Sen Brewer's office

Just a note - when you click on the link for the Chp 70 money make sure you click the tab at the bottom for "regional" school districts

From: "Katherine Cohen (SEN)"
To: "Katherine Cohen (SEN)"
Cc: "Meghan Kelly (SEN)"
Sent: Tuesday, May 14, 2013 10:10:07 PM
Subject: FY 2014 SWM Local Aid

Dear Local Official:

Senator Brewer is pleased to provide you with the following highlights from the Senate Committee on Ways and Means’ budget proposal for FY 2014. The Senate Committee on Ways and Means (SWM) will release its budget recommendations tomorrow following its executive session at noon.

For FY 2014, both the House of Representatives and Senate utilize the consensus revenue figure of $22.334 billion as the base for their spending assumptions, as well as the $430 million agreed to prior to the transportation finance bill. The Governor’s Budget, released in January, relied upon an additional $1.1 billion in new tax revenues not available to either the House or the Senate. The SWM Budget proposes $33.92 billion in spending for FY 2014, an increase of $1.42 billion (4.4%) over the FY 2013 estimated spending level of $32.49 billion. The Committee’s budget closes a $1.2 billion gap between incoming revenues and the cost of maintaining current services, while relying on less one-time revenue than both the Governor and the House of Representatives. Although the SWM Budget does withdraw $350 million from the stabilization account, the account is projected to have a balance of $1.3 billion at the end of FY 2014.

For FY 2014, the Committee recommends level funding Unrestricted General Government Aid at $898,980,293. While the SWM Budget allocates $21.25 million less than the final House Budget for Unrestricted General Government aid, it is important to note that the SWM Budget proposal exceeds the House Budget in several spending areas, including Chapter 70 ($15.3 million), SPED Circuit Breaker ($14.3 million), District Reimbursements for Charter School Tuition ($5.9 million), Regional School Transportation ($3.5 million), and Out-of-District Vocational School Transportation ($2.75 million).

For Chapter 70, the Committee proposes an increase of $130.1 million over FY 2013 and $15.2 million over the House Final Budget. The SWM Chapter 70 plan – like the House plan – does not include the major changes proposed by the Governor, such as increasing tuition for out-of-district special education students and uncapping enrollment for pre-kindergarten students. The SWM Chapter 70 plan increases aid in three specific ways:

1. Ensures all districts are sufficiently funded at foundation in FY 2014 ($100.6 million);

2. Ensures all districts receive at least $25 per pupil in FY 2014 ($10.2 million); and,

3. Provides aid to the least wealthy districts who receive less than their target share in aid, filling 25% of the gap between a district’s target aid level and a district’s aid as a percentage of foundation, moving districts that much closer to the target aid levels established under the 2007 Education Reform.

The SWM FY 2014 Budget also recommends appropriating the following amounts to local aid and education accounts:

· Fully funds the Special Education Circuit Breaker at $252.8 million, which assumes a 4.5% growth in special education costs;

· Increases regional school transportation funding by $5 million over the FY 2013 spending level to $49.5 million for an estimated reimbursement rate of 63.6%;

· Increases the out-of-district vocational school transportation account by $2.75 million for a total appropriation of $3 million;

· Level funds McKinney-Vento Transportation Costs at $6.05 million;

· Funds the Foundation Reserve account, or “pothole”, at $1 million. The House Budget does not include this account;

· Increases Grants to Councils on Aging by $1.1 million to $10.5 million to provide $8 per elder;

· Establishes a new Local Capital Projects Program at $19.5 million to support the current MassWorks Infrastructure Grant Program;

· Establishes a new War Memorial Grant Program at $100,000 to assist cities and towns with the cost of restoring and rehabilitating local memorials;

· Provides $7 million for the Regionalization Incentive Grant Program; and,

· Level funds Payments in Lieu of Taxes (PILOT) at $26.3 million.

You may access the SWM Budget online after 12 PM at http://www.malegislature.gov/Budget/FY2014/Senate. I have attached two spreadsheets listing the UGGA and Chapter 70 distribution. Please note that there are two tabs at the bottom of the Chapter 70 spreadsheet to allow you to switch between municipalities and regional school districts. The Senate plans to debate the SWM FY2013 Budget during the week of May 20^th. Any differences between the House and Senate budgets will be negotiated by a six member Conference Committee, which will be appointed once the Senate’s budget is finalized.

If you have any questions, please do not hesitate to contact me at Katherine.Cohen@MASenate.gov or at 617-722-1540. As always, Senator Brewer is pleased to be of service to you.

Sincerely,

Kate

Kate Cohen, District Staff Director
Chairman Stephen M. Brewer

Senate Committee on Ways and Means

State House, Room 212
Boston, MA 02133
p: 617-722-1540
f: 617-722-1078

www.stevebrewer.org