Mascenic Regional School District Initiatives and Proposed Budget for FY24

FY24 Proposed Budget and Recommendations Public Hearing January 3, 2023 1

Mission, Vision, and Core Beliefs Vision: We will provide students with the skills to become effective participants in a democratic society. We will do this by providing students with a sense that: Acquiring knowledge is a lifelong pursuit. Using their skills to assist others and advance society is a worthy objective. Democracy can only succeed with knowledgeable and active participants. Mission: The Mascenic Regional School District is dedicated to the development of lifelong learners by: Providing a rigorous, personal, educational opportunity. Fostering a coordinated continuous learning environment. Supporting the traditions and character of our communities. Encouraging high standards of social behavior, ethics and cooperation. We will follow these guiding principles in a fiscally responsible manner as we prepare our students to lead, serve and thrive in our community, our country and the globe. Core Beliefs: 1. We expect excellence in education for all students. 2. We believe all students can learn. 3. We believe students, staff, teachers and families should be responsible partners in learning. 4. Students should be interested and active participants in a democratic society. 5. Students should be lifelong learners. 2

District Initiatives Superintendent s Office Support department and building managers in defining departmental and professional goals to increase effectiveness in all areas. Business Office - Increasing efficiency and accuracy and saving district funds by automating leave time approval process and payroll and moving benefit programs to one vendor. Moving employees to consumer driven health plans. Technology Research, Design, Procure and Implement Technology that enhances education for our students and educational community. Specifically, implement new Information Communication Technology (ICT), using mobile tools and cloud based curriculum to bridge the digital divide and provide equity among all our stakeholders. Facilities Maintain grounds, equipment & systems to ensure campus safety and health. Food Service Remodeling BMS kitchen, replacing antiquated equipment. 3

District Initiatives, contd Student Services Provide in-district supports and services for individualized student needs Curriculum Support instruction through resource adoption and curriculum expectations development at all levels. Support and refine teacher collaboration and data review processes to impact student achievement. High School MRHS is working to foster a positive staff and student culture that allows each student to reach their potential academically, socially, and emotionally. We are striving to reinforce skills that will serve students in the present and in their future endeavors regardless of their post secondary plans. Middle School BMS is continuing to build a positive culture among staff and students to improve student engagement and learning by utilizing a variety of approaches. Elementary School HHES is continuing to strengthen our students foundational academic skills by increasing collaboration and communication that reach across grade levels and departments. 4

Proposed Warrant Article 1 To choose by ballot one (1) member of the School Board from the Town of New Ipswich to serve a term of three (3) years To choose by ballot one (1) member of the School Board At Large to serve a term of three (3) years To choose by ballot one (1) Moderator to serve a term of three (3) years 5

EnrEnrollmentollment 10/1/2017 10/1/2018 10/1/2019 10/1/2020 10/1/2021 Mascenic 1,042 1,026 1,021 872 918 Conant 1,404 1,396 1,401 1,242 1,233 Conval 2,181 2,168 2,145 2,020 1,969 WLC 538 553 564 590 563 State 178,328 177,365 176,168 167,909 167,360

Cost Per Pupil DISTRICT 2017-2018 2018-2019 2019-2020 2020-2021 STATE AVG. $ 15,865.26 $ 16, 346.45 $ 16, 823.88 $ 18,434.21 Mascenic $ 14,044.86 $ 14,237.52 $ 14, 732.25 $ 17,894.98 Conant $ 14,938.66 $ 14,828.62 $ 14,970.82 $ 17,678.65 Conval $ 18,408.09 $ 19,603.99 $ 20, 171.35 $ 22,132.94 Wilton- Lyndborough $ 20,275.42 $ 19, 445.57 $ 18, 678.08 $ 17,933.02 7

Our Recent Graduates Recent Graduate Data (as %) 44.5 % went to 2-4 year college and 53.7% went directly to work/military. 60 50 40 30 20 10 0 4 Year College 2 Year College Military Employed 8

General Fund: Budget & Actual $18,146,773 $18,079,693 $18,071,637 $18,017,873 $17,457,492 $16,788,432 $16,664,084 $16,528,842 FY19 FY20 FY21 Actual - Gen Fund FY22 Budget - Gen Fund 9

