WINDHAM SCHOOL DISTRICT

Budget Hearing January 16, 2015

WINDHAM SCHOOL DISTRICT

Jerome L. Rekart, Chair Dennis Senibaldi, Vice-Chair Michael Joanis Rob Breton Key Eyring

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W^ARRANT A^RTICLE 1: E^{LECTION OF} O^FFICERS

Article 1. Election of Officers (voting by official ballot March 10, 2015)

To the following school district offices:

a. To choose two School Board members for the ensuing three years;

b. To choose the School District Clerk for the ensuing three years;

c. To choose the School District Treasurer for the ensuing three years; and, d. To choose the School District Moderator for the ensuring three years.

W^ARRANT A^RTICLE 2: WHS F^IELD, ^ETC.

Article 2. “To see if the Windham School District will vote to raise and appropriate the sum of one million, eight hundred and twenty thousand Dollars ($1,820,000) for the purpose of constructing and equipping a multipurpose athletic synthetic turf field, lighting and seating at the Windham High School; and to authorize the issuance of not more than one million, eight hundred and twenty thousand Dollars ($1,820,000) of bonds or notes under and in compliance with the Municipal Finance Act, RSA 33:1 et seq., as amended; and to authorize the School Board to apply for, obtain and accept federal, state or other aid, if any, which may be available for said project and to comply with all laws applicable to said project; and to authorize the School Board to issue, negotiate, sell and deliver said bonds and notes and to determine the rate of interest thereon and the maturity and other terms thereof; and to authorize the School Board to take any other action to carry out this vote; and to further raise and appropriate the sum of sixty thousand dollars ($60,000) for the first year’s payment on the bonds or notes.” Submitted by Petition.

Recommended by the School Board (X-X-X) (3/5 majority vote required.)

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W^ARRANT A^RTICLE 3: GBS/WMS A^{DDITION AND} R^ENOVATION

Article 3. “To see if the Windham School District will vote to raise and appropriate the sum of Fifteen Million Dollars ($15,000,000.00) for the purpose of renovations and

addition to the Golden Brook School to accommodate grades preschool through 4^th, and renovations to the Windham Middle School, as recommended by the Windham Citizens Facility Committee’s so-called “Option 2” by a vote of 5-0. Not more than Fifteen Million Dollars ($15,000,000.00) of such sum to be raised through the issuance of bonds or notes under and in compliance with the Municipal Finance Act RSA 33:1 et seq., as amended;

and to authorize the School Board to apply for, obtain and accept federal, state or other aid, if any, which may be available for said project and to comply with all laws

applicable to said project; and to authorize the School Board to issue, negotiate, sell and deliver said bonds and notes and to determine the rate of interest thereon and the

maturity and other terms thereof; and to authorize the School Board to take any other action to carry out this vote; and to further raise and appropriate the sum of up to Three Hundred Fifty Thousand ($350,000.00) for the first year’s payment on the bonds or

notes.” Submitted by Petition.

Recommended by the School Board (X-X-X) (3/5 majority vote required.)

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WARRANT ARTICLE 4: Capital Needs

ARTICLE 4. “To see if the Windham School District will vote to establish a Capital Reserve Fund under the provisions of RSA 35:1 for the purpose of a Capital Needs and Building & Grounds Maintenance fund and to raise and

appropriate the sum of six hundred and fifteen thousand Dollars ($615,000) to be placed in this fund. Further, to name the School Board as agents to expend from said fund. Recommended by the School Board 5-0. Note: This

appropriation is included in the Capital Improvement Plan and is recommended by the CIP Committee.” (Majority Vote Required)

Recommended by the School Board (X-X-X)

20-year Capital Needs Assessment (CNA)

 Last Fall, the District commissioned the

preparation of a 20-year plan outlining all of the infrastructural and

maintenance needs of our buildings

 Areas documented, include:

 Site Systems

 Paving

 Mechanical Rooms

 Boilers

 Building Mechanical &

Electrical

 Electrical

 Elevators

 Building Architectural

 Exteriors

 Roofs

 Classrooms

The Projected 20-year Cost ~ $16 Million

Establishment of a Capital Reserve Fund (CRF)

 The purpose of the plan is to be pro- rather than reactive

 In order to stay “on schedule” need to perform annual maintenance/replacement/upgrades totaling a projected $800,000/year

 Some years the planned work may be greater

than the average and some years it may be less – the CRF helps to stabilize large “spikes”

Windham Middle School

 This first year the SB is requesting $615,000 to:

 Replace WMS Roofs, Phase I ($325,000)

 Replace WMS Roofs, Phase II ($70,000)

 WMS Classroom HVAC Upgrades ($127,420)

 Upgrades to WMS Finishes ($152,580)

 Total $ for work (above) = $675,000

 $60,000 not requested to come from existing CRFs

 Approved by the Town Capital Improvement Plan Committee 7-0 with a rating of “Urgent”

 All requests are conservative projected costs

 Unexpended funds remain in CRF and may only be used for projects associated with the CNA

Questions?

