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HomeMy WebLinkAbout2026-02-25 Finance Committee PacketTown of Reading Meeting Posting with Agenda This Agenda has been prepared in advance and represents a listing of topics that the chair reasonably anticipates will be discussed at the meeting. However the agenda does not necessarily include all matters which may be taken up at this meeting. Page | 1 2018-07-16 LAG Board - Committee - Commission - Council: Finance Committee Date: 2026-02-25 Time: 7:00 PM Building: Reading Town Hall Location: Select Board Meeting Room Address: 16 Lowell Street Agenda: Purpose: General Business Meeting Called By: Jacquelyn LaVerde on behalf of Chair Joe Carnahan Notices and agendas are to be posted 48 hours in advance of the meetings excluding Saturdays, Sundays and Legal Holidays. Please keep in mind the Town Clerk’s hours of operation and make necessary arrangements to be sure your posting is made in an adequate amount of time. A listing of topics that the chair reasonably anticipates will be discussed at the meeting must be on the agenda. All Meeting Postings must be submitted in typed format; handwritten notices will not be accepted. Topics of Discussion: This meeting will be held in-person in the Town Hall Select Board Meeting Room and remotely via Zoom: Join Zoom Meeting https://us06web.zoom.us/j/83928644216 Meeting ID: 839 2864 4216 AGENDA: •Call to Order & Welcome •Public Comment •Liaison Reports •Bid Process Updates for Killam School, Reading Center for Active Living, and other Capital Projects •School Department/School Committee Recommended FY27 Budget Presentation •Future Agenda Discussion •Approve Prior Meeting Minutes 1 Reading Public Schools FY27 Budget Steady As We Go January 8, 2026 2 FY27 BUDGET 3 FY27 BUDGET Level Service •Non -Personnel: Level Funded* –Adjust budget lines based on actuals •Personnel: Level Service * For the most part 4 FY27 Budget Finance Committee’s Budget Guidelines In October 2025, the Finance Committee voted for a FY27 School Department budget guideline of 3.14%, over the FY26 Appropriated Budget. The increase amounted to $1,635,896. Special Education Accommodated Costs were decreased by 7.33%, or $462,888. The total School Department budget increased from $58,491,591 in FY26, to $59,664,599 in FY27; an overall increase of 2.01%. 4 5 FY27 Budget 5 •Operating Funds ($53 ,815 ,771 ): • An increase of $1,635,896 over FY26 has been allocated to meet the increased costs of all contractual obligations, mandated services, and investments alignedto the district’s strategic plan. • The district is committed to meeting all contractual obligations outlined in contracts with all 5 district bargaining units. All five bargaining units (cafeteria staff, custodians, paraprofessionals, secretaries and teachers) agreedto new contracts spanningthree years,starting in FY25. •Special Education Accommodated Costs ($5 ,848 ,828 ): • A decrease of $462,888 from FY26 is allocated to Accommodated Costs, which includesout-of-district specialeducation expenses. 6 FY27 Budget 6 FY27 Budget Summary of FY27 Recommended Budget by Cost Center Compared with Prior Fiscal Years 7 FY27 Budget Proportion of Spending, FY27 Recommended Budget by Cost Center Compared with Prior Fiscal Years 7 8 FY27 Budget 8 FTE changes from FY26 to FY27 9 FY27 Budget 9 Cost Center Percentage to Total Budgets and Expenditures: 10 Reading Public Schools Other Funding Sources 10 11 FY27 Budget 11 Offset Summary 12 FY27 Budget 12 Offset Summary 13 FY27 Budget 13 Federal and State Grants 14 Reading Special Education “The Rest Of the Story” 14 15 Special Education Direct Expenditure Trends 15 16 FY27 Budget 16 17 FY27 Budget 17 18 Reading Public Schools Capital Plan 18 19 FY27 Budget 19 20 21 Contact Information Copies of the budget document are available at the Office of the Superintendent and on the Reading Public School’s website at www.reading.k12.ma.us. For additional information or clarification on the School Committee's FY27 Recommended Budget, please feel free to contact the Central Office Administration for assistance at 781-944-5800. Also, please reach out directly to the Superintendent or Director of Finance and Operations: Thomas Milaschewski, Ed.D. Philip Littlehale, CPA Superintendent of Schools Director of Finance and Operations 781-944-5800 781-670-2880 Thomas.Milaschewski@reading.k12.ma.us Philip.Littlehale@reading.k12.ma.us School Committee Members Shawn Brandt, Chairperson Carla Nazzaro, Vice Chairperson Thomas Wise, School Committee Member Sarah McLaughlin, School Committee Member Erin Gaffen, School Committee Member Lara Durgavich, School Committee Member Superintendent of Schools Thomas Milaschewski, Ed.D. Reading Public Schools 82 Oakland Road Reading, Massachusetts Website: http://reading.k12.ma.us The School Committee’s FY27 Recommended Budget 2 22 District Leadership Team Central Office Administrators Sarah Hardy, Ed.D., Assistant Superintendent for Learning & Teaching Philip Littlehale, CPA, Director of Finance and Operations Michelle Roach, Human Resources Director Jennifer Stys, Ed.D., Assistant Superintendent of Student Services Other District Administrators Erin Burchill, Humanities Curriculum Coordinator Julian Carr, Network Manager Catherine Franzetti, Director of School Nutrition Kevin Gerstner, Facilities Manager Mary Giuliana, Director of Health Services Karen Hall, Multilingual Learner (ML) Department Coordinator Joseph Huggins, Director of Facilities for Town and School Buildings Mary Anne Lynn, STEM Curriculum Coordinator Cindy Marte, METCO Co-Director Jerika Santiago, METCO Co-Director Christopher Nelson, Director of Extended Day, Drivers Education, and Adult and Community Education Alanna Shone, RISE Preschool Director Allison Wright, Special Education Director The School Committee’s FY27 Recommended Budget 3 23 School Administrators Reading Memorial High School Jessica Callanan, Principal Kadi Buckley, Assistant Principal James Flynn, Assistant Principal Jessica Theriault, Assistant Principal Thomas Zaya, Assistant Principal, Athletics & Extracurricular Activities A.W. Coolidge Middle School Sarah Marchant, Principal Brienne Karow, Assistant Principal W.S. Parker Middle School Jill Story, Principal Beth Simpson, Assistant Principal Alice Barrows Elementary School Alissa Gallegos, Principal Annemarie Ring, Assistant Principal Birch Meadow Elementary School Stephen Burnham, Principal Lisa Azzarito, Assistant Principal Joshua Eaton Elementary School Caitlin Shelburne, Principal Jessica Swindell, Assistant Principal J.W. Killam Elementary School Lindsey Fulton, Principal Talia Hallett, Assistant Principal Wood End Elementary School Nicole Schwartz, Principal Jessica Hester, Assistant Principal RISE Preschool Alanna Shone, Director The School Committee’s FY27 Recommended Budget 4 24 Table of Contents INTRODUCTORY SECTION 6 Superintendent's Message 7 Finance Committee’s Budget Guidelines 8 School Committee’s Budget Guidance & Investment Priorities 8 Mission, Vision, Statement of Equity, and Portrait of a Graduate 8 Budget Development Process and Timeline 9 FY27 Recommended Budget Investments 12 FINANCIAL SECTION 13 The School Committee’s FY27 Recommended Budget by Cost Center 14 Administration Cost Center Summary 18 Regular