City Council

CITY OF GARDNER IN CITY COUNCIL INFORMAL MEETING OF MAY 6, 2019 _____________________________________________________________________________________ Informal Meeting of the City Council was held in the City Council Chamber, Room 219, City Hall, on Monday, May 6, 2019. CALL TO ORDER Council President Scott Joseph Graves called the meeting to order at 6:30 o’clock p.m. ATTENDANCE Ten (10) Councillors were present including President Scott Joseph Graves and Councillors Nathan Boudreau, James Boone, Ronald Cormier, Edward Gravel, Karen Hardern, Christine Johnson, James Johnson, Elizabeth Kazinskas, and James Walsh. Councillor Craig Cormier was absent. Superintendent Mark Pellegrino presented a Power Point, attached hereto.  Developing a Budget (Definitions) o Restorations and Adjustments. o Additions. o (Reductions) o Level Services Budget o Expected Funding o Funding Gap  Budget Restorations & Adjustments o Replace 1 Para with an RBT at GMS $ 6,000 o Replace 1 Para with an RBT at Elm Street School $ 6,000 o Nurse (Replace 0.5 FTE Grant Funding) at GALT $26,289 Total Budget Restorations & Adjustments $38,289 2 Paraprofessionals are now registered as Registered Behavioral Technicians, resulting in salary adjustments for each. Grant funding no longer allowed to pay for Nurse at GALT.  Budget Additions o School Psychologist at WSS $65,000 School Psychologist needed at WSS due to behavioral issues in the classrooms. Currently, there is only 1 School Psychologist between Elm Street and Waterford Street Schools. The School Psychologist performs testing and behavioral programming. School Counselors work with individuals at each school and the need has increased dramatically. Page 1 of 6  CITY OF GARDNER IN CITY COUNCIL INFORMAL MEETING OF MAY 6, 2019 _____________________________________________________________________________________  Budget Reductions o Retirement Savings ($55,000) Savings due to hiring replacement staff at lower salaries (i.e. entry level).  Total Net Adjustments/Additions/(Reductions) FY19 FY20 o Total Budget Adjustments $117,318 $ 38,289 o Total Budget Additions $ 92,829 $ 65,000 o Total Budget Reductions ($96,100) ($55,000) Net Budget Impact $114,048 $ 48,289  Salaries FY20 FY19 FY20 Diff. % o Regular Education Instr. $8,681,561 $8,976,128 $294,567 3.4% o SPED Instruction $4,309,891 $4,602,347 $292,456 6.8% o Support Services $1,973,036 $2,060,586 $ 87,550 4.4% o School Administration $1,714,032 $1,752,265 $ 38,233 2.2% o Central Administration $ 571,719 $ 572,385 $ 667 0.1% o Information Services $ 206,114 $ 212,260 $ 6,146 3.0% o Facilities $ 200,857 $ 211,230 $ 10,373 5.2% o Substitutes $ 212,000 $ 212,000 $ -0- 0.0% Total Payroll $17,869,211 $18,599,201 $729,991 4.1% *Increase in salaries includes 2% COLA, step and lane changes, FY19 hires at higher steps than FY2018. Experienced SPED Teachers are hired at higher salaries. Substitutes are paid $70 to $80 per day. Shortage of Substitutes is problematic. Councillor Walsh questioned whether Employee Step increases are advantageous. Superintendent Pellegrino stated that Step increases are good for staff retention. Longevity payments are also included in the contracts.  