Monson finance subcommittee flags $569,000 town shortfall; schools face transportation deficit

The Monson School Committee Finance Subcommittee on Jan. 12 reviewed FY2026 budget variances and preliminary requests for FY2027 and reported a townwide projected shortfall of $569,000, alongside a possible $31,059 deficit in the school transportation budget if current conditions persist. Chair Karen Nothe-Valley called the meeting to order at 5:01 p.m.

Committee members reviewed line-item variances in the monthly report, noting a $600 plumbing cost for Granite Valley and a $750 inspection for the Monson High School water tank. The committee said it is waiting on an estimate from the U.S. Environmental Protection Agency to bill Fletcher for disposal related to a separate Monson High School plumbing matter.

On transportation, the subcommittee noted the current FY2026 transportation account shows a $31,059 shortfall ‘‘if things stay exactly the same as they are now,’’ and cautioned that costs could increase. Looking ahead to FY2027, the subcommittee reviewed historical contract data and estimated a $76,165 increase in transportation costs as the district prepares to put the route contract out to bid.

The committee reviewed the district's preliminary FY2027 requests. Members said a pure level-service budget would require a 2.7% increase over last year; however, the subcommittee noted that a $117,769 reduction in grant funding raises the needed increase to 4.2% over the prior year. The committee also reviewed enrollment projections from the New England School Development Council (NESDEC), which forecast enrollment growth over the next decade and offer particular reliability for the next three years.

School officials told the committee that the town has not yet received all departmental budgets and that, after accounting for currently known increases, the town is showing a $569,000 projected deficit for FY2026. The School Department received a $75,000 earmark from state legislators; Superintendent Foster said he will continue communicating with legislators about the district's budget needs.

In other business, the committee reviewed an updated retainer agreement from Dupere Law Offices that clarifies what the retainer does and does not cover. Members also reviewed a table summarizing the town fraud risk assessment and the corresponding actions already taken or planned in response to that assessment.

The subcommittee is scheduled to present the School Department budget to the town finance committee on Feb. 9, 2026. Meeting documentation distributed at the session included the agenda and the monthly budget variance report. The meeting adjourned at 6:24 p.m.; minutes were noted as approved by Peter Wiggins, Secretary.