Salaries & Benefits: Budget & Actual $13,000,053 $12,881,144 $12,823,572 $12,782,287 $12,750,494 $12,008,574 $11,730,148 $11,596,291 FY19 Budget - Salaries & Benefits FY20 FY21 Actual - Salaries & Benefits FY22 10

Reduction of Budget Lines over Time Budget FY19 FY23 Decrease Healthcare Contingency Substitutes Tuition Reimbursement Staff Development Sped Private Tuitions $ 234,845 $ 30,000 $ (204,845) $ 180,000 $ 135,000 $ (45,000) $ 60,000 $ 22,500 $ (37,500) $ 45,000 $ 15,000 $ (30,000) $ 500,000 $ 420,000 $ (80,000) Total $ 1,019,845 $ 622,500 $ (397,345) 11

Salaries & Benefits Actual Spending as a % 46% 45% 45% 45% 45% 46% 47% 48% 47% 24% 24% 25% 25% 24% 25% 25% 26% 21% FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 Salaries Benefits 12

Health Insurance = 50% of Benefit Spending FY18 FY19 FY20 FY21 FY22 FY23 Green-Single Green-2 Person $ 11,832 $ 11,976 $ 11,136 $ 11,448 $ 11,826 $ 12,570 $ 23,664 $ 23,952 $ 22,272 $ 22,896 $ 23,652 $ 25,140 Green-Family $ 31,944 $ 32,334 $ 30,066 $ 30,912 $ 31,932 $ 33,942 1% -7% 3% 3% 6% Health rates are going up 15.1% for FY24 Strategy: To move all employees to Consumer Driven Health Plans 13

Second Biggest Driver for Benefits: NHRS FY15 FY22 Employee 11.17% 14.06% Teacher 15.67% 21.02% In 2015, the District would have paid $ 7,835 in NHRS for a Teacher earning $ 50,000. In 2022, this was up to $ 10,510. A $ 2,675 difference over 100 teachers = $ 267,500! In 2012, the state contribution towards NHRS for Districts was eliminated. It was 40% when NHRS was created (1977), reduced in subsequent years, and eliminated after 2012. Rates are going down slightly next year at 19.64% Teachers and 13.53% Employees 14

FY24 Proposed Budget $ 20,794,129, 5.2% Increase FY23 Voted Budget FY24 Proposed Budget $ $ Incr % Incr Total - General Fund Food Service Fund $ 18,547,879 $ 19,578,129 1,030,250 5.2% $430,000 $430,000 $0 0% Grant Fund $786,000 $786,000 $0 $ 0% $ Total - All Funds 19,763,879 $ 20,794,129 1,030,250 5.2% 15

