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Norwich district told it will receive about $5.9 million in one-time state aid; board weighs uses and accounting
Summary
District officials told the board that Norwich Public Schools is expected to receive roughly $5.9 million in one-time supplemental state education aid if the governor signs the budget; administrators recommended placing the money in a restricted non-lapsing fund and discussed options including transportation, technology, and health-insurance reserve uses.
The Norwich Board of Education heard detailed guidance from district finance staff on a one-time state supplemental education payment the district expects if the governor signs the budget.
Business administrator Robert Serpinsky told the board the district is slated to receive "5,913,205, provided that the governor signs the bill," and Superintendent Susan Lassard reiterated the amount as "approximately 5.9 million in supplemental education aid funding," saying the payment is separate from regular ECS formula funding and will be distributed to the municipality by Oct. 31.
Serpinsky and Superintendent Lassard emphasized that the money is a one-time entitlement and said best-practice accounting would be to keep the funds in a separate restricted (non-lapsing) account for audit clarity. "The payment of this money is going to be made directly to the treasurer of the municipality," Serpinsky said, and he and city staff plan to create an account number controlled by the Board of Education to track expenditures.
Board members and administrators discussed several possible uses. Serpinsky said the board could charge recurring expenses (for example, several months of transportation) to the special account to avoid creating new ongoing staffing obligations that would be hard to sustain once the money is gone. He also suggested dedicated uses such as technology for new schools and shoring up the district's health-insurance reserve.
The board flagged a key caveat: because the payment is one-time state funding and not part of the ongoing operating budget, using it this year could make next year’s operational comparisons appear larger if the underlying ECS formula or base funding changes. Serpinsky warned that the district must be careful not to treat the money as an ongoing revenue source and urged conservative choices that avoid creating permanent commitments.
The board directed administration to continue working with the city treasurer and the mayor’s office on account setup and to return with specific spending recommendations at an upcoming ad hoc meeting.
Why it matters: The grant — if finalized — would be an unusually large one-time infusion for a district that for years has navigated constrained state funding formulas for excess special-education costs, pre-K, and other programs. How the board spends or reserves the money could affect operations, capital planning, and next year’s budget negotiations with the city.
