MA State Senate Passes FY 2020 Budget

After adding $74.4 million in additional funding to its original proposal during three days of deliberations, the Massachusetts State Senate passed a $42.8 billion budget for Fiscal Year 2020. The final budget makes targeted investments in education, transportation and mental health services, among other priorities.

"I would like to express my deepest appreciation to the members of the Senate for their kindness, thoughtfulness, willingness to work collaboratively, and commitment to service during this entire budget process," said Senate President Karen E. Spilka (D-Ashland). "Together, we worked hard to produce a fiscally responsible budget that reflects our Senate values."

"I am proud of the collaborative process that the Senate employed this week, my first budget debate as Chair. Through robust debate, we made further investments across several key areas including substance use treatment and supports, civics education, security upgrades at non-profits, and suicide prevention," said Senator Michael J. Rodrigues (D-Westport), Chair of the Senate Committee on Ways and Means. "Through respectful and thoughtful deliberation, and under the leadership of Senate President Spilka, the Senate has passed a budget that reflects our commitment to ensuring equity and boldly moving Massachusetts forward. Thank you to my colleagues in the Senate for their many steps passionate advocacy over the course of our debate."

The most notable area of investment is in K-12 public education funding. The Senate budget funds Chapter 70 at $5.176B, an increase of $268.4M over FY 2019. This funding level is the largest year-over-year increase in public education funding in 20 years, and also represents a significant down payment to fully fund the recommendations of the Foundation Budget Review Commission (FBRC) through focusing on school districts with the most pressing costs related to low-income students in economically disadvantaged communities, employee health benefits, special education, and English language learners. This level of investment also allows for a minimum aid increase of at least $30 per pupil over FY 2019 for every school district across the state, as well as 100% effort reduction to bring all school districts to their target local contribution.

Education funding also gets a boost through $345 million to fully fund the Special Education Circuit Breaker and reimburse school districts for the cost of educating students with disabilities at the statutorily required 75% reimbursement rate; $75.8 million to reimburse school districts for regional school transportation costs, including an additional $2 million added through the amendment process; and $100 million to reimburse school districts for costs incurred when students leave to attend charter schools. Funding for public higher education includes $558 million for the University of Massachusetts, $293.2 million for the state's fifteen community colleges, and $274 million for the nine state universities.

"After a week of productive and substantive debate and discussion with my Senate colleagues, I am more confident than ever that the Senate's budget for Fiscal Year 2020 will meaningfully address many of the Commonwealth's greatest collective needs," said Senator Jason Lewis (D-Winchester), Assistant Vice Chair of the Senate Committee on Ways and Means and Senate Chair of the Joint Committee on Education. "I'm especially pleased that this budget makes substantial new investments in education, reflecting the Senate's longstanding commitment to supporting public education and laying the groundwork for the Massachusetts Legislature to update the Commonwealth's school funding formula and ensure that every school district is adequately and equitably funded."

The Senate budget funds MassHealth at a total of $16.55 billion to maintain access to affordable health care coverage for over 1.8 million people and ensure comprehensive care for children, seniors and low income residents. Cost containment measures included providing MassHealth with additional tools to tackle the rapidly growing cost of pharmaceutical drugs by permitting the Secretary of Health and Human Services to directly negotiate for rebates or cost effective payment arrangements with pharmaceutical manufacturers. The budget also explores new and creative cost savings initiatives for MassHealth to purchase prescription drugs and requires greater transparency from pharmacy benefit managers. The budget also includes $10 million for a new behavioral health outreach, access and support trust fund to support a loan forgiveness initiative for behavioral health workers and a general public awareness campaign to further the Senate's priority to increase access to mental health care.

"This Senate budget reflects our strong commitment to increasing access to quality, affordable health care, ensuring that every student has the opportunity to receive a quality education, and expanding access to behavioral health services," said Senator Cindy F. Friedman, Vice Chair of the Senate Committee on Ways and Means and Senate Chair of the Joint Committee on Health Care Financing. "As our state continues to grapple with the opioid crisis, I'm especially proud that this budget makes strong investments in mental health treatment and harm reduction initiatives to ensure more resources for families and their loved ones. I want to sincerely thank Chair Rodrigues and Senate President Spilka for their leadership, hard work, and collaboration during this process and for facilitating a thoughtful and efficient debate."

