DELIBERATIVE SESSION VOTERS GUIDE

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Administration

Tina H. McCoy, Ed. D.

Interim Superintendent

Kori Becht

Director of Curriculum, Instruction and Assessment

Adam Steel

Director of Business, Finance, and Operations

Kenneth Duesing

Director of Special Services

Amina Fazlic

Director of Human Resources

John Pratte

Director of Facilities

Kevin Verratti

Director of Technology

February 5, 2016 7:00 PM

Windham High School Auditorium www.windhamsd.org

School Board Members Ken Eyring – Chair

Tom Murray – Vice Chair Dennis Senibaldi

Rob Breton

Daniel Popovici-Muller

District Officers

Moderator – Betty Dunn Clerk – Mary Ann Horaj

Treasurer – Anne-Marie O’Neil

DELIBERATIVE SESSION VOTERS GUIDE

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WSD FY17 Budget

Version 3.0 –Deliberative Session Version – 2/5/2015 Page 2

TABLE OF CONTENTS

FISCAL YEAR 2017

Introduction ... 4

Two-Part Voting Procedure ... 4

Voting is a Two-Step Process ... 4

School Administrative Unit #95 ... 5

Schools ... 6

Academic Achievement and Programming ... 7

Advanced Placement Test Scores ... 8

Highest Degree Earned by Teaching Staff ... 8

Extended Learning Opportunities (ELO) ... 9

College Acceptances Class of 2015 ... 10

Windham School Board ... 11

Windham District Level Administration ... 12

Budget Preparation Process ... 13

Budget Process with Required Forms ... 14

Fiscal Year 2017 Warrant ... 15

Introduction... 15

Pro Forma Tax Rate Calculation ... 16

Article 1: Election of Officers ... 19

Article 2: GBS & WMS Construction Project ... 20

Discussion ... 20

Project Design... 21

Article 3: Petition Article for Track & Turf At WHS ... 26

Article 4: CIP Article for Future Building Projects ... 27

Discussion ... 27

ARticle 5: CBA With Teachers Union ... 28

Article 6: Special Meeting Authorization ... 28

Discussion ... 28

Article 7: Capital Needs Assessment Contribution ... 29

Article 8: Operating Budget ... 31

Discussion ... 31

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WSD FY17 Budget

Budget Executive Summary ... 32

Enrollment Projections ... 33

Historical Enrollment ... 33

Projections for FY17 ... 34

Future Enrollment Projections ... 35

General Fund Trend ... 36

High Level Summary of Operating Budget ... 37

Budget By Categories ... 38

Budget Composition ... 39

New or Expanded Positions ... 40

Non-Union Salary Pool ... 44

Future Budgetary Considerations ... 45

Budget Account Description ... 46

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WSD FY17 Budget

INTRODUCTION

TWO-PART VOTING PROCEDURE

“Senate Bill 2” official voting procedure is in effect for the Windham School District.

Voting to amend Windham School District warrant articles, along with discussion about the warrant articles, takes place at the Deliberative Session on Friday, February 5, 2016. Final ballot voting to adopt the articles, as amended at the Deliberative Session, takes place at the polls on election day- Tuesday, March 8, 2016.

VOTING IS A TWO-STEP PROCESS Step 1: Deliberative Session

Friday, February 5, 2016 7:00 PM

Windham High School Auditorium

Step 2: Ballot Voting Tuesday, March 8, 2016 7:00 AM- 8:00 PM

Windham High School Gymnasium

In many ways, the Deliberative Session resembles District Meetings of years past with one fundamental difference: discussion and voting at this meeting will focus on the wording of the questions to be placed on the March 8^th ballot, not on voting to approve the budget, bonds, or other warrant articles. The wording of a warrant article can be amended to change the dollar amount or some specific parts of the warrant article.

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WSD FY17 Budget

SCHOOL ADMINISTRATIVE UNIT #95

The Windham School District is the only school district that comprises School

Administrative Unit #95. The District is located in south-central New Hampshire in the Town of Windham. Located near the Massachusetts border and with easy access to Interstate #93 via exit 3, Windham is ideally situated

to provide access to Boston, the seacoast, and Concord in under an hour.

The Town of

Windham is a community of over 15,500 residents. The Town of Windham is a legally distinct entity governed by an elected Board of Selectmen.

For more information, please click here to visit the Town’s website.

The School District is composed of four schools serving approximately 2,900 students in grades Pre-School through 12.

The mission of the District is 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.

