MVSD Budget Development Information

Post date: Nov 29, 2017 9:42:11 PM

Each year in developing our budget, the Merrimack Valley School District asks for your support in our mission of "Ensuring that ALL students are provided with the knowledge, skills, and values necessary to prepare them for college, career, and citizenship." This is an extraordinarily lofty and challenging mission and our focus is on our students. We strive to spark a passion in and engage all of our unique learners. With that in mind, we also endeavor to be conscientious and conservative in our budget development. We take our charge as stewards of taxpayer's money very seriously. Although our overall budget has not increased significantly in the past 4-years, school districts, towns, and cities in NH are all facing decreasing revenues that typically help offset certain expenses and provide financial support in our budgets.

The Merrimack Valley School Districts uses the following calculation to divide educational costs out to our MV communities:

Total Approved Budget (inclusive of all warrant articles) - Revenues = District Assessment

The District Assessment is then allocated (apportioned) to each town based on the number of resident students (ADMR - or Average Daily Membership in Residence). From that amount (combined with town/city property valuations), the education portion of local tax bills are set.

Here are some numbers to provide context to this formula:

The overall budget has remained relatively stable (slow increase)...

Total Approved Budget (inclusive of all warrant articles) - in the past 4-years the overall increase of the approved budget is 1.89%

• 2014-2015 Total Approved and Appropriated Budget = $39,288,352
• 2015-2016 Total Approved and Appropriated Budget = $38,895,341 (down from previous year by approximately 1.0%)
• 2016-2017 Total Approved and Appropriated Budget = $39,539,447 (up from previous year by approximately 1.66%)
• 2017-2018 Total Approved and Appropriated Budget = $40,031,166 (up from previous year by approximately 1.24%)

Revenues from the state and federal government are decreasing (faster decrease)...

Revenues Received (Adequacy, Statewide Education Property Tax, Catastrophic/Special Education Aid, Medicaid, and other revenues such as rent and tuition monies received) - in the past 4-years the total decrease in revenues is 10.12%. It should be noted that the state used to provide some funding for the New Hampshire State Retirement System that all full and half-time employees are required to contribute to (with mandatory employer contributions as well). Currently the state does not contribute any money towards this expense

• 2014-2015 Total Revenues = $19,036,246
• 2015-2016 Total Revenues = $17,802,595 (down from previous year by approximately 6.5%)
• 2016-2017 Total Revenues = $17,773,340 (down from previous year by approximately .16%)
• 2017-2018 Total Revenues = $17,109,769 (down from previous year by approximately 3.73%)

As a result the District Assessment and property taxes are increasing...

District Assessment - the total amount to be raised via property taxes (parsed out to each town based on their resident student enrollment) - in the past 4-years the total percentage increase to the District Assessment is 13.18%

• 2014-2015 District Assessment = $20,252,312
• 2015-2016 District Assessment = $21,092,746 (up approximately 4.15%)
• 2016-2017 District Assessment = $21,766,107 (up approximately 3.19%)
• 2017-2018 District Assessment = $22,921,397 (up approximately 5.31%)

The District will continue to make students our priority and provide all of our students with the best educational opportunities we can. We will also continue to do this in the most cost-effective manner we can. Strong educational systems are a foundation of thriving communities. We value our effective partnership with our communities as well as the support the MVSD has received in striving toward our mission. Please do not hesitate to reach out to the SAU if you have any questions about our mission and the budget. Respectfully submitted - Mark MacLean, SAU #46 (Merrimack Valley and Andover) Superintendent of Schools