RSU 5 administrators present $43.9M operating budget, vehicle and life‑safety plan; board approves first read of 2025–26 calendar

Freeport — RSU 5 administrators presented the district’s proposed operating budget, vehicle‑replacement and facilities plans and early calendar draft at the board meeting Feb. 5, reporting a projected operating cost increase and a recommended use of undesignated fund balance to cover several one‑time capital needs.

The most immediate budget numbers: the administration said the 2025–26 operating request totals about $43.9 million and represents a 5.72% increase in expenditures from the prior year. After reductions and known revenue changes, the superintendent’s office estimated a district‑wide net tax impact of roughly 7.21% under the current proposal.

Why it matters: The presentation grouped operating increases by broad Article categories and identified transportation, special education and school administration as some of the larger percentage increases. The proposal also asks the board to approve a multi‑year approach that uses part of the district’s undesignated fund balance to accelerate vehicle replacement, implement phase‑1 energy upgrades and complete a single phase of life‑safety projects without immediately increasing the budget’s local tax ask beyond the projected figures.

Key budget details presented - Operating totals: Administration cited a proposed operating budget of approximately $43,903,018 for 2025–26 (including adult education adjustments). Article‑level changes shown included an Article 1 (regular programs) up 2.48%; Article 2 (special education) up about 10.95%; Career and technical contribution estimated up 9% pending Region 10 adoption; Article 4 (co‑curricular and athletics) up 8.14%; school administration up 7.36%; transportation up 21.74%; facilities and maintenance up 7.55%. - State subsidy: Administrators reported a drop in state subsidy of about $206,963 relative to the prior year and noted adjustments to related shared revenue entries. - Tax impact by town: The administration estimated individual municipal impacts under the proposal: Durham about 7.64%, Freeport about 4.5%, and Pownal about 6.74% (figures presented as estimates based on the district’s cost sharing plan).

Capital and facilities proposals - Vehicle and grounds replacement: The district inventory showed an aging vehicle fleet (22 school buses and 11 passenger vans) and recommended a three‑year lease‑purchase plan to replace two buses and two vans and select grounds equipment in year one. The administration proposed using $168,000 from undesignated fund balance in 2025–26 to offset the first year of that program so the local tax impact would be smoothed. - Energy audit (EMC) phase plan: An energy audit produced a multi‑phase list of recommended upgrades. The administration recommended starting phase 1 next year — focusing on LED lighting upgrades, building automation upgrades and several targeted heating/ventilation items — with a proposed 17‑year lease schedule for the full multi‑phase plan. Phase‑1 costs were presented as approximately $303,095 per year (first payment beginning in 2026–27 under the lease purchase schedule). - Life‑safety work: A one‑phase life‑safety package (cameras, door access, phones/paging, AEDs, door replacements and other items) was estimated at about $2.43 million. The administration proposed covering these one‑time life‑safety costs from undesignated fund balance rather than the operating budget. - Fund balance math: Administrators presented an estimated unallocated undesignated fund balance after accounting for recommended transfers: about $2.07 million, which aligns with the Maine Department of Education guideline of up to 5% of the budget as an allowable year‑end balance (the allowable figure cited was about $2.075 million for the district’s budget size).

Other budget‑related items presented - The superintendent’s office reported continued use of targeted reserve accounts established in recent years for specific needs (for example, a reserve previously used to carry a reserve teacher position). The board was told the septic replacement project is moving toward a bid solicitation and remains funded through the capital reserve. - School‑by‑school staffing proposals were previewed: Moore Street principal Julie proposed two temporary reductions in kindergarten and Grade 1 class sections in response to lower cohorts now and predicted bounce back in later years; Mass Landing principal Emily explained the school would not carry a late reserve position into the formal budget request; principals also discussed how they manage placement and class sizes to avoid mid‑summer disruptions to families.

Board action and next steps - The board gave first approval (first reading) to the 2025–26 school calendar, moved by board members Cheyenne and Malik. The calendar will return for final board action at the board’s next allowable meeting per board policy. - Administrators said they would provide the board more detailed, building‑level breakdowns and capitalization schedules as the board begins deliberations, including the life‑safety line‑item distribution by building and the detailed vehicle replacement schedule.

Ending note: Administrators asked the board to weigh the advantage of using part of the fund balance for one‑time capital projects that would reduce near‑term tax shocks, while board members noted the need to preserve an adequate undesignated balance for fiscal stability and the possibility of rebates or operating savings from LED and mechanical upgrades.