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WARRANT ARTICLE 5: Facility Manager

ARTICLE 5. Shall the Windham School District vote to raise and appropriate one hundred and twenty-eight thousand, three hundred and eighty-six Dollars

($128,386) for the purpose of salary and benefits necessary for filling the

previously established position of Facility Manager? (Majority vote required)."

Recommended by the School Board (X-X-X)

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WARRANT ARTICLE 6: Land Swap

ARTICLE 6 “Shall the Windham School District accept a transfer of land from the Town of approximately 16 acres from portions of land known as Tax Map 20-D, Lot 1800, and Tax Map 20-D, Lot 1600, said land being a portion of the land known as the 'Gage Property' and authorize the School Board to swap back to the Town a portion of the School District's land that is at least twice the

acreage of land accepted from the Town in order to compensate the Town for the transfer of the 'Gage Property' mentioned above to further authorize the School Board to take any other action necessary to carry out this vote. Said authorization to complete this transaction shall expire on December 31, 2035."

ADD

MULTI-PURPOSE ATHLETIC FIELD

AND SECOND GYM

P^ROPOSED L^AND S^{WAP IS} :

- S^CHOOL D^{ISTRICT GIVES} 40 A^{CRES TO TOWN}

- S^CHOOL D^{ISTRICT RECEIVES} 16 A^{CRES FROM} T^OWN

Twelve Acres

on High School Site Identified for Trade

Twenty-eight Acres on Middle School Site Identified for Trade

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WARRANT ARTICLE 7: Heritage Hill Road

Article 7. “Shall the Windham School District accept from the Town a parcel of land associated with the Heritage Hill Road right of way abutting the School District property and located between Lots 24-F-1605 and 24-F-1607 on the southerly side of Heritage Hill Road (as now travelled) and authorize the School Board to take any action necessary to carry out this vote?

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WARRANT ARTICLE 8: Budget

ARTICLE 8 “Shall the Windham School District raise and appropriate as an operating budget, not including appropriations by special warrant articles and other appropriations voted separately, the amounts set forth on the budget posted with the warrant or as amended by vote of the first session, for the

purposes set forth therein, totaling forty-seven million, three hundred and eight thousand, eight hundred and twenty-six Dollars ($47,308,826)? Should this article be defeated, the default budget shall be forty-six million, two hundred and eighty-three thousand, three hundred and seven Dollars ($46,283,307), which is the same as last year, with certain adjustments required by previous action of the Windham School District or by law; or the governing body may hold one special meeting, in accordance with RSA 40:13, X and XVI, to take up the issue of a revised operating budget only.

(Majority vote required)

Recommended by the School Board (X-X-X)

INTRODUCTION

 Windham School District is SAU #95

 Windham is a community of over 15,500 residents

 School District is composed of four schools serving almost 2,900 students in grades Pre- School through 12

 Mission of the District: To be a continuously improving learning community providing

quality services to enable all children to master the knowledge and competencies necessary to function skillfully throughout

life ²³

SCHOOLS

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 Golden Brook School

 Grades: Kindergarten (1/2 day) – Grade 2

 Enrollment: 549 students

 Principal: Rory O’Connor

 Windham Center School

 Grades: 3-5 (four 3^rd Grade at WHS)

 Enrollment: 752 students

 Principal: Kathryn Bates

 Windham Middle School

 Grades: 6-8

 Enrollment: 730 students

 Principal: Daniel Moulis

 Windham High School

 Grades: 9-12 (pre-school & four 3^rd Grade)

 Enrollment: 822 students

 Principal: Ryan Kaplan

ACADEMIC ACHIEVEMENT

High achieving District that

routinely scores in the top 10% of the State in state-wide testing

Last year, each grade level that participated in NECAP testing outpaced the State average in reading, math, and writing

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 98% of students who graduate Windham High School attend two or four year

schools compared to the State average of 72.6%

 The District also maintains a near-perfect dropout rate compared to the State

average of almost 3%

 The District’s AP scores outpace the State average by 9% and the global average by over 23%

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0 10 20 30 40 50 60 70 80 90 100

FY11 FY12 FY13 FY14

AP Exam Passage Rates

Global State Windham

TEACHING STAFF

 Highly qualified teachers

 77% of which have achieved a master’s degree or higher

 Support tuition reimbursement and funding for teachers to attend numerous workshops and

conferences to extend their skills and teaching techniques

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Bachelors 23%

Masters 73%

CAGS or Doctorate

4%

Highest Degrees Earned by Teaching Staff

BUDGET PREPARATION PROCESS

 The budget is prepared for the ensuing school year over the course of several months

 Budgets are prepared at the building level, reviewed and approved by Superintendent