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WSD FY17 Budget

SCHOOLS

Golden Brook School

Grades: Preschool, Kindergarten, Grades 1 & 2 Enrollment: 571 students

Principal: Rory O’Connor

Assistant Principal: Deanna Poulin

Special Education Administrator: Karen Baldasaro Address: 112B Lowell Road

Phone: (603) 898-9586

Windham Center School

Grades: 3-5 Enrollment: 741 students Principal: Kathryn Bates Assistant Principal: Kimberly Freccero Special Education Administrator: Christina Kaskiewicz Address: 2 Lowell Road Phone: (603) 432-7732

Windham Middle School

Grades: 6-8

Enrollment: 734 students Principal: Patricia Wons

Assistant Principal: Brenda Morrow

Special Education Administrator: Kimberly Noyes Address: 112A Lowell Road

Phone: (603) 893-2636

Windham High School

Grades: 9-12 Enrollment: 851 students Principal: Robert Dawson Assistant Principal: Matt Malila Special Education Administrator: Jill Hanlon Address: 64 London Bridge Road Phone: (603) 537-2400

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WSD FY17 Budget

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Grade 3 Grade 4 Grade 5 Grade 6 Grade 7 Grade 8 Grade 11

ELA/Literacy

New Hampshire Windham

0%

10%

20%

30%

40%

50%

60%

70%

80%

Grade 3 Grade 4 Grade 5 Grade 6 Grade 7 Grade 8 Grade 11

Mathematics

New Hampshire Windham

ACADEMIC ACHIEVEMENT AND PROGRAMMING

The Windham School District is a high achieving District that routinely scores in the top 10% of the State in state-wide testing. In the first implementation of the Smarter Balanced

Achievement Test taken in the spring of 2015, Windham outpaced the State by an average of 15%

in English, language arts/literacy and 17% in mathematics.

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WSD FY17 Budget

Bachelors 22%

Masters 73%

CAGS/

Doctorate 5%

Highest Degree Earned by Teaching Staff

0.0 20.0 40.0 60.0 80.0 100.0

2011 2012 2013 2014 2015

AP Exam Passage Rate

Global New Hampshire WHS

ADVANCED PLACEMENT TEST SCORES

In addition, 98% of students who graduate Windham High School attend two or four year schools compared to the State average of 73.0%.¹

The District also maintains a near-perfect dropout rate compared to the State average which is over 4%.²

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

with 152 students taking exams.

HIGHEST DEGREE EARNED BY TEACHING STAFF The District has highly qualified

teachers, over 78% of which have

achieved an advanced degree of at least a master’s degree.

The District, in agreement with the bargaining unit that represents the

teachers, supports tuition reimbursement and funding for teachers to attend

numerous workshops and conferences to extend their skills and teaching

techniques.

1 State data from FY13 retrieved from

http://education.nh.gov/data/documents/hs_cat13_14.pdfgov/data/documents/hs_cat12_13.pdf on 11/2/2015.

2 State data from FY14 retrieved from http://education.nh.gov/data/documents/dropout13- 14.pdfrt_report_12_13.pdf on 11/2/2015.

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WSD FY17 Budget

EXTENDED LEARNING OPPORTUNITIES (ELO)

Opportunities for learning beyond the traditional classroom environment, driven by students’ interests, talents and development, are expressly permitted by Windham School District

policy IHBC. ELO credits may be available for independent study, private instruction, team sports, performing groups, internships, community service not otherwise required by the school, and work study. Other learning experiences, not identified herein, will also be considered on an individual basis.

Students interested in such opportunities are to meet with the ELO Coordinator so as to become familiar with the exact procedure in order to gain pre-approval for any ELO experience.

Some of the community partners involved: Windham High School, Golden Brook, Center School, Windham Fire Department, Town of Windham Information Technology

Department, Infinite Fitness, Nottingham West Guidance Department, Balance Physical Therapy, and Canobie Lake Vet Center.

A student had an independent study EMT Course, internship at the Windham Fire

Department, and stated that the internship experience was the best thing he was involved with at the high school. He was the only student accepted at the fire science program, hands on live in program. He received his EMT certification before leaving high school.

A student was interested in physical therapy although not sure if she was going to pursue that field of study for her post-secondary education. The internship had such an effect on her that it solidified her decision and she decided to pursue physical therapy.

Another student’s confidence and self-esteem blossomed throughout his human

performance class of that he assisted for third grade students. He stated that his internship was a

"great experience because it gave me a better knowledge of what I wanted to do in the future." He realized that he wanted to be involved with sports and people in some capacity after high school.