Expenses FY20 FY19 FY20 Diff. % o Regular Education Instruction $ 166,163 $ 164,726 ($ 1,437) (0.9%) o SPED Instruction $ 159,310 $ 171,206 $ 11,896 7.5% o Support Services $ 99,105 $ 115,546 $ 16,441 16.6% o Program/Staff Development $ 56,316 $ 51,629 ($ 4,687) (8.3%) o Other Programs (OOD) $ 987,267 $1,182,464 $195,197 19.8% o School Administration $ 172,773 $ 165,218 ($ 7,555) (4.4%) Page 2 of 6  CITY OF GARDNER IN CITY COUNCIL INFORMAL MEETING OF MAY 6, 2019 _____________________________________________________________________________________ o Central Administration $ 253,217 $ 230,465 ($ 22,752) (9.0%) o Information Services $ 345,145 $ 281,087 ($ 64,058) (18.6%) o Facilities $1,136,554 $1,236,040 $ 99,486 8.8% o Transportation $1,496,763 $1,603,311 $106,548 7.1% o Utilities $ 511,517 $ 513,474 $ 1,957 0.4% o Other Oper./Control Accts $ 363,390 $ 372,502 $ 9,112 2.5% Total Expenses $5,747,520 $6,087,668 $340,148 5.9% $195,000 or 19.8% increase in expenses for Out-of-District (“OOD”) Placements. School District pays for two students to attend school in Springfield. Transportation expenses up 7.1% due to increase in regular and homeless students (e.g. DCF custody) transportation. Regular Transportation Busing Contract in second and final year. Councillor Christine Johnson questioned whether anyone has presented the concept of eliminating school busing for students in Grades 7 through 12. Mayor Hawke responded, saying that parents are unable to afford an additional $40 per month for bus transportation. Information Services decreased by 18% due to Mr. O’Keefe’s efforts to streamline.  Circuit Breaker Revolving Fund FY20 Out-of-District MINUS FY19 Equals FY20 OOD Tuition Total Tuition Circuit Breaker Revenue Funded by General Budget $1,606,792 $424,328 $1,182,464  Costs that do NOT Apply to Net School Spending o Category FY19 FY20 Diff. % o Regular Transportation $708,120 $729,360 $21,240 3.0% o McKinney Vento Transp. $170,944 $185,000 $14,056 8.2% o SPED Transportation $617,699 $688,951 $71,252 11.5% o Crossing Guard Expense $ 500 $ 600 $ 100 20.0% o Crossing Guards $ 56,000 $ 58,000 $ 2,000 3.6% o Bus Monitors $ 45,000 $ 51,500 $ 6,500 14.4% Total $1,598,263 $1,713,411 $115,148 7.2% Page 3 of 6  CITY OF GARDNER IN CITY COUNCIL INFORMAL MEETING OF MAY 6, 2019 _____________________________________________________________________________________  Revenue Projection FY19 FY20 Diff. % o State Funding (Ch. 70) $19,725,204 $20,546,704 $ 821,500 4.16% o Required City Funding for NSS $9,085,400 $9,407,061 $ 321,661 3.54% o City Funding over NSS $1,442,400 $1,070,794 ($371,606) (25.76%) Total Revenue $30,253,004 $31,024,559 $771,555 2.55%  Funding Gap FY19 FY20 Diff. % o Total Funding $30,253,004 $31,024,559 $771,555 2.55% o Total School Budget $23,616,731 $24,735,158 $1,118,428 4.74% o Budgeted Costs that ($1,598,263) ($1,713,411) ($115,148) 7.20% do not apply to NSS o City Budgeted Indirect Costs $8,238,481 $8,398,073 $159,592 1.94% o Total NSS Expense $30,256,949 $31,419,820 $1,162,872 3.84% ( $395,261) Budget Gap  The Bottom Line o Funding Gap after H.2 Budget Release, April 11, 2019 = ($395,261).  Closing the Budget Gap o Budget Gap as of 3/11/2019 ($642,296) o Additional Funding Above NSS $154,859 o ESS Increase in Supplies ($ 6,331) o Decrease in MIS & Software $ 38,790 o Additional State Fund (H2) $ 59,717 o Budget Gap as of 4/11/2019 ($395,261) o District (Academic) Coaches $127,608.50 o Reclassify Choice $267,652.50 $395,261.00 Close the Gap $ 0.00 The District will not have to cut any staff positions beyond the 2 District Academic Coaches. Vice-Principals also serve as (building) Academic Coaches – coaching teachers.  