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Council repeals Prudence Island schoolhouse MOU, shifts funding into contingency
Summary
After reviewing invoices and projected maintenance needs, the council voted to repeal the existing MOU with the Prudence Island Schoolhouse Foundation and allocated $25,571 to the foundation with $25,000 held in a restricted contingency account pending documented need.
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The Portsmouth Town Council voted to repeal the current Memorandum of Understanding (MOU) with the Prudence Island Schoolhouse Foundation and directed staff to negotiate a replacement MOU that includes clearer reporting and invoicing requirements.
Council members said they value the foundation’s work maintaining the island schoolhouse but want more detailed invoices and multi‑year planning in future civic‑support requests. Miss McDow moved to repeal the existing MOU and require the foundation to provide invoices, official estimates and a clearer five‑year plan for building maintenance; the motion passed unanimously.
Funding action: the council approved a FY27 allocation of $25,571 to the foundation and moved $25,000 to a restricted contingency fund that the council can release if the foundation documents additional need. The action keeps the total budgeted amount available for the foundation while increasing council oversight of disbursements.
Foundation response: Kathy Holman, speaking for the Prudence Island Schoolhouse Foundation, said the group was willing to renegotiate the MOU and provide the requested documentation; she noted the foundation’s fiscal year runs to Aug. 30 and that some work and grant applications remain in progress.
The council asked staff to coordinate with the foundation and return with a draft MOU and an itemized capital/maintenance plan during the next budget cycle.

