In a recent government meeting, significant concerns were raised regarding the financial management of the city's budget and its implications for local schools. Alderman Levassar was notably the only member to voice opposition when a pay raise totaling $12 million was approved, which critics argue has contributed to a staggering $18 million increase in the city's debt service.
The discussion highlighted that a substantial portion of the current operating budget—estimated at $25 million—is not factored into the per pupil education funding calculated by the state, leading to claims of unfair financial reporting. This discrepancy raises questions about the adequacy of state funding for local schools, particularly in light of a proposed $21 million high school project at the Beach Street site.
A key point of contention was the allocation of $6.5 million, which some board members argued should be designated as adequacy aid for schools. However, it was contended that this funding could instead be utilized to significantly reduce the city's tax rate by 52 cents per $1,000, potentially alleviating the tax hike recently approved by the board.
Furthermore, concerns were expressed about a projected $9 million deficit in the school budget, attributed to the use of surplus and trust fund revenues to circumvent cuts under the tax cap. The speaker urged the board to reconsider the appropriation of the $6.5 million, emphasizing the need for fiscal responsibility and a commitment to the taxpayers who expect relief from rising costs. The meeting underscored the ongoing debate over budget priorities and the impact of financial decisions on both education and local taxpayers.