HomeMy WebLinkAbout2007-04-28-ATM-AC-rpt4APPROPRIATION COMMITTEE
TOWN OF LEXINGTON
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4`h REPORT TO THE
2007 ANNUAL TOWN MEETING
Article 21: Appropriate FY2008 Operating Budget
(Line Items 1100 & 2130)
Article 42: Amend FY2007 Operating Budget
(Supplancnt to 1" Report, Released April 4, 2007,
2"d Report, Released April 21, 2007, 8
3rd Report, Released, April 23, 2007)
Re%ased April 28, 2007
Appropriation Committee Members Fiscal Year 2007
Alan M. Levine Chan ~ Deborah Brown Vice-Chair
Robert N. Addelson (ex-officio; non-voting) ~ John Bartenstein • Rodney E. Cole
Richard Eurich • Pam Hoffman ~ David G. Kanter ~ Michael J. Kennealy • Eric Michelson
APPROPRIATION COMMITTEE 4th REPORT, Apri128, 2007, TO 2007 ATM
Summary of Warrant Article Recommendations
Abbreviations: GF =General Fund; EF =Enterprise Fund; RF =Revolving Fund
CPA =Community Preservation Act Fund; BAN =Bond Anticipation Note
An entry of "Indefinitely Postpone" in the right-hand column merely signifies our expectation.
Ar-
Title Funds Requested Funding Committee
tide Source Recommendation
$68,295,983
(Line 1100-Lexington
Public Schools) Multiple Pending
($3,187,045 contingent
on an override)
21 Appropriate FY2008 $19,869,487
Operating Budget (Line 2130-Shared
Expenses, Employee $19,869,487
Benefits, Health Multiple ($794,544 contingent
Insurance) (794,544 on an override) (7-0)
contingent on an
override)
Transfers
among line
items and $209,469 (and all
42 Amend FY2007 $209 469 X209,469 from requested transfers
Operating Budget the among line items)
Unreserved (8-0-1)
Fund Balance
("Free Cash")
Page 2 of 13
APPROPRIATION COMMITTEE 4th REPORT, April 28, 2007, TO 2007 ATM
Table of Contents
Summary of warrant Article Recommendations ..................................................................................2
Updated Committee Positions or Information Since 3rd Report ............................................................4
warrant Article Analysis and Recommendations .................................................................................5
Article 21: Appropriate FY2008 Operating Budget ............................................................. .... .......... 5
(a) Lexington Public Schools-Line 1100 ................................................................................... ..... .. 5
Summary ....................................................................................................................................... 5
Enrollment ..................................................................................................................................... 6
Staffing .......................................................................................................................................... 6
Class Size ...................................................................................................................................... 7
Energy ............................................................................................................................................ 7
Revolving Funds ........................................................................................................................... 8
Special Education (SPED) Expenses ........................................................................................... 8
Out-of District Tuitions .................................................................................................. 8
Transportation .................................................................................................................. 9
New Programs ................................................................................................................. 9
Committee Position ...................................................................................................................... 9
(c) Shared Expenses-Line 2130 (Employee Benefits, Health Insurance) ............................... ..... 10
Article 42: Amend FY2007 Operating Budget ..................................................................... .... ........10
Municipal Requests ........................................................................................................................... ..... 10
Schools Requests ............................................................................................................................... ..... 11
Shared Expenses Requests ............................................................................................................... ..... 12
Committee Position ........................................................................................................................... ..... 12
Appendix C: Schools At-Risk List ....................................................................................................13
Page 3 of 13
APPROPRIATION COMMITTEE 4th REPORT, Apri128, 2007, TO 2007 ATM
Updated Committee Positions or Information Since 3rd Report
The following provides changes in this Committee's positions and information since our 3rd Report to the
2007 Annual Town Meeting, which was released April 23, 2007.
This Committee's votes on the following Articles were updated prior to this Committee's position being
provided during the discussion of these Articles:
Article 21: Minuteman Regional High School, Shared Expenses, & Municipal (Our 2nd Report).
From unanimous approval (7-0) to (9-0).
Article 23: Petition General Court to Increase Income Limits for Property Tax Deferrals (Updated
in 2nd Report). From unanimous approval (7-0) to (9-0).
Article 30: Appropriate for Battle Green Flagpole Maintenance (1st Report). From Pending to a
majority (8-1) supports the motion.