Day Cost Center Summary 20 Special Education Cost Center Summary 23 School Facilities Cost Center Summary 25 District Wide Programs Summaries (Athletics, Extracurricular, Health Services, Technology) 27 OTHER FUNDING SOURCES 36 Offset Summary 37 Special Revenue Funds 38 Federal and State Grants 40 Five-Year Capital Plan 43 APPENDICES 44 APPENDIX A: Student Enrollment 45 APPENDIX B: Acronyms 51 The School Committee’s FY27 Recommended Budget 5 25 INTRODUCTORY SECTION RMHS DECA students participating in the 2025 State Career Development Conference The School Committee’s FY27 Recommended Budget 6 26 Superintendent’s Message Dear Reading Community, As we share the recommended budget for FY27, I would like to begin by expressing our deep appreciation to every member of our community for the continued support of our schools. Your financial investment, along with the time, engagement, and advocacy you provide, remains essential to the success of our students. The collective commitment to public education in Reading is a true strength of our community and I am grateful for the trust and partnership you consistently demonstrate in support of our schools. The FY27 budget reflects a level-service approach, with no recommended additions, as we focus on maintaining the key programs, services, and personnel that support our students each day. We recognize that the overall financial outlook for our town is tighter in the coming years and the schools will continue to do our part by serving as strong financial stewards and strategically allocating resources to best support our students and schools. As financial pressures increase, we remain committed to thinking creatively, as we have over the past several years, to reduce costs and identify opportunities to increase revenue without negatively impacting services. Similar to last year, these strategies will be discussed transparently at upcoming budget presentations at School Committee, the Finance Committee, and Town Meeting. We are especially proud of the impact the Town’s funding continues to have on our students, as evidenced by ongoing gains in student achievement and the incredible academic, personal, extracurricular, and community successes demonstrated by Reading Public Schools (RPS) students. As we look ahead to FY27, our focus remains on sustaining and building upon the roles, programs, and initiatives implemented over the past several fiscal years to support strong student outcomes. In the coming weeks, Reading community members will also receive the 2026 RPS Annual Community Report highlighting the impact of these investments. As always, we remain committed to using resources responsibly and thoughtfully to best serve our students and schools. With the continued support of the Reading community, we are confident that Reading Public Schools will continue to provide an environment where students are challenged, supported, and able to thrive both academically and personally. In partnership for our students, Dr. Thomas Milaschewski Superintendent The School Committee’s FY27 Recommended Budget 7 27 Finance Committee’s Budget Guidelines In October 2025, the Finance Committee voted for a FY27 School Department budget guideline of 3.14%, over the FY26 Appropriated Budget. The increase amounted to $1,635,896. Special Education Accommodated Costs were decreased by 7.33%, or $462,888. The total School Department budget increased from $58,491,591 in FY26, to $59,664,599 in FY27; an overall increase of 2.01%. School Committee’s Budget Guidance & Investment Priorities While presenting a level-service budget, we also aim to provide guidance for future resource planning. Developing a school district budget that aligns resources with the initiatives outlined in the district’s strategic plan requires collaborative discussions on fund allocation. The Reading School Committee provided the following guidance to support the District’s Leadership Team in shaping the FY27 Recommended Budget and in considering potential priorities for future planning: ● Preserving classroom resources ● Evaluating METCO funding and adjustment counselor roles ● Emphasizing efficiency and alignment Mission, Vision, Statement of Equity, and Portrait of a Graduate Mission of the Reading Public Schools Instilling a joy of learning and inspiring the innovative leaders of tomorrow. Vision of the Reading Public Schools It is the vision of the Reading Public Schools to instill a joy of learning by inspiring, engaging and supporting our youth to become the innovative leaders of tomorrow. We will accomplish our vision by focusing on a few key strategic initiatives that lead to a meaningful and relevant curriculum, innovative instructional practices, strong analysis and thoughtful dialogue about evidence, a collaborative and team approach to learning and teaching, and a safe and nurturing learning environment. The overall physical and behavioral well-being of our children will be our top priority, as students will not learn if they are not physically and psychologically safe. Education will truly be the shared responsibility of both the schools and the community, with families playing active roles in the schools and being full partners in ensuring the success of their children. In the interest of the entire Reading community, the The School Committee’s FY27 Recommended Budget 8 28 school district and town government shall work cooperatively and collaboratively. As educators and members of our community, we believe that implementing this vision is our ethical responsibility to the children of the Town of Reading. Reading Public Schools’ Statement of Equity The Reading School Committee, Central Office, Directors, Principals and Leadership of the Teachers’ Association celebrate the diversity of the Reading Community and beyond by embracing differences to empower every student, staff member and family of the RPS. We embrace all members of the community no matter where we live, what we look like, what we believe, what language we speak, who we love, or how we learn, consistent with the human dignity of all. When we are unwavering in our commitment to equity, we support every student and staff member in maximizing individual potential. This requires us to identify, analyze, and confront gaps in opportunities and outcomes for all students. Reading Memorial High School Portrait of a Graduate RPS Graduates are leaders of their own learning journey who demonstrate kindness and empathy towards others and a commitment to wellness. They persevere through challenges, embrace multiple perspectives, and aspire to be their best selves in the service of others to better our community and our world. Learn - Grow - Teach - RPS Graduates are critical thinkers and creative problem solvers. They take ownership of their learning journey and are open to struggle to foster personal growth. They are confident in their beliefs and consider the thoughts and ideas of others. They embrace collaboration to help teach others and remain curious life-long learners. Empathize - Consider Perspectives - Practice Communal Care - RPS Graduates show kindness and empathy towards others and a commitment to personal wellness and communal care. They are able to persevere through challenges and demonstrate resilience. They