The Senate's budget includes a total of $42.8B in spending, a 3.2% increase over the Fiscal Year 2019 General Appropriations Act. The FY 2020 budget reduces reliance on the use of one-time revenue sources and directs $268M to the Stabilization Fund to continue to build the Commonwealth's financial safety net.

"This budget was the product of bipartisan input, debate, and adoption. It recognizes important Senate priorities such as public education, aid for cities and towns, health care, senior care, transportation, substance abuse and more while creating opportunities to increase efficiencies and reduce government costs," said Senate Minority Leader Bruce Tarr (R- Gloucester). "We deposit more than $260 million into the Stabilization Fund, provide tools for MassHealth to pursue savings, probe the MBTA pension problem, respond to the growing skilled nursing home crisis, and we take steps to foster greater economic prosperity for all; this is a bold budget that avoids broad-based tax hikes and adheres to principles of fiscal discipline"

Additional education investments include:

· $2.5M for the Early Colleges program to allow students to earn college credits and get a head start on the transition to college, with $815K added on the floor
· $2M for grants offered through the Massachusetts Inclusive Concurrent Enrollment Initiative to support high school students with intellectual disabilities ages 18–22 with access to higher education opportunities
· $12M for grants to the Head Start program to maintain access to early education services for low-income families
· $7.5M for the Commonwealth Preschool Partnership Initiative to expand access to preschool in underserved areas
· $6.5M for Youth-At-Risk Matching grants, including support for YWCAs, YMCAs and Boys & Girls Clubs, after adding $1.9M on the floor
· $2.5M for Rural School Aid , after adding $1M on the floor

Additional health care investments include:

· $150.2M for a range of substance abuse treatment and intervention services, including $3.5M in new funding to open five new recovery centers
· $5M for investments in the substance use disorder workforce, including training on medication management, medication-assisted treatment and treatment of co-occurring disorders
· $93.4M for children's mental health services, including $3.9M for the Massachusetts Child Psychiatric Access Program (MCPAP) and $675K for MCPAP for Moms to address mental health needs of pregnant and postpartum women
· $16.5M for Family Resource Centers to expand to new communities and meet increased demand for services
· $489M for Adult Support Services, including assisted outpatient programming and comprehensive care coordination among health care providers
· $25M to fully fund Department of Developmental Services Turning 22 services to help young people with disabilities transition to adulthood
· $5M for the coordination of a comprehensive statewide strategy, in partnership with municipalities, public health harm reduction organizations and other stakeholders, to promote existing harm reduction efforts and community-based harm reduction services
· $1M for the Healthy Relationship grants program to support teen dating violence prevention efforts, after adding $850K on the floor

The Senate's budget invests in programs and policies to educate, train, and prepare Massachusetts workers in order to provide them with opportunities to grow and succeed. Opportunity investments include:

· $38.5M for adult basic education services to improve access to skills and tools necessary to join the workforce
· $15.6M for summer jobs and work-readiness training for at-risk youth, after adding $1.2M on the floor
· $7M for the Workforce Competitiveness Trust Fund to connect unemployed and under-employed workers with higher paying jobs
· $2.5M for the Massachusetts Technology Collaborative Innovation Institute
· $2.5M for the Precision Manufacturing Program
· $2M for Small Business Technical Assistance grants
· $2M for the Massachusetts Manufacturing Extension Partnership
· $1M for Regional Economic Development Organizations to support economic growth in all regions of the state

The Senate's budget maintains the Senate's commitment to increasing access to quality, affordable housing, investing in low-income housing and homelessness services and supports. 

