Agenda Review of Process to Date Key Terms in the Withdrawal - - PDF document
Public Hearing for Withdrawal from RSU 50 & Reorganization Plan for the New RSU Andrew Kaye Committee Member from Mount Chase Agenda Review of Process to Date Key Terms in the Withdrawal Agreement Key Terms in the Reorganization
Public Hearing for Withdrawal from RSU 50 & Reorganization Plan for the New RSU
Andrew Kaye Committee Member from Mount Chase
June 2015 June 2016 Votes to Begin Withdrawal Process July/August 2016 Established Withdrawal Committees and Initial Meetings September 2016 Initial Joint Committee Meeting…Four towns agreed to negotiate jointly September - December 2016 Weekly meetings, preparation, research, planning, etc. January 2017 Initial Negotiation Meeting April 2017 Reorganization Planning Committees Formed June 2017 Negotiations Completed & Final Withdrawal Agreement Submitted June 2017 Reorganization Plan Completed and Approved August 2017 Agreement Approved by
October 2017 Public Hearings Prior to Referendum Vote
Plan to Reorganize the Municipalities of Patten, Sherman, Stacyville & Mount Chase into a new Regional School Unit Dated: June 29, 2017 Submitted to the Commissioner of Education for the State of Maine by the Reorganization Planning Committee, comprised of:
For Sherman: Jeffery C. Packard Steve Gould Stuart Kelley Nicole Mitchell John Qualey Philip Knowles For Mount Chase: Linda Craig Rhoda Houtz Terry Thurston-Hill Andrew Kaye Jon Ellis For Patten: Richard Schmidt III Leslie Gardner Alicia McNally For Stacyville: Brian McQuarie Desiree E. Harrison Heidi L. Lake David Pratt !1 RSU 50 and the Town of Mount Chase Withdrawal Agreement Final Dra>Withdrawal Agreement Between RSU 50 and the Town of Mount Chase Withdrawal Committee This Agreement dated as of , 2017 by and between RSU 50, the Maine regional school unit comprised of the municipalities of Crystal, Dyer Brook, Hersey, Island Falls, Merrill, Moro Plantation, Mount Chase, Oakfield, Patten, Sherman, Smyrna and Stacyville (hereinafter “RSU 50”) and the Town of Mount Chase Withdrawal Committee, a duly appointed municipal withdrawal committee for the Town of Mount Chase (hereinafter “Mount Chase”) organized in accordance with 20-A M.R.S. §1466(4)(A).
agreements will only be effective if all four towns vote to withdraw from RSU 50 and to form the New RSU. The withdrawal and the formation of the New RSU will only become effective if ALL FOUR towns vote favorably on BOTH questions in November. Should this vote fail the four towns will remain in RSU 50. Moro’s or Hersey’s withdrawal decision is not dependent upon the other four towns.
MSAD 25 when RSU 50 was formed)
(after deducting $400,000 representing the initial contributions from MSAD 25 and CSD 9)
based on an estimate of the final undesignated fund balance.
New RSU will be calculated after the audit has been completed (usually in November).
withdrawing towns but attending Southern Aroostook shall have the right to continue attending Southern Aroostook.
towns attending Katahdin schools shall have the right to continue attending Katahdin schools.
state tuition rate (plus any special education costs required)
Inter-Region Enrollment (as of April 2017)
Attending Katahdin Attending SACS
Moro 2 Hersey 5 2 Silver Ridge 12 Benedicta 12 2 Houlton 1 Island Falls 2 Crystal 6 Oakfield 1 Dyer Brook 1
reciprocal “Interlocal Agreement” to maintain continuity of services currently shared between the schools
and costs will be incorporated into an Interlocal Agreement to be negotiated prior to the Effective Date
Services Committee to administer the Interlocal Agreement
to facilitate the consolidation of school districts — NOT the creation of a new school district.
not especially well suited to our specific needs.
and voting apportionment
year and one two-year term from each town)
Member Municipality Population Board Members Votes Per Member Patten 994 2 497 Sherman 805 2 403 Stacyville 389 2 195 Mount Chase 198 2 99
is only used to calculate each town’s share of the local additional.
each town’s contribution is dictated by the state based on assessed value.
Projected Income (2018/9) Other 7% Tuition 6% Local Additional 13% Required Match 22% State Allocation 51%
from the state (and, in RSU 50, the local additional).
factors:
the sale price compares with Town assessed value, and
valuation of the entire Town.
and much less than the Town of Sherman.
that Patten's eventual revaluation efforts would help rectify some of these disparities.
balances the property value, population and enrollment from each town (⅓ each) which would balance other factors assuming the valuation of each town is accurate.
the committee decided upon a fixed percentage basis for calculating the local additional contribution. Once these valuations are equalized and/or other significant changes throughout the communities occur, this can be revisited.
Town 2018/19 2019/20 Patten 31.5% 35.0% Sherman 31.0% 30.0% Stacyville 14.5% 15.0% Mount Chase 23.0% 20.0%
“Cost Savings Analysis” was used to present some of the key assumptions used in developing a financial projection for the New RSU.
as a basis/recommendation for the new board in its duty to develop the budget.
imperative to present a realistic but conservative financial projection which would avoid unpleasant surprises when the board prepares the actual first year budget.
contained in the RSU 50 budget.
analyzed to determine an appropriate division of these costs.
there are about 70 assumption the committee made to develop the financial projections for the New RSU.
changes in the assumptions. We have assumed we can drastically reduce System Admin costs by eliminating the Superintendent, his secretary and associated overheads.
