Superintendent says health‑care costs, risk‑pool assessment drive Alton school budget rise

Alton Town Budget Committee — At a Dec. 18 budget committee meeting, Superintendent Mr. Broward presented a joint Alton Central School and Prospect Mountain High School budget that would increase 3.84% for fiscal 2026, and said the primary driver of the rise is sharply higher employee health‑insurance costs and a one‑time assessment from the School Care risk pool.

"We're here with a school board approved and recommended budget that reflects an increase of 3.84%," Broward told the committee, later adding that "the main driver behind that, unfortunately, is health care costs." He summarized changes the board approved to limit impact on student services, including the elimination of three positions in the Alton Central School budget and continued sharing of central‑office services across the three‑town arrangement.

Broward described the district's two employee plans: a lower‑premium plan he referred to as the "yellow" plan that is rising about 21% and a high‑deductible "orange" plan rising about 31%, with a family out‑of‑pocket maximum of $10,000 and a $5,000 health‑savings contribution from the district for families who enroll in the high‑deductible option. He said the district has tried to avoid cuts that would harm programs but is constrained by costs beyond local control.

School Care assessment and fiscal choices

Broward said School Care — the state risk pool that buys insurance for many New Hampshire school districts — projected a net loss and moved to a one‑time, systemwide assessment of $30 million. He said the pool projected a net loss of roughly $4.5 million for the year and decided to assess members to rebuild reserves. "They decided after consulting with their actuaries to raise $30,000,000 in a one‑time assessment," he said. Broward said Alton's portion was described in discussion as being in the mid‑hundreds of thousands.

To cover the charge, Broward said the Department of Revenue Administration and the Department of Education issued guidance allowing districts that had previously reported an unassigned fund balance on their MS‑25 audit form to restate that form and apply those funds to the assessment. He said that step meant the district would not return surplus funds to the municipality this year.

Open enrollment, tuition revenue and budget context

Broward outlined an expansion strategy centered on open enrollment and an online school. He said the district currently educates 31 out‑of‑town students through open enrollment and expects to invoice between $450,000 and $500,000 for nonresident tuition this year; he framed potential revenue as a source to fund the high school five‑year capital plan or to reduce property taxes subject to voter approval.

"If we bring in 30‑ish students each freshman year, we'll probably have a 110 to 115 total each year," he said, estimating such a program could generate roughly $2 million a year in tuition revenue under current prices.

Special education and transportation pressures

Broward warned that special‑education tuition and transportation remain significant budget pressures, noting some out‑of‑district placements cost roughly $70,000 per year and that daily transportation to specialized placements can approach or exceed the cost of the placement. The district has purchased vans and is recruiting drivers to reduce costly outside transportation contracts.

Committee action and next steps

After discussion, the budget committee moved to recommend the joint operating budget ($18,792,042 proposed; default $18,654,357) and approved a recommendation for Article 7, a $120,000 appropriation to the boiler replacement capital reserve fund. Several other warrant‑article recommendations were later taken up by voice vote.

The superintendent said some proposed policy changes (for example, changing state requirements about delivering special‑education services to students who enroll in charter or out‑of‑district programs) would require legislative action.

What happens next

The committee's recommendations will be part of the public hearing process and ultimately go before voters at the town's warrant; Broward said further information will be provided at subsequent meetings when additional data (for example, the state's per‑pupil cost detail used to calculate tuition invoices) is available.