Dover-Sherborn Regional School Committee

FY 2006

Budget Development Process 

 What is Proposition 2½?

In 1980, as a result of a statewide referendum to change the property tax law in Massachusetts, Proposition 2½ was enacted. On an annual basis, it allows a community to increase its tax levy by a maximum of 2½% plus new growth. The tax levy is the amount of money that a town raises from real estate taxes.  New growth includes:

• Properties that have increased in assessed valuation since the prior year because of development or other changes
•  Exempt real property returned to the tax roll & new personal property
• New subdivision parcels and condominium conversions.

What is an “override”?

The override was built into the legislation to provide flexibility and ensure local control.  The override allows tax payers to decide for themselves how to spend their own money in their own town.  Since the inception of Proposition 2½, the taxpayers in Dover and Sherborn have supported numerous overrides to maintain the level of town services – including our excellent public schools.

Why are property taxes high in Dover and Sherborn?

The responsibility of financing local government falls heavily on homeowners. Dover relies on the residential property tax for 98% of its revenues; Sherborn relies on the residential property tax for 96% of its revenues. Over the years, at town meeting and the polls, Dover and Sherborn voters have chosen repeatedly to strictly control new residential development, maintain a small business district, and prevent industrial or other intensive commercial activity.  Both towns have nurtured a small town residential atmosphere, which leaves property taxes as the primary source of funding. 

What is the total budget for the D-S Regional Schools? Chickering School ?

Pine Hill School?

The current fiscal year budget for the Regional School District is $13,725,044.  Chickering School’s budget is $6,463,442; Pine Hill School’s budget is $3,844,335.

Are the schools the largest part of each towns’ operating budgets?

Yes.  Education is the largest single expense of most Massachusetts cities and towns; it is also the only local service a community is constitutionally obligated to provide. In each towns’ FY05 Omnibus Budget the schools represent:

• The schools represent 58.6% of Dover’s operating budget       

-- Dover’s share of the Region is 28.3 %; Chickering School is 30.3 %

• The schools represent 59.95% of Sherborn’s operating budget

-- Sherborn’s share of the Region is 35.3 %; Pine Hill School is 24.7 %

What are the major components of the Region’s FY05 Budget?

70.0 %                         Salaries

13.0 %                         Health Insurance/Employee Benefits

   3.5%                         Utilities

   3.5%                         Transportation

   2.4%                         Maintenance

   7.6%                         Instructional Supplies

What methodology is used to split the cost of the Regional budget between the two towns?

Established under the Dover-Sherborn Regional Agreement, the following is applied annually to the Region’s budget to determine each towns’ assessment for the fiscal year:

• Operating Costs – After deducting supplemental funding from the Excess & Deficiency account, Regional debt and revenue receipts* from the total budget, the assessment for the operating budget is entirely determined by expensing the number of students enrolled from each town as of November 1 of the preceding fiscal year.
• Debt Service – 75% of the debt payment is determined by factoring the number of students enrolled from each town as of November 1^st, and the remaining 25% is determined by the number of children in grades 5 – 11 enrolled full-time at any school (public or private) whose parents/guardians reside in town.

* Revenue includes: Chapter 70, Regional Transportation, Interest Income, Rental Income, and Fees -- Athletic, Parking, Student Activity.

Dover’s FY05 assessment is $6,049,660 (Operating 49.85% Debt 56.63%)

Sherborn’s FY05 year assessment is $6,067,732 (Operating 50.15% Debt 43.37%)

How much revenue is generated from fees?

As noted above, revenue receipts are applied to the general fund and used to reduce each town’s operating assessment. The School Committee has instituted the following three user fees with projected FY05 revenues of:

·        Athletic Fee - $200 per sport                           $89,000

·        Senior Parking Fee - $150 per year                 $13,500

·        Student Activity Fee - $40 per year                 $40,000

Contact School Committee members with concerns and questions:

Georgia Gates Derr, Chair        650-4905                     t.derr@comcast.net

Shelley Poulsen, Vice Chair      785-0164                     shelleypoulsen@comcast.net

Jane Aswell                              785-1634                     janeaswell@comcast.net

Evie Cagney                             650-9237                     evie.cagney@comcast.net

David Chase                             785-0484                     david@circletree.com

Ellen Williamson                       651-1089                     ellenjohnwilliamson@comcast.net