authentically reflect through hearing and understanding the experiences, perspectives, and needs of people around them. To navigate relationships with generosity and patience, they listen actively and compassionately. Engage - Serve - Thrive - RPS Graduates responsibly shape our world through collaboration with their community. They engage with and communicate multiple perspectives, aspire to be their best selves in the service of others in order to thrive, and bring their skills and knowledge to action for the benefit of each other and our world. Budget Development Process Within the context of the Budget Guidelines established by the Finance Committee and School Committee, the District’s Mission, Vision, Statement of Equity, and, the Central Office Leadership Team committed to conduct a productive and effective FY27 Budget Development Process. The approach taken by the district leaders was foundational to a successful budget process, outlined below: ● Endeavored to create a fiscally responsible budget responsive to stakeholder needs. ● Sought to optimize funding and heighten efficiency with expense-related items. ● Engaged stakeholders, including: district and site leadership, School Committee and the town. ● Ensured that the budget development process was open, collaborative and transparent. Baseline costs were calculated for personnel and non-personnel accounts to ensure compliance with contractual and legal mandates. Projected enrollment, class sizes, student needs, and known/anticipated spending trends The School Committee’s FY27 Recommended Budget 9 29 guided the process. The process taken to build the baseline budget involved the following: ● Aligned budgets with employment contracts and negotiated bargaining agreements. ● Calculated costs based on historical spending trends, known service/material rate changes, and anticipated requirements. ● Evaluated staffing schedules, student groupings, and caseloads based on student enrollment, class size and student needs. ● Redeployed existing resources, Grants, and Revolving Accounts to support changes in baseline operating expense and fund investment priorities. Personnel and non-personnel resources were maximized to make progress toward addressing strategic objectives include, but were not limited to the following: Personnel Non-personnel ● Utilized METCO, Department of Public Health, Special Education and other Grant funding. ● Accounted for savings generated between outgoing/budget salaries and new incoming staff. ● Considered a multi-year review of past, present, pending, and projected out of district tuition rates and changes in placements. ● Reduced/reallocated existing budgets based on historical spending patterns and anticipated future needs ● Applied School Choice funding. In summary, the Leadership Team’s approach to the FY27 budget development process was designed to: ● Engage stakeholders in a collaborative process. ● Ensure all contractual and legal obligations will be met. ● Identify spending priorities to support teaching and learning. ● Maximize existing resources through redeployment of existing resources and leveraging all funds. ● Consider enrollment projections, class sizes and teacher to student ratios, and learners’ needs. The School Committee’s FY27 Recommended Budget 10 30 Budget Timeline The budget cycle is formulated around key dates and touchpoints to have a fully approved budget in place by the start of the fiscal year. Date Task Date Task July- November Early December ●Craft enrollment projections ○FY27 class sizes, groupings, staffing ratios ●Work on financial forecasts ○Examine FY25, FY26 expenditures ○Anticipated FY27 needs, investments, sustainability of request ●Build budgets ○Personnel & non personnel - person by person, item by item ●Collaborate on budget priorities ○Meeting with all Budget Managers ○Meeting student anticipated needs ○Maximizing revenues across program/level ●Evaluate budget requests ○Solicit feedback on necessary FY27 investments ○Prioritize, align with district strategic objectives, determine cost and rationale for request ●Examine budget data, site/district ○Personnel: person, position, step, degree, stipend, retirement, vacancy ○Scheduling: teachers/paraprofessionals evaluated on effectiveness, student need ○Non-personnel: data examined by line item, description, expenditure trend, projected use Late December January February April-May ●Finalize budget priorities and requests ●Finalize/publish Superintendent’s Recommended FY27 Budget Book ●January 8, 2026 ○School Committee Budget Night ○Q&A on Cost Center Presentations ●January 22, 2026 ○FY27 Public Hearing ●January 27, 2026 ○Questions and Responses published ●January 29, 2026 ○School Committee vote on the Superintendent’s Recommended FY27 Budget ●January 30, 2026 ○Publish School Committee’s Recommended FY27 Budget Book ○School Committee’s FY27 Budget submitted to the Town Manager ●February 25, 2026 ○School Committee FY27 Budget Presentation to Finance Committee ●Town Meeting Vote on FY27 Budget ○April 27, April 30, May 4, & May 7 The School Committee’s FY27 Recommended Budget 11 31 FY27 Recommended Budget Investments At this time, the proposed budget maintains existing programs and services and does not include additional initiatives or positions. The School Committee’s FY27 Recommended Budget 12 32 FINANCIAL SECTION Barrows fourth grader Reagan Reardon’s traditional tale, Henrietta, published by American Reading Company (ARC) The School Committee’s FY27 Recommended Budget 13 33 FINANCIAL SECTION In summary, the FY27 Budget is defined into the following sections: ● Operating Funds ($53,815,771): ○ An increase of $1,635,896 over FY26 has been allocated to meet the increased costs of all contractual obligations, mandated services, and investments aligned to the district’s strategic plan. ○ The district is committed to meeting all contractual obligations outlined in contracts with all 5 district bargaining units. All five bargaining units (cafeteria staff, custodians, paraprofessionals, secretaries and teachers) agreed to new contracts spanning three years, starting in FY25. ● Special Education Accommodated Costs ($5,848,828): ○ A decrease of $462,888 from FY26 is allocated to Accommodated Costs, which includes out-of-district special education expenses. The leadership team used financial, staffing and student outcome data to identify trends, analyze resource allocations, and make strategic decisions. In addition to contractual obligations and mandated services, spending trends and projected student needs were factored into the allocation of funds when developing the FY27 Recommended Budget. In the section to follow, the district’s finances are summarized and detailed by the Cost Center. The following information can be found within each subsection: 1. Summary of FY27 Recommended Budget by Cost Center Compared with Prior Fiscal Years 2. A chart summarizing the Cost Center expenses by category, expressed as a percentage 3. A table summarizing the Cost Center compared with prior fiscal years 4. Detailed information for the FY26 Appropriated and FY27 Recommended Budgets by org and object codes, in comparison with actual expenditures for FY23, FY24 and FY25, for each Cost Center The School Committee’s FY27 Recommended