02/28/2011

Superintendent to present $21 million school budget proposal for 2012 at March 1 workshop

Interim Superintendent Ken Murphy will present a $21 million school budget proposal for fiscal 2012 to the School Board at 7 p.m. Tuesday, March 1, in the Town Hall chamber. The presentation and workshop is scheduled for live broadcast and replay over CETV Channel 3.

Murphy's 2012 budget message, details and other documents are on the School Budget 2012 website.

The proposed school budget is up 2.2 percent, $447,719 over this year's. It poses a 2.6 percent increase in property taxes for schools, 34 cents over this year's rate of $12.89.

"The recommended budget will continue to improve teaching and learning at each of our schools and yet it is sensitive to the financial climate that surrounds each homeowner in our community," Murphy says in his budget message to the board.

Loss of state subsidy, and the end of funding from the American Recovery and Reinvestment Act (federal stimulus) add up to an anticipated $268,146 reduction in revenues.

On the expenditure side, the budget proposal provides increases totaling $790,000, half of that ($406,000) in salaries and benefits. These increases are offset by use of $300,000 from contingency, a $34,000 reduction in debt service, and $8,000 in other expense reductions.

Last fall the School Board set aside money from the federal Jobs Bill, anticipating revenue reductions in 2012. "The reduced state aid and the elimination of federal stimulus money places stress on homeowners but the School Board last year took steps to minimize the impact on the 2011-2012 budget," Murphy's message says.

Murphy also credited the teachers' union in balancing the needs of students with the fiscal needs of the community.

"The small increase in the recommended budget was accomplished by the reduction of 1.5 teaching positions and a conservative salary agreement recently negotiated with the teachers association," his message says. In a telephone interview, Murphy said the agreement is not yet final, but did call the pending three-year contract "very conservative".

"We appreciate greatly the teachers association recognition of how the current financial climate is impacting Cape Elizabeth homeowners," his message says.

The other major expenditure increases, beyond salaries and benefits, are for facilities, instructional support and transportation.

Budget meetings

The March 1 workshop is the first of three scheduled for budget consideration. Others are Tuesday, March 8, following regular business meeting at 7 p.m. in the Town Hall chamber; and, Tuesday, March 15, 7 p.m. at the Community Center.

A special budget adoption meeting has been scheduled for Tuesday, March 22, following the board's monthly finance committee meeting at 6:30 p.m. at the High School library.

In his budget message, Murphy said that during deliberations this year the board will be working to develop a three-year plan "that balances the need to keep tax increases as small as possible without compromising student access to quality programs."