He is currently attending the SNHU Advantage program.

Another student spent two years interning with a third grade classroom. After the first year she was unsure of her career path although wanted to intern for a second year. She enjoyed it so much that she changed her career direction from Health Science and is currently attending college at Plymouth to become an elementary teacher.

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WSD FY17 Budget

COLLEGE ACCEPTANCES CLASS OF 2015

College

The University of Alabama Alfred University American University Arizona State University The University of Arizona Assumption College Bates College Bay State College Becker College Bentley University Boston College Boston University Bowdoin College

Bowling Green State University Brandeis University

Brown University Bryant University

Bunker Hill Community College Butte College

University of California, Riverside University of California, San Diego Case Western Reserve University The Catholic University of America Central Connecticut State University University of Central Florida Champlain College College of Charleston Clarkson University Clemson University Coastal Carolina University Colby College

Colby-Sawyer College

University of Colorado at Denver Colorado State University University of Connecticut Cornell University

The Culinary Institute of America Curry College

University of Dallas Drexel University Duquesne University Eastern Nazarene College Emerson College Emmanuel College Emory University Endicott College Fairfield University Fitchburg State University Florida Gulf Coast University Florida State University Fordham University

Franciscan University of Steubenville Franklin Pierce University

Full Sail University Gannon University George Mason University

The George Washington University Georgia Institute of Technology Gordon College

University of Hartford

High Point University Hofstra University College of the Holy Cross Humboldt State University Husson University

University of Illinois at Urbana-Champaign Indiana University at Bloomington Iowa State University

The University of Iowa Ithaca College Jacksonville University James Madison University

Johnson & Wales University (Providence) Kansas State University

University of Kansas Keene State College University of Kentucky

Lakes Region Community College (NHCTC) Landmark College

Lasell College Lehigh University Lesley University University of Louisville Loyola Marymount University University of Maine at Augusta Maine College of Art

University of Maine

Manchester Community College Marist College

Marquette University

MCPHS - Massachusetts College of Pharmacy & Health Sciences University of Massachusetts, Amherst University of Massachusetts, Boston University of Massachusetts, Lowell Merrimack College

University of Miami

Middlesex Community College - Lowell Campus

Montana State University, Bozeman The University of Montana, Missoula Montclair State University

Mount Holyoke College Mount Ida College

Nashua Community College (NHCTC) New England College

The New England Institute of Art University of New England University of New Hampshire University of New Haven New York University

NHTI - Concord's Community College Nichols College

University of North Carolina at Charlotte North Carolina State University University of North Dakota University of North Florida Northeastern University University of Northern Colorado Northern Essex Community College University of Ottawa

Pennsylvania College of Technology Pennsylvania State University - All Campuses University of Pennsylvania

Pepperdine University Plymouth State University Providence College Purdue University Quinnipiac University Regis College

Rensselaer Polytechnic Institute Rhode Island College

University of Rhode Island Rivier University Roanoke College

Rochester Institute of Technology University of Rochester

Roger Williams University Rutgers University-New Brunswick Sacred Heart University

Saint Anselm College Saint Joseph's College-ME Saint Michael's College Salve Regina University University of San Diego University of San Francisco Santa Clara University Seton Hall University Simmons College

University of South Carolina University of Southern California (Engineering)

University of Southern Maine Southern New Hampshire University Southern New Hampshire University - Salem Southern Vermont College

State University of New York at Albany Stetson University

Stonehill College Stony Brook University Suffolk University SUNY College at Geneseo Syracuse University The University of Tampa Texas Christian University The Ohio State University Trinity College

Truman State University Tufts University Union College

University at Buffalo The State University of New York

University of Vermont Villanova University University of Virginia University of Washington Wentworth Institute of Technology Western New England University Wheaton College MA

White Mountains Community College (NHCTC)

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WINDHAM SCHOOL BOARD

The school board of the Windham School District is a five member group serving

overlapping terms. Board elections occur each March at the same time that voters decide on the District’s budget proposal. Board members are all at-large members who serve three year terms.

The Board generally meets the 1^st and 3^rd Tuesday of each month at 7:00 PM at the

Windham Community Development Office located at 3 North Lowell Road. More information can be found at the District’s website at www.windhamsd.org.

