Sharon discusses MBR with state

SHARON — In an effort to understand the state’s minimum budget requirement (MBR) and its effect on the town expense budget for Sharon Center School, the Board of Finance held a special meeting Wednesday, Dec. 13, with a representative of the Finance Office of the state Board of Education. The meeting was held via Zoom, with the finance board gathered at the Town Hall.

Representing the Office of Finance at the state Board of Education was Kevin Chambers, who fielded questions in response to the local finance board’s interest in exploring ways to lower the MBR, citing declining enrollment, and asking how relief from the MBR could be obtained.

Chambers indicated that there are three ways that local schools can lower the MBR: a decline in student enrollment, increased efficiencies, or closing the school. He also noted that the MBR is tied to grades K-12, so that Region One would benefit from any reduction in the MBR.

“We are spending an arbitrary amount of money because of a calculation by the state,” commented one finance board member.

Pursuing another track, finance board Chairman Tom Bartram indicated that some capital expense items may have been entered on the wrong budget lines in recent years. He asked what the effect would have been on the MBR if the capital projects were taken out of the budget.

Board of Education Chairman Doug Cahill noted that a five-year capital plan had been created a few years ago bringing a shift in the accounting. Capital projects had been included under building repairs, he noted.

Chambers agreed that capital projects should not be included in MBR computations, leading to a deeper debate on that point.

“If we took our capital line out of the Board of Education budget, could we get a reduction for one year in the MBR?” Bartram asked.

“They don’t want the town moving money around just to beat the MBR,” Chambers replied.

“It’s a good law that protects education,” Cahill said of the MBR.

As a result of discussion, Chambers said that he could be willing to go back three years to see if there had been an overpayment of the MBR when the town had been including capital expense in the local budget. Cahill agreed to send the relevant documents to assist with the research.

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