Riverhead board adopts $211.4 million budget, approves energy performance contract and elementary kitchen projects

Riverhead Central School District trustees voted April 9 to adopt a $211,434,500 budget for the 2025–26 school year and approved an energy performance contract and two elementary school kitchen projects that district officials said will not raise the local tax rate.

The budget vote and contract approvals came at the district’s regular Board of Education meeting after a presentation from district officials and H2M architects on an energy performance contract, and a review of proposed kitchen renovations at Riley Avenue and Phillips Avenue Elementary Schools.

District business staff presented the budget as a $9.9 million (4.95%) increase over the current year. Officials said the package assumes about $5 million in state aid but that final state aid numbers were not available; state aid figures for the next fiscal year were still pending at the time of the meeting. The district reported a planned property tax levy increase of about $2.3 million, which staff said is within a 2.16% property tax cap.

Dr. Cardesano, who led the budget presentation, said the increase is “instructionally based,” with roughly $7.7 million directed to staffing and student programs. He also provided line-item figures used in the presentation: salaries of about $88 million and employee benefits of roughly $44 million, and noted student transportation costs of about $5.6 million. The board was told the district reduced other expenses by about $800,000 to keep the budget inside the cap.

The board also approved two capital propositions for May ballot placement to renovate school kitchens. The work — described in the presentation as extending student service lines, redesigning storage, installing walk‑in refrigeration and freezer units and modifying staff prep areas — was estimated at about $1.8 million. District officials said the kitchen work would be funded from the cafeteria reserve and cafeteria fund balance so it would have no tax-rate impact.

On the energy work, H2M engineer Mike Lanter reviewed the district’s EPC procurement process and summarized four bids received from energy service companies. Proposal totals for potential measures ranged from about $21 million to $31.5 million. H2M recommended Renew Energy Solutions after scoring proposals on technical approach, interview results and alignment with district priorities such as lighting upgrades, boiler and HVAC replacements, weatherization and photovoltaic arrays. The presentation said the district could reach net‑zero energy use if proposed photovoltaic systems are included and that the contract includes a measurement-and‑verification period to confirm guaranteed savings.

Summarizing the recommendation, a district presenter said: “What this means is that we’re going to do $28,000,000 worth of work at no cost to the taxpayer,” and described anticipated savings and avoided future bonding needs.

Board members approved the EPC and the kitchen projects at the April 9 meeting. Presenters noted the EPC and the capital work still require approval by the State Education Department (SED) before construction may begin; the EPC timeline presented to the board included submitting plans to SED by Aug. 15 and a construction start target of Dec. 1, 2025.

Votes at a glance - Motion to return the meeting to open session — passed (voice vote). (motion moved by Ms. Murphy; second Ms. Freeborn) - Motion to accept the consent agenda — passed (voice vote). (moved Ms. Murphy; second Ms. Redmond) - Approval of contract for superintendent of schools (Dr. Robert Hagen), effective 07/01/2025 — passed (motion moved Ms. Murphy; second Ms. Healy) - Adoption of the 2025–26 proposed budget and property tax report card ($211,434,500) — passed (motion moved Ms. Redmond; second Ms. Freeborn) - Appointment of annual district meeting vote workers — passed (motion moved Ms. Murphy; second Ms. Freeborn) - Approval of the Energy Performance Contract (EPC) recommendation and related motion to proceed — passed (motion moved Ms. Redmond; second Ms. Murphy) - Renewal of cooperative bid for cesspool pumping and related services — passed (motion moved Ms. Murphy; second Ms. Freeborn) - Approval of new contract award (clothing/uniforms and related supplies) — passed (motion moved Ms. Redmond; second Ms. Healy) - Approval of cooperative bid for general supplies — passed (motion moved Ms. Murphy; second Ms. Freeborn) - Acceptance of five donations (Riverhead Rotary Club, VFW auxiliary, Peconic Asset Planning Inc., Falsetta family, Gabrielson Farms LLC) — passed (motion moved Ms. Freeborn; second Ms. Murphy)

All motions on the published agenda were adopted; the board recorded passage by voice vote and the meeting record did not include numerical tallies for the votes.

