1. FY’10 School Budget Update Town Council Budget Hearing Town Hall Chambers April 13, 2009

2. School Board Budget Update 04/13/09 60% of school districts losing State revenues for FY10, despite added Federal stimulus dollars (3/26/09). Falmouth State revenue reduction of $1.08M for FY10 (property valuation increase of 11% compared to State average of 6%). Federal stimulus $$ (stabilization fund) provides $790,000 of $1.08 M with a FY10 revenue gap of $290,000. Additional reductions of $290,000 maintaining commitment not to raise property taxes. Final State revenue projections may create greater Federal $$ dependence (2011 funds) and/or require local support.

3. Budget Roll-Out ASSUMPTIONS FY10 Budget Development D.O.E. Figures ACTUAL (3/26/09) FY10 Budget Development $6.7 MM State $290 K $500 KCurtailment $5.6 MM State $790K STIMULUS $$

4. Revised School Budget (Adopted 04/06/09) Eliminates or seeks alternate funding of all LC new requests for FY10. Captures savings on projected health cost increases (Anthem holds at 0% for FY10). Delivers FY10 expenditure budget that is $184,309 less than FY09 budget. Holds mil rate flat at zero increase.

5. AdditionsReductions Existing Personnel $740K (contractual wage and benefit increases) Insurance, fees, etc. $43.75K Personnel Cost Reductions ($410K) Debt Service ($113K) Energy Savings ($137.5) School Accounts ($120K) Projected wage/benefit cost savings ($136.56K) Transportation ($17K) Capital Improvement Reductions ($20K) Contingency Reduction ($14K) Net: FY10 Budget - Expenditure Adjustments