Who is a member?
Our members are the local governments of Massachusetts and their elected and appointed leadership.
The fiscal 2016 state budget recommendation filed by Gov. Charlie Baker on March 4 would increase the main municipal aid account by $34 million and Chapter 70 school aid by $105 million, but would generally level-fund other municipal and school aid accounts.
Despite a growing economy and state tax collections expected to increase by almost $1.2 billion next year, the governor’s $38 billion budget plan proposes only modest spending growth – about 3 percent – as the state deals with the aftereffects of a $1 billion deficit in fiscal 2015 caused in large part by the state’s health insurance programs.
To help balance the fiscal 2016 budget, the governor announced plans to reform MassHealth and other state-run health insurance programs in order to begin movement in these accounts to sustainable levels. The governor’s budget, known as House 1, also relies on restricted spending and cuts, reducing the state workforce through an early retirement program, and using tax revenues usually routed to the state’s stabilization fund (though the plan does not propose drawing from the current fund balance).
The House and Senate budget committees have started public hearings on House 1, and the House Ways and Means Committee budget plan is expected to be released in mid-April for debate and approval by the end of the month.
The MMA and local leaders testified at a public hearing on March 24 in Greenfield on the municipal and school aid accounts in House 1.
The MMA testified in support of the $34 million increase in the Unrestricted General Government Aid (UGGA) account. The Cherry Sheet UGGA account is currently funded at $946 million, and the increase proposed by the governor would be funded by new gaming revenues from the Plainridge Park Casino facility expected to open in June. These new gaming funds are dedicated to the Gaming Local Aid Fund for the primary purpose of funding Unrestricted General Government Aid.
The MMA also testified in support of a sufficient funding increase for Chapter 70 education aid to ensure that all municipal and regional school districts are able to reach the “foundation” level of spending, that the equity provisions adopted in 2006 continue to be implemented, and that an adequate amount of minimum aid is provided to ensure that all schools receive an increase in fiscal 2016. The governor’s proposed increase of $105 million for Chapter 70 would provide minimum aid of only $20 per student for 245 of the 326 municipal and regional public school districts in the state. The MMA called for a minimum aid amount of $100 per student.
The MMA also asked for full funding of other important municipal and school aid accounts identified as priorities at the MMA’s Annual Business Meeting in January. These accounts include the special education “circuit breaker” program, through which the state provides a measure of support for services provided to high-cost special education students, and full funding of the Commonwealth’s obligation under state law to reimburse school districts for the loss of a portion of their Chapter 70 aid that is redirected to fund charter schools.
The governor’s budget would level-fund charter school reimbursements at $77 million, even though local payments to charter schools are expected to increase by $55 million. Full funding of the statutory formula would require $130 million.
The MMA also asked for funding for three key student transportation accounts, including reimbursements to regional districts, the transportation of homeless students under the McKinney-Vento program, and transporting out-of-district vocational students.
The MMA expressed support for full funding of the Commonwealth’s obligations to the Cherry Sheet program for payments in lieu of taxes for state-owned land (PILOT), which is a particularly important program for the cities and towns that host and provide municipal services to the state. The MMA also urged support for continued funding for the Shannon anti-gang grant program, which has helped cities and towns respond to and suppress gang-related activities.
The MMA testimony also included a request for timely notice of the main municipal and school aid accounts, in order to help cities and towns prepare local revenue and spending plans, including agreement on the $34 million increase in UGGA for next year. The MMA is also seeking notification on a methodology for calculating Chapter 70 local contribution and school aid levels, ideally including a minimum aid increase of $100 per student. An agreement would set the stage for a consensus local aid resolution and a commitment to minimum municipal and school aid amounts during April.
Testifying on the MMA panel were MMA President and Orleans Selectman David Dunford, MMA Vice President and North Adams Councillor Lisa Blackmer, Greenfield Mayor Bill Martin, Buckland Town Administrator Andrea Llamas, who serves as chair of Small Town Administrators of Massachusetts, and MMA Executive Director Geoff Beckwith.
• Link to Department of Education’s calculation of fiscal 2016 Chapter 70 aid for each school district based on governor’s budget