Why this matters: District officials said the EPC work is intended to reduce utility and maintenance costs, offset future capital borrowing needs and, if the photovoltaic measures are included, help the district move toward net‑zero energy use. The kitchen projects are intended to expand serving lines, replace undersized refrigeration at Phillips Avenue and return cafeteria space that is currently used for temporary coolers to student service. Officials said both projects are structured to avoid increasing the tax rate.

What remains to happen: The budget will be presented at a public hearing on May 6, followed by the districtwide vote on May 20 at Riverhead High School. Capital projects and the EPC will require SED approval and final contract execution before construction begins.

Speakers - Dr. Cardesano — district administrator (first reference: 2025-04-09T21:08:00Z) - Mike Lanter — engineer, H2M (first reference: 2025-04-09T21:36:00Z) - Mr. Levine — district attorney (announcement about Town of Southampton grant) (first reference: 2025-04-09T20:27:00Z) - Ms. Murphy — Board member (mover on multiple motions) (first reference: 2025-04-09T20:39:00Z) - Ms. Healy — Board member (first reference: 2025-04-09T20:39:00Z) - Ms. Freeborn — Board member (first reference: 2025-04-09T20:39:00Z) - Ms. Redmond — Board member (first reference: 2025-04-09T20:39:00Z) - Dr. Robert Hagen — superintendent designee (appointment announced) (first reference: 2025-04-09T21:37:00Z) - Cheryl Petasic — interim superintendent (first reference: 2025-04-09T21:37:00Z)

Authorities - grant: "Town of Southampton water quality improvement grant, $900,000" (referenced_by: ["budget-epc-kitchens-votes-at-a-glance"]) - policy: "State Education Department (SED) approval process for capital projects and EPCs" (referenced_by: ["budget-epc-kitchens-votes-at-a-glance"]) - statute: "Property tax cap (referenced 2.16% limit) and contingent budget rules (New York State)" (referenced_by: ["budget-epc-kitchens-votes-at-a-glance"])

Actions - {"kind":"appointment","motion":"Approval of contract for superintendent of schools (Dr. Robert Hagen) effective 07/01/2025","mover":"Ms. Murphy","second":"Ms. Healy","outcome":"approved","notes":"Passed by voice vote; no numerical tally recorded in transcript."} - {"kind":"budget_adoption","motion":"Adoption of the 2025–26 proposed budget and property tax report card ($211,434,500)","mover":"Ms. Redmond","second":"Ms. Freeborn","outcome":"approved","notes":"Passed by voice vote; final public vote scheduled May 20."} - {"kind":"contract_award","motion":"Approval to proceed with Energy Performance Contract (EPC) recommendation (recommendation: Renew Energy Solutions)","mover":"Ms. Redmond","second":"Ms. Murphy","outcome":"approved","notes":"Board approved moving forward; SED approval and final contract execution still required."} - {"kind":"other","motion":"Acceptance of donations (5) including $5,000 from Riverhead Rotary Club to NJROTC","mover":"Ms. Freeborn","second":"Ms. Murphy","outcome":"approved","notes":"Donations accepted as listed in agenda."} - {"kind":"contract_award","motion":"Renewal of cooperative bid for cesspool pumping and related services","mover":"Ms. Murphy","second":"Ms. Freeborn","outcome":"approved","notes":"Passed by voice vote."} - {"kind":"contract_award","motion":"Approval of new contract award for clothing/uniforms and related supplies","mover":"Ms. Redmond","second":"Ms. Healy","outcome":"approved","notes":"Passed by voice vote."} - {"kind":"contract_award","motion":"Approval of cooperative bid for general supplies (copy paper, audiovisual supplies, etc.)","mover":"Ms. Murphy","second":"Ms. Freeborn","outcome":"approved","notes":"Passed by voice vote."} - {"kind":"other","motion":"Appointment of vote workers for annual district meeting","mover":"Ms. Murphy","second":"Ms. Freeborn","outcome":"approved","notes":"Passed by voice vote."}