FY24 Proposed Budget - Summary Salaries and Benefits: Salaries (object code 100) Payroll Benefits Other Employee Benefits (Tuition/PD) Total Salaries and Benefits Non-Salaries and Benefits: 1100 - Regular Programs 1200 - Special Programs 1300 - Vocational Programs 1400 - Other Instructional Programs 2100 - Support Servicers for Students 2200 - Support Services for Staff 2300 - Support Services - Administration 2400 - Support Services - School Admin 2500 - Support Services - Business 2600 - Operation and Maintenance 2700 - Student Transportation 2800 - Support Services Technology 5100 - Debt Services P & I 5200 - Fund Transfers Total Total General Fund Food Service Fund Grant Fund All Funds FY21 Actual FY22 Actual FY23 Voted FY24 Proposed $ 7,902,587 $ 8,293,848 $ 8,725,804 $ 8,969,272 $ 243,468 $ 4,063,242 $ 4,388,902 $ 4,645,726 $ 5,169,126 $ 523,400 $ 41,334 $ 34,157 $ 85,300 $ 91,750 $ 6,450 $ 12,007,164 $ 12,716,907 $ 13,456,830 $ 14,230,148 $ 773,318 $ Diff % Diff 2.8% 11.3% 7.6% 5.7% $ 211,156 $ 278,144 $ 416,558 $ 507,263 $ 90,705 $ 358,967 $ 384,058 $ 430,750 $ 398,750 $ (32,000) $ 8,577 $ 11,608 $ 21,900 $ 22,800 $ 900 $ 42,397 $ 53,853 $ 71,615 $ 95,085 $ 23,470 $ 235,283 $ 146,783 $ 232,772 $ 202,959 $ (29,813) $ 19,817 $ 25,613 $ 29,515 $ 29,078 $ (437) $ 76,291 $ 135,705 $ 208,334 $ 216,990 $ 8,656 $ 71,747 $ 82,361 $ 70,775 $ 70,871 $ 96 $ 50,883 $ 62,460 $ 74,550 $ 63,000 $ (11,550) $ 630,418 $ 713,980 $ 709,902 $ 847,242 $ 137,340 $ 693,755 $ 817,211 $ 855,466 $ 1,036,324 $ 180,858 $ 79,731 $ 75,544 $ 95,150 $ 104,361 $ 9,211 $ 1,991,766 $ 1,912,264 $ 1,832,762 $ 1,753,259 $ (79,503) $ 45,000 $ 41,000 $ 41,000 $ - $ 4,515,789 $ 4,740,585 $ 5,091,049 $ 5,347,981 $ 256,932 $ 16,522,953 $ 17,457,492 $ 18,547,879 $ 19,578,129 $ 1,030,250 $ 309,682 $ 654,467 $ 430,000 $ 430,000 $ - $ 1,234,039 $ 1,744,303 $ 786,000 $ 786,000 $ - $ 18,066,674 $ 19,856,262 $ 19,763,879 $ 20,794,129 $ 1,030,250 21.8% -7.4% 4.1% 32.8% -12.8% -1.5% 4.2% 0.1% -15.5% 19.3% 21.1% 9.7% -4.3% -100.0% 5.0% 5.6% 0.0% 0.0% 5.2% $ (41,000) 16

FY24 Gen Fund Budget By Category $.536 $.532 17

Budget by Category Talking Points Salaries 46% of Budget - Current Employees & Programming Moved Teacher & Para from Grant - $ 84,851 Substitutes up $ 30,000 Stipends up $ 23,000 & new stipends: $ 2,500 Transition Coord, two $5,000 NEASC Coord Benefits 27% of Budget - SS/Med, NHRS, Health/Dental, Life/ADD/LTD, UC/WC, PD Health plans for Teacher & Para moved from Grant & Psychologist Health rates up 15.1% 18

Budget by Category Talking Points, contd Bond P & I 9% of Budget - Offset by Building Aid and 90% Interest Rebate Transportation 5% of Budget for Regular Ed, Special Ed, Kindergarten, Athletics, and Field Trips Special Ed Out-of-District Tuitions & Contracted Services, 2% as required by IEPs Utilities 3% of Budget - Water, Sewer, Electricity, Pellets, Gas, Oil, Disposal, Snow Removal Remainder is $ 1.6MM, or 8% of the budget Everything else! - Curriculum, Assessments, Supplies, Equipment, Maintenance & Upkeep, Insurance, Legal, etc. 19

FY24 Budget Increases 2% Technology 1% Athletic Equip 5% Elementary Books 10% Electricity 15% Transportation 45% Benefits 21% Salaries 20

Notes on Budget Increases Benefits primarily Health Insurance Rate Increase of 15.1%. The District continues to migrate all employees on to Consumer Health Driven Plans. Salaries Para and Teacher out of Grant Stipends Substitute Pay Teacher Lane Changes Staff Turnover/Salary Pressure Total $ 84,851.00 $ 30,526.00 $ 30,000.00 $ 9,500.00 $ 91,541.00 $ 246,418.00 21

Notes on Budget Increases, contd Transportation Increases Regular Ed Bus Contract Regular Ed - Late Bus McKinney Vento (Homeless) Sped Transportation Athletics & Field Trips Total $ 44,983.00 $ 27,650.00 $ 25,466.00 $ 71,324.00 $ 11,438.00 $ 180,861.00 22

Notes on Budget Increases, contd Electricity Rates up which has increased budget by $ 121,491 year over year. Elementary Books & Print Media - $ 63,056 associated with new curriculum Athletic Replacement Equipment - $ 13,448 Technology Data Access Points for Students - $ 28,582 Note: All of the above increases are offset by a $30,000 reduction in the HealthCare Contingency and $ 79,503 reduction in bond interest and Sped Out- of-District Tuition of $35,000. 23

