Cheshire Town Council and Board of Education Review $71.3 Million School Budget Proposal
Town Council · Meeting of April 3, 2018
CT CHESHIRE — Cheshire Town Council and Board of Education hold joint budget review for the 2018-19 school year. Superintendent Jeff Slocum presented a proposed $71.26 million budget reflecting a $1.9 million, or 2.83 percent, increase, though the district expects to return $484,215 in unspent current-year funds to the town, reducing the effective net increase to roughly 0.34 percent. The Board of Education has already approved a $400,000 reduction to the medical benefits line, drawing the self-insured reserve from 4.85 months of claims to fund the cut, a move school finance staff called "a calculated risk." Special education now represents 25 percent of the district's total budget, serving 529 students, with an out-placement rate of 2.87 percent — less than half the District Reference Group B average — saving an estimated $3.4 million annually.
School officials also disclosed that a new federal interpretation classifying statin medications as preventive care could shift as much as $100,000 in annual drug costs from employees to the district's employer plan.
In the full story:
- The complete report — 937 words
Source: the Town Council meeting of April 3, 2018, reported from the official video recording and transcript.
CHESHIRE — April 3, 2018 — The Cheshire Town Council met jointly with the Board of Education to examine the district's proposed fiscal year 2018-19 budget, a $1.9 million increase over the prior year that amounts to a 2.83 percent spending rise.
The session was a working review rather than a formal vote, with council members pressing school administrators on staffing levels, special education costs, medical benefits reserves, and in-kind town services provided to the schools.
The Full Story
Superintendent Jeff Slocum and school Finance Director Vin — referred to throughout the meeting only by first name — walked the council through a summary of the budget the Board of Education has already approved and submitted to the town. The proposal brings the district's total budget to approximately $71.26 million for 2018-19, though administrators noted the district expects to return $484,215 in unspent funds from the current fiscal year to the town, making the effective net increase closer to 0.34 percent when that turnback is accounted for.
A central topic was the district's self-insured medical benefits fund. The Board of Education approved a $400,000 reduction to the medical benefits line item, resulting in the district budgeting $100,173 less for medical benefits in 2018-19 than in 2017-18. As of February 28, the medical benefits reserve stood at $3,518,933, representing approximately 4.85 months of claims. School officials described the drawdown as a calculated risk but cautioned against deeper cuts. One Board of Education member, identified in the transcript only as Kathryn, warned of the danger of depleting the reserve, noting the district had previously needed to inject roughly $1.5 million to stabilize the fund after a run of bad claim years.
Board member Adam — identified only by first name — outlined a more aggressive reduction proposal he had considered but never formally moved. That plan would have cut a total of $1.696 million from the proposed increase, holding the budget increase to 0.98 percent. It included drawing the medical reserve down to three months' coverage, representing a $1.31 million reduction, and eliminating proposed new staffing including a curriculum consultant at $80,000, an assistant principal assignment at Norton School at $66,000, and three elementary teachers at roughly $80,000 each in salary and benefits.
Special education costs drew sustained attention. District officials said special education now accounts for 25 percent of the overall budget, serving 529 students, while the district's out-placement rate — sending students to programs outside Cheshire — stands at 2.87 percent, well below the regional average of five to six percent for District Reference Group B. Administrators estimated that low out-placement rate saves approximately $3.4 million annually compared to sending those students elsewhere. The district is expanding its Bridges behavioral intervention program from the elementary level to the middle school, adding one teacher and one instructional aide at the middle school, in part to avoid more expensive out-placement costs as students with behavioral needs matriculate upward.
Town Council Chair Peter Talbot and council member David Veleber questioned whether the district's per-pupil expenditure comparison with other District Reference Group B towns adequately captured in-kind town services — including school resource officers, fire marshal inspections, and support from the town's finance office. Finance Director Vin and the town's finance staff clarified that approximately $365,000 in salary and benefits for town employees who work on Board of Education matters is captured and reported to the state each year through the ED-001 form, and that a separate schedule of roughly $659,000 including school construction bond payments is also included.
"I'm not comfortable with any of the State form. I don't know why they do half of what they do, but in any event, I think that's an important number to really see what we spend on our students as a community." — Council member [name not captured in transcript], on in-kind service tracking
Also disclosed at the meeting: a new federal regulatory interpretation, described as breaking news by school officials, holds that statins — generic cholesterol medications — are now considered preventive care under the Affordable Care Act and will be dispensed at no cost to employees. That cost shift back to the employer plan could run as high as $100,000 per year, officials said, and the district had reached out to its benefits consultant to estimate the impact.
"Any time you're talking about being self-insured and you're one really bad month away from being in more trouble — I know that people that have been around and seen the board go through a really tough time with not being able to cover medical expenses — I think we're a little bit more sensitive to that." — Finance Director Vin, on the medical reserve
Why It Matters
The proposed budget requires Town Council approval, and the joint meeting represented the council's primary opportunity to examine the district's priorities and spending assumptions before that vote. With the district returning $484,215 in unspent funds from the current year while simultaneously requesting a $1.9 million increase, the net ask to Cheshire taxpayers is substantially smaller than the headline figure, but council members pressed administrators to demonstrate continued cost discipline in non-classroom areas including maintenance, transportation, and administrative staffing. The expansion of special education services — now one-quarter of the total budget and rising — and uncertainty over the new statin-coverage mandate represent ongoing cost pressures that administrators flagged as likely to shape future budget cycles. The next formal step is submission to the town manager, with a council presentation expected in August.
Key Motions & Votes
No formal votes taken at this meeting.
Source
Cheshire's community access TV: Town Council meeting, April 3, 2018