Housing investments include:

· $178.7M for Emergency Assistance Family Shelters, after adding $800K on the floor
· $110M for the Massachusetts Rental Voucher Program (MRVP)
· $48.3M for assistance for homeless individuals
· $30.8M for the HomeBASE diversion and rapid re-housing programs
· $21M for Residential Assistance for Families in Transition (RAFT), including $3M to continue expanding eligibility for individuals in need, including persons with disabilities, seniors, unaccompanied youth, after adding $1M on the floor
· $8M for the Alternative Housing Voucher Program (AHVP) providing rental assistance to people with disabilities and $2.7M for grants to improve or create accessible affordable housing units
· $7.5M for rental subsidies to help those suffering from mental health find or maintain stable housing, after adding $1M on the floor
· $5M for housing and supportive services for unaccompanied homeless youth
· $2.9M for the Home and Healthy Good program, including $500K for a new housing program to support those experiencing homelessness who also have complex medical and behavioral health needs.

The FY 2020 budget furthers regional equity and supports cities and towns by directing significant resources to local and regional aid. This includes increased funding for Regional Transit Authorities (RTAs) to $90.5M and ties future funding to inflation, while incentivizing RTAs to adopt best practices to ensure that commuters, students, seniors and people with disabilities are able to rely on public transportation to access jobs, education and opportunity. In addition to traditional local aid, the Senate's budget increases payments in lieu of taxes (PILOT) for state-owned land to $30M. PILOT funding has been a beneficial source of local aid that provides cities and towns with additional resources to support core public services. 

Local investments include:

· $1.129B for unrestricted general government aid to support community investments in education, health care, public safety and roads and bridges
· $29.1M for the Board of Library Commissioners, $11.5M for regional library local aid, $9.9M for municipal libraries and $3.3M for technology and automated resources
· $18M for the Massachusetts Cultural Council to support local arts, culture and creative economy initiatives, after adding $1M on the floor
· $18.1M for local Councils on Aging to strengthen programs and services in senior centers in communities across the state, after adding $1.4M on the floor
· $11M for Shannon Grants, which are distributed to municipalities for youth gang violence prevention, after adding $2M on the floor

A Conference Committee will now convene to reconcile the differences between the Senate budget and the version passed by the House of Representatives in April. Fiscal Year 2020 begins on July 1, 2019.

For more on the Senate budget visit their web page
https://malegislature.gov/Budget/SenateDebate

https://malegislature.gov/Budget/SenateDebate

Real time Reporting: Town Council - Budget Hearing #2 - May 23, 2019

Present: Hamblen, Casey, Dellorco, Kelly, Mercer, Jones, Padula, Pellegri, Earls 
Absent: none

Agenda Item	Summary
1. HEARINGS	FY 2020 Budget Hearing: 7:10 PM Voting Document FY 20 Budget Message FY 20 Town Administrator Proposed Budget
2. LEGISLATION FOR ACTION
2a. LEGISLATION FOR ACTION	Resolution 19-32: Adoption of FY2020 Budget (Motion to Move Resolution 19-32 - Two Thirds Majority Vote (6))
2b. LEGISLATION FOR ACTION	Resolution 19-33: Amendment to FY2020 Budget (Motion to Move Resolution 19-33- Majority Vote (5))
3. TOWN ADMINISTRATOR'S REPORT	Jeff Nutting's final report "there are two kinds of people those who do the work and those who take the credit, be in the first group, there are less people." hard work, passion, ethics and sense of humor build success many folks to thank the list is endless, you don't get here by yourself if you are at a meeting on time, you;re let if you can't treat people with respect, you can't keep them happy I have worked for 31 councilors and 10 different councils "no government in the Commonwealth moves as fast as Franklin" "I ask the citizens to thank the employees for the work they do" Rep Jeff Roy presents a MA House resolution to Jeff Nutting in recognition of his 40+ years of public service
4. COUNCIL COMMENTS	round of council comments recognizing Jeff and his accomplishments, dedication to community and service 18 years of service to Franklin many thanks a rare combination of vision and execution
5. ADJOURN

called to order at 'shortly after" 7:00 o'clock (meaning 7:10 PM)
public hearing called open at 7:11 PM

Q - will there be staffing at the Police and Fire dept with the regional dispatch in operation?

