Superintendent Gray told the RSU 5 board Wednesday that the district's baseline budget is approximately $44,500,000 and that negotiated contracts for wages and benefits would rise 8.6% next year — a change that, he said, would lift the overall budget by roughly 7.1% if other items remain the same.

The superintendent, speaking during his opening report, framed the numbers as part of a wider budget conversation the board must hold over the fall and winter. He said wages and benefits are by far the largest part of the budget and that the district has additional unknowns, including a not‑yet‑negotiated contract for support staff and likely increases in health‑insurance costs.

Board members and staff pressed for more context, and the superintendent and other administrators outlined several factors the board will weigh as it drafts a proposed budget: flat enrollment after a prior spike; staffing shortages in certain roles; and program and maintenance needs.

"The overall district budget is approximately $44,500,000," Superintendent Gray said, adding that "negotiated contracts for wages and benefits ... are going to go up by 8.6% next year," which would push the district's total closer to a 7.1% increase. Board member Kelly thanked Gray for the early, direct framing of the challenge: "I just wanted to thank you for being forthright about all this early on so that we have a lot of time to think about it ahead of time."

Details the board heard and discussed
- Enrollment: District leaders told the board enrollment is essentially flat for the coming years after a temporary spike. Enrollment affects state subsidy and class sizes. The superintendent said staff expect only fractional year‑to‑year changes.
- Pre‑K: The superintendent reported pre‑K class size averages at individual schools as follows: Mass Landing, 13.75; Pownall, 8; Durham, 11.7. He noted the statutory or programmatic maximum for a pre‑K classroom is 16 and that state rules require two adults in certain classrooms ("a teacher and an ed tech"), with an adult ratio of roughly one adult per eight students in some placements.
- Staffing and hires: Administrative materials in the board packet list summer hires and resignations. The practice in RSU 5 is to empower the superintendent to make summer hires when the board does not meet; the board packet identified staff hired under the prior interim superintendent and under Gray since Aug. 18. Administrators said the most acute vacancies are educational technicians (ed techs) in multiple schools; those vacancies remain open and recruiting continues.
- Operations: Staff credited Sam Rigby (technology) and Lehi Reynolds (facilities) and their teams for summer work that helped the year open smoothly; transportation remains heavily utilized and district leaders said vehicles and drivers are fully pressed into service.

Budget process and timing
District leaders outlined a calendar of public engagement and internal steps that will feed into budget development this fall and winter. The board confirmed a town‑leadership meeting is scheduled for Dec. 3 to share budget context with municipal officials and selectboard/council chairs. Board discussion returned repeatedly to March as the pivotal month for budget deliberations and adoption; administrators said presentations from school and department leaders in the weeks before March are intended to give the board the information it needs to act.

Board members asked for more opportunities during the presentation sequence to raise substantive questions so administrators can prepare answers in advance rather than face late changes. Administrators asked board members to submit written questions where possible to speed staff responses and said they will provide begin‑of‑year and end‑of‑year scorecard updates to show progress on instructional and social‑emotional indicators.

Why it matters
District leaders said the wage and benefit increases are largely driven by negotiated contracts and broader inflationary pressures. Because personnel costs are the largest line in the budget, even a single‑digit rise in compensation can produce a materially larger change in the total budget the board will need to propose and, ultimately, that municipal governments and voters will consider.

What's next
The board and administration said they will continue public and staff outreach this fall, present school and program budgets in the weeks ahead of adoption season, and keep the public informed via the district's usual channels. The superintendent asked community members to engage in focus groups and surveys tied to the strategic‑planning process, which will also inform budget priorities.

Ending
Board members and administrators emphasized transparency and early questions as the best path to a smoother budget season. The administration said it will publish updates and make staff available for Q&A as the fiscal calendar progresses.