Article 31(a): Lincoln Field Methane Mitigation (Updated in 2nd Report). From unanimous approval
(at a higher appropriation) (7-0) to Pending as the maximum anticipated cost for the solution is
dependent on the approach taken-and the approach is still being considered.
Article 39: Establish and Appropriate to Specified Stabilization Funds (2nd Report). From
unanimous approval (7-0) to (8-0).
Article 40: Appropriate to Stabilization Fund (2nd Report). From unanimous approval (7-0) to
(9-0).
Article 41: Appropriate for Prior Years' Unpaid Bills (2nd Report). From unanimous approval (7-0)
to (9-0).
Article 43: Appropriate for Authorized Capital Improvements (2nd Report).
(a) Transfer Funds from Cary Vault Shelving to Cary Vault Climate Control (2nd Report). From
unanimous approval (7-0) to (9-0).
Article 44: Use of Funds to Reduce the Tax Rate (2nd Report). From unanimous approval (7-0) to
(9-0).
Page 4 of 13
APPROPRIATION COMMITTEE 4th REPORT, April 28, 2007, TO 2007 ATM
Warrant Article Analysis and Recommendations
Article 21:
Appropriate Funds Re uested
q Funding
Source Committee
Recommendation
FY2008 Operating $68,295,983 Multiple Pending
Bud et
8 (Line 1100-
Lexin ton Public
g
Schools)
03,187,045
contingent on an
override)
$19,869,487 Multiple $19,869,487
(Line 2130- ($794,544 contingent on
Shared Expenses, an override) (7-0)
Employee Benefits,
Health Insurance)
($794,544
contingent on an
override)
Project Description Amount
Requested Funding
Source Committee Recommends
X68,295,983
(a) Lexington Public 03,187,045 GF Pendin
g
•
Schools-LTne 1100 contingent on
an override)
~TTMMARV
The FY2008 school operating budget request is for $68,295,983, including $3,187,045 contingent upon
successful passage of an override. The school operating budget includes salaries, wages, and expenses.
Health benefits for school employees are carried in Shared Expenses. The total operating override needed
by the schools is $3,981,589, made up of the contingent $3,187,045 in the school operating budget
(line item 1100) and another $794,544 carried in line item 2130, Shared Expenses-health benefits. The
FY2008 health insurance costs for school employees as estimated by the Town Manager are shown in the
following table:
FY2008 % FY2008 with % Increase
FY2007 without an Increase an overrride FY07 - 08
overrride FY07 - 08
School Operating $63,419 500 $65 108 938 2.66%
$68,295,983
7.69 /o
°
Budget
Health Insurance $ 8,688,000 $ 8,807,943 1.38% $ 9,602,487 10.53%
Total $72,107,500 $73,916,881 2.51% $77,898,470 8.03%
Page 5 of 13
APPROPRIATION COMMITTEE 4th REPORT, Apri128, 2007, TO 2007 ATM
The FY2008 budget will be used to educate over 6,200 children, in kindergarten through 12th grade, and
from 3 years to age 22 for students who qualify for special education services. The majority of students
attend one of Lexington's nine public schools. However, over 110 students attend programs out-of
district. (See separate section on Special Education [SPED] below.) This budget seeks primarily to
maintain the same programs and to provide the same levels of service that are being provided to children
in FY2007, in the aftermath of the failure of the two school funding questions on the June 2006 override
referendum. A few positions that were cut in FY2007 after the failed override are now back in the budget.
These include one high school social studies teacher to restore freshman "teaming" with English where
these two course are linked together to ease the transition from middle school to high school, a 0.5 full-
time equivalent (FTE) teacher at the high school to restore honors physics to 6 rather than 5 periods a
week, 2.0 FTEs to restore support for use of educational technology across the 9 schools and 2.0 FTE
teachers to reduce large class sizes in grades K-5. Even without these few restorations, just maintaining
services at the FY2007 level will require the passage of a Proposition 21/~ operating override in June 2007.
