NORWOOD, Mass. — The Norwood Finance Commission on Thursday heard a presentation from Superintendent Lehi and school staff on the Norwood Public Schools proposed fiscal 2026 operating budget, which Lehi said represents about a 6.7% increase from FY25 and is approximately $65.3 million.

Lehi told commissioners the proposal adds 6.6 full-time equivalent positions to staff the new Coakley Middle School and shifts additional elementary staff to middle-school roles. "The budget that we are presenting tonight is" Lehi said, describing new and transferred positions and a number of program adjustments intended to balance student needs and fiscal constraints.

The budget presentation focused on several near-term priorities: staffing for the new Coakley Middle School, increased transportation costs tied to adding two to three buses and a new bus contract, program and specialist reductions at the elementary level, and three warrant articles the school is requesting the town consider at annual town meeting.

Why it matters: Finance Commission members stressed the risks of relying on one-time funds to balance recurring costs. Commissioners warned that free cash used this year may not be available in future budgets, and urged long-range planning to address projected deficits and rising health insurance and retirement costs.

Key details from the presentation

- Coakley Middle School staffing: Lehi and school staff described 6.6 new FTEs specifically to open Coakley, including an assistant principal, special education teacher, art and music teachers, a counselor, an English-language teacher and a 0.6 administrative assistant. In addition, roughly 24.8 FTEs will move to the middle school as enrollments shift; many of those are transfers from elementary grades. The school is also adding 12 fifth-grade teachers to create grade-level teams that will feed the middle school.

- Program shifts and reductions: To fund some priorities, the proposed budget reduces two elementary librarian positions through a modified specialist schedule and shifts a world-language position to the middle school, which has implications for the high-school Latin program. Lehi said about 34 students currently participate in Latin at the high school and that 23 of those students could continue next year; students who wish to persist could take Latin online.

- Safety and behavioral supports: The budget includes two full-time behavioral interventionists (to support elementary prevention and intervention) and one districtwide director of safety, compliance and communications. Lehi said the district hired Dr. Hughey Halligan to fill the director role and emphasized the need for someone with school experience to lead staff training, investigations and behavioral planning.

- Transportation: The proposal includes an $894,000 transportation increase to cover a new bus contract and the cost of adding two to three buses. School staff said the $894,000 would cover three buses if the district ultimately needs three; if fewer buses are required the cost would be lower. Sean, a school staff member handling transportation, told the commission, "The whole bus May 1 is our goal," referring to the transportation registration start date the district will use to finalize routes and determine whether two or three buses are required.

- Curriculum and middle-school supports: The budget contains roughly $125,000 for middle-school curriculum coordination and anticipates a freshman-academy teacher position at the high school to help ninth-graders transition academically.

Warrant articles and reimbursements

Lehi and school staff outlined three operating or capital warrant articles the district will ask the town to place on the annual town meeting warrant:

- Increase to the special-education stabilization fund. Based on the FY24 net school spending figure the schools reported to the state, the district said 2% of that amount is $1,580,009.59; the current stabilization balance is about $700,000. The presentation proposed increasing the stabilization account by about $880,009.59 to reach the 2% target.

- A $300,000 article to bridge funding for MassHealth (Medicaid) billable positions. The article would fund three positions that the district expects to bill to MassHealth over time; school staff said the article provides a one-year bridge while billing and reimbursement rates are developed.

- Authorization to pursue contracts longer than three years for food service and transportation. Norwood’s charter limits contracts to three years unless town meeting authorizes longer terms; the schools argued five-year terms could yield better rates for multi-year vendors.

The school also noted an ESSA-related memorandum of understanding that would allow the district to seek small reimbursements for foster-care transportation; staff reported applying for reimbursement for FY24 and said the expected amount was roughly $2,800.

Federal and state funding risks

Committee members and school committee representatives repeatedly raised concerns about potential federal and state funding changes. School Committee member Sharon Allen described ongoing advocacy with members of Congress and U.S. senators and said, "My concern is not as much this year because the money is in the budget, but in subsequent years, when a new budget has to be developed, whether... these grants will be there." Allen and others noted the district is monitoring possible changes to Medicaid/MassHealth, circuit-breaker special-education reimbursements and Chapter 70 school funding formulas.

Commission reaction and fiscal context

Multiple Finance Commission members cautioned against using free cash or one-time appropriations to cover ongoing operating expenses. Commissioners reiterated that the town had already planned a sizable free-cash contribution to balance this year’s budget and said the community needs longer-term planning for health-insurance (GIC) increases, retirement contributions and potential reductions in state or federal aid.

The commission also asked for follow-up material on enrollment projections, the final cost impact if the district needs only two buses instead of three, and any changes to the MassHealth warrant if federal or state rules shift.

Formal actions recorded in the meeting

- Approval of minutes from the March 6 meeting: Motion to approve made and seconded. The chair announced the motion carried; the transcript notes one member recorded an abstention. The transcript does not provide a full roll-call tally for that vote.

- Adjournment: The commission moved and seconded to adjourn; the clerk announced the motion carried by voice vote.

Next steps

School staff told the commission the school committee will vote on the FY26 budget and that the Finance Commission will consider the committee’s action before making a formal recommendation. The district’s staff and the commission plan additional follow-up on transportation routing, MassHealth billing plans and updated health-insurance (GIC) cost estimates before final votes and town-meeting warrant preparation.

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