Monadnock Regional School District

School Board Finance Committee Meeting Minutes

February 5, 2008

Monadnock Regional HS/MS

Approved

 

Committee members present: Jim Carnie, Doug Lyman, Jane Fortson, Gene White, Sue Oerman and Phyllis Peterson.  Administrators Present: Katie Chambers, Business Manager, and Dr. Kenneth Dassau, Superintendent.

 

The meeting was called to order at 6:03 pm.

 

1.  Approval of Minutes: Motion to approve the January 15th minutes by G. White, seconded by D. Lyman.   Motion passes:  unanimous for those present.

 

S. Oerman arrives at 6:09 pm. 

 

2. Public Comments:  None.

 

3.  Old Business:

a.  Debt Financing- Facilities Committee Request:  Pending until the presentation to the board of the details of the High School Renovation Project.

 

b.  SAU Withdrawals – Who pays for long-term liabilities of original district-should state legislation be proposed. The administration has not had time to proceed with putting together a separation package for the Surry withdrawal.  This item is pending the administration preparing a separation agreement.  D. Lyman stated that maybe sending an email to the state board to get an opinion might be an option for us. 

 

C. Kahn arrives at 6:18 pm.

 

New business: 

4a.  Unfunded Mandate lawsuit- Handout in the board’s packet- D. Lyman explained that the NH retirement system is looking at a 2.7 billion dollar shortfall, they have looked at the actuarial tables, and all public entities are going to have to make up the shortfall over the next 30 years.  The district could be facing a 45 – 50% increase in NH retirement costs next year because of this.  There are 2 issues:  first, the way the fund was being funded was declared illegal, good return on investment in the pension fund was being moved out of the pension fund and put into a special account for the medical subsidy. Second, the unions say the medical payments should be paid forever, not sunset.  Currently they are set to sunset as of July 1st 2008.  The fear is that many employees will retire this year to qualify for the medical subsidy before it sunsets.   The district has been approached to contribute to a legal fund to litigate the issue against the additional retirement costs, Monadnock’s portion would be $3,166.26.   P. Peterson stated that we should invite our town representatives and legislators to see what we’re up against, so that they will understand.  J. Carnie doesn’t feel we should jump into this yet, we have heard the School board Association’s and LGC’s side of this, but he wanted to hear from the legislators, and thinks P. Peterson’s suggestion is a good one, and would be in favor of that.  K. Chambers suggested we go to the state website to look at/review the proposed bill, this would give us a fairly objective view of the issues.  J. Carnie asked the committee if we should ask the administration to set up a meeting with our legislators.  P. Peterson made the motion to present to the full board to have the legislators attend a special meeting to understand our issues.  Seconded by G. White.  Discussion:  To set a tentative meeting to meet with finance.  Motion passes, unanimous for all present.  

 

b.  2006/2007 Monthly Expenditure Summary – K. Chambers handed out a worksheet detailing the expenditures for the 06/07 school year at the last finance meeting and tonight had the 07/08 version to present to the finance committee.  K. Chambers wanted to bring to the committees attention the coincidence that the expenditures to date were 39.6% and that they were the same percentage expended at this time last year.  S. Oerman asked to have an explanation of how the worksheet read as the numbers did not add across.  K.Chambers stated that she would add an encumbrance column so that the worksheet will add across.   

 

c.  Financial reports – Reports handed out, S. Oerman asked about the low percentage remaining at Mt. Caesar, Emerson, Cutler and Wilcox, are they likely to overspend?  K. Chambers explained that a requisition module of their software will be rolled out.  It will flag when they enter something that goes over the budgeted amounts. D. Lyman commented on page 1 of 2 of the fund 03 capital projects (warrant article 6) the amounts in the adopted budget columns are 0, so it appears that the accounts are overspent.  He asked if it was possible to enter the amounts in so that we don’t look overspent?  K. Chambers stated that the system wipes out the balance at year-end, so the “0’s” appear.  She will look into this.

 

d.  Legal Bills – Handout:  S. Oerman asked what the SPED amounts were at the bottom of the worksheet.  K. Chambers responded that the go through the SPED account and wasn’t sure of the specifics.

 

5. Second Public Comments:  J. Fortson asked how much the special meeting (the election and deliberative) cost the district?  Did we have the numbers for this?  Did Surry pay in half the costs or had we missed their deadline?  Also would it be possible to have a warrant article go on next year ballot that asked the voters weather a special meeting could be held if the warrant for a proposed building program failed?

 

6. Next Meeting:  February 19th, at the Mt. Caesar Elementary School in Swanzey at 6:00 pm.  Possible agenda item would be a meeting with our legislators.

 

7.  Adjourn:  Motion to adjourn by D. Lyman, at 6:53pm, seconded by S. Oerman.  Motion passes:  Unanimous for all present.

 

 

 

Respectfully submitted by Jane Fortson