F,NR(1T,T,MFNT
Total enrollment for FY2008 is projected at 6,243, a 1% increase over the FY2007 projected enrollment
of 6,176. Budgets are prepared based on a projected number of students, however, that number usually
changes during the year. Furthermore, some programs expand disproportionately with enrollment, such as
the three new "in-house" programs described in the SPED section. Comparing the FY2008 projected
number of students to the FY2007 actual number of students, enrollment at the high school is expected to
increase by 2.2%, at the middle schools it is expected to drop by 1 %, and a 0.6% increase is projected for
the elementary schools. For a more detailed discussion of school enrollment, please refer to the "Budget
Overview" and "Elementary Schools" sections in the FY2008 Superintendent's Recommended Budget
Book, dated January 16, 2007. (That document can be found on the Internet at
http://fps.lexin~tonma.orb/LPS08Bud~etFinalJan2207.pdf .) This information is also summarized in the
Town of Lexington Fiscal Year 2008 Recommended Budget & Financing Plan, dated March 23, 2007
("Brown Book").
STAFFING
Personnel costs represent 78% of total school operating costs with the remaining 22% allocated to
expenses. This split between Salaries & Wages and Expenses has been relatively consistent over the past
few years. The staff is at the end of a three-year contract cycle, due to expire June 30, 2007. New
contracts are currently being negotiated.
FY2008 FY2008
Category FY2005 FY2006 FY2007 without an with an
Actual Actual Budget Override Override
Salaries &
Wages $46,108,223 $47,466,921 $49,041,978 $50,558,499 $53,516,037
Expenses $10,580,563 $13,183,768 $14,377,522 $14,550,439 $14,779,946
Total $56,688,786 $60,650,688 $63,419,500 $65,108,938 $68,295,983
Includes the supplement voted in the
fall 2006 Special Town Meeting
The FY2008 budget includes 929.35 FTE positions. 25.63 of these positions will be added independent of
the override vote. Most of these positions are for SPED services (for details see SPED section below.)
The "at-risk" list includes 56.49 FTE positions. This breaks down into 41.79 current FTEs and 14.70
proposed FTE positions. If the override fails, elementary school library services, custodial services, and
support staff positions will be reduced and restructured, and K-5 subject specialist FTEs will be cut along
with middle and high school teachers. A list of the items included in the override can be found in
Appendix C.
Page 6 of 13
APPROPRIATION COMMITTEE 4th REPORT, April 28, 2007, TO 2007 ATM
Gains and Losses in Full-Time-Equivalent Staffing FY2008 Over FY2007:
Type of Staffing Gain/Loss Number of FTEs
(a) Existing FTEs: at-risk on override 41.79
(b) New FTEs: at-risk on override 14.70
(c) New FTEs: not at-risk on override 25.63
Override Scenarios -these are NOT simple totals of the items
above (see formulas)
Net FTE (loss)/gain over FY2007 if override passes
40.33
Formula: b + c
Net FTE (loss)/gain over FY2007 if override fails
(16.16)
Formula: c - a
CT,A~~ ~T7,F
During the budget process, the School Committee was presented with a proposal to reduce its budget by
moving students from one elementary school to another so that more classes would exceed the School
Committee's "preferred" number of students. This would minimize the number of classroom teachers
required at the elementary schools in the current year. The recently adopted redistricting plan for FY2008
more equally balances the number of students across the elementary schools, but does not go so far as to
balance the numbers of students in individual classrooms. Implementation of the proposal to minimize the
number of classrooms would: 1) result, on average, in larger classes because the decades-old class-size
policies and procedures yield some classes with fewer than the "preferred" number of students, 2) require
that students in specific grades and schools be made to attend other schools beyond the changes from the
recent redistricting, and 3) result in some classrooms having sizes above the "maximum" as students
move into and out of the elementary school districts after June. The School Committee considered the
proposal, but did not adopt it. They did not want to increase class size nor did they want to go beyond the
redistricting procedure in moving students to different schools. Alternative ways of controlling class
sizes, such as returning to the use of multi-grade classrooms were also considered and rejected because
principals feel multi-grade classrooms are no longer viable due to different State curriculum frameworks
for different grades.
The at-risk list includes 2 additional "unallocated" K-5 teachers who will be used to create two additional
classrooms and thus reduce class size in two grades/schools. These positions usually do not get assigned
to a school or grade until August when the starting enrollment is better known. Many people move into
Town over the summer, thus new students register shortly before school begins. This occurs across all the
school districts and frequently in the school districts that have rental housing. For example, the Estabrook
School district includes the Katahdin Woods rental units. Visiting researchers and professors, many of
them from foreign countries, rent at Katahdin while they work in the area. So not only do we have new
students registering over the summer, many of these students have limited English language skills and
need assistance from the English Language Learners (ELL) department.
