http://www.rutlandherald.com/article/20151007/NEWS02/151009945
Published October 7, 2015 in the Rutland Herald
Springfield has surplus, but sees school budget challenges
By SUSAN SMALLHEER
Staff Writer
SPRINGFIELD — Springfield schools have a $1 million surplus for the year that ended in June, and the surplus will be applied to future school budgets, Steve Hier, finance director, told the School Board Monday night.
Hier outlined upcoming budget issues for the School Board, which is expected to start the budget review process in about a month. The current budget is $28.7 million.
Hier and Superintendent Zachary McLaughlin said there were several “doozies” that would affect the upcoming proposed budget, including the state’s cap on school spending, a proposed 7.9 percent increase in health insurance and pending contract talks with the school district’s various unions.
McLaughlin said that Springfield’s estimated budget cap or state-sanctioned increase was about $268,000, based on the current budget of $24 million and the number of students. But he said most of that would be swallowed up by the expected increase in health insurance.
The health insurance increase, he said, was $250,000, leaving $18,000 to cover all other increases.
“These are difficult times,” McLaughlin said.
While Springfield school employees tend to be healthier, McLaughlin said, they also tend to “consume more,” Hier added.
One budge committee member, Bill Sheldon, told the board that the financial news means that the School Board will likely have to reduce the budget.
If the School Board doesn’t reduce the budget for 2016-17, the school district will face the state’s penalty or “double tax zone.”
“We will not present anything that will cross that line,” McLaughlin said.
Springfield’s per-pupil costs of $16,265 are above the state average, but have been coming down in recent budget years, Hier said. He said there are 1,332 students currently in Springfield schools.
Springfield is the “poster child” of Act 60 and 68, Hier said. “Springfield gets $3 for every $1 we put in.”
On top of that, he said, many Springfield residents are eligible for income sensitivity funding toward their school tax.
Income sensitivity payments to Springfield residents account for $1.7 million, which Heir said was a “huge impact” for the town.
Where once the Springfield costs were 11th highest in the state, Springfield now ranks 57th, he said.
The $1 million general fund surplus will be divided between the upcoming school budget and the 2017 budget, Heir said. The current school budget also had a $500,000 surplus.
every year they say it's a bare bone budget,thing's are tight,gonna be lots of cut's,but in 2 budget's they have $1.5 million dollars left,guess it's time to start doing some better figuring
ReplyDeleteGreat news. The school budget has a surplus. Then I trust you won't be asking the taxpayers for more money this year, right? Regardless, will have to vote no on any increase!
ReplyDeleteI congratulate them on registering a budget surplus, but as others have pointed out, what was the reason for it - true cost cutting or "padding" to ensure that more than enough taxpayer money would be collected to feather their nests? I suspect the latter. One thing is for sure though, the taxpayers will never see a "REFUND" from any surplus. Once government has their greedy fingers wrapped around our tax dollars, they never let it go!
ReplyDeleteOne thing is for sure. They better plan on cutting that budget. With the property values cut in half in theory the tax money available to them will drop with the drop on propertyv taxes. Another thing I canter figure out is why with all the empty lots or potential lots from derelect buildings why we are not teaming with the tech school to build new homes on any property the town owns. That way we grow our grand list with new property owners and famlies.
ReplyDeleteI smell an increase in salary coming.
ReplyDelete