Non-CBA Salaries & Benefits Two objectives: elevate salaries which have lagged behind market rates while asking employees to switch to Consumer Driven Health Plans with a lower District allocation (for Single/2P) 5% raise for salaried employees; 6% raise for hourly employees Change to Consumer Driven Health Plans 93% District allocation towards Yellow with Choice Single, 2 Person and Family Health Plans (prior allocations were 97%, 97.5%, and 89%) 100% District allocation towards Yellow and Orange plans. District allocation towards Health Savings Account for High-Deductible Orange plans at $ 1,000 single and $2,000 2 person/family. 24

How are our schools funded? 60% of our general fund budget is funded by local tax. 37% is state/federal aid. The remaining 3% is local revenues. $6,001,655 Adequacy/Swept Local Tax Other State Aid $11,782,260 $1,164,214 Fund Balance $600,000 $30,000 Local Revenue Adequacy & SWEPT Other State Aid Fund Balance Local Revenues Local Tax 25

FY23 v FY24 Adequacy Breakdown FY23 - Final FY24 - Estimated ADM 869.74 843.98 BASE ADEQUACY $3,293,402.47 $3,262,978.60 ADM 223.91 $423,933.28 164.83 $318,629.58 FREE AND REDUCED ADM 8.00 8.00 ELL (English Language Learners $5,926.96 $6,051.44 ADM 114.15 $232,531.21 114.15 237,414.45 SPECIAL EDUCATION ADM 15.00 15.00 3RD GR READING PROFICIENCY $11,113.05 $11,346.45 TOTAL ADEQUACY $3,966,906.97 $3,836,420.51 26

FY23 v FY24 Adequacy Additional Information Stabilization Grants were established in 2012 to ease the impact on municipalities with the new formula for state aid. Funded at 100% of 2012 amount for FY23 and FY24. FY23 FY24 Stabilization Grant $ 2,077,688 $ 2,077,688 SWEPT (Statewide Education Property Tax) is a state tax collected by municipalities and sent directly to school districts. It is based on a minimum tax rate and is applied to the town s valuations without utilities. FY23 FY24 SWEPT $ 801,380 $ 1,132,739 27

FY21 to FY24 Total Reduction in State Funding FISCAL YEAR EDUCATION GRANT & SWEPT FY21 $ 7,497,375.82 FY22 $ 6,524,211.47 FY23 $ 6,205,183.28 FY24 (EST) $ 6,001,654.93 $3,728,931 The District has lost approximately $ 1.5MM in state aid since FY2021. With aid decreasing, and less fund balance being returned due to a leaner budget, there will continue to be more pressure on local tax. $1,080,579 28

Revenues FY21 Actual $ 60,792 $ 43,540 $ 5,395,740 $ 1,050,818 $ 797,013 $ 62,828 $ 55,664 $ 1,552 $ 4,952 $ 1,428,332 $ 486,754 $ 35,478 $ 14,901 $ 5,455 $ 322,108 $ 23,232 $ - $ 9,789,159 $ 10,295,273 $ 8,945,528 $ 8,220,869 $ (724,660) $ 1,231,850 $ 1,744,303 $ 786,000 $ 786,000 $ - Account FY22 Actual $15,000 $ 25,000 $ 15,000 $ (10,000) $66,023 $ 11,000 $ 15,000 $ 4,000 $5,442,835 $ 5,403,803 $ 4,868,916 $ (534,887) $1,080,579 $ 801,380 $ 1,132,739 $ 331,359 $797,013 $ 797,013 $ 797,013 $ - $77,356 $ 110,987 $ 50,000 $ (60,987) $37,499 $ 35,000 $ 35,000 $ - $0 $ 111,402 $ 6,768 $ (104,634) $68,143 $ 50,000 $ 25,000 $ (25,000) $1,540,994 $ 852,958 $ 600,000 $ (252,958) $412,340 $ 321,985 $ 250,433 $ (71,552) $22,122 $ 20,000 $ 20,000 $ - $37,284 $ 200,000 $ 200,000 $ - $8,153 $ 5,000 $ 5,000 $ - $603,775 $ 200,000 $ 200,000 $ - $60,657 $ - $ - $ - $25,500 $ - $ - $ - FY23 Proj FY24 Prop $ Diff 1300 - Tuition 1990 - Other Local Revenue 3110 - Equitable Ed Aid 3112 - Statewide Educ Tax 3210 - School Building Aid 3230 - Special Education Aid 3241 - Vocational Tuition Aid 3290 - Other State Aid 4580 - Medicaid Distribution 5000 - Prior Year Fund Balance 5120 - Interest Rebate 5200 - Revenue Transfer - Other 1610 - Food Svc Sales 3260 - Child Nutrition-State 4560 - Child Nutrition-Federal 4570 - Food Svc Commodities 5251 - Transfer from Cap Reserves Total - General & FS Fund (100/210) Total - Grant Proceeds (220) 29 Grand Total - All Funds $ 11,021,009 $ 12,039,576 $ 9,731,528 $ 9,006,869 $ (724,660)

