Staff Writer

The Scarborough Board of Education unanimously voted to delay the second reading and approval of the 2009-2010 school budget until more information is known about the amount of general purpose aid from the state and employee insurance rates.

The board decided Feb. 25 to move the second reading and approval of the budget to March 19.

The decision was recommended to the board by a Feb. 25 email by Board of Education Chairman Brian Dell’Olio, who discussed with Finance Chairman Christopher Brownsey and Superintendent David Doyle about the possibility for the board to wait on the budget approval.

According to the current proposed budget, the expected state general purpose aid would be about $6 million, which is about a $780,000 drop from the 2008-2009 fiscal year budget. The overall proposed school budget is currently set for about $36 million, more than $1 million higher than last year’s budget.

Doyle said Anthem insurance rates are proposed to increase by 9 percent, but could be lower by the time the budget is presented to town councilors.

“For every percent lowered, it’s $37,000 [lowered from the increase]” Doyle said.

Dell’Olio said if the increase is only 2 percent rather than 9 percent, it would slow the rate of increase by more than $250,000.

“You’re starting to talk about some real money [being slowed by increase],” Dell’Olio said.

Doyle said the biggest area of concern is state general purpose aid funding, as it dropped “significantly” because of a statewide curtailment in January. He said a portion of the money could be restored by the American Recovery and Reinvestment Act. If that happens, the budget could have a surplus, meaning, money could be rolled forward into the upcoming fiscal year, he said. 

Dell’Olio said the town council needs the board recommended version of the school budget 60 days before the end of the current fiscal year on June 30. Dell’Olio said the town council will review the school budget and set a bottom line expense. Once the town council approves the budget, residents vote within 14 days. If residents vote the budget down, Dell’Olio said the board must wait 10 days before making another budget recommendation to the town council, until a budget is accepted.

Doyle said council’s first reading of the school budget is scheduled for mid-April, with a second reading later than month. He said the budget validation vote by town residents is scheduled for May 12.