Explaining the Latest Budget Numbers

Significant changes could be on the horizon for the Board of Education and town budget.

, six town council members stated that $750,000 in identified funds could be used to cover the gap in the school board budget between the , and the .

The difference between the two budgets is $568,617.

Superintendent William Guzman said that the school board is scheduled to discuss the status of the budget at the March 27 meeting. He said that it is possible these funds could cover the school board's recommended budget.

"We're trying, with some money from this year, to budget the difference between the original budget and the town manager's recommended budget," he said. "This is the work of the Town Council with members of the Board of Education and the town manager and myself. We've been exchanging information relative to this year's budget. It's been a good exchange. It's something we've never had before."

A Look at the Numbers

According to documents provided by council member Mark Gill, a large portion of the $750,000 stems from two school board line items: health insurance and energy.

Health Insurance:

According to the letter to the editor, this year's insurance costs are down due to a significant number of employees switching to HSA plans. An estimated $230,000 could be left over by the end of the year.

Here are the numbers, according to the school district documents that Gill provided:

Current Expenditures YTD: $3,326,748.28

Divided by 8 for an average monthly expenditure of: $416,000 (approx.)

Multiplied by 4 remaining months: Cost of $1,663,000 (approx.)

Current Balance Left in Account: $1,892,714.74

Surplus: $230,000 (approx.)

Energy:

Energy costs are also down this year, due to the mild winter, as explained in the letter to the editor. According to the same documents, an estimated $400,000 could be left over this year:

Current Expenditures YTD: $630,672.86 (as of Feb. 29)

Divided by 8 for an average monthly expenditure of: $79,000 (approx.)

Multiplied by 4 remaining months: Cost of $316,000 (approx.)

Current Balance Left in Account: $717,147.14

Surplus: $400,000 (approx.) 

Editor's Note: March energy expenditures have lowered the original estimated surplus.

Additional school district documents that Gill provided show that from March to June 2011, the school spent $326,184.19 in the energy account. From March to June 2010, the amount came to $307,848.31.

Finally, according to a letter to the Board of Education, dated Feb. 22, 2012, the district had an unexpended balance of $408,457.

With those three items, an original estimated surplus of $854,500 was calculated for the school board budget. Gill said that March expenditures have since reduced that to $750,000. He added that all of the numbers and calculations have been reviewed by many people.

Council member Sam Belsito, who was the only town council member to not sign , said that he refrained from signing the letter because he said the school budget could be examined further.

"I don't believe we should be stating a specific amount," he said. "We know what we've found, but there's probably a lot more to be found, as well."

Examining the Town's Side

According to the same documents, the town's budget is estimated to have a surplus of $275,000 by the end of the year. Additional revenue has come in from a property tax relief grant ($121,000), an ECS grant ($75,000) and ($336,785). 

The council will also examine the municipal side of the budget, .

The Next Step

School board Vice-Chairperson Robert Pagoni said that the budget's examination will ultimately benefit Tolland's students.

"I think what they want to do is good, and it certainly makes a lot of sense to do it," he said in response to the statement issued by six of the council members. "I'm going to hope that we can settle this as a BOE group on Tuesday night."

The agenda for the March 27 school board meeting, starting at 7:30 p.m. at Tolland High School, is available on the school district's website.