Superintendent.
(“business manager”).
withdrawal agreement are assumed to all be shared equally with RSU 50
five years, an additional $50,000 in year one and $100,000 in year two has been added for reinvestment.
each school). This is well below the historical norm so we have doubled this amount in the financial projections.
50 or the state. The New RSU will not be accountable for any special ed costs associated with these students. This will certainly impact special ed costs, but as we could not determine any reasonable basis to calculate this, we have excluded any significant cost savings.
Due to the significance of this for our new district, we have projected this in detail…but discount this somewhat to be conservative.
will no longer send new students to Katahdin.
state allocations and required local match.
in the first Reorganization Plan. This reflects the revised state allocations which were provided after the first Reorganization Plan had been completed.
RSU 89 Income Statement Summary
2018-19 2019-20 2020-21 2021-22 2022-23 Income State Allocation $ 2,513,000 $ 2,584,000 $ 2,589,000 $ 2,595,000 $ 2,601,000 Local Required Match 1,093,000 1,124,000 1,139,000 1,155,000 1,170,000 Local Additional 634,000 645,000 744,000 688,000 752,000 Tuition 317,000 335,000 276,000 353,000 312,000 Other Income 52,000 53,000 54,000 55,000 56,000 Carry Forward 284,000 284,000 284,000 284,000 284,000 Total Income $ 4,893,000 $ 5,025,000 $ 5,086,000 $ 5,130,000 $ 5,175,000 Expenses Regular Instruction $ 1,769,000 $ 1,867,000 $ 1,876,000 $ 1,885,000 $ 1,894,000 Special Education 846,000 840,000 834,000 838,000 842,000 Career & Technical 196,000 201,000 206,000 211,000 216,000 Other Instruction 149,000 150,000 151,000 152,000 153,000 Student & Staff Support 361,000 366,000 371,000 377,000 383,000 System Administration 170,000 171,000 172,000 173,000 174,000 School Administration 311,000 323,000 325,000 327,000 329,000 Transportation 370,000 376,000 410,000 416,000 422,000 Facilities Maintenance 674,000 684,000 694,000 704,000 715,000 Other Expenses 17,000 17,000 17,000 17,000 17,000 Adult Education 30,000 30,000 30,000 30,000 30,000 Total Expense $ 4,893,000 $ 5,025,000 $ 5,086,000 $ 5,130,000 $ 5,175,000
These are the key numbers with tax implications….
Projected Splits for 2018/9 - Continue Under RSU 50 Patten Sherman Stacyville
Total Local Match Required $ 307,518 $ 345,283 $ 148,331 $ 245,329 $ 1,046,461 Local Share of Adult Ed 4,766 5,161 2,264 4,419 16,610 Local Additional 166,017 179,799 78,874 153,931 578,621 Total Education Funding $ 478,301 $ 530,243 $ 229,469 $ 403,679 $ 1,641,692 Percentage of Total 29% 32% 14% 25% 100% Projected Splits for 2018/9 - Withdraw and Form New RSU 89 Patten Sherman Stacyville
Total Local Match Required $ 318,905 $ 358,065 $ 153,838 $ 262,512 $ 1,093,320 Local Share of Adult Ed 9,450 9,300 4,350 6,900 30,000 Local Additional 190,282 187,262 87,590 138,936 604,070 Total Education Funding $ 518,637 $ 554,627 $ 245,778 $ 408,348 $ 1,727,390 Percentage of Total 30% 32% 14% 24% 100%
Projected Splits for 2019/20
Patten Sherman Stacyville
Total Local Match Required $ 323,321 $ 363,025 $ 155,968 $ 266,147 $ 1,108,461 Local Share of Adult Ed 10,500 9,000 4,500 6,000 30,000 Local Additional 215,258 184,507 92,253 123,005 615,023 Total Education Funding $ 549,079 $ 556,532 $ 252,721 $ 395,152 $ 1,753,484 Percentage of Total 31% 32% 14% 23% 100%
Projected Splits for 2018/19
Patten Sherman Stacyville
Total Local Match Required $ 318,905 $ 358,065 $ 153,838 $ 262,512 $ 1,093,320 Local Share of Adult Ed 9,450 9,300 4,350 6,900 30,000 Local Additional 190,282 187,262 87,590 138,936 604,070 Total Education Funding $ 518,637 $ 554,627 $ 245,778 $ 408,348 $ 1,727,390 Percentage of Total 30% 32% 14% 24% 100%
secretary and set a date for the election of the initial Board of Directors of the unit (November/December)
budget and recommend a budget for consideration by the voters (February/March)
effective date) are projected at ~$40,000.
sufficient, however, the agreement authorizes the Board of Directors to obtain other available financing if needed.
received in July.
not occur until the audit is complete (usually November). Therefore, there is a small chance that short-term financing could be needed prior to receipt of the final payment.
Chase/Patten/Sherman/Stacyville) from Regional School Unit 50 subject to the terms and conditions
approving the school administrative reorganization plan prepared by the Reorganization Planning Committee to reorganize the Towns of Patten, Stacyville, Sherman, and Mount Chase into a regional school unit, with an effective date of July 1, 2018?