Finance Committee
Tuesday February 13, 2018
Rutland Public Library
7:00 p.m.
Finance Committee Present: Lyndon Nichols, Karen Nahrwold, Sheryl Vernon, Iain McKinlay, Tom Ruchala
Finance Committee Absent: Deb Kristoff, Carl Bindoo
Select Board Present: Sheila Dibb, Leroy Clark, Wayne Walker (joined at 7:36 p.m.)
Others: Margaret Nartowicz – Town Administrator, Laura Scannell – Secretary
Mr. Nichols opened the meeting at 7:00 p.m. The meeting was recorded for Channel 191.
MINUTES
Mr. Ruchala moved to approve the meeting minutes from February 8, 2018. Mr. McKinlay 2nd. Vote unanimous.
APPOINTMENTS
7:00 p.m.: WRSD - Budget Presentation
Darryll McCall –WRSD Superintendent, Bob Berlo – Deputy Superintendent, Joe Scanlon – Director of Business and Finance, and Jeff Carlson – Director of Human Resources were in attendance to present the FY19 budget.
Ms. Nahrwold moved to postpone the meeting as the Finance Committee did not receive adequate time to review the budget documentation. Ms. Vernon 2nd for discussion.
The Finance Committee requests all documentation for budget meetings be submitted at least 24 hours in advance of the meeting. All Town departments have complied with the request.
Ms. Nartowicz had requested the budget Monday; Mr. McCall had not yet submitted the information to the School Committee. The School Committee met on Monday evening, February 12.
Mr. McKinlay suggested that in the future, meetings be pushed back if the documentation is not received.
Mr. Ruchala suggested reviewing the information available and scheduling a follow-up meeting, in addition to this evening, to go over any questions the Committee may have after thorough review.
Mr. McCall stated they would be open to returning at a later date for additional questions & discussion. The School Committee does not vote on the budget until Monday, March 12, 2018.
The motion failed for lack of second.
The WRSD budget is built upon five domains of the district's strategic plan: Aligned Curriculum; Leadership, Governance, and Communication; Effective Instruction; Students' Social, Emotional, and Health Needs; and Professional Development & Structures for Collaboration.
Mr. McCall reviewed the FY18 expenditure budget. Adjustments were made at the last School Committee meeting to cover a shortfall in special education tuition and transportation costs. There was discussion of the reimbursement rate from McKinney-Vento; reimbursement rate nowhere near the cost expenditure rate.
Enrollment peaked in FY11, has come down to about 7,158 in FY18. Enrollment should flatten out over next several years; may see slight increases in Rutland and Holden. Enrollment fluctuates from town-to-town. The School Committee decided to pull back on School Choice enrollment over the past two years; was not sustainable – the district was spending more money on sending students out, and not seeing enough money from students brought in.
Enrollment by Town – Rutland has had declining enrollment in past few years. Rutland had drop of 26 students from FY18 to FY19, but overall percentage of enrollment share increased by 0.17% (to 23.23%). At the High School, Rutland dropped 19 students, percentage of overall enrollment dropped 0.08%. Will ultimately help when looking at overall increases associated with budget on per pupil expenditure basis.
Budget priorities for FY19 include Early Literacy Adoption, Science & Engineering Materials, English Language Learner (ELL) Teacher, Technology (1:1 Chromebook initiative for incoming 9th graders, and a Technology Integration Specialist), Textbook/Program Adoption, Special Education (attempting to keep more students in the district versus sending them out to special programs – would like to be able to meet students' needs within the district). Additional budget priorities include professional development funds focused on supporting strategic initiatives.
Mr. McCall discussed the importance of a Director of Guidance and SEL (Social-Emotional Learning) for grades K-12, as well as more adequate amount of support staff for middle and high school counseling. Currently there are 3 guidance counselors covering 5 middle schools, looking to add another body.
There was discussion about addressing drug addiction awareness and education. The district hopes to move from a traditional physical education program to a wellness model that would cover topics such as drug addiction, peer pressure, decision making, suicide awareness and other aspects of social-emotional learning. Would need someone to direct the growing need, as well as making sure there are enough counselors to enact the curriculum. The district has been able to leverage some grant money for training nurses to do wellness screenings, but funding for curriculum is needed.
FY18 total general fund was $90,378,379 – district is looking for $94,2009,452 for FY19.
There was discussion about salary and benefits for new positions. Total of 9 new positions with some positions being eliminated to compensate, 4.2% increase in staffing to $59,582,718. Health insurance came in at 0%, claims much better than anticipated. Public Employee Committee (PEC) voted to stay with BCBS. Slight increase (1.08%) due to new enrollees this year. Retiree benefits rate increase shared with district by Worcester Regional Retirement. Total increase for health insurance $96,531.
Total salaries & benefits increased 3.53% to $74,148,833. Contractual rate increase put in as 1% for last year, 2% as placeholder for next year – not all contracts done.