Mr. Dennis Senibaldi Board Member (978) 857-0970 [email protected]

Term Expires 2016 Mr. Rob Breton

Board Member (603) 965-4254 [email protected]

Term Expires 2017

Mr. Daniel Popovici-Muller Board Member

[email protected] Term Expires 2018

Mr. Ken Eyring Chairman (603) 434-4836 [email protected]

Term Expires 2017

Mr. Tom Murray Vice Chair (781) 389-6107 [email protected]

Term Expires 2018

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WSD FY17 Budget

Mr. Kevin Verratti Director of Technology

(603) 425-1976 [email protected]

Ms. Amina Fazlic Director of Human Resources

Mr. John Pratte Director of Facilities

WINDHAM DISTRICT LEVEL ADMINISTRATION

Dr. Tina H. McCoy

Interim Superintendent of Schools (603) 425-1976

[email protected]

Ms. Kori-Alice Becht Director of Curriculum, Instruction, and Assessment

Mr. Kenneth Duesing Director of Student Services

Mr. Adam Steel Director of Business, Finance,

and Operations (603) 425-1976 [email protected]

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WSD FY17 Budget

BUDGET PREPARATION PROCESS

The budget for the school district is prepared for the ensuing school year over the course of several months with the voters of Windham having final authority for the passage of the proposed budget.

Budgets are prepared first at the building level, then reviewed and approved by the Superintendent. The School Board is then charged with reviewing and finalizing the budget that is to be reviewed by the voters.

First, the voters are invited to participate in a public hearing on the budget held by the School Board in early January. Then, the Board approves their proposed budget and posts it in late January for the voters to inspect. The official budget is what is recorded on the municipal services form published by the Department of Revenue Services and is referred to as the “MS-26.”

Next, the voters are invited to come to the deliberative session in early February to review, discuss, debate, and, if approved by a majority of the voters present at the deliberative session, amend the budget.

Finally, on the second Tuesday in March, the budget is presented to the voters on a ballot to either approve or to reject the proposed budget. If the voters reject the proposed budget, the number determined by the calculation of the default budget is what the school board has at its disposal to create a revised adopted budget. The default budget calculation is based on the previous years’ budget with certain adjustments and revisions as permitted by statute.

Action Date

Superintendent Presented Budget to Board 11/17/2015

Board reviewed Pre-School, GBS, and WCS Budgets 12/1/2015

Board reviewed WMS and WHS Budgets 12/8/2015

Board reviewed budget and begins discussion of warrant articles 12/15/2015

Post notice: budget hearing 1/7/2016

Post notice: bond hearing (if applicable) 1/7/2016

Submit petition warrant articles 1/12/2016

CBA Cost Items Finalized 1/12/2016

School Board Approved Budget and Default 1/13/2016

Budget Hearing 1/15/2016 at 7:00 PM

Bond Hearing- GBS & WMS Project 1/15/2016 at 7:00 PM Bond Hearing- Citizens Petition for WHS Track/Turf 1/19/2016 at 7:00 PM

SB: Warrant and default Finalized 1/19/2016

Post warrants, budget, and default 1/22/2016

Filing Period Opens 1/20/2016

Filing Period Closes 1/29/2016

Deliberative Session 2/5/2016 at 7:00 PM

Voting 3/8/2016

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WSD FY17 Budget

BUDGET PROCESS WITH REQUIRED FORMS

Building Level

• Department Heads and Directors

• Principal Submits to the SAU

• December, 2014 - October, 2015

SAU

• Reviews all budgets

• Superintendent produces budget to the Board for review

• October, 2015 - January, 2016

School Board

• Board reviews and finalizes budget for voters

• First budget hearing must take place by 1/19/2016

• Budget posted to voters by 1/25/2016

Deliberative Session

• Voters review and amend budget and warrant articles

• February 5, 2016 at 7:00 PM at WHS

Voting

• Voters approve final budget after deliberative session amendments

• March 8, 2016

Adopted Budget

• Board adopts a final operating budget

• April, 2016

Fiscal Year • July 1, 2016 - June 30, 2017

MS-26 Official Budget Default Budget Form

Warrant – All Items

MS-22 Appropriations Voted

MS-25 End of Year Report (September, 2017) MS-24 Revenue Estimate

(September, 2016) Tax Rate Set (October)

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WSD FY17 Budget

FISCAL YEAR 2017 WARRANT

INTRODUCTION

Eight warrant articles appear on the fiscal year 2017 warrant. The first deals with the election of officers. There are two warrant articles that represent bond appropriations, one of which was submitted via petition. The cost items associated with a tentative agreement with the teachers union is included as well as a trailer article that allows for a special meeting (voting process) if the article fails. Finally two articles that set aside money in capital reserve funds and an article dedicated to the operating budget are included.

