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Local Aid and Finance Gov. promises no local aid cuts in FY11 budget
Gov. Deval Patrick today promised local officials that they would see no cuts in key local aid programs or education funding under the fiscal 2011 state budget bill he will be filing next week.
Despite a decrease in federal stimulus funding that the state leaned on heavily to balance this year’s budget, the governor said the state will be able to level-fund Chapter 70 education aid and ensure that no school district sees a decrease next year.
Speaking to hundreds of local officials during the opening session of the MMA Annual Meeting in Boston, the governor said his budget will include $4.05 billion for Chapter 70, all from the state’s general fund, rather than using any one-time revenues such as federal aid.
He said his budget would level-fund “unrestricted general government aid” at $936 million and level-fund other local aid accounts, such as payments in lieu of taxes and regional school transportation.
The news was very well received by local officials, who were bracing for local aid cuts of up to 10 percent next year.
“This is just tremendous news,” said MMA President Jeff Nutting, the town administrator in Franklin, who was among the local officials who thanked the governor after his announcement.
The governor said the good news for local aid is due in large part to a gradual improvement in state revenues, which were battered by “the worst economic downturn in 80 years.”
“Slowly but surely, Massachusetts is coming around,” he said.
The governor also announced a number of new “tools” he is proposing to help cities and towns face their budget challenges.
These include:
• A “local pension funding relief initiative” that would allow cities and towns, if they meet certain conditions, to extend their funding schedules to 2040
• A local-option early retirement incentive program
• A rate freeze on special education private placements, which the governor says could save communities $3.2 million statewide
• Relief from library “maintenance of effort” requirements and decertification rules
• Allowing regional school districts to share superintendents
• Allowing local government procurement from state energy contracts
• A $7 million green communities grant program
The governor also announced efforts to evaluate the adequacy of the Chapter 70 foundation budget and formula as well as general local aid formulas.
The governor did not offer additional details about his budget bill, which he will file with the Legislature on Jan. 27.
House Ways and Means Chair Charles Murphy of Burlington will address many of these same issues with local officials during the MMA’s Annual Business Meeting tomorrow morning.
Local Aid and Finance Gov. promises no local aid cuts in FY11 budget
Gov. promises no local aid cuts in FY11 budget
Gov. Deval Patrick today promised local officials that they would see no cuts in key local aid programs or education funding under the fiscal 2011 state budget bill he will be filing next week.Despite a decrease in federal stimulus funding that the state leaned on heavily to balance this year’s budget, the governor said the state will be able to level-fund Chapter 70 education aid and ensure that no school district sees a decrease next year.
Speaking to hundreds of local officials during the opening session of the MMA Annual Meeting in Boston, the governor said his budget will include $4.05 billion for Chapter 70, all from the state’s general fund, rather than using any one-time revenues such as federal aid.
He said his budget would level-fund “unrestricted general government aid” at $936 million and level-fund other local aid accounts, such as payments in lieu of taxes and regional school transportation.
The news was very well received by local officials, who were bracing for local aid cuts of up to 10 percent next year.
“This is just tremendous news,” said MMA President Jeff Nutting, the town administrator in Franklin, who was among the local officials who thanked the governor after his announcement.
The governor said the good news for local aid is due in large part to a gradual improvement in state revenues, which were battered by “the worst economic downturn in 80 years.”
“Slowly but surely, Massachusetts is coming around,” he said.
The governor also announced a number of new “tools” he is proposing to help cities and towns face their budget challenges.
These include:
• A “local pension funding relief initiative” that would allow cities and towns, if they meet certain conditions, to extend their funding schedules to 2040
• A local-option early retirement incentive program
• A rate freeze on special education private placements, which the governor says could save communities $3.2 million statewide
• Relief from library “maintenance of effort” requirements and decertification rules
• Allowing regional school districts to share superintendents
• Allowing local government procurement from state energy contracts
• A $7 million green communities grant program
The governor also announced efforts to evaluate the adequacy of the Chapter 70 foundation budget and formula as well as general local aid formulas.
The governor did not offer additional details about his budget bill, which he will file with the Legislature on Jan. 27.
House Ways and Means Chair Charles Murphy of Burlington will address many of these same issues with local officials during the MMA’s Annual Business Meeting tomorrow morning.
Written by MMA Publications/Web Director John Ouellette
