At the forefront of the meeting was the issue of a projected $330,000 deficit for the fiscal year 2025 in the school department’s budget, largely attributed to special education (sped) contract services. The budget for sped had been set at $8,000, but actual expenditures reached $257,000, a discrepancy caused by a lack of communication between budget preparers and the sped director. This shortfall comprised 78% of the variance, while substitute teacher salaries for maternity leaves and a long-term illness accounted for an additional 12%, amounting to about $40,000. Unexpected maintenance costs and technology purchases contributed to another 11% of the variance.

In response to inquiries about adjustments for the fiscal year 2026, it was clarified that the budget had been revised to $627,928 for sped services, reflecting a $27,000 increase from previous estimates. This adjustment followed consultations with the sped director and other staff. The discussion also highlighted the role of school choice funding as a revenue source to offset some general fund expenses, with a balance of $135,000 projected in the school choice account by the fiscal year’s end. Concerns were raised about maintaining a reserve in this account, with some expressing skepticism about the practice and calling for more transparency and efficiency in the budgeting process.

Further financial discourse addressed the preschool revolving fund, which faced a shortfall due to expenditures exceeding revenue. Originally budgeted at $50,000, the actual need emerged at $71,000, indicating a $21,000 deficit. This financial strain was compounded by a declining balance in the account, raising sustainability concerns. The board also discussed the application of foundation reserve funds for FY26 budget allocations, with $120,000 planned for use, prompting a re-evaluation of current budget allocations.

A proposal was made to transfer $60,000 from prior year encumbered expenses to cover deficits related to elementary expenses, which received unanimous approval from both the select board and the finance committee. Emphasis was placed on accurate financial planning and reliable estimates, acknowledging the potential for future discrepancies.

The meeting also touched on the transfer of funds from the General Highway budget. An $81,000 transfer was proposed from unfilled highway positions to cover ongoing scheduled work, sparking debate over whether these funds should instead be directed toward free cash. The dialogue revealed a need for clarity in the budgeting process, with a consensus reached on the necessity of developing a more structured approach to budgeting for highway expenses.

Another topic was the appointment of an interim treasurer collector, with Megan Kaine recommended for the position. Her qualifications as a CPA and her familiarity with the town’s financial software were highlighted. The board discussed the financial implications of her appointment and the need for additional support due to a recent resignation in the treasury collector’s office. The meeting also considered inviting the Department of Revenue’s Division of Local Services to review the town’s financial policies, a review not conducted in 18 years.

The board addressed a land conservation grant application for the Alder Pond Conservation Area, expressing unanimous support for drafting a letter to accompany the application. The board noted the importance of conservation efforts and the need for additional details, including confirmation of funding approvals.