With education costs continuing to squeeze Rochester's budget, the Finance Committee chair floated the idea of establishing a student stabilization account to handle unpredictable expenditures.

Speaking at the Board of Selectmen's Monday meeting, Rochester Finance Committee Chair Kristian Stoltenberg said such a fund could offset spikes in Old Rochester Regional's financial assessments to the town.

"Frankly, we can do it. We have the money this year," Stoltenberg said, explaining that Rochester has a higher-than-usual amount of free cash in budget coffers. "This would be a one-time affair of establishing the stabilization fund. We have money that we normally don't have."

For the fiscal year 2017 budget, Rochester faces a higher assessment due to increased enrollment. An additional seven students from Rochester are expected to enroll at ORR, which financially, "ended up making a big difference" this budget cycle, Stoltenberg said.

The ORR district's proposed assessment for Rochester is $270,000; last year, the town was assessed at $143,000, and, in other years, it was in the negative. Rochester initially was assessed at $290,000 before all three towns voted to remove capital costs from the assessment figures, Stoltenberg said.

The town currently can afford $115,000 without any help. Putting $125,000 from free cash into the stabilization fund would allow the town to increase its contribution by at least $100,000, Stoltenberg said.

"If we pushed and held fast at $115,000, I don't think Mattapoisett and Marion would accept that. They would say that is hurting the schools too much, and they'd push us up to $270,000."

Mattapoisett has a stabilization fund to help offset spikes in enrollment, and Marion is considering a similar move, he said.

"I don't want to be the only town not thinking about the future," said Stoltenberg.

Selectman Richard Nunes said that, ultimately, the money is all coming from the same place. "The town does make a good faith effort to meet the assessment that the district proposes every year. We can only do so much," he said.

Stoltenberg responded that the town should take advantage of the available free cash. And, it's an action that shows the other towns that it is acting in good conscious.
"I like the idea of having something in place," he said.

In addition to assessments, the three towns are exploring a debt exclusion to fund $1.3 million over five years in capital improvements at ORR.

Looking for ways to boost revenue, Selectman Nunes suggested petitioning state representatives to increase school choice reimbursement, and Town Administrator Mike McCue said he'd look into it. Currently, districts are reimbursed $5,000 for every out of district student who holds a slot through the school choice program. That amount is well under the $12,000 it costs to educate one student per year, McCue said.

As things stand now, there is no fat left to cut from the municipal side of the budget, the town administrator said. "We already get by without the things we need."

In other news:

Rochester has officially scheduled June 6 as the date for its annual Town Meeting, reported McCue.

He said he is reviewing and editing the town's personnel bylaws. After the Board of Selectmen weigh in, the updated rules will be brought to the annual meeting for approval.

McCue also announced that the Town Hall Annex Committee is hosting two public meetings that will explore potential expansions to the Annex building or Town Hall. The meetings, scheduled for Friday, March 18, at 5 p.m. and Saturday, March 19, at 10 a.m., will take place at the Council on Aging building on Dexter Lane.

"We invite anyone who has any feedback or any questions to attend either one of these meetings," McCue said.