 WSB reviews and finalizes the budget to be presented by the voters

 Voters have final authority for the proposed budget

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Action Date

Superintendent Presents Budget to Board 11/18/2014

Board reviews Pre-School, GBS, and WCS Budgets 12/2/2014

Board reviews WMS and WHS Budgets 12/9/2014

Board approves budget and begins discussion of

warrant articles 12/16/2014

Post notice: budget hearing 1/8/2015

Post notice: bond hearing (if applicable) 1/8/2015

Submit petition warrant articles 1/13/2015

CBA Cost Items Finalized 1/13/2015

Budget Hearing 1/16/2015 at 7:00 PM

Bond Hearing (School Board, if applicable) 1/16/2015 at 7:00 PM

SB: Warrant and default Finalized 1/20/2015

Post warrants, budget, and default 1/23/2015

Filing Period Opens 1/21/2015

Filing Period Closes 1/30/2015

Deliberative Session 2/6/2015 at 7:00 PM

Submit annual report

Voting 3/10/2015

FISCAL YEAR 2016 BUDGET E^XECUTIVE S^UMMARY

 Proposed FY16 budget is an increase of 2.05% over the FY15 budget

 Increase driven largely by existing teacher contract, increases in mandatory retirement contribution rates, increases in special

education funding, and new position requests throughout the district

 Enrollment is still growing, mostly at the secondary levels

 GBS experiencing a decline in enrollment

 WHS expects a student population increase of 23% between now and 2021

 Preliminary pro-forma analysis shows a tax rate impact of between

$0.25 and $0.96 per thousand

 $0.33 per thousand being a likely target, dependent on valuation

 New position requests represent increase of $610,122

 Looking forward, the FY17 is forecast to be favorable due to reduction in debt payments of approximately $1,000,000, no scheduled NHRS increases, and expiration (and re-negotiation) of the teacher collective bargaining agreement

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ENROLLMENT PROJECTIONS

 Significant growth in student population since 2005 when WHS project was approved

 Since the 2004-2005 school year, student population in grades 1-8 increased 22%

 Added half-day Kindergarten 2008.

 1,558 in 2005 to 2,856 this year, an increase of 83% (includes WHS students)

 The K-8 population is expected to see a decline of 7% between now and 2021 assuming enrollment projections prove to be accurate

 Since WHS became 9-12 in 2011, population has increased 17% and is expected to increase

another 23% between now and 2021 ³²

ENROLLMENT PROJECTIONS FOR FY16

 Enrollment projections by NESDEC dated 11/3/2014 used for budgeting

 Enrollment on 10/1/2014 was 2,857 students, NESDEC is projecting 2,872 students for FY16, increase of 15 students

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FY15 FY16

Grade Current Projected Increase

Pre-School 19 19 0

K 145 164 19

1 201 179 -22

2 247 206 -41

GBS Total 593 549 -44

3 234 253 19

4 252 241 -9

5 244 258 12

WCS Total 730 752 22

6 237 244 7

7 245 239 -6

8 219 247 28

WMS Total 701 730 29

9 220 225 5

10 205 206 1

11 194 202 8

12 195 189 -6

WHS Total 814 822 8

Total 2,857 2,872 15

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0 50 100 150 200 250 300

Pre-K K 1 2 3 4 5 6 7 8 9 10 11 12

Students per Grade Level

GENERAL FUND TREND

 FY16 budget represents an increase of 2.05%

over the FY15 budget and 2.27% over the default budget

 Budget has tracked evenly with student

enrollment since WHS had four full grades in FY12

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2,500 2,550 2,600 2,650 2,700 2,750 2,800 2,850 2,900

$37

$38

$39

$40

$41

$42

$43

$44

$45

$46

$47

FY12 FY13 FY14 FY15 FY16

Millions General Fund Budget Compared to Enrollment

Budget Students P-12

 On average with the State in cost per pupil calculations until WHS was built

 During the first years of WHS, due to the school being nearly fully staffed and not fully enrolled, the cost per pupil increased above the state

average

 Since WHS became fully enrolled, below state average by over $1,000 per student

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$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000

$16,000

FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13

Windham Cost per Pupil Compared to State Average

State Windham

SUMMARY OF OPERATING BUDGET

FY14 Expended FY15 Budget Increase FY16 Proposed % of Total

Salaries $19,848,482 $21,056,295 $1,158,653 $22,214,948 48.59%

Benefits $10,028,039 $10,474,002 -$370,816 $10,103,186 22.10%

Operations $4,948,017 $4,659,740 $134,565 $4,794,305 10.49%

Debt $4,517,638 $3,928,420 -$376,263 $3,552,157 7.77%

Supplies &

Equipment $2,497,021 $2,813,507 $264,641 $3,078,148 6.73%

Special

Education $1,557,408 $1,871,283 $109,479 $1,980,762 4.33%

Total $43,396,604 $44,803,247 $920,259 $45,723,506 100.00%

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Salaries 49%

Benefits 22%

Operations 11%

Debt 8%

Supplies &

Equipment

6% Special

Education 4%

FY16 Proposed

T^AX I^{MPACT OF} E^ACH A^RTICLE

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Q^UESTIONS

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Deliberative Session:

Friday, February 6, 2015 Windham High School

7:00 PM Voting:

Tuesday, March 10, 2015 Windham High School

7:00 AM – 8:00 PM