School committee warns $12M state cut would deepen Manchester shortfall; board forms working group and approves monthly financial report

A member of the Manchester Joint School Buildings Committee on July 8 told the committee that a proposed state reduction of about $12 million in education funding for the city would compound existing local shortfalls and could leave the district tens of millions of dollars behind over coming years.

The speaker said the state action would disproportionately affect Manchester, which the speaker described as the state’s largest district with high numbers of students who are low‑income, homeless or in special education. The speaker characterized the proposed cut as about $12,200,000 and said the district earlier failed to receive roughly $17,000,000 that it had expected under the tax cap, creating what the speaker described as a potential combined shortfall approaching $30,000,000.

“The state of New Hampshire to single out the city of Manchester and eliminate or not eliminate, but reduce significantly the funding for special education students, for poor students, and for English language students...to the extent of $12,200,000 to take that money from the city of Manchester is egregiously wrong,” the speaker said. That speaker also said the district has used roughly $9,000,000 of rainy‑day funds this year and that reserves have fallen from about $30 million to about $15 million over two budgets.

The committee’s working plan is to convene the mayor, the committee chair, the chairman of the finance committee (former mayor Bob Baines) and Dr. Camille to meet regularly beginning in late July or August to identify options. The speaker said the group will examine all possibilities including staffing, transportation, kitchen operations and bond sizing, and that next year’s city budget will also be under consideration.

At the meeting the committee also approved its monthly financial status report. The motion to accept the financial and status report was made by School committee member Turner and seconded by Sotterio; the motion was approved after a voice vote. The committee then moved to new business and later approved a motion to adjourn (moved by Miss Soule, seconded by Turner).

Committee members said they plan to keep the public informed and that the legislative committee has taken actions regarding the state funding issue. The speaker encouraged community members with questions to contact committee leadership for updates and said the mayor and others were engaged in ongoing discussions.