What causes tension between Gardner taxpayers and Gardner Public Schools? Facts: Page 4 of 6  CITY OF GARDNER IN CITY COUNCIL INFORMAL MEETING OF MAY 6, 2019 _____________________________________________________________________________________ o Every year, the foundation formula calculates the minimum required spending increase for the schools based on our population. o Until three years ago, GPS always operated on the minimum budget allowable by the State. o The City of Gardner has increased the local contribution to almost $1 Million above their minimum required contribution. Question: How can this still not be enough for our schools? Cause: o The foundation formula worked well from 1993 to 2002; however, it is now antiquated and underfunds schools throughout the Commonwealth. o Districts are required to spend more than the foundation formula dictates because of unfunded mandates and necessary supports for our students.  Funding Progress in Massachusetts has eroded.  Foundation Budget Undercounts Critical Costs by $2.63 Billion  Foundation Budget is Substantially Less than What All Districts Need, Wealthier Communities Can Spend More to Compensate.  Chapter 70 Funding for Two Sample Districts – 4 Steps. (slide)  Lowest Wealth Districts Spend Nearly 30% Less than Foundation on Regular Ed. Teachers. Gardner is in the lowest 20% of wealth in the state.  Legislative Charge of Foundation Budget Review Commission (slide)  Findings and Recommendations  Clinton Public Schools – Gardner Public Schools – Webster Public Schools  Health Insurance Foundation Budget states that Gardner should spend $2.6M for Health Insurance, while actually spending $5.9M.  Special Education Foundation Budget states that Gardner should spend $2.7M for SPED, while actually spending $5.2M. Page 5 of 6  CITY OF GARDNER IN CITY COUNCIL INFORMAL MEETING OF MAY 6, 2019 _____________________________________________________________________________________  Foundation Budget Gaps: Gardner Analysis Slide analysis identified gaps between the Foundation and Actual School District spending. Comparisons include Operations & Maintenance, Teacher Prof. Development, Instructional Materials, and Staffing (SPED Aides and teachers and Non-SPED Aides and Teachers).  Other Areas of the FBRC. o Low Income o ELL Increment  Impact on Our Districts. Chapter 70 Increased by 70% + Minimum Aid Guarantee – 2 models.  The times are changing. Hopefully… (slide)  Budget Adjustment Process (slide)  Minimum Required Spending History (slide)  Remember these Success Highlights. o More students are staying in Gardner. o Fewer School Choice-out numbers (first time since 2011) o Better supports for everyone resulted in the first reduction in the percentage of students with disabilities since 2003. o Restructuring of substantially separate programs resulted in NO students leaving the District for placements in the last two years. o Early College programming is taking off!! State Accountability Improves: • No school is designated as requiring assistance. The meeting concluded at 7:27 p.m. Accepted by the City Council: June 3, 2019 Page 6 of 6 PRESIDENT Scott Joseph Graves, Esq. CITY OF GARDNER COUNCILLORS AT LARGE MASSACHUSETTS 01440-2630 James S. Boone Craig R. Cormier OFFICE OF THE Ronald F. Cormier CITY COUNCIL Edward A. Gravel Scott Joseph Graves, Esq. Christine A. Johnson WARD 1 COUNCILLOR ________________________________ __________________________________ James M. Walsh, Esq. WARD 2 COUNCILLOR Elizabeth J. Kazinskas WARD 3 COUNCILLOR Nathan R. Boudreau WARD 4 COUNCILLOR Karen G. Hardern April 11, 2019 WARD 5 COUNCILLOR