There was discussion about instructional support, technology, and operations and maintenance. Print Management increasing a modest amount for contractual obligations with print management company. Approximately $30,000 spent on copy paper.
Custodial increasing slightly – attempting to purchase materials ahead for this summer. Maintenance level funded. Grounds and utilities does back to the town agreement, small incremental increase for each town. Utilities are projecting higher costs associated with oil – hoping to see some results from the net metering solar agreement.
There was discussion about the football field life expectancy being 8-10 years. The plan is to replace the field with a similar type, same life expectancy. 8-10 years, $30,000 maintenance contract for lining of field, cryogenic pellets, etc. There is an opportunity to put a concussion pad layer underneath the surface.
Wayne Walker, Board of Selectmen, joined the meeting at 7:36 p.m.
Pupil services – athletics now being charged back to revolving fund. Health Office increasing supply budget.
Leroy Clark opened a meeting of the Board of Selectmen at 7:42 p.m. upon reaching a quorum.
There was discussion about special education tuition. Increase $376,114 through items such as kids going out of district 6 months into the school year. Kids coming in at the high school level with social-emotional issues that should be discovered at the middle school level.
Ms. Dibb asked about out-of-district placement costs being netted for per pupil expenditure. For every dollar spent over $42,000 the state will reimburse the district a set percentage – for the past year it was 65%. The net is reflected in the budget. Actual total tuition cost for special ed just over $6 million.
Current programs keep many kids in district, other districts spend $140,000 per student to send kids out to special programs. District has strong ABA program, but still sending many students out. Percentage of students on IEPs comparable to surrounding districts.
Total instruction and operations increase $937,732 – 11%.
There was discussion about fixed operating costs and transportation. 5.19% increase for transportation – currently with AA transportation but going to bid. AA will most likely be only to bid, same as last time. This has been a statewide issue with only one company bidding for transportation.
There was a discussion about Chapter 71 and transportation reimbursement. Ms. Dibb expressed that there has been a lot of grassroots activity along with Auditor Bump's report and questioned if there is a plan to revisit the transportation budget, as well as transportation issues such as late busses, if transportation becomes fully funded.
Mr. McCall stated it's hard to base the budget on conjecture, if the reimbursement comes through it would lower assessments in the communities. Even if reimbursement comes through, there is a risk it won't be sustainable after the next year.
Mr. McCall presented the budget breakdown by town appropriation. Rutland up about 5% or $554,752. Numbers are based on enrollment and tax revenues. Overall total for Rutland is about half of last year. Rutland share of the $11,700 per pupil cost approximately $7,300.
Ms. Nahrwold requested a breakdown of the different types of reimbursement – local taxes, state reimbursement, athletic fees, grants, etc. - compared to other districts in the area. Mr. Scanlon can supply a copy of the budget book.
There was discussion about parking fees, and key upcoming dates for the budget. The School Committee will vote to approve the budget on March 12th. Mr. McCall is scheduled to meet with district town administrators next week.
Ms. Nartowicz stated this would be 56% of the Town's overall budget.
Ms. Dibb requested projected enrollment information to be provided at the next meeting, as well as per-town numbers for the turf field replacement.
Mr. Clark moved to adjourn the meeting of the Board of Selectmen. Mr. Walker 2nd. Vote unanimous.
Board of Selectmen meeting adjourned at 8:34 p.m.
Peter Craine – Finance Committee Bylaw Discussion, Proposed Changes; Introduction to Bylaw Codification Project
Mr. Craine introduced himself as a consultant to the Town Clerk and Bylaw Review Subcommittee. He presented proposed revisions to the Finance Committee bylaw and introduced the Committee to the bylaw codification project currently in progress.
There was discussion about the Finance Committee bylaws related to terms, vacancies, and appointments of new members. In its initial formation, the Committee was established with 6 voter members with the Town Accountant serving as the 7th member.
The most problematic bylaw states the Town Moderator cannot appoint three people to the committee at the same town meeting, but three seats are up for reappointment this year. This is a structural/functional problem that should be fixed. Mr. Craine will most likely be submitting changes at the next annual town meeting.
Other general bylaw changes being proposed include changing "Board of Selectmen" to "Select Board," eliminating gender biased pronouns, and other word choice changes.
NEW BUSINESS
There was discussion about the upcoming visit to the Rutland Heights property by Secretary Jay Ash. The site visit will be on Thursday, February 15th at 4:30 p.m. at the Maple Ave. entrance. There will be an official "for sale or lease" sign placed at the entrance, and information on the property has been added to the Town of Rutland website. Secretary Ash is visiting the property to assist with ideas for planning and development of the space.
Ms. Vernon moved to adjourn the meeting. Mr. McKinlay 2nd. Vote unanimous.
The meeting adjourned at 8:43 p.m.
Respectfully submitted,
________________________ Laura Scannell, Secretary
Approved on: ____________
________________________ Lyndon Nichols, Chairman
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