Clarifying details - budget_total_usd:211434500 (category: "proposed budget total") - budget_increase_usd:9900000 (category: "year-over-year increase") - estimated_state_aid_usd:5000000 (category: "expected state aid; not final") - property_tax_increase_usd:2300000 (category: "projected levy increase; within 2.16% cap") - kitchens_project_estimate_usd:1800000 (category: "combined Riley and Phillips kitchen work") - epc_proposals_range_usd:[21000000,31500000] (category: "range of ESCO proposals received") - recommended_epc_work_usd:28000000 (category: "district presenter stated 'we're going to do $28,000,000 worth of work at no cost to the taxpayer'") - epc_reported_savings_usd:32000000 (category: "reported energy cost reduction over 18 years from presentation") - epc_sed_submission_target:"2025-08-15" (category: "suggested SED submission date from Facilities Committee report") - epc_construction_start_target:"2025-12-01" (category: "suggested construction start date")

proper_names:[{"name":"Riverhead Central School District","type":"agency"},{"name":"Riley Avenue Elementary School","type":"school"},{"name":"Phillips Avenue Elementary School","type":"school"},{"name":"H2M Architects","type":"organization"},{"name":"Renew Energy Solutions","type":"business"},{"name":"Johnson Controls","type":"business"},{"name":"Town of Southampton","type":"other"},{"name":"Riverhead Rotary Club","type":"organization"},{"name":"Peconic Asset Planning Incorporated","type":"organization"},{"name":"Gabrielson Farms LLC","type":"business"},{"name":"VFW Auxiliary","type":"organization"},{"name":"Dr. Robert Hagen","type":"person"},{"name":"Cheryl Petasic","type":"person"},{"name":"Dr. Cardesano","type":"person"},{"name":"Mike Lanter","type":"person"}] ,

discussion_decision:{"discussion_points":["Budget increases tied primarily to instruction and student programs; state aid remains uncertain","EPC proposals ranged widely; selection factored technical approach, guaranteed savings, and student engagement components","Kitchen renovations funded from cafeteria reserves to avoid tax impact","Contingency budget option requires $2.3M reductions if budget fails; legal rules govern which lines must be cut"],"directions":["Post budget materials and key facts in English and Spanish on district website","Submit EPC materials to SED and finalize architect plans and specs","Present budget at public hearing May 6 and hold district vote May 20"],"decisions":["Adopt 2025–26 proposed budget for presentation and voter consideration","Approve proceeding with recommended EPC process and kitchen project referendums","Appoint Dr. Robert Hagen as superintendent effective 07/01/2025"]},

provenance:{"transcript_segments":[{"block_id":"b2122.45","local_start":0,"local_end":120,"evidence_excerpt":"This is our final budget presentation, with reference to the 02/2526 budget. ... On May 6, we have our budget hearing at Riverhead Middle School. And on May 20, our budget vote will be at Riverhead High School.","tc_start":"00:35:22","tc_end":"00:38:00","reason_code":"topicintro"},{"block_id":"b4593.645","local_start":0,"local_end":120,"evidence_excerpt":"All in favor? And the motion passes. And moving on to, Board member committees...","tc_start":"00:46:33","tc_end":"00:46:55","reason_code":"topicfinish"}]},

topics:[{"name":"local_budget","justification":"Central action of the meeting was adopting the 2025–26 budget and related property tax report card; detailed revenue and expenditure figures were presented.","scoring":{"topic_relevance":0.98,"depth_score":0.86,"opinionatedness":0.05,"controversy":0.45,"civic_salience":0.96,"impactfulness":0.90,"geo_relevance":1.00}},{"name":"energy_performance_contract","justification":"Board approved moving forward with an EPC after an H2M presentation; procurement, guarantees, scope, and SED approval were discussed.","scoring":{"topic_relevance":0.95,"depth_score":0.82,"opinionatedness":0.03,"controversy":0.40,"civic_salience":0.88,"impactfulness":0.85,"geo_relevance":1.00}},{"name":"capital_projects_kitchens","justification":"Board reviewed and approved kitchen renovations at two elementary schools funded from cafeteria reserves to avoid tax impact.","scoring":{"topic_relevance":0.89,"depth_score":0.70,"opinionatedness":0.02,"controversy":0.20,"civic_salience":0.60,"impactfulness":0.55,"geo_relevance":1.00}}],

searchable_tags:["budget","EPC","energy","kitchen_renovation","property_tax","SED","capital_projects","Riverhead"]