Grant Funded Supports FY23/24 ESSER III Allocation: $1,841,917.83 Summer Programming for students (FY22, 23, 24) Professional Development for teachers, staff, and administration, Salary and Benefits: Social Worker (FY22, 23, 24) BCBA (FY22, 23, 24) Technology Integrator (FY22, 23, 24) Preschool Teacher (FY22) Preschool Paraprofessional (FY22, 23) 30

Grant Funded Supports FY23/24 Website Hosting (FY22, 23, 24) Flat Panel Devices (with installation) Chromebook Age-Out Replacement (Supporting replacement cycle) Chromebook Repair & Damage Replacements Rooftop ERV for MRHS Document Cameras Software & Program Licenses Materials/Supplies Total ESSER III Grant Funds Expended:$1,829,354.23 Balance: $12,563.60 31

Default Budget SB2 Official Ballot Towns and School Districts are required to create a Default Budget which will be in place if the Proposed Budget fails. "Default budget'' means the amount of the same appropriations as contained in the operating budget authorized for the previous year, reduced and increased, as the case may be, by debt service, contracts, and other obligations previously incurred or mandated by law, and reduced by one-time expenditures contained in the operating budget. The FY24 Default Budget is $ 729,616 more than the FY23 voted budget. This is mainly due to known contractual increases in healthcare, electricity, and transportation. The FY24 Default Budget is $ 300,634 less than the proposed budget. 32

Proposed Warrant Article 2 Shall the Mascenic Regional School District raise and appropriate as an operating budget, not including appropriations by special warrant articles and other appropriations voted separately, the amounts set forth on the budget posted with the warrant or as amended by vote of the first session, for the purposes set forth therein, totaling Twenty Million, Seven Hundred and Ninety-Four Thousand, One Hundred Twenty Nine Dollars ($20,794,129)? Should this article be defeated, the default budget shall be Twenty Million, Four Hundred and Ninety Three Thousand, Four Hundred and Ninety Five Dollars ($20,493,495) which is the same as last year, with certain adjustments required by previous action of the Mascenic Regional School District or by law; or the governing body may hold one special meeting, in accordance with RSA 40:13, X and XVI, to take up the issue of a revised operating budget only. Majority vote required to pass. The Mascenic Regional School Board recommends the passage of this article by a vote of 5 to 0. The Advisory Budget Committee recommends the passage of this article by a vote of 4 to 0. 33

MESSA Contract Warrant Article Salary Increases to be competitive in the current job market. Switch to Consumer Driven plans at 93% towards a Yellow with Choice Single Plan. Employee may opt for 2 person or family plan at their cost. Step down to 92.5% Yr 2, and 92% Yr 3. Designation of 2 out of 4 required professional development days as mandatory attendance for District event. No other material language changes. 34

MESSA CBA Cost Year 1 Wage Increase Year 2 Wage Increase Year 3 Wage Increase $ 53,603 $ 35,860 $ 36,599 Year 1 Health Increase Year 2 Health Increase Year 3 Health Increase $ 11,373 $ (1,077) $ (1,077) Year 1 Total Year 2 Total Year 3 Total $ 64,976 $ 34,784 $ 35,522 35

