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HomeMy WebLinkAbout2026-01-05 Finance Committee Minutes di Finance Committee Meeting Minutes of January 5, 2026 I IIIIiY)loll`ii�Ei@tl} �}pIt 1}i'I}y, (IIII II Illt'lll�ll I i ,i Call To Order: Chair Regina Kean called the open meeting to order at 7:OOPM in the School Admin Building located at 566 Main Street North Andover. Present: Chair Regina Kean, Vice Chair Denevan O'Connell, Nancy Sarro, Keith Chaney, Eva Pastor, Christine Allen, and Jennifer Watson. Not Present: Jeanne Irwin and Dustin Silk. Non-Board Members in Attendance: Finance Director Dennis Keohane. PUBLIC COMMENT None. NEW BUSINESS Follow-up discussion of Tri-Board Meeting Mr. O'Connell stated the School Superintendent is going to be releasing her budget on Thursday. Mr. O'Connell stated it would be important to have Pam at one of their meetings to walk them through her budget. Mr. O'Connell stated it was surprising news that the Town Manager felt with the tax changes that there would not be a need for an override for Kittredge. Ms. Kean stated that she did ask the Town Manager if there was any preliminary information about how this might change given the Merrimack buying of Royal Crest. Ms. Kean stated it is too early to have any information to share on that. Ms. Watson asked if the taxes collected on Royal Crest were on the order of a million dollars a year. Mr' O'Connell stated that number seems familiar from what they discussed during the redevelopment project. Ms. Watson stated it would be helpful to get what the actual spending for the schools has been over the last several years. Mr. O'Connell stated he did not understand how it was a 4% increase for this fiscal year and then it went down to 2.5% next fiscal year with cost rising. Ms. Kean stated that was more of an availability number not what they think it will cost. Ms. Watson stated if they increased by 4% over cost last year and laid off a number of staff to fit within the budget and are about to enter into another negotiation, she believes as a Committee they should get a handle on what they are looking at and what the implications might be. Mr. Chaney asked if they projected out the COVID money that was received. Ms. Kean stated yes. Ms. Kean explained how they went over the budget because of COVID funding from the federal government. Ms. Kean discussed how challenging 2027 might be. Ms. Kean asked if the number for education in the financial forecast was based on the assumption that they would have level services. Ms. Watson stated these were all budget availability and not projections of what the cost would be. Ms. Watson stated her other concern is the projection that the Amazon revenue is going to go up by$1.6 million per year. Mr. Chaney stated they had justification as to why they thought it was conservative. Ms. Allen stated they are anticipating a shift in their inventory. Ms. Watson stated the justification given was that some of the equipment used to operate the facility will have to be replaced. Ms. Sarro stated the $1.6 million was total new growth and the Amazon portion was $940,000. School Department Budget Update Letters Ms. Kean thanked the School Department for their monthly budget updates. Ms. Kean stated the December update provides detail as to the out of district tuition and transportation estimates. Ms. Kean stated there was nothing alarming in the updates. Ms. Kean stated the School budget first review will be on Thursday. di Finance Committee Meeting Minutes of January 5, 2026 I IIIIiY)loll`ii�Ei@tl} �}pIt 1}i'I}y, (IIII II Illt'lll�ll I i ,i APPROVAL OF OPEN SESSION MINUTES FROM DECEMBER 8, 2025 AND DECEMBER 15, 2025 MOTION: Mr. O'Connell motioned to approve the open session minutes from December 8, 2025 and December 15, 2025 as presented. Ms. Watson seconded. Motion approved 7-0. ADJOURNMENT MOTION: Mr. O'Connell made a MOTION, seconded by Ms. Pastor to adjourn the Finance Committee meeting at 7:19PM. Motion approved 7-0. Respectfully submitted. Nicole Civitarese Executive Assistant Documents used at meeting Letters Minutes from 12/8/25 & 12/15/25