ENERGY
The school capital expenditures being requested under Article 34 will fund, among other projects, five
projects that can be implemented quickly and once properly completed will save energy thus reducing
operating costs. The School Committee, with the concurrence of the Capital Expenditures Committee and
this Committee, proposed that some of these projects be funded with the projected energy savings. For
FY2008, to fund short-term borrowing costs for these projects, $18,200 has been transferred from the
Page 7 of 13
APPROPRIATION COMMITTEE 4th REPORT, Apri128, 2007, TO 2007 ATM
school operating budget to temporary borrowing (line item 2230) in Shared Expenses; it is hoped these
costs reflect a small portion of the projected first-year energy savings from these capital projects.
REVOLVING FUNDS
In an effort to more clearly track the actual costs and receipts for certain fee-based services, revolving
funds for fee-based athletics, and fee-based regular education transportation will be created. The current
school revolving fund for gate receipts from various sports events will now include the fee-based portion
of athletics. This revolving fund, created by the School Administration under Chapter 71, Section 47 of
the Massachusetts General Laws, comes under the authority of the School Committee. The operating
budget account will continue to cover the subsidized portion of the athletics programs.
When the two school funding questions on the 2006 override failed to pass, the schools had no choice but
to raise user fees, cut positions, and cut services and programs to reduce expenses. At that time, the
athletics fees were restructured and increased. If the 2007 override does not pass, athletics fees will again
be increased, this time from $300 per sport to $500 per sport, with the family cap increasing from $600 to
$1,000.
State law requires the school district to provide and pay for transportation for all children in grades K-6
who live two miles or farther from their school. Any other children who wish to take the school bus are
charged a fee. The bus fee for these students in the past has not reflected the true cost of the service. In
FY2008, the bus service will become self funding so the assessed fee will be based on the actual cost of
transporting these children. The increase in bus rates will most likely cause a decrease in bus riders, an
increase in families driving individually to the schools, and the unintended consequences of more traffic
and pollution. However, given the tight budget, the School Committee has approved the elimination of
the subsidy for non-mandated transportation.
The receipts from paying bus riders will be collected in the to-be-created Transportation Revolving Fund.
This type of revolving fund, as defined in Chapter 44, Section 53E1/~ of the Massachusetts General Laws,
maybe established administratively for the first year, but will need to be, in each future year, reauthorized
by a vote of Town Meeting. Starting in FY2008, there will be three sources of financing to support
regular education transportation: 1) General Fund revenue; 2) revenue from the Transportation Revolving
Fund; and 3) the School Bus Transportation Stabilization Fund created to support the transportation of
students from Avalon Bay.
SPECIAL EDUCATION (SPED) EXPENSES
Because SPED expenses are such a significant and challenging part of the school budget, we have elected
to discuss these expenses in a separate section. This section deals in particular with three elements of the
FY2008 SPED budget: out-of district tuitions, transportation, and new programs.
OUT-OF-DISTRICT TUITIONS
When the Town is unable to meet the needs of a SPED student within the Lexington Public School
system, State law requires that the student be sent to a program outside of Lexington to receive services
and the Town must pay for these services. Out-of district tuitions represent a highly volatile expense, as
annual tuitions per student can cost more than $200,000 per year and it is often difficult to predict
changes in a student's placement. From March to November 2006, for example, there were 32 changes in
placement status, 10 of which were new out-of district students and 22 of which were students who
changed from one out-of district school to another; these changes in placement resulted in additions to the
SPED budget of $1.05 million. In 2006, the school administration implemented new procedures to enable
it better to forecast and track these expenditures as well as to find less expensive alternatives than sending
students out-of district. (See New Programs below.)
Tuition for students requiring out-of district services is projected to increase by $624,920 in FY2008
compared to the FY2007 budget, an increase of 14.4%, net of reimbursement received under the circuit
breaker program (discussed below). Since the budgeted number of students is the same as the original
budget for FY2007, the budgeted increase in spending is the result of an assumed 5% inflation rate in
tuition expenses for this student population as well as expense increases incurred when students change
Page 8 of 13
APPROPRIATION COMMITTEE 4th REPORT, April 28, 2007, TO 2007 ATM
from one form of out-of-district school to another (usually more expensive) school. The FY2008
projection takes into account students currently in an out-of-district placement that are assumed also to
start the FY2008 year out-of-district, as well as an assumption about new out-of-district placements. The
budget assumes that the number of out-of-district students in FY2008 will be less than the number
recorded in March 2007, as the school administration expects that the new in-house programs described
below will result in fewer students going out-of-district and some returning in district.