A - kiosk at both Police and Fire stations with dispatch moved to MECC, police will have someone on site 20 hours, no one at Fire outside of daytime hours (assuming not on a call).

Resident comment:

Kit Brady, Kimberly Ave
thanks to councilors and to personnel for doing more and more with less and less
experiencing a good boom, layoffs of teachers and parking for high school students being added

why are we in this situation? 

we as a community need to do better for our schools and community
collectively we as adults are setting a bad example

Mercer - the process is a good process, the schools started when we knew, we try very hard to make the community aware of the budget process and shortfalls. The final numbers are still in process and we don't have the final Chap 70 numbers today

I'll entertain motion to close the hearing
motion to close, seconded, pass 9-0

• Resolution 19-32: Adoption of FY2020 Budget (Motion to Move Resolution 19-32 - Two Thirds Majority Vote (6))

motion to approve, seconded, passed 9-0 (via roll call)

• Resolution 19-33: Amendment to FY2020 Budget (Motion to Move Resolution 19-33- Majority Vote (5))

motion to approve, seconded, passed 8-0 (via roll call - Jones recused)

(If you missed why there were two votes to pass one budget, visit
https://www.franklinmatters.org/2019/05/franklin-ma-town-council-agenda-may-23.html)

Voting document

https://www.franklinma.gov/town-council/files/voting-document-fy2020

Budget Message

https://www.franklinma.gov/town-council/files/fy20-budget-message

FY 2020 Proposed Budget

https://www.franklinma.gov/town-council/files/fy-20-town-administrator-proposed-budget

Live Reporting: Legislation for Action to Closing

4. LEGISLATION FOR ACTION
4a. LEGISLATION FOR ACTION	Resolution 19-34: Expenditure Limits for FY 2020 on Departmental Revolving Funds Established by Franklin Town Code Chapter 73, as provided in G.L. Chapter 44 Section 53E1/2, as Amended (Motion to Move Resolution 19-34 Majority Vote (5)) motion to waive reading, seconded, passed 9-0 requirement to authorize yearly motion to approve, seconded, passed 9-0
4b. LEGISLATION FOR ACTION	Resolution 19-35: Compensation Plan, FY 2020 (Motion to Move Resolution 19-35- Majority Vote (5)) annual rate plan, 1.5% adjustment for use in hiring process motion to approve, seconded, passed 9-0
5. TOWN ADMINISTRATOR'S REPORT	thanks to the Garden Club and Downtown for the beautification respond to the folks for their sidewalks and streets as you have heard from Brutus, we have done this for many year no knowledge of issues in those areas where we have changed; if we stop and change the plan, we lose we are adding a sidewalk on Lincoln St which wasn't there what we are doing is not out of reason if we turn back, then how could we legal mechanism to do so; as well as huge financial issues, it is great plan we are taking the Town of Franklin's street and doing what we need to do
6. FUTURE AGENDA ITEMS	would like to add to agenda CPA to discuss
7. COUNCIL COMMENTS	thanks for the volunteers for beautifing Franklin thanks for the budget work it was painful thanks for the work, these are tough times condolences on the passing of JR (Johnny) Padula reiterate to join us for the veterans breakfast and Memorial Day and 75th anniversary on June 6 more than half of K students didn't know the street they lived on Thanks for all the efforts in bringing the budget in Condolences to the Padula family; he started the pasta dinner and the next one is coming up; thanks for the budget, it was a daunting task with the budgets cuts to be made Condolences to Padula family, so many great stories
8. ADJOURN

motion to adjourn, seconded, passed 9-0

Live reporting: Town Council - May 22, 2019 - Budget Hearing #1

Present: Hamblen, Casey, Dellorco, Kelly, Mercer, Jones, Padula, Pellegri, Earls 
Absent: none

