase for OB this year was of $ 152,000.00.
Peg R. gave the Committee a quick run down on where she felt budget cuts could be made. She said that it was difficult to reduce the program budget, difficult to reduce the number of classes, but they were working on trimming the electives. There was a general discussion led by Warren D. regarding enrollment. Peg R. said they went from 822 students last year to 802 students this year. She said it was hard to predict what future enrollment would be and that their final enrollment count is not accurate until October.
Frank F. asked why the Principal line was increased from $ 3,000.00 to $ 9,000.0. Peg R. said that this was because this was a Union negotiation year and they were not sure what the final salaries would be. She said negotiations with teachers would begin in the next few weeks.
SUPERINTENDANT:
James W. began by stating that he would give the Committee a general re-cap of his budget. He said that he had wanted to add 2 new programs to the budget this year which would increase the budget about $ 19,000.00 He said the first program was a algebra program for 8th graders to increase their math test scores and to raise the bar in math. The second program was to hire an Island –wide facility manager. He said he felt it was important to have one person oversee all of the schools facilities and that this was a good way to do so. He said in the end he realized that this program would not work at this time and removed it from the budget. James W. continued his general explanation of the budget, and touched upon most all of the items budgeted, the amounts and how the figures were determined. He
said that the Superintendent’s budget was actually going to cost Chilmark about $ 6,800.00 less than this year. He said that even though the budget was going up, Chilmark’s portion was going down and noted that the budget was enrollment driven. He described the Shared Services portion of the budget and that the increase, Island –wide was about a 5%, again noting that Chilmark’s was a little less because of their percentage
The was a general discussion on many items in the budget such as: classroom size, teacher and teacher - aide’s ratio to class size, increase in SSA travel contract and shared service. Frank F. asked why there was an increase in budget for criminal history check and James W. said that the CORI check currently used to check criminal history was for Mass. only and did not include data from any other state. He said he felt it was important to broaden the scope to nationwide search since every employee hired was CORI checked. There was a brief discussion regarding the MV adult education program, and James W. said that the program was fully granted and the budget allocated was for workers’ comp. Insurance only.
Melanie B. asked what percentage of the health insurance do the teachers pay. James W.
said they pay 25% and the school system paid 75%. There was a brief discussion, started by Riggs P. regarding what percentage of special programs were state mandated, what was paid for in grant money and what programs were not state mandated. Marshall C. asked if there were any more questions and there were none.
UIRSD: (Up-Island Regional School District)
Warren D. stated that the total budget was 1.40 million, which was based on last year’s formula, and that it was a decrease from 1.47 million. James W. stated that this was maintenance of service budget.
James W. began by passing out a memo regarding Capital Assessment History for UIRSD and giving a general run down of the UIRSD budget. He said that each chart in the memo gave much information. He gave the Committee a brief review of charts 1,2 and 3. He also handed out a memo that was the UIRSDF FY 08 budget analysis. He said the major increase to the budget was listed in Part B, capital purchases, which was $ 140,000.00 for 6 new buses. He explained the purchase and noted that the cost would not include bonding the buses. He said that the total cost of the buses would be approximately $ 250,000.00 and that they had intended to borrow the rest of the money for the purchase. He explained in part C of the analysis memo there was an approximate increase of 9% for Chilmark, based on increased services in special education
related services.
There was brief discussion led by Warren D. regarding the percentage increase to Chilmark’s share of the budget. He noted that if you took out the additional cost of the special education, the site increase would be about 4%. He said that it would be in line with other increases except for the services needed for special education services. James W. said if we deducted the
$ 140,000.00 for the buses it would bring the 3.8 % increase to a little over 2%. He said overall the increase was 2% plus the buses. There was a brief, general discussion about the buses, their routes, what schools used the buses and how the Charter School paid for their bus service.
He stated that in the budget there was a factor for the 5 bargaining units, so that there would be money to pay those bargaining units should there be an increase. He added they had come up with a figure not based on a given percentage. Warren D. stated that the Committee had not been given the student enrollment count for UIRSD. He noted that they did have the student enrollment for the MVRHS. There was a brief discussion led by James W. regarding student enrollment, each town’s student count, increases and decreases in student population in each school. James W. noted that the figures were based on October 1 2007 student count and he explained their procedure for projecting student enrolment. There was a general discussion regarding ratio of teachers to students, how classroom size was determined, how the schools
worked to reduce number of teachers based on student enrollment, and what the procedure was used to calculate replacement teachers for retiring, out-going teachers. Susan P. reminded the Committee that the UIRSD included the 43 students from the Charter School as well. There was a brief general discussion regarding the COLA increase and health care increase.
There was a very long and complicated discussion, led by James W. regarding which formula would be sued to calculate the proportion of each Town’s share to the UIRSD budget. James W. had passed out a memo that gave information pertaining to the Capital Assessment Formula changes. He explained how each formula worked. He explained that the 80% - 10% - 10% formula was using 80% share for Owning Town and 10% share for non-owning Towns.
He said the other formula was 80% - x% - x %. He explained that this was using 80% for Owning Town and % share for Non-Owning Towns. He said that West Tisbury recommended 80% - x% - x%. Riggs. P. said that he preferred the 80% - 10% - 10% formula. Warren D. noted that Chilmark was currently paying less than 80% and if that changed then they would be paying their full 80%. He noted that he felt that was fair.
In addition to the formula discussion, there was a general discussion regarding the wealth-based formula. James W. explained to the Committee about the 82.5 % threshold, how the wealth based formula worked, how it would affect the schools of MV, the old formula, the new formula and how each year would be different. After James W. had finished speaking he asked if there were any more questions, and there was not. James W. thanked the Committee.
Diane G. said she would like to speak for a moment. She said she had come to the Board of Selectmen several weeks ago regarding maintenance that needed to be done at the Chilmark School. She said the Selectmen had agreed to offer the school $ 13,000.00 for the cost of adding gutters to the building. She said that she was very grateful for the money and really appreciated the Selectmen’s support.
At 9:31 pm Doug S. said that he felt that due to the time that the Committee would not be able to hear the rest of the budgets that were on the agenda. He asked the Committee if it was okay for the Boards that did not get heard tonight to be placed first on the agenda for next Wednesday's meeting of Jan. 24th. He asked Chuck H. if he would be able to come next week to explain his budgets and Chuck H. said yes. Marshall C. made a motion to adjourn and Sarah S. seconded.
Annette A. announced that the DRAFT meeting minutes would be e-mailed the Members as soon as possible.
9:35 pm meeting adjourned.
Respectfully submitted
Annette Anthony, Assistant to Executive Secretary
CORRECTED AND APPROVED AT JANUARY 24TH MEETING
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