Out-of-District
Bud et FY2007
bud et FY2007 est
21 March FY2008
bud et % Increase
FY07-FY08
Total # Students 111 123 111 +0%
Total Cost $6,132,539 $6,268,305 $6,912,198 +12.7%
Circuit Breaker $1,800,000 $1,652,647 $1,954,739 +8.6%
Net Cost to Town $4,332,539 $4,615,658 $4,957,459 +14.4%
One year after the Town has incurred out-of district costs, the State will reimburse Lexington for some of
the associated expenses-in other words, the assumed circuit breaker revenue in the FY2008 budget
represents reimbursement of expenses incurred in FY2007, for which the Town will submit a claim in
July 2007. The State will reimburse Lexington for 72-75% of the costs incurred above approximately
$33,700 for each child placed out-of district; transportation, however, is not currently eligible for
reimbursement. The State allocates up to 75% if the claims do not exceed the State budget for such
claims. Earlier this year, for example, the Town was told to assume 72% for FY2007, but when the DOE
verified that extra funds were available, school districts were told to expect 75%. In addition to the circuit
breaker reimbursement, Lexington received $103,980 in extraordinary relief in FY2007, but is not
budgeting any extraordinary relief in the FY 2008 budget.
TRANSPORTATION
Expenses for transportation of SPED students are projected to increase 25.4% from the FY2007 budgeted
amount of $871,756 to $1,093,371 projected for FY2008. The budgeted increase is the result of an
anticipated increase in the number of students (both in district and out of district) who will require
transportation from 136 in the FY2007 budget to an anticipated 158 in FY2008, inflation in the cost of
transportation, plus assumptions about the nature of the transportation required for each student.
NEW PROGRAMS
The school administration also initiated or expanded three new programs, scheduled to begin in
September 2007, which are aimed at increasing the ability of the schools to educate students within the
system and therefore mitigate the increase in out-of district expenses. An Intensive Learning Program
(ILP) to serve students with autism is planned for each of the middle school and high school levels, while
a third program, a Multidisciplinary Support Team (MST) for students identified as having emotional
disabilities, is planned at the high school level. Students with these disabilities account for the majority of
the out-of district expenses, and the school administration projects that these programs will prevent a
number ofout-of district placements in the future as well as bring students currently placed out-of district
back into the system. These programs are projected to cost $537,000 and result in savings of
$1.376 million, for a net savings of $839,000 in the first year of the programs.
The FY2008 school budget assumes a total increase of 11.4 SPED teachers and 6.0 SPED support staff
for a total of 17.4 more FTEs than in the FY2007 budget. Of this increase of 17.4, 12.8 are the result of
the investment in these cost-saving programs. There are a total of 2.0 SPED FTE positions and 11.0
instructional assistants on the at-risk list.
COMMITTEE POSITION
This Committee has not yet taken a formal position on this funding request by the Schools as the latest
data on the Schools request was only received the day before this report was to be printed. while we have
an official meeting scheduled before Town Meeting debates this request-so we can have a formal
Page 9 of 13
APPROPRIATION COMMITTEE 4th REPORT, Apri128, 2007, TO 2007 ATM
position on this request to present to Town Meeting-we felt it was important to provide you what we
have assembled on the request as soon as practical; hence this "information only" reporting on this
request.
Project Description Amount
Requested Funding
Source Committee Recommends
(c) Shared Expenses $19,869,487
0794,544 $19 869 487
.'
Line 2130 (Employee contin ent on
g GF ($794,544 contingent on an
Benefits, Health Insurance)
an override) override) (7-0)
See our 2nd Report to the 2007 Annual Town Meeting, released April 21, 2007, pages 12-14, for our
discussion of all Shared Expenses-from which just this one Line Item was divided out for discussion at
Town Meeting in conjunction with Article 21(a), Line Item 1100, Lexington Public Schools. As stated in
that 2nd Report, this Committee unanimously (7-0) supports the entire Shared Expenses request-
including this Line 2130.
