Holderness Central School Proposed Budget February 8, 2012

Bottom Line   3.7% increase in district assessment; $146,904 (includes $47,500 to capital reserve)   21 cents/$1,000 tax rate increase   2.2% increase in operating budget; $97,484 ($51,363 returned as revenue on the 2010/2011)

Increases from 2011/12 Budget CategoryIncreaseComments Health insurance$66,373 Projected increase of 12.7% State retirement system$33,294 Reflects legislative change making local government responsible for 100% of employer share Salary and longevity pay$15,431 3 rd year of teacher CBA; 2 nd year of support staff CBA; net of reductions in workforce Repairs & Maintenance$ 8,000 Increase primarily reflects recent historical experience including cost of roof shoveling Heating oil$ 7,000 Volume of oil used has decreased by 40% since school renovation SAU$ 6,543 Increase primarily reflects health insurance and retirement increases Transportation$ 5,855 Includes general and special education transportation costs Substitute Salaries$ 5,000 More accurately reflects recent historical expenditures Occupational Therapy$ 3,995 Contract service; cost driven by projected student needs

Reductions from 2010/11 Budget CategoryDecreaseComments Staff Reductions$27, FTE Middle School Teacher; 0.25 FTE Teaching Aide Out of District Tuition$20,000HCS has been effective in recent years at supporting high need students within our school Equipment, Supplies and Grounds $16,700Educational/AV equipment requests, playground and athletic field supplies/upgrades ACE (after school program)$ 4,999The town budget includes $2,500 for ACE support School Board$ 4,000 Interest payments on bond$ 9,247Final bond payment in 2017 Total reductions from Budget Draft 1 through 4 $84,017

Impact of Health Care Costs YEAR% INCREASE % % % % % % % Annual Average Increase12% Health insurance expenditures now comprise 13.2% of the total budget

Program Changes Since 2006 Overall DecreasesOverall IncreasesComments 1.0 FTE Elementary Ed0.5 FTE Middle School increase in 2009; proposed as reduction for FTE Industrial Arts and Technology Instruction 0.5 FTE Technology Support and Instruction 0.2 FTE Art0.2 FTE Phys Ed 0.6 FTE Health EdHealth Ed position is currently 0.2 FTE (1 day per week) 0.8 FTE Special Ed 0.5 FTE Reading Specialist0.8 FTE World Language Program 1.0 FTE Support Staff1 FTE added in 2011 as result of IEP need; 0.25 FTE proposed reduction for 2012 Net change since 2006 is 3.6 FTE decrease or about 8% of the HCS workforce

Change in Operating Budget

Relative Changes in Personal Income and District Assessments

Enrollment

Average Class Size

Comparative Staffing Ratios 2009

Cost per Pupil

Additional Context Hourly Cost  180 school days x 7.5 hours x 208 students = 280,800 student hours*  $4,466,322 (total budget)/280,800 student hours = $15.91 per student hour * Not including after school sports, clubs, theater, etc.

Performance Standardized Test Scores

Performance Additional NH Context NH consistently has the highest NECAP scores among the 4 participating New England states National Assessment of Educational Progress (NAEP) Tied for 1 st (with MA) in 4 th grade math Tied for 2 nd (with 4 other states) in 4 th grade reading (MA higher) Tied for 3 rd (with 7 states) in 8 th grade math (MA, MN higher) Tied for 4 th (with 8 states) in 8 th grade reading (MA, CT, NJ higher)

High School Preparation

High School Achievement 43% of HCS Students taking at least one Honors/AP class in 2011; 31% of all other PRHS students taking at least on honors/AP class

Post-Graduation Track

Challenges Ahead  Continued escalation of health insurance costs  Continued cost pressures on municipalities unfunded liabilities in the state retirement system  Lower enrollment and high per pupil costs  Balancing the interests of maintaining a multi- dimensional curriculum and small classes sizes with these cost pressures

Strengths Going Forward  Good working relationship between budget committee and school board  School leadership has initiated a new, broadly inclusive strategic planning process  Dedicated and highly experienced teaching staff  The school continues to be an asset for attracting young families to the community  High value placed on public education by the community

THANK YOU!