School Board Spending More Money Than You Gave Them

June 2, 2019 with details from the April 8 and May 13 meetings.

May 31, 2019

Sources recently pointed out that the school board has been discussing a growing budget deficit. It seems to have been a problem since at least January.

At the January 14 meeting, Chair Kris Raymond reported a deficit of almost $182,000. There was a budget freeze in place but no other action seemed to take place. More discussion seemed to have been spent on the 2019-2020 budget and warrant articles.

At the Feb. 11 meeting, Chair Raymond reported a drop on the deficit to $114,000. It seemed that no action was taken to cut any expenses.

At the March 11 meeting, Ms. Raymond reported an increase in the deficit to about $135,000. Superintendent Warburton suggested they might dip into the trust funds, which contained $67,000, or go back to the town for more funds (AKA double dipping).

At the April 8 meeting, scores of residents listened to a lengthy presentation by the Harriman Group about the possible options to repair/renovate AES and ARD. The meeting appeared to end and residents either departed or went on a tour of the building. The school board apparently continued the meeting about 40 minutes later.

The board was surprised when Tom Irzyk announced that he was resigning effective immediately for personal reasons, and then left the meeting.

Mr. Warburton later reported that the deficit was at $120,000, revenues showed an increase, and they had about $117,000 in funds that they could use. The budget freeze was still in effect.

At the May 13 meeting, the Harriman Group presented the final options for the two schools as well as costs for each one. This information was reported in the School Upgrade article.

Later in the meeting after many people had left, Mr. Warburton reported that the deficit had increased to $165,000. There was unexpected revenue of about $100,000 and they needed to ask the DRA if they could use "retainage funds" and trust funds to offset the deficit. (It's amazing how many times the word "unexpected" appears in these minutes.)

As an aside to residents, meeting minutes should be posted in short order. Examination of the May 13 minutes file showed it was created on May 23, which is 10 days after the meeting date. Most town committee agendas openly state: "A record of the meeting is available for public inspection not later than five (5) business days after the meeting, as required by RSA 91-A:2, II."

Sources stated that some of the deficit may have been due to cost overruns in the Special Education budget. It was reported that at least one board member had suggested ways that the deficit could have been reduced or eliminated but was ignored.

On May 23rd, Superintendent Warburton issued the following reply to questions about the origin of, and resolution of, the ongoing deficit:

"Relating to the deficit, the Board, Business Office, Administration and staff have been monitoring the deficit since the fall of this school year. The deficit is due, in large part, to the decrease in state funding and unexpected Special Education costs. At the School Board meeting on Monday, May 10 [actually June 10], the Board will be discussing the use of this year's retainage ($50,000), Trust Funds (approx. $100,000) and any other avenues to be able to cover the deficit amount. After the meeting we will be putting out a communication through our websites and the town website that will provide up-to-date information for the town including steps that we have taken and will continue to take to prevent a special meeting."

Once again, the federal and state governments appear to be the sources of this financial crisis that has been forced on the local cities and towns.

In private business, it is considered unacceptable to not take quick, decisive action to eliminate a budget deficit. In this case, action was needed back in January or whenever the deficit started accumulating. One would hope that, at the June 10 school board meeting, they will find sufficient funds to offset the deficit.

What You Can Do

Contact school board members and insist that they make every effort to eliminate the deficit. Tell them you have no interest in a special town meeting so they can ask you for more money.

Attend the June 10 school board meeting and scrutinize whatever plan they come up with.