Takeaways from today’s Finance Committee and School Committee combined meeting.
Those of you that want a school audit, if things were done incorrectly in the past, that money will never be recouped. An audit of past years will not help us now. HOWEVER, the meeting I just witnessed between the town (Jason Silva, Town Administrator and Alison Nieto, Finance Director/Town Accountant) Finance Committee, and School Committee members (David Harris) and new School Committee members and budget liaisons (Sarah Gold and Meagan Taylor) regarding next year’s (FY20) budget was the closest thing I’ve seen to an audit. All involved said it was the more transparent, most specific, and most comprehensive budget meeting they have ever had. Every single item was scrutinized. Principals, department heads, teachers, and assistant Superintendent each had a part in scrutinizing their own line items. Then, the school committee went over those numbers with the knowledge of David Harris, having been on the Finance Committee in years past. THEN, the town and finance committee asked for even more clarification on the following items to be brought to the next budget meeting:
- Is the number of additional anticipated out-of-district placements entirely accurate? Was based on previous administration numbers and needs to be re-examined. - When someone retires, if there is savings for that, where does that savings go as a line item in the current budget? - With declining enrollment from the year before, where does that reduction carry forward to the next budget? - How does the potential vote to turn Gerry over to the town (still knowing that a potential vote for a new school would mean Eveleth may have higher cost needs due to more children being in the building) affect potential savings as a line item? - You have asked for 20% reductions from all departments but the maintenance and technology department has not been factored into that. Please approach the director, Ken Lord, and consider cuts in that department and how they affect our school performance...i.e. Computers for MCAS use, etc. - Please delve further into the difference between outgoing salaries (specifically items in contracts that were other type perks in addition to salary) to see how filling those positions may create savings in that area - Please investigate the sports fees revolving fund and how that money (and how much is in there) could be more creatively be examined to cover sports-related costs that are currently being funded out of your operating budget.
After thanking the two new budget liaisons from the School Committee who are doing the jobs creating this budget (with David Harris assistance as well) of Super, HR, and school finance director, the town also made it a point to remind the School Committee to please reach out to them to have assistance on finding the answers to these questions as they are happy to help in whatever staffing capacity they can. There was also a consensus that more robust reporting was needed going forward to enable more budget transparency and that the previously used formats in place are not adequate and would be updated.
This was a completely collaborative effort with all involved functioning around the same priorities of protecting the override for the new school as one priority for the town and the school committee and trying to solve the current budget deficit that also affects next year’s deficit (created by not only the school mispayment of funds but ALSO from the town’s continued dependence on free cash to balance their own budget) and includes efforts and cuts from ALL town departments. The second priority they have all rallied around is fiscal accountability. The new town administrator, Jason Silva, has changed the foundation of our town’s fiscal picture in profound ways going forward. He has highlighted that the “free cash” CANNOT be used towards budgets in the same capacity going forward. He stressed that changing the financial picture in this town takes a MULTI-YEAR approach and cannot be resolved overnight. He has also implemented a 5-year capital plan for the entire town that has never been done before. Having all the town departments (including schools) specify their capital overlays for the next 5 years so that the town may make smart and strategic decisions on how those are budgeted for and funded. This is a HUGE change from our new leadership and signifies a shift towards a more thoughtful and fiscally responsible approach toward the large overall capital budget items in our town budget. These are the things that in the past most often take the form of overrides (fire trucks, roof replacement) or from each budget finding those funds within their annual budget with no overall big picture thought to save for the future. This is a great change.
Another notable change from today’s meeting is a more collaborative approach between town and school. There were no contentious disputes. There was literally a giddy response from the town and Finance Committee side about the level of transparency and budget detail being provided for the first time. All involved were looking forward to a new administration and a different way of doing things going forward. The team was also insistent that this was not the year to ask the town for an override for FY 20 school budget when they had no administration in place to adequately decide on the school policy priorities going forward. They want to leave opportunities for the new team to be able to go over the budget with their own expertise and fresh eyes to decide where more money should be allocated that may go above and beyond this currently gutted budget. Then, they would have someone to speak to why that money is absolutely necessary and with a vision about the future of the Marblehead Public School system when asking for an override.
A major takeaway from today was hearing Meagan Taylor and Sarah Gold find their voice and really get into the nitty-gritty. Sarah’s experience in mental health and how Special Education works really brought a level of knowledge to the budget that was clearly missing before. Meagan’s experience in economics and finance was also a great asset when combined with David Harris’s experience as a member of the Finance Committee. Both of these school committee members, who were noticeably quiet during the past few months while they gained their footing during the fiscal bill-paying fiasco, took on MAJOR roles in the FY20 budget and were very informed and well-spoken in answering questions and understanding and defending the cuts that they have worked with their principals and assistant Superintendent on. It was lovely to see them take on their roles with such competence and commitment.
Although the shift of having a 5-year capital plan in place is a big part of our town’s financial puzzle and does signify a shift in how things are done and address a portion of the taxpayers' concern over further investment into the new school building, the question of future capital improvement funding for school buildings was raised and does still not have a concrete answer as of yet. Although the change in leadership, the new budget transparency, and the more collaborative relationship between the town and schools were cited as meaning that new ways and fresh eyes are examining the situation, I still urge you to reach out to the Finance Committee, School Committee, and Town administration asking what the plan will be going forward for the funding mechanism and advance planning for capital improvements to our schools. Currently, the schools have no ability to save towards future years for large capital expenditures. With a currently gutted budget, there isn’t any money to be saved at this moment, but how that looks for the future and where that money would come from, and how it would be protected is something that needs to be spoken to and will only be addressed with significant public pressure.