Agenda Item	Summary
1. ANNOUNCEMENTS	This meeting is being recorded by Franklin TV and shown on Comcast Channel 11 and Verizon Channel 29. This meeting may be recorded by others.
2. CITIZEN COMMENTS	Citizens are welcome to express their views for up to five minutes on a matter that is not on the agenda.  The Council will not engage in a dialogue or comment on a matter raised during Citizen Comments. The Town Council will give remarks appropriate consideration and may ask the Town Administrator to review the matter. A Earls - Saturday, June 1 a 90 minute course on how to run in Franklin  sign up on website, seating is limited Dale Kurtz - Veterans Officer hosting Memorial Day parade, 10:30 AM finishing at Town Common at noon Kathy Mahler - Skyline Estates residents objection to sideways being removed, streets being narrowed, truck turning issues, bus turning issues response from Town Administration to keep sidewalk on her side rationale is that the road override failed now turn to get streets paved, water pipes installed only at meeting Apr 23 was it notified that the roads would be narrowed; replacing with lesser product life cycle 4th changed in this way look out your window, what would you do if yours would be changed creative suggestions on speed mitigation, I have 80+ signature to keep it approved I am prepared to pursue this to the extent possible Dan Ballenger - Skyline Estates purchased based upon what was there Town planning on changing the neighborhood experience an argument to the change might violate the ADA regulations; change in quiet enjoyment, dispute in value what your doing is planning is changing what I purchased
3. HEARINGS	FY 2020 Budget Hearing: 7:10 PM open public hearing on FY 2020 budget thanks to all for the countless hours to prepare this document for your consideration Revenue  tax levy will increase 2.7M overall state aid declining about 900K net revenue under 2M for first time used our reserves, School will talk about their budget we will make it work this year but for FY 2021 shortfall likely in neighborhood in area of 4M state aid might change but not likely to get an update until this summer, could change before rate is set in the Fall Budget  no dramatic changes, schools being funded by less than 2M eliminating road budget of 600K for next year to save jobs we will survive this year and move forward Voting Document FY 20 Budget Message FY 20 Town Administrator Proposed Budget

Town Council- Kelly
councilor and school committee are volunteer positions
doing it because we choose to do it

Treasurer/Collector - Padula
we had a position overlap for training, and now the retirement will happen in Aug

Information Technology - Earls
Tim Raposa, Director
overall spending? large portion of the budget is bascially subscription fees
for permitting software, website, 5-10% is break fix
website hosting, board and service fees
the phone calls for snow days, etc. (Brutus's call)
printer service covers toner and paper as well as break fix

- Pellegri
Where is your salary?
we're all volunteers - the School budget holds that
14 years ago, the IT efforts merged and the School have run the combined IT since
a few years after that we took over all the facilities
something to discuss for future

Facilities - multiple holds
contain operational cost to contain costs and future costs
even though we use the solar farm, we bid our electric and ended up with a contract for 4 years, fixed price 10 cents/KW
currently electric is generally rising, to avoid future increases, almost 85% LED saving more
spoke at a NationalGrid conf, using their grants
we are a partner with them not an adversary, we're getting 15-20 % back
changed the way we bring dial tone for all schools and all town properties, Siptrunking - dial tone over internet services, saving lines and cost
saved $2600/month used to purchase new phones
became a green community, maintenance program working well
illness and infections occur in a building, used to spray everything in the room
actually not cleaning it is disinfecting, machines and products examined to do it easier
one person can spray a room in hours rather than 4-5 folks spending a day

Pellegri - electrician and plumber to be hired to save money
how can you explain spending all that and what was the saving?
we also used a contractor to do projects as opposed to the day-to-day work
the hired person was also out for illness and we had coverage via the contract for that
1.3M sq feet of building but one person can't do it all

Dellorco - i agree one is just not enough, even of we hired a HVAC guy we'd still need outside
how fast do you get to your work orders?
depends upon the trade? if life safety, out within hours; usually have several work orders at any given time
How puts the priority on the orders?
how come you haven't been to Parmenter for the mold?
spent weekends cleaning using the disinfectants etc. painting etc.

