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Norwell School Committee Approves Transportation Contract with 9% Increase Amid Budget Challenges
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Norwell School Committee Approves Transportation Contract with 9% Increase Amid Budget Challenges

Norwell Schools prepare for crucial budget override vote at May 5 town meeting as district faces rising costs in special education and utilities

Justin Evans
May 02, 2025

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Norwell School Committee Approves Transportation Contract with 9% Increase Amid Budget Challenges
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NORWELL - April 28 - The Norwell School Committee has approved a student transportation contract with First Student that includes a 9% increase in costs, slightly below the 10% rise officials had anticipated in their budget planning.

First Student was the sole bidder for the contract despite the district's efforts to solicit proposals from eight potential transportation companies.

"We solicited as many as possible. We got some calls," Superintendent Matthew Keegan told committee members at their April 28 meeting.

The lack of competitive bids appears to be part of a larger statewide issue. When committee member Patrick Reed noted that storage limitations contribute to the bidding challenge, Director of Finance, Operations and Technology Warren MacCallum added that "the state of Massachusetts is currently very upset" about the situation and is "trying to do something" about what amounts to monopolistic conditions in student transportation.

The contract approval comes as the district prepares for a crucial budget override vote at the upcoming town meeting on May 5, with several public forums scheduled this week to inform residents about the school system's financial needs.

"Town meeting is on Monday, May 5. We do have a couple public meetings," Keegan said. "We're going to have a WATD radio show that's going to be recorded tomorrow from 12 to 1:30. We have a Council on Aging public forum at 1:30 on Wednesday and another public forum here on Thursday night at 7."

MacCallum presented the third quarter budget report, highlighting several challenges facing the district. While the overall budget remains in a manageable position with approximately $40,000 in excess funds, several areas have experienced unexpected pressures.

"We've had a lot of ups and downs this year. I'll be honest, it's been a tough year," MacCallum said. "We've had a number of employees retiring. We've had a major upswing with the gas bills. We've had some maintenance issues that have happened."

The district has also faced unplanned technology expenses, including contracting with Google for ransomware protection and implementing a new student registration system.

Of particular concern is the circuit breaker account, which funds special education services. MacCallum explained that even with the $500,000 increase included in the proposed override, the district is projecting its first deficit in this area by the end of fiscal year 2026.

"Right now on the pace we're on, including the $500,000 we were given from the state, we are looking to revolve around $167,000 into FY26," MacCallum said. "If that happens, and if we stay on the path we're on... we are going to see our first deficit at the end of FY26."

MacCallum emphasized that the state recommends rolling the current year's receipts of approximately $1.4 million into next year's expenditures, but the district is only able to roll over $467,000 — significantly less than recommended.

"If we don't fix this and this override does not pass, we're looking to be in a deficit already in FY26," he warned.

Utility costs, particularly for gas, have also exceeded expectations. MacCallum reported that while there have been some savings on electricity, gas expenses are "in a bad place right now," prompting him to investigate the cause of the increase.

"We seem to be using more therms than we've used before, and I really don't know why. On top of that, the contracts have significantly increased, so we're getting kind of double-hit there," he said.

The meeting also marked the final session for committee member Patrick Reed, who received recognition for his service. Reed encouraged community involvement, saying, "If you want to get involved, get off Facebook and go to a meeting. Volunteer to help out. Because there's not a lot of people in this town that do. But there's tons of opportunity."

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Other items addressed at the meeting included:

* Approval of Superintendent Keegan's continued appointment to the South Shore Education Collaborative Board of Directors for the 2025-2026 school year

* A student government update highlighting upcoming events including AP exams, prom, and Mental Health Awareness Month activities

* Review of the proposed 2025-2026 school committee meeting schedule

* Discussion of revolving accounts, including pre-K, athletics, and transportation funds

The school committee and administration continue to emphasize the importance of community participation in the upcoming town meeting and subsequent election, where decisions about the budget override will significantly impact the district's financial stability.

Full meeting available via Spotlight TV.

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