Article 42: Amend
FY2007 Operating Funds Re uested
q Funding
Source Committee
Recommendation
Bud et
g $209 469 Transfers among $209,469 (and all
line items and re uested transfers
q
X209,469 from the among line items)
Unreserved Fund (8-0-1)
Balance ("Free
Cash")
This is an annual placeholder in the Warrant to allow Town Meeting to fund unforeseen expenses in the
current fiscal year budget (FY2007). Appropriations under this article are one of several mechanisms
available for dealing with budget surprises during the course of a fiscal year. Monies in the Reserve Fund
(funded in FY2007 at $400,000) are available, with the approval of the Appropriation Committee, to
cover extraordinary, unforeseen expenses. Payments from this fund are typically made in the last few
weeks of the fiscal year. (For further information about the Reserve Fund, see the discussion of it below
under Shared Expenses.) Municipalities may also now make end-of year transfers of unexpended
balances in one departmental line item to cover overages in other line items in the same department,
provided that an individual transfer does not exceed 3% of the source line item.
It is anticipated that all three mechanisms will be employed to reconcile the FY2007 budget before the
close of the fiscal year on June 30, 2007. In particular, end-of fiscal-year " 3% transfers" and Reserve
Fund transfers are anticipated to cover shortfalls in the police and fire overtime budgets, in the Town
Clerk's budget to cover the expenses of the anticipated June special override/debt-exclusion referendum,
and to cover increased legal costs associated with contract and collective bargaining negotiations. At this
time, however, the following FY2007 budget changes are recommended for action by this Town Meeting.
Municipal Requests
The following FY2007 municipal budget shortfalls, totaling $92,500, will be addressed under this Article
by reducing the appropriations to the salary line items for 7100 Community Development, 8120 Legal,
and 8600 MIS (which are running surpluses for FY2007 due to vacancies and delays in hiring)-in effect,
"transferring" funds between salary and expense line items without impacting the FY2007 bottom line:
Line Item 7100 Community Development Expenses: $26,000
Lines Items 8210-8220 Town Manager Expenses: $40,000
Line Item 8600 MIS Expenses: $26,500
Page 10 of 13
APPROPRIATION COMMITTEE 4th REPORT, April 28, 2007, TO 2007 ATM
In addition, a $40,000 transfer is requested from the compensation line item to the expenses line item
under 7300 Economic Development. This transfer will allow the Town to hire a consultant as
recommended by the Lexington 2020 Economic Development Task Force to: (1) confirm the commercial
development potential identified by the 2020 Task Force, (2) produce acost/benefit analysis of such
development, and (3) undertake the relevant market analysis. Funds are available for this request because
the budgeted Economic Development Officer has not yet been hired; therefore, this, too, does not impact
the FY2007 bottom line.
Schools Requests
At the April 12, 2007, Budget Collaboration Summit Meeting, the Schools described a net FY2007
budget deficit of $803,231, focusing in particular on overruns in energy and Special Education costs
which were of such a magnitude that they could not be sufficiently offset by savings in other school
expense accounts. The Superintendent intends to cover $201,693 of this deficit through savings
anticipated from a freeze on supplies budgets imposed on February 13, 2007, which left a $601,538
deficit. Subsequently, it was found that the Schools hadn't funded their one-half of the cost of the High
School Resource Officer-who is a Police Department employee within the Municipal budget-under an
agreement between the Schools and Municipal Departments. This added $24,000 to the Schools deficit.
However, the State Department of Education informed the Schools on April 24, 2007, that Lexington had
qualified for $103,980 in Extraordinary Relief for Special Education-which has been applied toward the
deficit. (That relief occurs when a specified range of current year's SPED costs are at least 25% greater
than those same costs in the prior year.) The remaining $521,558 deficit makes up the Schools request
under this article.
The Town Manager has proposed funding this request from three sources:
(1) Savings from other municipal and shared expense line item(s) totaling: $303,569, including
$166,069 from 2130 Group Insurance and excess municipal salaries from hiring lags and
vacancies in the following departments: 5100 Library, 7300 Economic Development,
7100 Community Development, 8210-8220 Town Manager, and 8600 MIS. (If these surpluses
had not been needed at this time to offset FY2007 deficits, the Town Manager would have
recommended either increasing the FY2007 Reserve Fund by a like amount in order to make
these funds available for any end-of year budget deficits, or allowing the funds to revert to Free
Cash.)