The tax impact for each part of the budget and warrant articles is listed below:

Warrant Article Item Amount Offsetting Revenue Tax Rate Impact

2 GBS & WMS Project $40,050,000 $38,950,000 $0.48

3 Petition Track & Turf $4,104,000 $3,994,000 $0.05

5 Teacher Contract $476,729 $0 $0.21

7 CNA Contribution $685,125 $0 $0.30

8 Operating Budget $48,588,991 $13,705,960 $15.33

Total $93,904,845 $56,649,960 $16.37

8a Default Budget $47,460,815 $13,705,960 $14.83

4 CIP Future Facilities Projects $800,000 $0 $0.35

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WSD FY17 Budget

PRO FORMA TAX RATE CALCULATION

The local tax rate is determined by a formula that finds the difference between all appropriations approved by voters and all anticipated revenues expected by the District. That difference is called the school district tax assessment and is divided equally among all property owners in Windham based on the valuation of their property.

For FY16, 75% of the school district’s budget was paid as part of the school district tax assessment. The other 25% came from revenue sources including the State of New Hampshire, school building aid, federal and state grants, and food service revenue.

The largest revenue source besides the local tax payers is adequacy aid from the State.

Adequacy aid is based on a formula found in RSA 198:40-a. However, despite the formula

prescribed by statute, Windham receives almost $3,000,000 less than what it is entitled based on the formula, a shortage equal to over 826 students. For the past few years, the district has been receiving 108% more of the adequacy from the previous year to attempt to close this gap.

However, in FY17, the District is expected to receive over $2,000,000 in additional adequacy funding due to changes included in the State’s budget.

Examples of factors that have a positive impact on the tax rate are increasing valuation in Windham (thereby spreading the tax burden among more people), additional revenue from the State, and additional grant funds.

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WSD FY17 Budget

APPROPRIATIONS

Item FY16 FY17 Increase

General Fund $45,801,892 $46,870,235 $1,068,343

CNA $615,000 $685,125 $70,125

Other Warrant Articles $0 $1,686,729 $1,686,729 Federal Funds $561,098 $639,216 $78,118

Donations $0 $0 $0

WHS $0 $0 $0

Food Service $915,786 $971,104 $55,318

Summer Camp $70,100 $70,100 $0

Laptop Repair Program $17,400 $17,400 $0

Kindergarten $0 $0 $0

Kindergarten Construction $0 $0 $0

WHS Band Lessons $11,842 $11,842 $0

GBS Summer Program $8,017 $8,017 $0

Adult Education Program $1,077 $1,077 $0 Sub-Total $48,002,212 $50,960,845 $2,958,633

REVENUES

Tuition $105,536 $91,036 -$14,500

Food Service Sales $812,786 $856,104 $43,318 Student Activities $17,400 $17,400 $0 Other Local Sources $161,961 $144,608 -$17,353 School Building Aid $1,000,824 $940,000 -$60,824 Catastrophic Aid $252,122 $252,122 $0 Child Nutrition $8,000 $10,000 $2,000 Federal Grants $561,098 $639,216 $78,118 Child Nutrition $95,000 $105,000 $10,000 Medicaid Distribution $200,000 $200,000 $0

UFB $2,816,910 $300,000 -$2,516,910

SWEPT $5,128,390 $5,326,111 $197,721 Grant $3,015,227 $4,824,363 $1,809,136 Sub-Total $14,175,254 $13,705,960 -$469,294

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WSD FY17 Budget

TAX RATE CALCULATION

Net Assessment $33,826,958 $37,254,885 $3,427,927

Valuation $2,252,833,574 $2,275,361,910 $22,528,336

Tax Rate $15.02 $16.37 $1.35

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WSD FY17 Budget

ARTICLE 1: ELECTION OF OFFICERS Article 1. Election of Officers (voting by official ballot March 8, 2016) To the following school district offices:

To choose one School Board member for the ensuing three years.

a. Dennis Senibaldi (incumbent) b. Eileen Mashimo

c. Matt Rounds

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WSD FY17 Budget

ARTICLE 2: GBS & WMS CONSTRUCTION PROJECT

Article 2. “Shall the Windham School District raise and appropriate the sum of thirty eight million, nine hundred and fifty thousand Dollars ($38,950,000) for the purpose of constructing and equipping a renovation and addition at Golden Brook School to be a pre-school, kindergarten and first through fourth grade school, construction and equipping of a renovation and/or an addition at Windham Middle School to include renovations to science labs, family and consumer science and technical education classrooms, and for the acquisition of approximately four (4) acres of land known as 114 Lowell Road, Windham, Rockingham County, New Hampshire as described in the Town of Windham Tax Maps as Lot 24-F-2500 and in Deed recorded Rockingham County Registry of Deeds, Book 3989 Page 2741; and to authorize the issuance of not more than thirty eight million, nine hundred and fifty thousand Dollars ($38,950,000) 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 one million, one hundred thousand dollars ($1,100,000) for the first year’s payment on the bonds or notes? Note: eight hundred thousand Dollars of the first year’s payment on the bonds or notes has been included in the capital improvement plan as approved by the CIP committee.”

