Pre-Budget Consultation Town of Middletown Pre-Budget Consultation January 17, 2017 Pre-budget Consultation

Pre-budget Consultation § 16-2-21 Pre-budget consultation – Annual reports – Appropriation requests – Budgets At least sixty (60) days, but not more than ninety (90) days, prior to the formal submission of the school budget to the appropriate city or town officials by the school committee, there shall be a joint, pre-budget meeting between the school committee and the city or town council(s). At or before this meeting: The highest elected official of the city or town shall submit to the school committee an estimate, prepared in a manner approved by the department of administration, of projected revenues for the next fiscal year. In the case of the property tax, the projections shall include only changes in the property tax base, not property tax rates The school committee shall submit to the city or town council a statement for the next ensuing fiscal year of anticipated total expenditures, projected enrollments with resultant staff and facility requirements, estimated enrollment and payments to charter schools, and any necessary or mandated changes in school programs or operations January 17, 2017 Pre-budget Consultation

Required Communication – Town Council Anticipated total general fund revenues are estimated to be $69,729,394, a $9,602,322 or 12.10% decrease over prior year. The decrease is due to the prior year’s budgeted School bond proceeds of $10M. The anticipated general fund revenues would increase $397,678 or 0.57% if you were to exclude the school bond proceeds. Based upon a 2.0% increase in property tax rate January 17, 2017 Pre-budget Consultation

Required Communication – Town Council January 17, 2017 Pre-budget Consultation

Required Communication – Town Council The State’s Basic Formula Aid for Education program was implemented in 2012, and will continue through FY2021. The average annual decrease in Formula Aid is $164,956, and decrease of $31,490 in Group Home Aid. Cumulative loss of revenue (including projected 2018) is $1,154,696 in Formula Aid and $157,451 in Group Home Aid. The total shortfall is $1,312,147. January 17, 2017 Pre-budget Consultation

Required Communication – Town Council Anticipated net tax base is estimated to total $2,856,050,000, a $12,975,174 or 0.46% increase over prior year. January 17, 2017 Pre-budget Consultation

Required Communication – Town Council RIGL 16-2-21(d)(vi) requires: The budget adopted and presented by any school committee for the fiscal year 2013 and for each fiscal year thereafter shall not propose the appropriation of municipal funds (exclusive of state and federal aid) in excess of one hundred four percent (104%) of the total of municipal funds appropriated by the city or town council for school purposes for the previous fiscal year. Fiscal Year Appropriation Statutory Maximum % Increase Statutory Maximum Appropriation Statutory Maximum Annual Increase FY2017 $26,228,589 FY2018 4.00% $27,277,733 $1,049,144 January 17, 2017 Pre-budget Consultation

Required Communication – Town Council January 17, 2017 Pre-budget Consultation

Required Communication – School Committee Middletown’s current enrollment is approximately 2,184 students, as of January 9, 2017. This is approximately 90 students less than the enrollment at the same time last year.  Projected enrollment for the 2017-2018 indicates that enrollment could be 2,186, indicating a flat growth in enrollment. Resulting staff is estimated to be 302.4; there is no anticipated changes from prior year Resulting facility requirements are estimated to remain unchanged Category FTEs Instructional-certified/direct instruction 190.3 Instructional-certified/leadership 4.0 Instructional – non-certified/assistants 45.8 Administrative-central administration Administrative-school based 7.0 Maintenance 23.0 Clerical/Other 28.3 January 17, 2017 Pre-budget Consultation

Required Communication – School Committee Anticipated total expenditures are estimated to be $40.0M, a $68K or 0.17% increase over prior year (excluding the $10M school bond in FY2017.) January 17, 2017 Pre-budget Consultation

Required Communication – School Committee Estimated enrollment in charter schools is 13 students; estimated payments to charter schools is $129K, no change from prior year. (Estimate based on current enrollment; RIDE has not released projected enrollment or FY18 tuition rates.) Necessary or mandated changes in school programs or operations include: No new program or operation changes required at this time. RIDE has proposed regulatory changes for English language learners. Ongoing effort to implement new high school graduation requirements. January 17, 2017 Pre-budget Consultation

Town Council Budget Priorities West Side Revitalization: Facilitate the development of our West Main Road corridor and the Burma Road waterfront area Cost efficiencies: Actively seek cost efficiencies to improve Middletown’s quality of life and free up resources to use for strategic initiatives Citizen Engagement: Utilize social media and other mass communication to engage citizens and promulgate community awareness, safety and cooperative input. Strategic Plan: Establish a 2/5/10 year vision for planned community development, public safety, recreation, infrastructure, livability. Keep taxes low, keep our streets safe, and provide an engaging environment for growth and prosperity Economic Partnerships: Nurture positive connections and a dynamic relationship with current Middletown business owners. Promote a marketing plan to identify and attract new business prospects. Community Involvement: Identify creative opportunities for annual town- wide events and attractions. January 17, 2017 Pre-budget Consultation

School Committee Educational Priorities The many positive changes are the result of a commitment to high expectations, focused collaboration, professional growth & development, and holding one another accountable to the growth and success of all students. Teaching: Improve student performance through the continued adoption of proficiency-based grading and use of technology in the classroom Digital learning environment & STEM programming Professional learning community Curriculum: Improve the quality of teaching and learning in all of our schools through innovative delivery of rich core content K-12 Literacy K-12 Mathematics Specialized instruction Facilities: Improve our physical learning environment by implementing the recently passed Safety, Security and Health Bond Remove barriers for building accessibility Renovate failing building windows, doors & roofs Repair insufficient ventilation and site circulation January 17, 2017 Pre-budget Consultation

Pre-budget Consultation Challenges & Risks Unknown changes in federal policy & programs Potential elimination of the motor vehicle taxes Potential increases in solid waste tipping fees Potential legalization of recreational marijuana Potential implementation of unfavorable building permit fees schedule January 17, 2017 Pre-budget Consultation

Next steps: School/Town Budget Deadlines and Meetings March 23, 2017 School Committee submission of FY2018 School Department Budget Request April 1, 2017 Town Administrator’s FY2018 Proposed Budget Submitted to the Town Council via the Town Clerk April 10, 2017 Town Council Budget Workshop: School Committee Budget Presentation April 28, 2017 Budget Sub-Committee Meeting: School Committee Budget May 17, 2017 First Public Hearing on FY2018 Consolidated Budget May 24, 2017 Second Public Hearing and Budget Adoption January 17, 2017 Pre-budget Consultation