Letter to the Editor: Savings Were In The Budgets Already

In a recent letter to the editor, Dan DePompei stated that $2,000,000/year of “new funding” was authorized at the 2012 Town Meeting (TM).  He stated that the ”TM2012 budget did not account for the savings anticipated from shifting town and public school employees from a locally negotiated  health insurance plan to the state offered (Group Insurance Commission) GIC health plan.” 

During the 2012 TM, the Finance Committee Chair, the Town Manager and the Superintendent of Sudbury Public Schools (SPS) explained that funds that had previously been assigned to health benefits in the town and SPS budgets would be reallocated to other budget items.  A large portion was dedicated to mandated mitigation payments to employees who were moved to the GIC plan.  For SPS, the remaining savings from this shift were earmarked for classroom technology, curriculum support, professional development, and staff salaries.  There was no change in the total amount of the SPS budget. 

In 2009, the SPS School Committee negotiated a contract that moved the teachers to GIC-like health plans.  This change significantly reduced the cost of health insurance premiums for SPS, saved taxpayers more than $4M over the life of this contract, and placed the District on a more financially sustainable path.  In addition, the SPS staff agreed to minimal salary increases that preserved teacher positions and protected class sizes.  As a result, SPS teacher salaries continued to remain in the bottom third in the State and below the State average.

In 2012, the MA Legislature granted municipalities the ability to move employees to the GIC outside of collective bargaining.  This new law allowed Sudbury’s Selectmen to institute this change, thus creating the potential for further savings.  Because these savings made available to the Town and SPS could be reallocated to other significant needs, the Sudbury School Committee was able to better meet the need to retain highly qualified staff while ensuring reasonable class sizes.  Both goals were reflective of public input requesting more competitive compensation for SPS teachers and class sizes that were manageable.  These priorities, established by the Sudbury School Committee and the teachers association, became the foundation for the 2012 – 2015 teachers contract.  Bob Haarde, the BOS representative serving as a voting member of the School Committee for bargaining purposes, supported these priorities and did not object to the agreement.  This beneficial negotiation outcome was made possible by the GIC savings reallocated at the 2012 TM.