Rhode Island School Budget Proposes $750K Deficit Amid Rising Employee Benefits Costs

Tiverton Town Council has taken significant steps to address its projected budget deficit of approximately $750,000 for the fiscal year, as discussed in the recent meeting on May 5, 2025. The council highlighted a series of financial adjustments aimed at optimizing resources while maintaining essential services for the community.

One of the key decisions made was the implementation of retirement incentives, which are expected to yield long-term savings by allowing higher-paid employees to retire and be replaced with new hires at lower salary scales. This move is anticipated to help mitigate the budget deficit while also addressing the rising costs associated with employee benefits, which have increased by 12.26% year-over-year.

In a bid to streamline operations, the council also reported a significant reduction in costs related to student assistance services. By reallocating job coaches into the Individuals with Disabilities Education Act (IDEA) program, the district is set to save approximately $100,000. This strategic shift comes as the percentage of special education students in the district has risen from 17% to over 22% since 2020, necessitating a focus on efficient resource allocation.

Transportation costs are another area where the council anticipates savings. The decision to bring statewide transportation services in-house is projected to save the district $232,000. This change is part of a broader effort to enhance service delivery while reducing expenses, although the full benefits may take a few years to materialize.

The council also addressed the rising costs of supplies, which have increased by nearly 20% due to inflation and tariffs. This increase reflects the need to provide adequate materials for teachers and staff, ensuring that educational standards are maintained despite financial constraints.

Overall, the Tiverton Town Council's proactive measures aim to balance the budget while continuing to support the community's educational and operational needs. As the council moves forward, these decisions will play a crucial role in shaping the town's financial landscape and ensuring sustainable growth for the future.