Five Town CSD

Finance Committee Minutes

1-7-15

Present                                                      

Also Present

The meeting was called to order at 6:00PM. 

A draft of a Budget PowerPoint presentation was shown by administration. The goal is to have a concise overview of the budget.

Budget proposal/approved school board budget which can be shown to the full School Board, Select Boards, and other groups interested in learning about the proposed budget. The intent is that this presentation will be used from year to year and simply updated with current information. Input was taken from finance committee members on the proposal. 

A draft of a five-year plan for the F1/intercultural program was reviewed. The plan covered projected revenues and expenses, enrollment projections and program projections for all facets of our intercultural program. An Intercultural Program Coordinator (new position) was introduced to the plan as, if the program grows, the Principal will not have the capacity to handle all the administrative functions involved with the program. The proposal was to have the F1 funds pay for the position. Some finance members felt it was premature to add a coordinator to the proposal at this time. Discussion ensued about the direction of the program, and the time required by administration to manage the program. 

It was reported that a new collateralization agreement had been signed with Camden National Bank, which would add our name to securities, which were held as collateralization for our deposits. This will satisfy audit requirements for our deposits to be either insured by FDIC or collateralized by securities that are in the District’s name. 

A plan for laddering CDs for our scholarship and grant funds was presented to the finance committee. Many of the district’s smaller CD’s are expiring and renewing at a very low interest rate. Administration recommends laddering four CDs of $100,000 each. The terms will initially be 6 mos., 12 mos., 18 mos., and 24 mos. Eventually all of the CDs will be 24 month CDs and one will mature every six months and will allow for working capital if necessary. The hope is that CD interest rates will improve over time and we will be positioned to take advantage of the increase in interest rates. 

The finance committee will recommend to the full school board laddering four $100,0000 CDs, with Camden National Bank. Vote 5-0 

The budget to actual for CHRHS was reviewed.   The budget should have 50% remaining and it currently has 45.74% remaining. The variance is due to timing issues, the major timing issue being the payment of the 1.2 million dollar bond payment due in November. The only unanticipated expense at this point is a new server, which was needed in the Business Office as the current server was about to crash. This cost is under 2K and it is felt we will be able to make up this overage throughout the course of the year. We are also keeping an eye on the substitute line in 9-12 instruction as we are well over where we should be at this point. 

The meeting adjourned at 6:40.PM.