Budget by Cost Center During the current fiscal year, the administration is authorized to transfer funds within any Cost Center. The transfer of funds between Cost Centers occurs when a recommendation is made and substantiated by the District Finance Director at the time of the quarterly financial report presentations. The School Committee must approve the transfer through a majority vote. The table below provides a comparison of the dollar amounts of the recommended budget as compared with prior fiscal years. The actual expended amounts for FY23, FY24, FY25, the Appropriated FY26 Budget and the School Committee’s FY27 Recommended Budget are noted. The totals are separated by eight Cost Centers: Administration, The School Committee’s FY27 Recommended Budget 14 34 Regular Day, Special Education, School Facilities, Athletics, Extracurricular, Health Services, and Technology. The table below also provides the percentage change between the FY27 Recommended Budget and the FY26 Appropriated Budget by Cost Center: Summary of FY27 Recommended Budget by Cost Center Compared with Prior Fiscal Years: Proportion of Spending, FY27 Recommended Budget by Cost Center Compared with Prior Fiscal Years: The School Committee’s FY27 Recommended Budget 15 35 The pie chart below provides a visual representation of expenditures attributed to each Cost Center in the School Committee’s FY27 Recommended Budget. Cost Center Percentage to Total Budgets and Expenditures: In the table below, personnel and non-personnel actual expenditures are reflected for FY23 through FY25, the FY26 Appropriated Budget and the FY27 Recommended Budget. Budgets have the following makeup: ● Personnel: professional salaries, clerical salaries, and other salaries (i.e. paraprofessionals and substitutes) ● Non-personnel: contracted services, supplies and materials and other expenses categories (i.e. dues, memberships, professional development, technology and equipment) The School Committee’s FY27 Recommended Budget 16 36 FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: FTE changes from FY26 to FY27: The School Committee’s FY27 Recommended Budget 17 37 Administration Cost Center Summary FY26 Appropriated Budget: $1,447,959 FY27 School Committee’s Recommended Budget: $1,503,723 % Change: 3.85% Primary Function: The Administration Cost Center includes the salaries and expenses for Central Office and some District-wide administration which includes the following primary functions: School Committee, Superintendent, Assistant Superintendent, Business and Finance, Human Resources, and District-wide Data and Information Management. The Administration Cost Center currently accounts for 2.52% of the total district budget. The FY27 Recommended Budget for the Administration Cost Center summary follows, with a comparison provided for previous years. A 0% change indicates the budget for that line was “level funded” providing the same funding as in the previous year. FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: The pie chart below shows the components of the Administration budget by percentage. Cost Center (Administration) Percentage to Total Budgets and Expenditures: The School Committee’s FY27 Recommended Budget 18 38 Budget Detail, Administration Cost Center: The School Committee’s FY27 Recommended Budget 19 39 Regular Day Cost Center Summary FY26 Appropriated Budget: $33,615,465 FY27 School Committee’s Recommended Budget: $34,987,057 % Change: 4.08% Primary Function: The Regular Day Cost Center encompasses all personnel and non-personnel expenses related to delivering core, general education instructional programs to our students. Personnel costs for school principals, instructional and support staff, as well as non-personnel costs related to curriculum materials; professional development; instructional materials, supplies, and equipment; instructional technology; library materials and technology; and other instructional services are captured in this Cost Center budget. The Regular Day Cost Center budget accounts for 58.64% of the total School Committee’s FY27 Recommended Budget. The FY27 Recommended Budget for the Regular Day Cost Center summary is as follows, with a comparison provided for previous years. FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: Cost Center (Regular Day) Percentage to Total Budgets and Expenditures: The School Committee’s FY27 Recommended Budget 20 40 Budget Detail, Regular Day Cost Center: The School Committee’s FY27 Recommended Budget 21 41 Budget Detail, Regular Day Cost Center (continued): The School Committee’s FY27 Recommended Budget 22 42 Special Education Cost Center Summary FY26 Appropriated Budget: $19,191,231 FY27 School Committee’s Recommended Budget: $18,552,731 % Change: -3.33% Primary Function: The Special Education Cost Center encompasses all personnel and non-personnel expenses necessary to deliver special education and related services to students in our school community. As mandated by the Individuals with Disabilities Education Act (IDEA) and Section 504 of the Americans with Disabilities Act, we strive to provide programs and services to allow our students with disabilities to be educated in the least restrictive environment that enables them to make effective progress. The Special Education Cost Center makes up 31.10% of the School Committee’s FY27 Recommended Budget. FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: Cost Center (Special Education) Percentage to Total Budget and Expenditures: The School Committee’s FY27 Recommended Budget 23 43 Budget Detail, Special Education Cost Center: The School Committee’s FY27 Recommended Budget 24 44 Budget Detail, Special Education Cost Center (continued): School Facilities Cost Center Summary FY26 Appropriated Budget: $1,585,460 FY27 School Committee’s Recommended Budget: $1,778,406 % Change: 12.17% Primary Function: The Town of Reading’s Facilities Department supports the Reading Public Schools. The School Building Facilities budget funds the salaries and expenses necessary to clean and maintain our eight school buildings, preschool program, and central office spaces, which makes up 85% of the square feet of all municipal buildings, or a total of 935,000 square feet. The Facilities Department also provides the necessary services to facilitate building use for internal and external users. The School Building Facilities budget accounts for 2.98% of the School Committee’s FY27 Recommended Budget. FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: The School Committee’s FY27 Recommended Budget 25 45 Cost Center (School Facilities) Percentage to Total Budget and Expenditures: Budget Detail, School Facilities Cost Center: The School Committee’s FY27 Recommended Budget 26 46 Athletics Cost Center Summary FY26 Appropriated Budget: $811,079 FY27 School Committee’s Recommended Budget: $817,590 % Change: 0.80% Primary Function: The Athletics program budget funds the salaries and expenses necessary to operate the High School athletics program. The Athletics budget accounts for 1.37% of the School Committee’s FY27 Recommended Budget. FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: Cost Center (Athletics) Percentage to Total Budget and Expenditures: The School Committee’s FY27 Recommended Budget 27 47 Budget