Kelly - difference between last and this? what are we doing in raises for public property
no raises, no steps and levels, we added part-timers for Library
approx 70K for raises; OT in high school added for lunch time

how many employees do you have?
12-14 part-timers, custodians, about 56?
at least 3 part-time, big turn over
I don't get how many you have and how many your trying to fill
turning over new people

we have a number of sprinkler failures and folks coming to us with complaints?
I am concerned about this line item
I'd like to understand what's going on, one in particular twice if not 3 times

it is not from you I am hearing it, I am hearing it from others, teachers

Fire - Casey
mutual aid going to other towns, do we get reimburse operational costs for those
No? they may come over to us many times as well
if there was a medical call, that would be billed
about a couple of hundred times a year

mutual aid agreement

Pellegri
how you saved money since the regional dispatch?
budget for this year was more due to their delay, moving forward so there will be some savings

Regional Dispatch
question was just answered, thanks

Opened on May 9, opened couple of weeks, 911 works great
working on reporting issues to get resolved shortly

meeting regularly to work out all the bugs
still a few more issues to be worked by 4th of July, by middle of summer should be good

Schools -
Town Council  doesn't have control of the individual line items
School Committee and administration handles the details
Special Ed annual issue; one of the drivers
other include salaries (76%), health insurance, transportation
look at student needs first and foremost
some of the areas escalation are the out of district tuition
out of district transportation also an issue which is generally revealed later
legally required to provide a free education
decisions made carefully, costs watched carefully, providing services
advocating with our legislators to ensure that State funding is fully funded
transportation is not currently included and we hope to advocate for it

you have used your reserve funds the last several years, the end is near or here?

strategically we have been spending down the revolving funds to balance the budget
we are spending our revolving accounts in the year as it goes
for FY 2021 and FY 2022, could not use anymore than we have
this budget uses 4.87M in revolving

enrollment? opened at beyond capacity at the High School
separating K-8 from high school
at 1750 this year, 1780 last year
we are expected to be stable next year as well as low 1700's for the year after

the FY 2022 will start seeing the decrease in enrollment currently in the elementary grades
K-8 stable this year for the first time, as opposed to decreases prior years
middle school seeing the dip; possible smaller K enrollment
expansion of charter school K-5 will take some students
census and birth rates down, do see move ins during the summer

what is the future of the Davis Thayer school?
we do have a policy around the building use
we have known of the fiscal issues coming, we have looked at
comprehensive closing factors, planning and study done
emotional impact is large, not taking lightly
looking at over the next few months

1924, an old building, once the Franklin High School

Casey - SEL issue? what costs go up associated with this issue
we have always been focusing on teaching the whole child, there is a renewed focus on the SEL development, lots of causes to point to, impact of technology and children's brains, disrupting our social fabric, is one part of it; increasing information exposure, school being seen as more social service agencies rather than just an educational institution; coordinating efforts with Franklin Food Pantry as well as the Y for our food insecure community
schools are increasing counseling services on site to better service
providing intervention and curriculum support as well as for teachers
from pre-K to 22

are still pursuing substance abuse prevention through all our schools
Substance Abuse task force also helping in this arena
wellness classes were asked for at middle schools but it is an unmet need

do you have a social media message program against vaping etc.?

1.4M per year over ten year increase; that doesn't look sufficient?
it is sad that it is still not enough to meet our needs

You did a good job coming back to us with cutting 2M from it
by next year, it may be more?

what would your range of class size be?
bby and large within school committee guidelines, some in elementary in teens
some in low to mid 20's
middle aimed for 20-24, shoudl see that
high school does exceed our guidelines, not supporting to reduce class sizes
27-28 some of the norms larger than we would like
we did attempt to add at high school but it wasn't feasible in this budget

health insurance and transportation?  anything else that we can do?
group of all the union  heads have worked well together to save money
relative to transportation, include special ed in circuit break calculation would be a help
we appreciate your support of our capital requests, i;e. the recent van purchase helped us keep costs down

when we built the high school was for 1650 and dictated by the state, they wanted it at 1600, after fighting we we got it to 1650, after it opened it was 1750

Norfolk aggie
just a tuition cost, don't get the final number until February

DPW -
can you explain the impact to the budget for the 600K in roads
last year we had limited funds for roads, usually around 200K
this year worked we have done at Lincoln St
we're going to additional parts of Pond St, it will affect how much we get done
easy to point out the mill and overlays
we all get calls on the roads, it is a concern
because of where we are now, we cut the 600K
do better with less

