The Tuition Budgeting History and FY24 Options report was updated to include the House Ways & Means budget that was presented in April.  The difference between the Governor's tuition rate and the House rate was a decrease of $170,264.  The difference is that the House version has some real number as the basis: FY23 quarter 3 above foundation rates and April 1st pre-enrollment numbers.  Both version fully fund the third year of the Student Opportunity Act implementation plan and level funded the facilities per pupil allocation at $1,088 per pupil.

The House version also included other favorable priorities:

• Full & permanent funding for universal free meals
• Funding for district reimbursement
• Increased funding for early college - the proposal is for $15 million for the development and implementation of high-quality early college programs  -this will be available to charter schools.
• New funding for clean energy infrastructure
• Funding for early education & care

The Mass Charter Public School Association along with the Department of Elementary and Secondary Education are urging caution  and fiscal conservatism with the above foundation portion of the FY24 projected tuition.  DESE included messaging that pointed out that historically when foundation budget increases were implemented, foundation budgets grew faster than net school spending.  This results in lower above foundation for many districts and may occur in FY24.

The next version of the FY24 state budget is expected from the Senate in May.

Management brought forth a request for a $6,500 capital expenditure to replace an outer door; the double metal doors lead to the music lab in room 129 and the frame has rotted to the point that replacement has been recommended.  PVPA has already obtained a quote for the work.

The PVPA FY24 Budget Proposal was reviewed.  The major pieces discussed are the footnotes indicated in yellow with the corresponding notes.  The report also includes a projection for the end of FY23.

Heading the cautions that both DESE and the MCPSA are citing, the Committee is opting to continue its fiscal conservatism in regards to setting the tuition projection.  The projection for FY24 is based on a 4% increase over the FY23 third quarter projection from DESE ($6,836,702 + 4%= $7,110,170).  The big question facing Massachusetts school districts right now is with all of the Federal COVID money drying up, what will be the fiscal effects to communities?

There are no salary increases for Unit positions within this budget proposal because PVPA is currently negotiating with the United Auto Workers for a contract that will cover 2023-2026 and the current collectively bargained agreement does not have a provision for salary increases beyond FY23.   This budget creates a salary reserve account totaling $165,000 for that purpose.

A review of salaries for budgeted years and the projections was discussed.  The variances between a budget and projected numbers have many variables; vacant positions/mid year hires, converting mid-year hires to full year salaries the following year, net difference due to attrition/rehiring and grant funding.  

One area of concern is the cash reserves.  The Committee recommended to review the amount reserved for the three months of operating expenses in the fall of 2023 when we have final numbers from FY23.  With expense and salary increases $1.5 million may not be enough for  three months of expenditures.

Possible FY25 and FY26 Capital Budgets are included in the proposal to show the work being done by the Infrastructure Committee and how it relates to budget and timeline.