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HomeMy WebLinkAbout2012-02-08-AC-minFebruary 8, 2012 Minutes Town of Lexington Appropriation Committee Meeting February 8, 2012 Time and location: Selectmen's Meeting Room, Town Office Building, 7:30 p.m. Members Present: Glenn Parker, Chair; John Bartenstein, Vice Chair and Secretary; Joe Pato, Vice Chair; Robert Cohen; Mollie Garberg; Alan Levine; Eric Michelson; Richard Neumeier; and Jonina Schonfeld Others in Attendance: Theo Kalivas, Budget Officer; Mary Ann Stewart and Alessandro Alessandrini (School Committee), Dr. Paul Ash (Superintendent); Mary Ellen Dunn (Assistant Superintendent for Finance and Business); George Burnell and Deb Manger (Board of Selectmen); David Kanter and William Hurley (Capital Expenditures Committee). The meeting was called to order at 7:36 p.m. Richard Neumeier agreed to take the minutes. 1. FY13 School Budget The principal focus of the meeting was a review of the FY13 school budget including, in particular, the impact of proposed fee reductions for all -day kindergarten, music instruction, and Estabrook bus transportation (next two years only). The meeting began with an overview of selected budget issues by Superintendent Ash. Among other things, Dr. Ash reported that the school facilities occupy about 1 million square feet out of 1.1 million square feet of property owned by the town. Recently, the school negotiated a contract for natural gas for $800,000 to $850,000 in the next three years at a price worth approximately 50% of the current cost of oil. Approximately 80% of the operating budget is spent on labor. The school system has a young staff with a majority of its employees having ten or less years of seniority. Dr. Ash explained that there is a need for additional capital items including four additional classrooms in the high school (at a cost of approximately $400,000) and some other smaller items. Special education costs to the town have been going down. This is in part due to the fact that the level of state circuit breaker reimbursement has increased and is back to 65 %. In addition, the School Department has a financial officer assigned just to special education issues. As a result, all expenditures have been reviewed to determine whether reimbursement from the State can be obtained. In the past year, a significant amount of money has been reimbursed by the state. Under the circuit breaker arrangement, if the school spends more than four times the foundational number (that is, more than about $38,000) for any student receiving special education services, the state provides reimbursement. In addition, there is a new autism program at Diamond which has helped to reduce the number of out -of- district placements. Dr. Ash recommended that the $1,075 full -day kindergarten fee be eliminated (only one child in the system is at half -day, for which there is no charge). The cost of this that cannot otherwise be absorbed in the school budget is anticipated to be $150,000. The state will provide reimbursement for kindergarten education only if there is no fee. - 1 - February 8, 2012 Dr. Ash also recommended that music fees be eliminated. He noted that when the fee was reduced from $300 to $150 there was a 20% increase in participation in instrumental music by fourth graders. Instrumental music is the only thing that Lexington parents are charged for during the day. The cost of eliminating the instrumental music fees is estimated at $63,260. State law requires that all towns provide transportation without fee for students more than two miles from the school. Citizens Article 17 seeks to lower the fees charged for service to those students who live within two miles. Dr. Ash has recommended that for two years (fiscal 2013 and 2014) the bus fee for Estabrook be reduced by 50 %. The cost is estimated to be $150,000. There were numerous questions propounded to Mary Ellen Dunn about bus transportation. Right now we pay the highest rate in the State, $409.00 per bus per day. Ms. Dunn explained there are several reasons why the cost of bus transportation has increased. Eight years ago a new bus could be purchased for $50,000; now it costs $80,000 to $90,000 because of new regulations dealing with emissions and safety. Previously, buses got eight to twelve miles per gallon, now five to six miles per gallon is typical. There was extensive discussion about bus fees and whether these should be counted in the school budget or as shared expenses. Dr. Ash suggested that the cost of transportation is a shared expense. On behalf of the Capital Expenditures Committee, David Kanter said that he agreed with all of Dr. Ash's proposals except for the $150,000 Estabrook bus fee reduction, which he believes needs further discussion. 2. Minutes. Minutes for the meeting of October 19, 2011 were approved with minor edits to be provided by Alan Levine to John Bartenstein. Minutes for the December 19, 2011 meeting were approved. The meeting adjourned at 9:45 p.m. A list of documents and other exhibits used at the meeting is attached. Respectfully submitted, Richard Neumeier Approved February 23, 2012 -2- February 8, 2012 Exhibits Town of Lexington Appropriation Committee Meeting February 8, 2012 1. Meeting agenda, posted by Glenn Parker, Chair 2. 15 -page packet distributed by School Department entitled, "Revenue Offsets" -3-