Norwell School District Faces $4 Million Budget Shortfall, Considers Override
Proposed budget includes new positions, technology upgrades amid rising costs
NORWELL - January 27 - The Norwell school district is grappling with a potential $4 million budget deficit for the upcoming fiscal year, driven by rising fixed costs and pension obligations. Officials are considering proposing an override to address the shortfall and maintain educational programs.
Superintendent Matthew Keegan presented an executive budget proposal to the school committee Jan. 27, outlining a 7.36% increase over the current year's budget. The $36,854,542 proposal includes adding an assistant special education director and a fifth school nurse, as well as allocating funds for technology upgrades and textbook adoptions.
"This will be a defining moment for education in Norwell," Keegan said, emphasizing the severity of the financial situation.
The district learned earlier in the day that town-side fixed costs, including pensions and health insurance, are projected to increase by about $2 million. With revenues only expected to grow by $1.3 million under the 2.5% levy limit, the gap between available funds and necessary expenditures has widened significantly.
"Based on the conversation we had today, my recommendation on Wednesday may be to remove those two positions," Keegan said, referring to the proposed assistant special education director and fifth nurse. "I did not realize how terrible this deficit is."
The school committee expressed frustration at receiving this information so late in the budget process. Committee member Alison Link said, "This just feels really late. We normally talk about this a lot sooner if we're going to be in this tough of a spot."
Keegan acknowledged the timing issue, stating, "I completely agree that for messaging purposes, we probably needed to be a little bit more clear that this was going to be the size that it's looking right now."
The proposed budget aims to address several critical areas:
Special Education: A $500,000 increase is proposed to address out-of-district tuition costs, which have been consistently underfunded in recent years.
Technology: $210,000 is allocated to maintain a 10-year technology cycle, ensuring students and staff have access to up-to-date equipment and software.
Textbooks: The budget includes funds for ongoing textbook adoptions across various subjects.
Transportation: A 10% increase is anticipated for the district's bus contract, which is currently out for bid.
School Committee Chair Christina Kane emphasized the importance of the proposed positions, particularly the assistant special education director. "That's something that's crucial and can cost us if we're not able to meet our obligations," she said.
The district is now faced with difficult decisions as it prepares for a potential override vote. Keegan indicated that without an override, the district might be looking at a level-funded budget, which would require significant cuts.
"We're either looking at the exact same budget that we had this year, which would be some devastating cuts that I was not anticipating," Keegan said.
Town Administrator Darleen Sullivan, who was present at the meeting, noted that other communities are facing similar challenges.
The School Committee will hold a budget workshop on Wednesday to further discuss the proposal and potential adjustments. A joint meeting with the Select Board is tentatively scheduled for Feb. 13 to address the town-wide budget situation.
Keegan stressed the need for clear communication with the community about the financial challenges and potential impacts. "We really need to make sure that we can communicate this and that we ask the questions that need to be asked to get to where we need to be," he said.
The School Committee is expected to vote on a final budget number at their Feb. 10 meeting, which will then be presented to the Advisory Board and ultimately to voters at the annual town meeting.