Recommended by the School Board (4-0) (3/5 majority vote required.)

DISCUSSION

This warrant article will authorize the District to acquire the Massahos property which is adjacent to GBS on the south side and to perform a major, multi-phase renovation and addition project to Golden Brook School. Once completed, GBS will house pre-school, kindergarten, and grades 1 through 4. WCS will house grades 5 & 6. WMS will house grades 7 & 8 and will be renovated to allow the building to be approved as a middle school including proper science labs, family & consumer science, and technical education spaces.

The Building & Grounds Committee, the administration, and the school board have been working on this project for a year in preparation for this election cycle. If passed, work would begin within six months and would take 2-3 years in total.

The tax impact for the project would cost the average homeowner $165 the first year. The second year would be the highest impact of the project with a cost of about $450 for the average home owner. The cost would decline over the next 24 years until 2042 with a cost of about $239.

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WSD FY17 Budget

PROJECT DESIGN

The School Board has worked with a site engineer, an architect, and three independent cost estimating firms to design and to evaluate the estimated cost of the project. Tighe & Bond has provided site design and engineering for the project. Banwell Architects has been the lead architect for the project.

PRELIMINARY SITE DESIGN

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WSD FY17 Budget

PRELIMINARY GBS BUILDING DESIGN

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WSD FY17 Budget

PRELIMINARY WMS BUILDING DESIGN

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WSD FY17 Budget

COST ESTIMATES

Eckman Construction, Steve Horton Construction Estimating, and MacMillan Construction have all provided cost estimates for the project. The District has compiled project cost estimates in four major categories:

1. Site-work: All of the construction cost associated with work outside of the new building including septic, the new access road, paving, etc.;

2. Building Construction Cost: Direct cost associated with construction of the building itself;

3. Construction Management Expenses: Expenses and allowances associated with the company who is responsible for managing the construction of the project;

and,

4. Soft Costs: Direct owner paid expenses including architectural and engineering fees, furniture and equipment, temporary portables to house students during construction (if necessary), legal, traffic studies, etc.

All three of the construction estimates have been within a few percentage points of one another. The most recent estimate, which was provided by MacMillan Construction, assigns the following estimated costs for the project:

Item Amount

Site-work $3,788.097

GBS Building Construction Cost $20,852,124 WMS Building Construction Cost $2,162,385 Construction Management Expenses $5,215,525 Soft Costs (District Provided) $8,002,919 Land Acquisition (Massahos Property) $590,000

Grand Total $40,611,050

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WSD FY17 Budget

TAX IMPACT

The project will have a significant tax impact starting in FY17 with an interest only payment estimated at $1,060,000. The second year of the project will have the highest tax impact and then will slowly decrease. However, while the estimates provided below are a fairly standard repayment schedule, the School Board has the authority to investigate other amortization schedules to

minimize tax impact and to coordinate the repayment schedule to align with the WHS bond repayment schedule.

FY Payment Tax Rate $350k Home

FY17 $1,060,306 $0.47 $165

FY18 $2,895,950 $1.29 $450

…

FY42 $1,536,425 $0.68 $239

Total $57,029,931 $8,860

$0

$1

$2

$3

FY17 FY19 FY21 FY23 FY25 FY27 FY29 FY31 FY33 FY35 FY37 FY39 FY41

Millions

Article #2 Only

$0

$1

$2

$3

$4

$5

$6

FY17 FY19 FY21 FY23 FY25 FY27 FY29 FY31 FY33 FY35 FY37 FY39 FY41

Millions

Total Indebtedness

WHS New Project

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WSD FY17 Budget

ARTICLE 3: PETITION ARTICLE FOR TRACK & TURF AT WHS Article 3. Submitted by citizens’ petition. “Shall the Windham School District raise and appropriate the sum of three million, nine hundred and ninety four thousand dollars ($3,994,000) for the purpose of renovating, constructing and equipping a running track and field with throwing and jumping facilities, with a multipurpose athletic organic synthetic turf, lighting and seating at the Windham High School; and to authorize the issuance of not more than three million, nine hundred and ninety four thousand dollars ($3,994,000) 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 items 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 one hundred and ten thousand dollars ($110,000) for the first year’s payment on the bonds or notes?”