Detail, Athletics Cost Center: The School Committee’s FY27 Recommended Budget 28 48 Student Participation in Athletics: Note: “*” depicts sports that have not had their season yet. The School Committee’s FY27 Recommended Budget 29 49 Extracurricular Cost Center Summary FY26 Appropriated Budget: $85,801 FY27 School Committee’s Recommended Budget: $92,503 % Change: 7.81% Primary Function: The Extracurricular Activities Program budget funds the salaries, stipends, and a small portion of the expenses necessary to offer extracurricular activities at the high school. The Extracurricular budget accounts for 0.16% of the School Committee’s FY27 Recommended Budget. FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: Cost Center (Extracurricular) Percentage to Total Budget and Expenditures: The School Committee’s FY27 Recommended Budget 30 50 Budget Detail, Extracurricular Cost Center: Student Participation in Extracurriculars: The School Committee’s FY27 Recommended Budget 31 51 Health Services Cost Center Summary FY26 Appropriated Budget: $1,042,252 FY27 School Committee’s Recommended Budget: $1,129,296 % Change: 8.35% Primary Function: The Health Services budget pays for the salaries and expenses for servicing the daily medical needs of the district’s student population. School nurses provide mandated health screenings, illness assessments, first aid, daily medication and treatments, and support of students with chronic health issues including allergies, asthma, diabetes, and gastrointestinal, autoimmune, and neurological disorders. We communicate with families and providers to develop and maintain accommodation plans and individualized student health care plans to support medical needs at school. The Health Services budget accounts for 1.89% of the School Committee’s FY27 Recommended Budget. FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: Cost Center (Health Services) Percentage to Total Budget and Expenditures: The School Committee’s FY27 Recommended Budget 32 52 Budget Detail, Health Services Cost Center: The School Committee’s FY27 Recommended Budget 33 53 Technology Cost Center Summary FY26 Appropriated Budget: $712,344 FY27 School Committee’s Recommended Budget: $803,294 % Change: 12.77% Primary Function: The Districtwide Networking and Technology Maintenance budget funds the salaries and expenses required to operate and maintain our technology infrastructure including our wide area network, wireless networks, servers, computer hardware and peripheral devices, clocks and bells systems and telecommunications equipment. The Technology budget accounts for 1.35% of the School Committee’s FY27 Recommended Budget. FY27 Recommended Budget by Categories of Spending Compared with Prior Fiscal Years: Cost Center (Technology) Percentage to Total Budget and Expenditures: The School Committee’s FY27 Recommended Budget 34 54 Budget Detail, Technology Cost Center: The School Committee’s FY27 Recommended Budget 35 55 OTHER FUNDING SOURCES RMHS Football takes the field at Fenway Park for the 2024 Thanksgiving Day game The School Committee’s FY27 Recommended Budget 36 56 Offset Summary Several fee-based Special Revenue Funds have been allocated to offset direct and indirect costs of the operating budget. In the charts below, the reader will find a summary of current year and FY27 Recommended Budget Offsets by Special Revenue Fund compared with FY26’s Appropriated Budget and the allocation of FY27 Recommended Offsets by Cost Center: The School Committee’s FY27 Recommended Budget 37 57 Special Revenue Funds The district maintains thirty-four separate special revenue funds that were created and are required to be maintained in accordance with Massachusetts General Laws and Department of Revenue Division of Local Service’s guidance for Costing Municipal Services. Special Revenue Funds are established to dedicate a specific source of revenue from fees or charges to pay expenses associated with providing the services for which the payment was made. Special Revenue Funds also consist of donation accounts. The sources of revenue for these funds vary by the nature of the fund and includes sales of meals, participation fees, user fees, ticket sales, donations, and tuition. The type of expenditure for the funds also varies by the nature of the fund and include salaries, supplies and materials, technology, contracted services, software licenses and other expenses. The FY25 and FY26 beginning year balances are provided in the table below with the calculated FY25 Gain/Loss: Special Revenue Funds The School Committee’s FY27 Recommended Budget 38 58 A description of each category of the district’s special revenue funds is outlined below: ● Athletics: Fees are paid by families for students’ participation in athletics. ● Community Education, Drivers Education, Summer Programs: Fees are paid by families for students to participate in drivers’ education and summer programs. Fees paid by individuals for participation in Community Education events and courses. ● Drama and Band: Fees are paid by families for students’ participation in after school drama and bands programs. ● Extended Day: Fees are paid by families for students to participate in extended day programs before and after-school. ● Extracurricular Activities: Fees are paid by families for students to participate in afterschool band and fine and performing arts activities. ● Full-Day Kindergarten: Fees are paid by families for enrollment in the Full-Day Kindergarten program. ● Guidance: Fees are paid by families for students to take PSAT, SAT and AP tests. ● RISE Preschool: Fees are paid by families for enrollment in the RISE preschool program. ● Special Education Tuition: Fees paid by another public school district for students to attend special education programs in Reading. ● School Choice: Allows families to enroll their children in schools in communities other than the city or town in which they reside. Tuition is paid by the sending district to the receiving district. ● School Lunch: Revenues are generated through state and federal reimbursements and lunch-time a la carte sales. ● Transportation: Fees are paid by families for students to ride existing bus routes, based on seats available. ● Use of School Property: Some community organizations which use school facilities pay a fee for space and/or custodial coverage. The School Committee’s FY27 Recommended Budget 39 59 ● Lost Books/Tech: Fees are collected and used to replace lost or damaged books and technology devices. ● Gifts/Donations: Restricted donations for specific purposes and unrestricted donations for general use are made to the School Committee for approval and acceptance in accordance with School Committee Policy ● Special Education Reserve Fund: Fund is used for unanticipated or unbudgeted costs of Special Education, Recovery High School programs, Out-of-district tuition, and Out-of-district transportation Federal and State Grants In addition to the Operating and Special Revenue Funds, our district is supported in FY26 by state, federal, and private grants. Grant expenditures are tracked monthly and reviewed periodically with grant coordinators. A list of the grants, descriptions, and award amounts are provided below compared with prior year awards. Grants are approved