James D. Johnson CITY COUNCIL INFORMAL MEETING Date: Monday, May 6, 2019 Time: 6:30 P.M. Location: City Council Chamber, Room 219, City Hall ANNOUNCEMENT - Any person may make a video or audio recording of an open session of a meeting, or may transmit the meeting through any medium, subject to reasonable requirements of the chair as to the number, placement and operation of equipment used so as not to interfere with the conduct of the meeting. Any person intending to make such recording shall notify the Chair forthwith. All documents referenced or used during the meeting must be submitted in duplicate to the City Clerk, pursuant to the Open Meeting and Public Records Law. All documents shall become part of the official record of the meeting. Gardner School District FY2020 Budget Presentation. NOTICE: The listing of Agenda items are those reasonably anticipated by the Chair which may be discussed at the meeting. Not all items listed may in fact be discussed and other items not listed may also be brought up for discussion to the extent permitted by law. CITY COUNCIL OF GARDNER Scott Joseph Graves, Esq. SCOTT JOSEPH GRAVES, ESQ. Council President  FY 2020 Bu d get Pr esen tation Updated: 5/7/2019 2:31 PM  Developing a Budget (Definitions) RESTORATIONS AND Needed only for FY18 or FY19. Shifts between ADJUSTMENTS Revolving funds and Grant Funds. ADDITIONS REQUIRED positions that were added to this year’s budget after the budget was approved. (REDUCTIONS) Savings from retirements. LEVEL SERVICES BUDGET What it would cost to have our current level of services for the FY19 budget after adding adjustments and additions and subtracting the reductions? EXPECTED FUNDING Anticipated total funding from the state and city. FUNDING GAP What is the difference between level services budget and expected funding?  Budget Restorations & Adjustments Dept. Description FTE Cost GMS Replacing 1 Para with an RBT $ 6,000.00 ESS Replacing 1 Para with an RBT $ 6,000.00 GALT Nurse (Replace 0.5 FTE Grant Funding) 0.5 $ 26,289.00 Total Budget Restorations & Adjustments: $ 38,289.00  BUDGET ADDITIONS Budget Additions Dept Description FTE $$ Total WSS School Psychologist 1.0 65,000 Total Budget Additions 1.0 65,000  BUDGET REDUCTIONS Budget Reductions Dept Description FTE $$ Total RE Retirement Savings (10,000) RE Retirement Savings (10,000) RE Retirement Savings (10,000) RE Retirement Savings (10,000) RE Retirement Savings (10,000) RE Retirement Savings (5,000) Total Budget Reductions (55,000)  TOTAL NET ADJUSTMENTS/ ADDITIONS/(REDUCTIONS) FY19 FY20 Total Budget Adjustments $117,318 $38,289 Total Budget Additions $92,829 $65,000 Total Budget Reductions -$96,100 -$55,000 Net Budget Impact $114,047 $48,289  Salaries FY20 Category FY18 FY19 FY20 Diff. % Diff. Regular Education Instruction $ 8,476,312 $ 8,681,561 $ 8,976,128 $ 294,567 3.4% Special Education Instruction $ 4,131,944 $ 4,309,891 $ 4,602,347 $ 292,456 6.8% Support Services $ 1,834,783 $ 1,973,036 $ 2,060,586 $ 87,550 4.4% School Administration $ 1,606,369 $ 1,714,032 $ 1,752,265 $ 38,233 2.2% Central Administration $ 551,077 $ 571,719 $ 572,385 $ 667 0.1% Information Services $ 201,734 $ 206,114 $ 212,260 $ 6,146 3.0% Facilities $ 195,373 $ 200,857 $ 211,230 $ 10,373 5.2% Substitutes $ 205,899 $ 212,000 $ 212,000 $ - 0.0% Total Payroll $ 17,203,491 $ 17,869,211 $ 18,599,201 $ 729,991 4.1% Increase in salaries includes 2% COLA, step and lane changes, FY19 hires at higher steps than FY18  Expenses FY20 Category FY18 