Recommended by the School Board (3-1) (3/5 majority vote required.)

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WSD FY17 Budget

ARTICLE 4: CIP ARTICLE FOR FUTURE BUILDING PROJECTS

Article 4. “If and only if Article 2 fails, shall the Windham School District establish a Capital Reserve Fund under the provisions of RSA 35:1 for the purpose of a School Building Construction, Renovation, and Land Acquisition fund and to raise and appropriate the sum of eight hundred thousand Dollars ($800,000) to be placed in this fund. Funds cannot be withdrawn from this fund without a future authorization by voters? Note: This appropriation is included in the Capital

Improvement Plan and is recommended by the CIP Committee.” If Article 2 passes, this Article shall be null and void. (Majority Vote Required)

Recommended by the School Board (5-0)

DISCUSSION

This article will only be valid if article 2 fails. If article 2 fails, but article 4 passes, then

$800,000 will be placed into a new capital reserve fund. This fund, held in the custody of the

trustees of the trust fund, will be for future use by the school district to build or renovate schools, or to acquire land. However, funds placed into the CRF fund will only be used if the voters specifically approve the use of those funds at a future election. The School Board, nor any other agent, will have any authority to spend those funds without a future approval by voters.

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WSD FY17 Budget

ARTICLE 5: CBA WITH TEACHERS UNION

Article 5. “Shall the Windham School District approve the cost items included in the collective bargaining agreement reached between the School Board and WEA (Windham Education

Association) which calls for the following increases in salaries and benefits at the current staffing level over the amount paid in the prior fiscal year:

Fiscal Year Estimated Increase

2016-2017 $476,729

2017-2018 $419,240

and further to raise and appropriate the sum of four hundred and seventy-six thousand, seven hundred and twenty-nine Dollars ($476,729) for the 2016-2017 year, such sum representing the additional costs attributable to the increase in salaries and benefits required by the new agreement over those that would be paid at the current staffing levels?”

ARTICLE 6: SPECIAL MEETING AUTHORIZATION

Article 6. “Shall the Windham School District if Article 5 is defeated, authorize the governing body to call one special meeting, at its option, to address Article 5 cost items only?”

DISCUSSION

The teacher contract is a two year contract between the school board and the teachers’

union. It represents a 1% raise each year, an expansion of steps 14 and 15 to be full steps instead of being half steps, and significant changes to health insurance. The main health insurance plan offered to teachers has been changed from a point of service plan to an HMO plan. Also, a limitation to the number of teachers eligible for the retirement severance package has been added starting in FY18.

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WSD FY17 Budget

ARTICLE 7: CAPITAL NEEDS ASSESSMENT CONTRIBUTION

Article 7. “Shall the Windham School District raise and appropriate the sum of six hundred and eighty-five thousand, one hundred and twenty-five Dollars ($685,125) to be added to the Capital Needs and Building & Grounds Maintenance Capital Reserve Fund established in March 2015?” (Majority Vote Required)

In addition to the operating budget warrant article, the District has received support from the Town of Windham’s Capital Improvement Plan Committee to fund capital projects that are identified in the District’s Capital Needs Assessment Plan.

The District’s CNA plan is a 20 year plan that identifies major facilities and grounds maintenance, repair, and replacement projects throughout the District. It calls for approximately

$685,125 each year (with a growth factor) to be funded by the District to stay on target.

The District’s strategy for these projects is to use a capital reserve fund established by the voters in March, 2015 to be used as a holding account for these funds. By using a capital reserve fund (as defined and governed by RSA 35), the following advantages are realized:

1. Any savings from projects completed cannot be used for other purposes and can be left in place for future projects, thereby reducing future amounts needed to be raised each year by voters to fund the plan;

2. A high level of transparency with the application of the funds. Budget numbers can be used to forecast the cost of projects while only the exact amount actually spent on the projects will be withdrawn from the fund each year; and,

3. By saving for future projects through the CRF, the impact to the tax payers is consistent and will not see a high level of volatility each year as the cost of projects fluctuates. For example, in some years, almost $1.2 million worth of projects are scheduled to be completed. If there was no CRF, the tax rate would experience a spike that year following by an adjustment the following year. A CRF provides a consistent tax impact.