$40M to get to the backlog, the council supported a dedicated override in 2014 that was voted down
that 5 year plan turned into a fifteen year plan

point well taken but there is nowhere to get the money

March MMA advocacy for Chap 90 (road funds)
you can go out to bid until you get the money, we hold our Chap 90 funds to use
Gov Baker gave more and we got about 300K of it

basically a million/mile
crack seal really cheap;

stormwater management law suit with EPA
Franklin took the lead on the lawsuit, approx $5K
we are leaders in stormwater; we are in mediation right now
still a disconnect with the conservation groups, could cost us $40M
even if we win, there will be a cost, it will be huge

our wells, conservation plan
our wells have recovered, our ground water is permitted by the state, starts after Memorial Day

Library -
floor to be completed in fall per Felecia and Mike

Debt Services
policy to not to exceed 3.5% for debt
currently in 2.5%
we have moderate per our financial advisor, will continue to decline
level principle and declining interest, to build capacity to take on other projects
we want to keep reinvesting in our facilities

Employee Benefits
over 5M for pension obligation
health insurance, threefold active, retired, school employees
active work with unions to provide fair and good plans
work with employees to be fair to them and fair to the town
health going up 8% a year, not really in our control

town pays 68% , employee pays 32 %

it is right to be cynical about the health insurance industry, we have worked well together
we spend time on it to keep the numbers down

looking back at 2010, 99M
129M 30 M difference 3% per year
only allowed to asses 2.5%
avg 3-4% inflation, crippled by the 2.5% process
we're falling further and further behind

Voting document

https://www.franklinma.gov/town-council/files/voting-document-fy2020

Budget Message

https://www.franklinma.gov/town-council/files/fy20-budget-message

FY 2020 Proposed Budget

https://www.franklinma.gov/town-council/files/fy-20-town-administrator-proposed-budget

Fiscal Year 2020 Budget Message

If you are reluctant to read the PDF copy, a good portion of the Budget Message is shared here. The link to the Full PDF copy is at the end.


Executive Summary FY 2020 Budget

While fiscal challenges remain, our resolve to overcome them is relentless.

The FY 20 proposed budget will be balanced with use of approximately $390,000 from our
Budget Stabilization Fund (Rainy Day account), which will bring the balance of that account to zero. Further, both the School Department and the Town will cut budgets to make ends meet While this will work for one year the FY 21 budget will require policy decisions on how to handle the budget shortfall. The fiscal forecast suggest a shortfall of approximately $4,000,000 +/-

We continue to face challenges in properly funding the annual operating budget, Other Post-Employment Benefits (OPEB) and roads. We should continue to maintain the capital plan and debt capacity in the annual operating budget to fund capital improvements.

The Town’s property tax revenue (not including debt exclusions) will increase by 2½ % plus new growth, or about $2.7 million. Local receipts, which include the excise tax and permit and license fees, etc. will increase $240,000, mostly due to increased motor vehicle commitments. Net State Aid (based on the House budget) will decrease $861,500. The FY 20 “net” revenue increase is estimated at about $2.5 million dollars. The final amount will not be known until the state has adopted a FY 20 budget

Proposed FY 20 Highlights

Town Administrator - The office will be reconfigured with the recent retirement of the Town Administrator. The staff will include the Town Administrator, Assistant to the Town Administrator and the Administrative Assistant/Marketing Coordinator. This will save money and help the town to continue to expand its communication and marketing efforts.

Police – The police have added five positions through the collective bargaining process while saving money from the new schedule change and the employees of the PD and Command staff should be commended for their innovative outside the box approach.

Regional Dispatch – The dispatch center opened in May 2019.

Franklin Schools – The recommended School budget is far short of the School Committees request by over $2 million dollars. The proposed FY 20 State Aid is about $900,000 less than in FY19. The reduction is related to the lack of proper funding for Charter Schools. We are working with our elected officials to try and mitigate the problem.