(2) Reserve Fund: $8,520
(3) Free Cash: $209,469
See the discussion below under Shared Expenses regarding the impact of this proposed action on the
Reserve Fund balance.
Page 11 of 13
APPROPRIATION COMMITTEE 4th REPORT, Apri128, 2007, TO 2007 ATM
Shared Expenses Requests
The following FY2007 shared expense budget shortfalls, totaling $118,000, will be addressed under this
Article by reducing appropriations from other shared expense line items running a surplus
(2140 Unemployment and 2220 Interest on Funded Debt):
Line Item 2150 Workers Compensation: $30,000
Line Item 2210 Payment on Funded Debt: $38,000
Line Item 2230 Temporary Borrowing: $50,000
In addition, the Town Manager and staff have identified other municipal and shared expense line items
running a surplus and are requesting reduced appropriations (effectively, "transfers") from those line
items ($303,569 in total) to help offset the FY2007 Schools budget shortfall described above.
Also, as described above, an $8,520 reduction in the FY2007 Reserve Fund appropriation is requested to
help offset the FY2007 Schools budget deficit. This will leave a balance of $391,480 in the Reserve Fund
for use for end-of year budget deficits. Transfers at that time will require the majority approval of the
Appropriation Committee. As described previously, the Town Manager is anticipating making Reserve
Fund requests to cover public safety overtime, the costs of a June special election, and legal costs for
contract negotiations. At this time it is estimated that these and other requests may total $200K or more.
The balance of approximately $190K would be available for any other extraordinary or at-this-time
unknown deficits in the municipal or school budgets.
Committee Position
This Committee recommends these transfers and the requested appropriation of Free Cash by a vote of
8-0, with one abstention.
Page 12 of 13
APPROPRIATION COMMITTEE 4th REPORT, April 28, 2007, TO 2007 ATM
Appendix C1: Schools At-Risk List
Title FTE
Existing
Positions
At-risk FTE New
Positions
At-risk
Total FTEs
At-risk
$ Reduction
Shared
Expenses
Total Reduction
Administration
PE/Wellness Administration 0.50 0.50 $ 22,853 $ 22,853
Sub-Total 0.50 - 0.50 $ 22,853 $ - $ 22,853
Teachers
K-5 Science Coordinator 0.50 0.50 $ 40,468 $ 858 $ 41,326
Classroom Teachers -Elementa 2.00 2.00 $ 91,412 $ 26,738 $ 118,150
Classroom S ecialists -Elemental 0.30 0.30 $ 13,712 $ 4,011 $ 17,722
K-5 Readin Coach teachers 1.50 1.50 $ 68,559 $ 20,053 $ 88,612
Readin Teachers 2.00 2.00 $ 91,412 $ 26,738 $ 118,150
K-5 math teachers 0.50 0.50 $ 22,853 $ 6,684 $ 29,537
PALS S ed teacher at Bride 0.50 0.50 $ 22,853 $ 6,684 $ 29,537
Resource S ed teacher at Brid e 0.50 0.50 $ 22,853 $ 6,684 $ 29,537
S ecial Education Teacher - Estabrook 0.50 0.50 $ 22,853 $ 6,684 $ 29,537
S ed. Resource Teacher at Clarke 0.50 0.50 $ 22,853 $ 6,684 $ 29,537
Social Worker - ClarkelDiamond 1.00 1.00 $ 45,706 $ 13,369 $ 59,075
Middle School teachers - 0.5 FTE er middle school 1.00 1.00 $ 45,706 $ 13,369 $ 59,075
Trainin and Technical S ecialists -Elementa 1.00 1.00 $ 45,706 $ 13,369 $ 59,075
Trainin and Technical S ecialists -Grade 6-12 1.00 1.00 $ 45,706 $ 13,369 $ 59,075
Teacher - HS Science Ph sits 0.50 0.50 $ 22,853 $ 6,684 $ 29,537