More information about the capital needs assessment can be found on the District’s website here: http://sites.windhamsd.org/business/home-1/cna

The table below lists all of the projects for next summer along with their budgeted values.

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WSD FY17 Budget

Project Amount

WCS Classroom Finishes $147,785 SAU Boiler Replacement $16,683 WHS Classroom Finishes $26,049 WCS Office Finishes $12,090 GBS Classroom Finishes $100,575 WHS Caulk/Flash Repair $42,634

The balance of what is proposed for specific projects and what will be raised will be used for future projects to ensure a stable tax impact.

The current balance of the capital reserve fund for the capital needs assessment program was $0.00 as of 7/1/2015 and the appropriation approved by voters in the amount of $615,000 was transferred to the newly established account in July, 2015.

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WSD FY17 Budget

ARTICLE 8: OPERATING 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-eight million, five hundred and eighty- eight thousand, nine hundred and ninety-one dollars ($48,588,991)? Should this article be defeated, the default budget shall be forty-seven million, four hundred and sixty thousand, eight hundred and fifteen dollars ($47,460,815), 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?

*NOTE: Warrant Article 8 (operating budget) does not include appropriations proposed in any other warrant articles.

DISCUSSION

The pages that follow describe in detail the operating budget. If the operating budget warrant article is not approved by voters, the default budget calculation will be used by the School Board to adopt an operating budget.

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WSD FY17 Budget

BUDGET EXECUTIVE SUMMARY

The FY17 general fund budget represents an increase of 0.98% over the FY16 budget (or 2.33% when controlling for the CNA warrant article) driven largely by positional changes driven by enrollment shifts throughout the District and increased maintenance and repair funding.

Enrollment is growing steadily at the secondary level while trending downward at the elementary level. It is unclear if a downward enrollment experience at GBS in kindergarten and first grade is a result of the recession from 2008-2010 or the beginning of a trend. However, with

students currently enrolled in our schools, WHS will grow to over 1,000 students in less than five years.

Due to the expansive student population growth in the District in recent years, the District has the need to expand staffing in several areas. New position requests represent an increase of

$546,987 to the budget.

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WSD FY17 Budget

ENROLLMENT PROJECTIONS

HISTORICAL ENROLLMENT

The District has experienced significant growth in student population since 2005 when the Windham High School project was approved by voters. Since the 2004-2005 school year, student population in grades one through eight has increased 22%.

In addition, the District added half-day Kindergarten to the District the same year the new high school opened in 2008. With the addition of both kindergarten and high school students, the District has increased the number of student educated in Windham schools from 1,585 in 2005 to 2,897 this year, an increase of 86%.

The K-8 population is expected to see a modest decline of 9.8% between now and 2021 if enrollment projections prove to be accurate.

The high school has experienced population growth since it became a 9-12 school for the first time in 2011. Since then, the 9-12 high school population has increased 22.5% and is expected to increase another 18% between now and 2021.

FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 Pre-School 15 23 14 19 16 20 21 10 16 7.00 11 8 10 19 40

Kindergarten N/A N/A N/A N/A N/A N/A N/A N/A 141 160 169 173 169 145 131 Readiness 48 45 50 40 48 42 55 35 28 20 16 14 N/A N/A N/A 1 170 179 196 183 182 200 194 246 205 220 232 226 242 201 185 2 143 178 170 201 187 187 202 198 260 208 226 242 230 247 215

3 GBS 0 0 0 0 0 0 0 0 0 0 66 95 83 0 0

3 WCS 221 142 180 168 208 188 199 211 207 253 146 139 163 234 251 4 198 226 145 188 179 211 196 204 207 209 253 223 238 252 237 5 197 214 225 152 187 187 215 198 205 208 216 257 231 244 253 6 182 195 209 210 153 182 194 209 202 209 212 220 243 237 247 7 193 176 189 205 211 159 180 199 214 202 206 214 222 245 238 8 194 190 175 192 209 209 159 186 197 214 198 210 219 219 249 9 N/A N/A N/A N/A N/A N/A N/A N/A 192 185 210 214 212 220 227 10 N/A N/A N/A N/A N/A N/A N/A N/A 131 188 178 196 195 205 227 11 N/A N/A N/A N/A N/A N/A N/A N/A N/A 127 181 168 199 194 197 12 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A 126 167 170 194 200

Total P-12 1,561 1,568 1,553 1,558 1,580 1,585 1,615 1,696 2,205 2,410 2,646 2,766 2,826 2,856 2,897