by the School Committee as funding is awarded. The FY26 Quarter 2 balances for each grant awarded between FY25 and FY26 are provided in the table below: Descriptions and acceptable uses of each State and Federal grant follows below: State Grants: ● METCO: The Metropolitan Council for Educational Opportunity is a state funded, voluntary educational desegregation program designed to eliminate racial imbalance through the busing of children from Boston, MA and Springfield, MA to suburban public schools in thirty-eight communities. These funds pay for The School Committee’s FY27 Recommended Budget 40 60 program coordination, transportation, instructional services, and community engagement related to Boston resident students attending Reading Public Schools through participation in the METCO program. ● METCO BBI: The METCO Boston Bridges Initiative grant was awarded to support three Reading METCO program activities. The grant specifically funded our Roller World event in March 2025, along with funding our Boston Bowling event and Salsa night, both in October 2025. ● Department of Public Health: Provides for mandated screenings, professional development, and substitute coverage for nurses. ● Financial Education Innovation Fund: Provides for supplies and materials for the Credit for Life Fair for all RMHS grade 11 students. ● English Learner Education Support: Provides for new curriculum materials and professional development to meet curricular objectives and ensure alignment with WIDA and content standards. ● Genocide Education: Provides for new curriculum materials and professional development to establish a consistent, research-based approach to genocide education within the context of the social studies scope and sequence, equip students with critical thinking skills to combat prejudice, and align with Chapter 98 of the Acts of 2021 concerning genocide education. ● Innovation Career Pathways Support: Designed to give students coursework and experience in a specific high-demand industry, such as information technology, engineering, healthcare, life sciences and advanced manufacturing. Also, to create strong partnerships with employers in order to expose students to career options and help them develop knowledge and skills related to their chosen field of study before they graduate high school. ● Innovation Career Pathways Planning: Provides for additional staff work completed outside of their traditional job responsibilities in the development and planning of the new pathway, as well as covering costs for necessary professional development, material creation, and community engagement. ● MyCAP: Provide supplementary support to school districts currently engaged in or interested in beginning implementation of My Career and Academic Plan. MyCAP is a student-driven process designed to ensure all students graduate from high school college and career ready. The MyCAP process requires schools to create a scope and sequence to implement MyCAP. And the grant provides planning team members the supplementary support necessary to attend professional development and team meetings outside-of- school hours. ● Fair Share Earmark- DW Technology Equipment: Provides for materials, equipment and capital improvements for Public Schools in the town of Reading. The funds will be used to refresh our aging devices (over five years old) with new, individualized computers for our students. ● Skills Capital Technology & Equipment: Provides for instructional materials to enhance hands-on learning opportunities and upgrade equipment and technology, further developing the Clean Energy Innovation Career Pathway program at RMHS. ● RMHS Equipment Earmark: Provides for instructional materials that provide direct support to the high school arts and science departments, both of which are deeply engaged in the DESE Innovation Career Pathways programs in the areas of Information – Digital Media, Advanced Manufacturing – Engineering, Healthcare and Social Assistance – Public Health, and Clean Energy. Federal Grants: ● Title I A&D: Assists schools with high numbers or high percentages of children from low-income families to help ensure that all children meet challenging state academic standards. These funds are allocated to paraprofessional and extended school year instructional services. ● Title II A: Provides supplemental resources to school districts to support systems of support for excellent teaching and learning. The priorities of Title IIA are to: increase student achievement consistent with the challenging State academic standards; improve the quality and effectiveness of teachers, principals, and The School Committee’s FY27 Recommended Budget 41 61 other school leaders; Increase the number of teachers, principals, and other school leaders who are effective in improving student academic achievement in schools; and provide low-income and minority students greater access to effective teachers, principals, and other school leaders. These funds are allocated to provide professional development for teachers. ● Title III A: Provides supplemental resources to ensure that Multilingual learners (MLs) attain English proficiency and meet state academic standards. Title III funds are allocated to support language instruction programs that strengthen effective teaching and learning, professional development for educators to enhance instruction for MLs, and family and community engagement initiatives that help parents and guardians participate more fully in their children’s education. ● Title IV A: Ensures that all students have access to a high-quality educational experience. The priorities of Title IV are to: support well-rounded educational opportunities; support safe and healthy students; and support effective use of technology. These funds pay for technology integration activities and materials for teachers and classrooms. ● IDEA 240: Provides appropriate special education services for eligible students and to maintain state/local effort in special education. These funds pay for special education paras, BCBA, and professional development. ● IDEA 262: Ensures that eligible 3, 4, and 5-year-old children with disabilities receive a free and appropriate public education that includes special education and related services designed to meet their individual needs in the least restrictive environment. These funds pay for early childhood instruction and professional development. ● IDEA IEP (Part B): Support schools and districts to implement the IEP improvement project, with an emphasis on transitioning to the utilization of the newly revised forms and process. ● Project Bread Summer Eats: Supported the expansion of our Summer Meal program to include two additional meal sites this past summer, helping us reach more students in need. Funds were used to cover the cost of additional staff and supplies (both food and paper goods) needed to operate these new sites and ensure that more children have access to nutritious meals when school is out. ● Computer Science Professional Development: Support Massachusetts public school teachers in learning Computer Science content. Funds were used to attend a summer Professional Learning workshop run by DESE’s CS professional development provider CSforMA. ● Work-based Learning Implementation: Provides support to build capacity within our Guidance Department to integrate and utilize the MEFA Pathway portal effectively, thereby supporting our robust internship program and enhancing student reflection and career planning. Funds will support the creation of a seamless, data-driven approach to career exploration and Work-Based Learning, significantly increasing the depth and quality of experiences for our students. The School Committee’s FY27 Recommended Budget 42 62 Five-Year Capital Plan A Capital Project is a project that helps maintain or improve a Town asset. It is a new construction, expansion, renovation, or replacement project for an existing facility or facilities. Typically, the project will have a total cost of at least $10,000 and a life span of five or more years. Provided below is a five-year capital project plan for the school district: The School Committee’s FY27 Recommended Budget 43 63 APPENDICES RMHS Drama Club’s Winter 2025 presentation of An Unoriginal Original The School Committee’s FY27 Recommended Budget 44 64 APPENDIX A: Student Enrollment Student Enrollment On October 1 of each year, Reading Public Schools are required to record, verify, and report the total number of students enrolled by grade to DESE. DESE and the Commonwealth of Massachusetts use October 1 enrollment to calculate Foundation Enrollment and Chapter 70 Funding. October 1 enrollment is also used by the district’s administration to project class sizes and to identify trends in enrollment for subsequent years, which forms the baseline upon which the district’s personnel and non-personnel operating budget is developed. The reported October 1 enrollment can be found below: October 1st enrollment represented a decrease of 60 students compared to projected enrollment. These figures are being compared to FY25 numbers reported to the School Committee on November 7, 2024. Projections are made by rolling each grade level up to the next school year. For example, actual fifth-grade enrollment of 345 students led us to project 345 sixth-grade students at Coolidge and Parker. The School Committee’s FY27 Recommended Budget 45 65 Schools that saw an increase in enrollment over projections include Birch Meadow (+2%, 8 students), Joshua Eaton (+2%, 8 students), Wood End (+3%, 6 students), Coolidge (+0%, 1 student), and Parker (+1%, 6 students). While these schools experienced increases, overall projected enrollment is down by 2% (60 students). A few factors contribute to this: 1. RISE Enrollment – Enrollment in the RISE Preschool program is difficult to project because a specific number of seats are reserved for students receiving special education services, while the remaining seats are for tuition-paying students. Currently, all tuition-based spots are filled, and we have seats available for students enrolling for special education services, which we are required to maintain. We believe the slight drop in overall enrollment is due to a large group of students who moved on to kindergarten for the 2025–2026 school year. We continue to project 120 students annually, which has remained consistent over the last several enrollment cycles. We anticipate these numbers will increase as the year moves forward and students become eligible. 2. Kindergarten Enrollment – The projection for FY26 kindergarten enrollment was higher than recent trends have supported. Although projections were based on the town census and students who delayed enrollment from the previous year, actual kindergarten enrollment came in 36 students below projection. As discussed during the spring School Committee meetings, we prepared for the higher enrollment, but anticipated it would come in lower than projections. 3. Overall Impact – The enrollment shortfall in RISE and kindergarten accounts for a decrease of approximately 57 projected students. However, when comparing FY26 actuals to FY25 actuals, the district is up 20 students overall. Second and sixth grades continue to have larger cohorts, which we will monitor as student movement occurs throughout the year. The category with the largest increase was School Choice enrollment, which rose from 51 students last year to 77 this year (+26 students). We continue to see high interest in the program from staff and surrounding districts, with 15 families already inquiring about the lottery process for the 2026–2027 school year. Boston resident enrollment decreased by two students, special education enrollment decreased by 106 students, and Multi-Lingual Learner enrollment decreased by 17 students. The special education decrease is due to a data cleanup that resolved an issue where systems were not accurately communicating, causing students who were no longer eligible for services to be included. This cleanup does not impact student services; it simply corrected previously inflated reporting numbers. The Multi-Lingual Learner decrease is mostly due to 16 students passing the ACCESS testing meaning they are still enrolled with Reading Public Schools, but have exited the program. The tables below note our official October 1st student enrollments by grade for Special Education, School Choice, Multi-Lingual Learners and Boston Residents: The School Committee’s FY27 Recommended Budget 46 66 The School Committee’s FY27 Recommended Budget 47 67 Additional Student Enrollment Data: The School Committee’s FY27 Recommended Budget 48 68 The School Committee’s FY27 Recommended Budget 49 69 The School Committee’s FY27 Recommended Budget 50 70 APPENDIX B: Acronyms This section contains some of the acronyms in the Budget Book ● Adj: Adjustment ● ATS: Add to staff ● BCBA: Board Certified Behavioral Analyst ● DESE: Department of Elementary and Secondary Education (MA) ● DPH: Department of Public Health ● DTS: Decrease to staff ● EMBARC: Education Meaningful Inclusion, Becoming Independent, Advocacy, Relaxation, and Leisure Activities Community Integration ● ESL: English As a Second Language ● FDK: Full Day Kindergarten ● FTE: Full Time Equivalent ● IDEA: Individuals with DIsabilities Education Act ● IEP: Individualized Education Plan ● LEAD: Language, Executive Functioning, Academics, Determination ● LIFT: Living, Independence, Functional, Transition ● METCO: Metropolitan Council for Educational Opportunity ● ML: Multilingual Learners ● OOD: Out Of District - refers to students being placed outside of RPS ● REACH: Resiliency, Executive Functioning, Academics, Coping Strategies, Habits of Mind ● RISE: Reading, Integrated School Experience (Preschool Program) ● RPS: Reading Public Schools ● RMHS: Reading Memorial High School ● SAIL: Strategies to Support Academics, Independence, and Life Skills ● SEL: Social Emotional Learning ● SEPAC: Special Education Parent Advisory Council ● SOAR: Social Skills Organizational Skills Academics in Real World Situations ● WIDA: World-Class Instructional Design & Assessment for Multilingual Learner (ML) The School Committee’s FY27 Recommended Budget 51 71 Town of Reading Meeting Minutes Page | 1 2016-09-22 LAG Board - Committee - Commission - Council: Finance Committee Date: 2026-02-04 Time: 7:00 PM Building: Reading Town Hall Location: Select Board Meeting Room Address: 16 Lowell Street Session: Open Session Purpose: General Business Version: Draft Attendees: Members - Present: Chair Joe Carnahan, Vice Chair Emily Sisson, Geoffrey Coram, Endri Kume, Joe McDonagh, Marianne McLaughlin-Downing, Ed Ross, John Sullivan, Mark Zarrow (remote) Members - Not Present: Others Present: Town Manager Matt Kraunelis, CFO Sharon Angstrom, Assistant Town Manager Jayne Wellman, Operations Director Katie Gabriello, DPW Director Chris Cole, Bob LeLacheur, Karen Gately Herrick, Karen Rose-Gillis (remote), Chris Haley (remote), Ron Powell (remote) Minutes Respectfully Submitted By: Jacquelyn LaVerde Topics of Discussion: This meeting was held in-person in the Town Hall Select Board Meeting Room and remotely via Zoom. Call to order and Welcome Chair Joe Carnahan called the meeting to order at 7:01 pm. Roll call: Mark Zarrow (remote), John Sullivan, Ed Ross, Endri Kume, Marianne McLaughlin - Downing, Joe McDonagh, Emily Sisson, Joe Carnahan, Geoffrey Coram. Public Comment There was no comment from the public. Liaison Reports Geoffrey Coram stated that the School Committee is underway with the Superintendent search process. They are hoping to select the new Superintendent before the annual election in April. John Sullivan shared that the Community Planning and Development Commission (CPDC) discussed updates to the accessory dwelling unit (ADU) bylaw and ADU applications tripled in 2025, which may be some new growth. Endri Kume shared that Jason Small has been appointed as General Manager of the Reading Municipal Light Department. 72 Page | 2 Marianne McLaughlin-Downing stated that School Committee member Carla Nazzaro is not seeking reelection. However, fellow Finance Committee member Geoffrey Coram is running for School Committee. Joe Carnahan shared that the Community Preservation Act (CPA) Study Committee is preparing to present their recommendations to the Select Board at their next meeting on February 10th. Approval of Deficit Spending for Snow and Ice CFO Sharon Angstrom explained that the Town is entering deficit spending on snow and ice, as the recent snowstorm exceeded the budget. A vote by the Finance Committee is needed to deficit spend, and the funds will be allocated at April Town Meeting to cover the deficit. The cost of snow removal to date is approximately $705,000, which is over the budgeted amount of $675,000. On a motion by Emily Sisson, seconded by Ed Ross, the Finance Committee voted 9-0 to approve deficit spending for snow and ice removal as presented. Roll call vote: Mark Zarrow – Yes, Geoffrey Coram – Yes, John Sullivan – Yes, Ed Ross – Yes, Endri Kume – Yes, Emily Sisson – Yes, Marianne McLaughlin-Downing –Yes, Joe McDonagh – Yes, Joe Carnahan – Yes. Presentation on Pleasant Street Center Status and Future Planning Assistant Town Manager Jayne Wellman and Director of Operations Katie Gabriello presented plans for the future of the Pleasant Street Center and reviewed potential options for the building and procurement procedures. The Reading Center for Active Living (ReCAL), which will replace the Pleasant Street Center as a Senior Center, is scheduled to open in August 2027, and the Town is considering selling, leasing, or repurposing the building for various uses such as affordable housing, town office and/or storage space, an atheneum, or a community arts center. If the Town wishes to lease or sell the property, it will need to engage in competitive solicitation, though it will have flexibility in how to structure a Request for Proposals (RFP). The initial feel from the Select Board favors a lease and not a sale of the property. Some Committee members expressed a preference to keep the building and lease it. Other Committee members expressed concerns about operating costs, maintenance, the space remaining vacant, and the Town’s capacity to act as a landlord if the building is leased . Staff will report back to the Committee on the cost of operating the building. Update from the Division of Local Services Financial Policy Seminar held on January 29, 2026 The Department of Revenue’s Division of Local Services (DLS) offered a financial policy seminar, which was attended by several other towns, as well as some members of the Finance Committee and Select Board, and Town Manager Matt Kraunelis and CFO Sharon Angstrom. Mr. Kraunelis explained that the DLS teaches municipalities to write their own policies by hosting these workshops and providing templates for policies. He and Ms. Angstrom are reviewing Reading’s policies to see which ones need to be refreshed. The Committee discussed prioritizing capital planning, reviewing and updating peer communities, impact of policies on bond rating, budgeting process, free cash use and reserves, and expressed their appreciation for Ms. Angstrom’s budgeting practices and hard work. Birch Meadow light failure/replacement (Recreation) Emily Sisson stated that a nor’easter in October knocked the lights off two poles at the Birch Meadow softball field. The Recreation Administrator worked with RMLD and DPW to assess the situation and determined that four of the poles were damaged by the storm and had to be removed immediately. An inspector inspected the remaining poles and found that they were all leaning and past their useful life, which resulted in their removal as well. The Town 73 Page | 3 received a $25,000 insurance payment related to the pole failures which has been set aside for future lighting. Quotes to replace the damaged poles came in between $70,000 and $95,000. The Recreation Committee and town staff decided not to replace the lights at this time, as enhanced lighting is part of phase three of the Birch Meadow Master Plan. However, nighttime use of the field is limited until the lights are replaced, impacting leagues including men’s softball, youth soccer, youth lacrosse, and youth football. Ms. Sisson stated that she brought it to the Committee’s attention in case there is a future unplanned capital expense perhaps at November Town Meeting, or next spring Town Meeting. The Recreation Administrator is working on getting quotes to tie into the new grid that was put in, and the current estimate is between $300,000 and $500,000. Future Agendas The Finance Committee will begin their weekly budget meetings beginning with the School Department budget on February 25th. The following meetings will focus on the Town Manager’s and Town department budgets, and votes on the budget and Town Meeting warrant articles. The committee requested a presentation on the bid process on the current capital projects, and will have a discussion on the Municipal Empowerment Act at future meetings. Approval of Prior Meeting Minutes: November 5, 2025 On a motion by Emily Sisson, seconded by Joe McDonagh, the Finance Committee voted 9-0 to approve the meeting minutes from November 5th, 2025, as presented. Roll call vote: Mark Zarrow – Yes, Geoffrey Coram – Yes, John Sullivan – Yes, Ed Ross – Yes, Endri Kume – Yes, Emily Sisson – Yes, Marianne McLaughlin-Downing –Yes, Joe McDonagh – Yes, Joe Carnahan – Yes. On a motion by Emily Sisson, seconded by Ed Ross, the Finance Committee voted 9-0 to adjourn at 8:50 pm. Roll call vote: Mark Zarrow – Yes, Geoffrey Coram – Yes, John Sullivan – Yes, Ed Ross – Yes, Endri Kume – Yes, Emily Sisson – Yes, Marianne McLaughlin-Downing –Yes, Joe McDonagh – Yes, Joe Carnahan – Yes. 74