HS Unallocated Teachers 2.40 2.40 $ 109,694 $ 32,086 $ 141,780
Unallocated Teachers - Hi h School 2.00 2.00 $ 91,412 $ 26,738 $ 118,150
HS Teacher -Social Studies 1.00 1.00 $ 45,706 $ 13,369 $ 59,075
HS teachers (0.4 German, 0.2 Foreign Language, 0.4 Soc. Studies,
1.0 Guidance 1.0 academic 3.00 3.00 $ 137,118 $ 40,107 $ 177,225
HS Health teacher load 4 to 5 = 0.6 FTE Sub'ect to ne otations 0.60 0.60 $ 27,424 $ 27,424
Sub-Total 11.10 11.20 22.30 $ 996,391 $ 283,422 $ 1,279,813
Su ort Staff
Custodians 4.50 0.50 5.00 $ 187,920 $ 65,984 $ 253,904
Custodial Savin s/Reductions - $ 111,600 $ 111,600
K-5 School Support positions plus benefits or 10.17 more teachers
(subject to negotiations) -Maintains minimum level of staff support in
it in 9.69 9.69 $ 590,872 $ 590,872
Instructional Asst's -10 4 elem, 2 MS, 4 HS 10.00 10.00 $ 183,600 $ 127,892 $ 311,492
Two new MST Instructional Assistants 2.00 2.00 $ 36,720 $ 25,578 $ 62,298
1,0 S ecial Class Teacher Aide at Diamond 1.00 1.00 $ 18,360 $ 12,789 $ 31,149
12 hours of COTA at Middle Schools - $ 7,344 $ 156 $ 7,500
Lab Technician - Forei n Lan a e Lab 1.00 1.00 $ 30,755 $ 13,052 $ 43,807
Sub-Total 25.19 3.50 28.69 $ 1,167,171 $ 245,452 $ 1,412,623
Pro ram Elimination
K-5 Librarians 5.00 5.00 $ 169,778 $ 65,599 $ 235,377
Sub-Total 5.00 - 5.00 $ 169,778 $ 65,599 $ 235,377
Total Salar & Wa es 41.79 14.70 56.49 $ 2,356,193 $ 594,473 $ 2,950,666
Ex enses
General Su 1 Increase 3% $ 286,020 $ 286,020
School-based Professional Develo meet $ 24,000 $ 24,000
Middle School Math Intervention Books and summer lannin $ 4,000 $ - $ 4,000
Hi h School En ineerin course materials $ 4,500 $ - $ 4,500
Hi h School Office Su lies $ 22,000 $ - $ 22,000
K-5 Math, Literac ,Science, Social Studies 3 classes shiftin rades $ 14,383 $ - $ 14,383
S ecial Education ConsultationlAssistive Technolo Ad'ustments $ 97,859 $ 97,859
Clarke Forei n Lan a e - S anish $ 900 $ 900
Contracted Services - Performin Arts Hall Mana er $ 4,340 $ 4,340
K-12 Curriculum -Curriculum Review $ 15,450 $ 15,450
K-12 Curriculum -Curriculum Review $ 6,000 $ 6,000
K-12 Curriculum -Professional Develo ment -Administrative $ 26,300 $ 26,300
K-12 Curriculum -Professional Development -Building Based Prof.
Dev. $ 36,437 $ 36,437
K-12 Curriculum -Professional Develo ment -Substitutes $ 7,000 $ 7,000
Health Services $ 1,265 $ 1,265
K-5 Instructional Materials $ 13,200 $ 13,200
Clarke/Diamond Forei Lan ua e Professional Develo ment $ 1,000 $ 1,000
ClarkelDiamond -General Su lies $ 5,100 $ 5,100
Forei n Lan ua e - Hi h School $ 9,159 $ 9,159
S ecial Education ConsultationlAssistive Technolo Materials $ 3,000 $ 3,000
Increase Athletic User Fee $ 378,742 $ - $ 378,742
Total Ex ense Revisions $ 960,655 $ - $ 960,655
Sub-Total Salar & Wa es and Ex enses 41.79 14.70 56.49 $ 3,316,848 $ 594,473 $ 3,911,321
Additional cuts to be made $ 70,268
Total Amount At-risk $ 3,981,589
1 As there is an Appendix A (and Appendix B) in this Committee's 2nd Report to the 2007 Annual Town Meeting, released
April 2l, 2007, and although this is the only appendix in this our 4`h Report, this annex is being identified as "C" to avoid any
confusion when referencing "Appendix A " in regard to our reporting to the 2007 Annual Town Meeting.
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