2023-03-02-AC-min - Laserfiche WebLink

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03/02/2023 AC Minutes 2 Particular budget drivers include increases for compensation, limited staff increases to service the enrollment increases; inflation in the costs of health insurance, supplies, and energy and other utili- ties; contributions toward Minuteman’s OPEB liabilities; and building up of a capital stabilization account that will be used, e.g., to expand the facilities. The preliminary total assessment for Lexington is $3,501,977. This is about 8.6% higher than the assessment for the current year (FY 2023). The four-year rolling average enrollment number used in the calculation of the assessment is increasing by just over 10% from FY2023 to FY2024. The number of applications for freshman slots has increased to such an extent that only roughly half of the applicants from member towns will be admitted. This applies to Lexington, i.e., only about 20 of the 40 or more Lexington applicants will be admitted. It seems unlikely that any students from non-member towns who applied will be offered admission. In most previous years, all of the quali- fied applicants would typically be offered admission. MHS seeks out grant funding to supplement the revenue from member and non-member towns. In FY2023, grants made up just over 10% of the total revenue. Other non-assessment revenue, such as Chapter 70 aid, also typically makes up about another 10% of the annual revenue. In response to a question, Dr. Dawson noted that MHS does not obtain health insurance for its em- ployees through the state GIC, but rather through a smaller trust. They will look into joining the GIC. MHS is currently negotiating union contracts. Regardless of the outcome of those negotiations, the Minutemen School Committee has voted its budget for FY2024 which cannot be increased. MHS has changed its admission criteria to ensure diversity among the students who are admitted. The students who are admitted are representative of the racial diversity of the nine member towns, but the overall racial diversity of these nine towns is not representative of the diversity of the state. MHS allows students to earn college credits while in high school, and will be working to facilitate this further, since, for many students, this can lower the financial barriers to going to college. Phase 1 of MHS’s athletic facility development is done. An RFP was issued for Phase 2, which in- cludes stadium seating, concession stands, locker rooms, and six tennis courts, and which is esti- mated to cost in the range of eleven to sixteen million dollars. A bid has been received in response to the RFP. The bidder would pay for Phase 2, and in return would have the right to lease the ath- letic facilities at some agreed upon nominal rate. The term of the lease agreement would be ten years with options to extend it by two additional 5-year intervals. MHS would realize additional revenue-generating opportunities after the lease agreement expires. Ms. Kosnoff stated that the Town of Lexington’s Chapter 70 aid is increasing substantially accord- ing to the Governor’s preliminary budget, and that there is some assurance that the aid will not be less than the amounts in that budget. With that assurance, the higher aid numbers have been adopted for the FY2024 budget. This should apply to MHS also, since the Chapter 70 aid for MHS may also have increased significantly. Increase in State Aid and Revised FY2024 Budget Ms. Kosnoff reported that state aid numbers in the Governor’s preliminary budget were released on February 23 and show an unexpected large increase in aid for Lexington, most of which is in the Chapter 70 aid. The additional funds will be used to pay for a program improvement in the Facili- ties Department for the annual fee for capital investment planning software. The remainder of the increase, i.e., approximately $2.3 million, was divided between the school and municipal budgets