The Benjamin Franklin Classical Charter School – The school is relocating to its new location on Washington Street in 2019. The increase enrollment from Franklin diverts funds from the Franklin Public Schools to the Charter School. This is a flaw in the funding formula (see above)
in state law.

Library – The Library will continue to meet the Minimum Appropriation Requirement of the State
Library Commissioners.

Historic Museum - The part time archivist wages have been moved from the Town Administrators budget to this budget into a separate line item for the Museum.

Employee Wages/Benefits – All collective bargaining expire on June 30, 2019. The town is currently in negotiations with the Unions, Pension costs increased by about 10% or about $540,000, OPEB is funded at $600,000 and health insurance continues to be a challenge. Thanks once again to the employees for working together to constrain health insurance increases. This is critical to maintaining staffing levels.

Budget Overview

In compliance with Article Six, Sections 6-3-1 through 6-5-2 of the Franklin Town Charter, I am submitting the proposed FY 20 budget to the Town Council and Finance Committee.

Process
Each department is required to submit a proposed budget to the Town Administrator. The Town Administrator, the Comptroller, and the individual Department Heads review their budget request.

The Town Administrator also reviews the highlights of the Town’s fiscal plan with the budget subcommittee of the Town Council. Based on input and the meetings with the Department Head, the Town Administrator makes a budget recommendation to the Town Council and the Finance Committee. The Finance Committee reviews the Town Administrator’s proposed budget and forwards their recommendations to the Town Council. The Town Council holds two public hearings prior to adopting the budget.

Financial Policy Summary
While the budget process identifies issues and concerns that the Town will address on an annual basis, it also must do so based in a framework of sound financial management. The Town Council has adopted fiscal policies in the past and should continue to update and review them on a regular basis. The Finance Committee and Town Council reviewed and adopted new Financial policies in 2019. Below is a summary of current policies:

Balanced Budget
● Annual costs funded from current revenues.
● Do not defer current costs to future years.

Current status – Whenever possible we refrain from using one time funds to balance the budget. FY 20 is an exception due to extra challenges we face. We are all the funds left in the Budget Stabilization account, $390,000 to prevent further reductions in staff. We have not addressed our (post-retirement health insurance) although this year we have budgeted $600,000 to continue to fund the obligation of about $74 million (2018 actuarial study). (Editor's note: FY 2019 was also an exception as some of the Budget Stabilization Fund was used to balance the FY 2019 budget. The remainder of that fund is being used this year; hence two consecutive exceptions.)

Compensation and benefits
● Budget with current revenues
● Compensate at market rates

Current status – We have nine municipal unions. All unions have collective bargaining agreements through June 30, 2019.

Revenues
● Estimate annual revenues in detail and project for the following five years.
● Maintain full and fair market value of property assessments.
● Ensure fees charged cover costs incurred.

Current status – Future revenue projections are included in the budget. New growth and local receipts have been adjusted to reflect the trends in actual collections. Included in the projections are the enterprise funds direct and indirect charges that pay back the general fund for costs attributable to those funds. Again this year we are charging the water and sewer enterprise accounts for their OPEB obligation.

Financial Reserves
● Adequately fund and maintain reserves (Stabilization, Free Cash, Overlay Surplus)
● Maintain Stabilization account at $6 million or 5% of recurring general fund revenue (less debt exclusions and SBA reimbursement).
● Short-term revenue surpluses shall fund non-recurring projects.
● Free Cash will be used to fund the capital budget and for unforeseen expenses.
● Overlay surplus will be used for capital budgets and non-recurring expenses.

Current status - the General Stabilization fund balance is just about $6 million, which is recommended by our auditors and

Long-Term Debt - Proposed
● Reserved for large capital projects.
● Net general fund debt service (not including debt exclusions) shall be targeted at not more than 3.5% of recurring general fund revenue. We are currently well below that number.


Read the full message online
https://www.franklinma.gov/sites/franklinma/files/uploads/fiscal_year_2020_budget_message_0.pdf

Fiscal Year 2020 Budget pie by category of budget expenses