The committee discussed the financial implications of maintaining in-district special education programs compared to sending students out of district. Last year, potential cost savings from keeping students in-district were projected at nearly $9.6 million. This approach aims to avoid the higher costs associated with out-of-district placements and reflects a strategic investment in the district’s own capabilities.

As part of the broader budget discussion, Dr. Blazel provided an update on the Massachusetts School Building Authority (MSBA) project at Hedge Elementary School. The district has entered the feasibility period, which will last up to 913 days, and must sign a feasibility study agreement to secure reimbursement for eligible expenses. This project, which may involve consolidating Cold Spring Elementary into Hedge, is expected to increase student enrollment to 805 and has an approved funding of approximately $2 million at a 53.32% reimbursement rate.

The budget presentation by Superintendent Christopher S. Campbell highlighted the demographic served by Plymouth Public Schools, noting that 46.6% of the student body is classified as high needs. The budget was characterized as a level service budget, designed to balance fiscal responsibility with the district’s educational commitments. Dr. Campbell noted the rising costs of special education services, which have increased from $20.6 million in FY10 to over $35 million in FY24, largely due to staffing needs and out-of-district placements.

Transportation costs, particularly for special education, have more than doubled since FY10, a trend attributed to changes in student placements and necessary mid-year IEP decisions. The district has also faced challenges with diminishing grant and revolving account funding, which previously helped offset special education costs. This shortfall has placed a greater burden on the operational budget, highlighting the need for increased funding to bridge the gap between rising costs and state reimbursements.

The committee also explored the fiscal outlook for FY27 and beyond, addressing the reliance on revolving accounts, such as the cafeteria fund, to support various programs. With projections indicating the need to shift expenses back to the operating budget, the committee engaged in discussions with the town finance director to assess available funds. The proposed budget for FY27 notably aims to maintain class sizes and existing programs without staff reductions, despite being approximately $1.7 million over the current budget before staffing requests.

Strategies to ensure financial sustainability included analyzing previous spending patterns to reduce unnecessary expenditures and utilizing revolving funds like the bus fee account. The proposed budget for FY27 was reported at $133,119,875, with salaries constituting 78% of the budget. The overall budget increase was around 3.4%, equating to just under $4.4 million. The committee addressed the challenges of unfunded and underfunded mandates, particularly in special education, where costs far exceed federal funding.

Efforts to manage costs also included a long-standing solar leasing agreement that has reportedly avoided over $8 million in utility costs since 2016.

The committee highlighted the importance of transparent communication with the public regarding the budgetary realities, stressing that while they are managing within their means, desired funding levels are not being met. Upcoming public engagements, including a hearing scheduled for January 5th and a joint meeting with the select board and advisory committee on January 13th, were noted as opportunities to further discuss these critical budgetary issues.