FY19 FY20 Diff. % Diff. Regular Education Instruction 152,086 166,163 164,726 (1,437) -0.9% Special Education Instruction 180,272 159,310 171,206 11,896 7.5% Support Services 126,305 99,105 115,546 16,441 16.6% Program / Staff Development 44,357 56,316 51,629 (4,687) -8.3% Other Programs (OOD) 871,377 987,267 1,182,464 195,197 19.8% School Administration 178,676 172,773 165,218 (7,555) -4.4% Central Administration 237,179 253,217 230,465 (22,752) -9.0% Information Services 285,437 345,145 281,087 (64,058) -18.6% Facilities 1,113,533 1,136,554 1,236,040 99,486 8.8% Transportation 1,385,044 1,496,763 1,603,311 106,548 7.1% Utilities 503,170 511,517 513,474 1,957 0.4% Other Operations & Control Accts 382,416 363,390 372,502 9,112 2.5% Total Expenses $ 5,459,852 $ 5,747,520 $ 6,087,668 340,148 5.9%  FY20 Out of District MINUS FY19 Equals FY20 Out of District Tuition Total Tuition Circuit Breaker Revenue Funded by General Budget $ 1,606,792 $ 424,328 $ 1,182,464 Circuit Breaker Revolving Fund FY16 FY17 FY18 FY19 FY20 Beg. Balance $ 141,749.00 $ 254,359.00 $ 325,569.00 $ 275,723.00 $ 424,328.00 Revenue $ 293,372.00 $ 386,345.00 $ 336,499.00 $ 424,328.00 Subtotal $ 435,121.00 $ 640,704.00 $ 662,068.00 $ 700,051.00 $ 424,328.00 OOD Expenses $ 180,762.00 $ 315,135.00 $ 386,345.00 $ 275,723.00 $ 424,328.00 (Paid by Circuit Breaker) End Balance $ 254,359.00 $ 325,569.00 $ 275,723.00 $ 424,328.00 $ -  Costs That Do NOT Apply to Net School Spending Category FY18 Budget FY19 Budget FY20 Request Diff. %Diff. Regular Transportation 687,420 708,120 729,360 21,240 3.0% McKinney Vento Transportation 121,735 170,944 185,000 14,056 8.2% SPED Transportation 575,889 617,699 688,951 71,252 11.5% Crossing Guard Expense 500 500 600 100 20.0% Crossing Guards 54,000 56,000 58,000 2,000 3.6% Bus Monitors 42,000 45,000 51,500 6,500 14.4% Total 1,481,544 1,598,263 1,713,411 115,148 7.2%  Revenue Projection FY18 FY19 FY20 FY20 - FY19 % House2 State Funding (Ch. 70) 19,428,394 19,725,204 20,546,704 821,500 4.16% Required City Funding for NSS 8,778,334 9,085,400 9,407,061 321,661 3.54% City Funding Over NSS 915,750 1,442,400 1,070,794 (371,606) -25.76% Total Revenue 29,122,478 30,253,004 31,024,559 771,555 2.55%  Funding Gap FY18 FY19 FY20 FY20-FY19 % Total Funding 29,122,478 30,253,004 31,024,559 771,555 2.55% Total School Budget 22,663,343 23,616,731 24,735,158 1,118,428 4.74% Budgeted Costs that do not apply to NSS (1,481,544) (1,598,263) (1,713,411) (115,148) 7.20% City Budgeted Indirect Costs 7,940,679 8,238,481 8,398,073 159,592 1.94% Total Net School Spending Expense 29,122,478 30,256,949 31,419,820 1,162,872 3.84% (395,261) Budget Gap  THE BOTTOM LINE Funding Gap after House 2 Budget Release April 11, 2019 $(395,261)  CLOSING THE BUDGET GAP Budget Gap as of 3/11/19 (642,296.00) Additional Fund Above NSS 154,859.00 ESS Increase in Supplies (6,331.00) Decrease in MIS and Software 38,790.00 Additional State Fund (H2) 59,717.00 Budget Gap as of 4/11/19 (395,261.00) District Coaches 127,608.50 Reclassify Choice 267,652.50 395,261.00 Close the Gap $0.00  What causes tension between Gardner taxpayers and Gardner Public Schools? FACTS: ◼ Every year, the foundation formula calculates the minimum required spending increase for the schools based on our population. ◼ Until three years ago, GPS always operated on the minimum budget allowable by the state. ◼ The City of Gardner has increased the local contribution to almost $1 million above their minimum required contribution. QUESTION: ◼ How can this still not be enough for our schools?  