Proposed Warrant Article 3 Shall the Mascenic Regional School District approve the cost items included in the collective bargaining agreement reached between the Board of the Mascenic Regional School District and the Mascenic Education Support Services Association which calls for the following increases in salaries and benefits at the current staffing level: Year Incr - Salary Incr(Decr) - Health Net 2024 $ 53,603 $ 11,373 $ 64,976 2025 $ 35,860 ($ 1,077) $ 34,784 2026 $ 36,599 ($ 1,077) $ 35,522 The Mascenic Regional School Board recommends the passage of this article by a vote of 5 to 0. The Advisory Budget Committee recommends the passage of this article by a vote of 4 to 0. 36

Proposed Warrant Article 4 Shall the Mascenic Regional School District, if Article 3 is defeated, authorize the governing body to call one special meeting, at its option, to address Article #3 cost items only? Majority vote required to pass. The Mascenic Regional School Board recommends the passage of this article by a vote of 5 to 0. The Advisory Budget Committee recommends the passage of this article by a vote of 4 to 0. 37

Capital Reserve Warrant Article 6/30/22 BALANCE FY23 12/31/22 BALANCE Capital Reserve Fund ADDITIONS $ - $ - Special Ed $ 386,472.21 $ 386,472.21 School Repair/Maint $ 247,155.53 $ 247,155.53 Healthcare $ 58,858.57 $ 20,000.00 $ 78,858.57 Food Services $ 33,028.57 $ 21,000.00 $ 54,028.57 Total $ 725,514.88 $ 41,000.00 $ 766,514.88 38

Proposed Warrant Article 5 To see if the school district will vote to raise and appropriate the sum of Fifty Thousand Dollars ($ 50,000) to be added to the Maintenance Capital Reserve Fund previously established. This sum to come from the June 30 fund balance available for transfer on July 1. No amount to be raised from taxation. (Majority vote required) The Mascenic Regional School Board recommends the passage of this article by a vote of 5 to 0. The Advisory Budget Committee recommends the passage of this article by a vote of 4 to 0. 39

Proposed Warrant Article 6 To see if the school district will vote to raise and appropriate the sum of Ten Thousand Dollars ($ 10,000) to be added to the Food Service Capital Reserve Fund previously established. This sum to come from the June 30 fund balance available for transfer on July 1. No amount to be raised from taxation. (Majority vote required) The Mascenic Regional School Board recommends the passage of this article by a vote of 5 to 0. The Advisory Budget Committee recommends the passage of this article by a vote of x to x. 40

Proposed Warrant Article 7 Shall the Mascenic Regional School District raise and appropriate Fifty Nine Thousand Nine Hundred and Nine Dollars ($59,909) for the purpose of adopting a full day kindergarten program at Highbridge Hill Elementary school requiring the addition of staff from three (3) teachers and three (3) paraprofessionals to four (4) teachers and four (4) paraprofessionals for the 2024 school year? The Mascenic Regional School Board recommends the passage of this article by a vote of 5 to 0. The Advisory Budget Committee recommends the passage of this article by a vote of X to X. 41

Proposed Warrant Articles 8 & 9 ARTICLE 8 Shall the Mascenic Regional School District accept the reports of Agents, Auditors, Committees, or Officers chosen? ARTICLE 9 To transact any other business that may legally come before this meeting. 42

Historical Tax Rates Greenville Municipal County Local Education State Education Total 2021 12.47 1.17 9.67 1.84 25.15 2020 12.52 1.00 7.72 1.93 23.17 2019 12.51 1.07 11.72 2.09 27.39 2018 12.58 1.15 13.53 1.96 29.22 2022 12.47 1.24 12.62 1.46 27.79 New Ipswich Municipal County Local Education State Education Total 2021 2020 2019 2018 2022 4.70 1.02 13.75 1.78 21.25 3.87 0.99 15.05 1.82 21.73 5.50 1.22 19.00 2.28 28.00 4.08 1.12 17.01 1.30 23.51 3.93 1.05 15.41 1.83 22.22 43

Tax Impact Breakdown for a $ 300,000 Home Greenville New Ipswich WA 2 - Operating Budget - $ 1,015,907 $ 434 $ 364 WA 3 - Para Collective Bargaining Agreement -$ 64,976 $ 27 $ 23 WA 5 & 6 Maint & FS Capital Reserve - $ 60,000 $ 25 $ 21 WA 7 Full Day Kindergarten $ 25 $ 21 Total $ 512 $ 430 44