The School Finance Subcommittee examined the proposed 2013 fiscal year budget last night, going over each line item during its 75-minute session with school administrators, principals and program directors.
However, no changes were made to the preliminary budget package of $56,790,456, a proposed increase of $4,600,445 over the current budget.
School Superintendent Suzanne Scallion said the proposed budget is a “level funded” proposal, and addresses increases for salaries, utilities, transportation, professional development, unemployment insurance, legal services and special education.
The budget increase also covers a reduction of nearly $2 million in federal jobs and Title 1 funding contained in the current fiscal year budget.
“That is our best position at this time,” Scallion said.
The district can use $1.7 million in income to offset part of that $4.6 million increase, Scallion said. The offsets include $1 million from the district’s school choice income, and using any surplus in the present budget, projected at $500,000, to prepay special education out of district tuition for next year.
The early childhood program at the Fort Meadow School is also projected to bring $190,000 into the district.
“The most difficult thing to negotiate over the next few weeks is the cutting of federal grants and Title 1 funding,” Scallion said.
School committee members questioned Scallion and Chief Financial Officer John Kane about the use of school choice funding to help bridge the budget increase.
Kane said that there is still about $500,000 in that account and the projected annual school choice income is about $800,000, meaning that the district will have access to $1.3 million.
“There will still be money in the account for special projects,” Kane said.
The committee members also asked Scallion what impact retirements would have on the budget. Scallion said that while teachers being hired to replace retiring staff members are generally compensated at a substantially lower salary level, the impact this year will be minimal.
“We have 11 retirements, but that is offset by seven staff members returning from leaves of absence,” Scallion said. “So the net gain is only four positions.”
Chairwoman Cindy Sullivan said the Finance Subcommittee will take no further action on the proposed budget until Mayor Daniel M. Knapik submits his 2013 budget number.
Knapik is hoping to have that number before the School Committee meeting on May 7. The school budget comprises more than half of the total city budget that Knapik plans to submit to the City Council later this month.
The district is using the current 2012 fiscal year budget and a projected Chapter 70 increase, a total of $52,546,599, as the initial budget target.
Scallion said the district is projecting a $356,588 increase in state Chapter 70 funding for next year.
“This will change, but what that number will be is anybody’s guess at this time,” Scallion said.