What causes tension between Gardner taxpayers and Gardner Public Schools? CAUSE: ◼ The foundation formula worked well from 1993 to 2002. However, it is now antiquated and underfunds schools throughout the Commonwealth. ◼ Districts are required to spend more than the foundation formula dictates because of unfunded mandates and necessary supports for our students. Foundation Budget Formula Foundation Budget Formula Foundation Budget Formula Foundation Budget Formula Foundation Budget Formula Foundation Budget Formula Foundation Budget Formula  EXCELLENCE & EQUITY Keeping Gardner Kids in Gardner Public Schools Fost er EXCELLENCE ▪Culture ▪Academics ▪Enrichment  EXCELLENCE & EQUITY Keeping Gardner Kids in Gardner Public Schools Fost er EXCELLENCE ▪Culture ▪Academics ▪Enrichment  EXCELLENCE & EQUITY Keeping Gardner Kids in Gardner Public Schools Fost er EXCELLENCE ▪Culture ▪Academics ▪Enrichment  EXCELLENCE & EQUITY Keeping Gardner Kids in Gardner Public Schools Fost er EXCELLENCE ▪Culture ▪Academics ▪Enrichment  EXCELLENCE & EQUITY Keeping Gardner Kids in Gardner Public Schools Fost er EXCELLENCE ▪Culture ▪Academics ▪Enrichment  EXCELLENCE & EQUITY Keeping Gardner Kids in Gardner Public Schools Fost er EXCELLENCE ▪Culture ▪Academics ▪Enrichment  The times are changing. Hopefully… The governor’s budget was almost $100,000 above what we were expecting. Gardner’s minimum local contribution will not be higher than what you’re already providing. Representative Zlotnik and State Senator Tran are both supportive of increasing state funding for our schools. The discussion on the Hill is to increase the GPS state funding gap (adjusting for inflation) in the next few years.  BUDGET ADJUSTMENT PROCESS Principals and Directors Submit level funded expense budgets Submit prioritized lists of needed additional staff Submit lists of proposed expense reductions Submit prioritized lists of potential staff reductions to own school / department. Assigned targets total $1.2 million Meet individually with Superintendent &Business Manager in February  BUDGET ADJUSTMENT PROCESS - 2 Principals and Directors Meet with Superintendent as a team over month of March to integrate and prioritize all the individual lists . Discussion for over 20 hours. Result: Ajointly developed alignment of budget funding to stated goals  Minimum Required Spending History LOCAL Required MINIMUM Contribution Chapter 70 Aid REQUIRED Total Above Required FY20 $ 9,407,061.00 $ 20,486,987.00 $ 29,894,048.00 $ 1,070,794.00 FY19 $ 9,085,400.00 $ 19,725,204.00 $ 28,810,604.00 $ 1,442,400.00 FY18 $ 8,779,067.00 $ 19,521,864.00 $ 28,300,931.00 $ 915,750.00 FY17 $ 8,469,172.00 $ 19,225,095.00 $ 27,694,267.00 $ 380,591.00 FY16 $ 8,111,579.00 $ 19,085,780.00 $ 27,197,359.00 FY15 $ 7,521,101.00 $ 19,023,155.00 $ 26,544,256.00 FY14 $ 7,163,394.00 $ 18,961,405.00 $ 26,124,799.00  Remember these Success Highlights More Gardner St udent s st aying in Gardner: ◼ Fewer school choice out numbers (first time since 2011) ◼ Better supports for everyone resulted in the first reduction in the percentage of students with disabilities since 2003 ◼ Restructuring of substantially separate programs resulted in NO students leaving the district for placements in the last two years ◼ Better culture = staff and administrators are staying ◼ Early College programming is taking off! STATE ACCOUNTABILITY IMPROVES: ◼ No school is designated as requiring assistance Questions?