The Regional School Unit 14 board has recommended a new cost-sharing formula based on town property valuations that would increase taxes for Windham residents and reduce Raymond’s burden.

In a unanimous decision, the board voted 6-0 earlier this month to recommend the new policy, setting the stage for voters to weigh in on the formula at a district-wide meeting in March.

The new formula would not affect the school assessments that are determined by the state’s Essential Services and Programs formula – or about 85 percent of this year’s $25.52 million budget.

It would affect the remaining 15 percent, or about $3.7 million. While the existing cost-sharing formula has Windham residents pay for a little more than 55 percent of the locally controlled expenses, the new budget would increase Windham’s share to 64 percent. Raymond’s share would dip from about 45 to 36 percent.

Assuming that expenses and incomes remain at current levels in coming years, district administrators estimate that a $250,000 home in Windham would see a $51 tax increase as a result of the new formula. School taxes on a $250,000 home in Raymond would decline $90, according to the projection. If approved by voters at a district-wide meeting in the spring, the tax modifications would be phased in over a three-year period, starting in fiscal year 2016.

According to school district officials, who deny the arrangement is an effort to appease Raymond voters who have initiated a district withdrawal process partly due to concerns about the existing cost-sharing arrangement, the board has intended to re-examine the formula since the spring of 2014. Board Chairwoman Marge Govoni of Windham said school board members view the proposal as “equitable,” and quickly voted to recommend the policy at a Jan. 7 meeting.

“There was really no discussion,” she said. “I think we’ve really had multiple discussions on it in the past. It was definitely ready for a vote.”

A public hearing will be held at the Windham High School auditorium on Feb. 11. In order for the changes to be effective for the upcoming fiscal year, a district-wide referendum will take place at the high school auditorium on March 18, according to district officials.

The existing cost-sharing formula was set forth in the 2008 Reorganization Plan, when the district was consolidated. It calculated the cost-sharing formula based on an average of each town’s local-only funding – funding not dictated by the state’s mandated contribution – in the three years prior to consolidation.

Starting in fiscal year 2019, the proposed cost-sharing formula would be based on a ratio determined by averages of each town’s property valuation for the previous three years. During the 2012-2013 school year, the state valued Windham at $1.7 billion, while it valued Raymond at $1 billion. When combined, the ratio breaks down to 64:36, which is the ratio used in the proposed cost-sharing formula. If approved, the cost-sharing formula would shift to 58:42 in fiscal 2016. The next year, it would change to 61:39. In fiscal year 2018, the transition to the new cost-sharing regime would be complete.

The proposed cost-sharing formula would also change the way the district funds capital improvements, such as renovations and new school construction. Concerns about Raymond’s contribution to a proposed new middle school in Windham motivated the effort to begin the withdrawal process from the district this year.

According to Assistant Superintendent Donn Davis, under the existing formula, Raymond would fund nearly 45 percent of the costs for a new middle school, even if no Raymond students attended it, while Windham would fund about 55 percent. According to Govoni, construction of the new school, if approved at a future referendum, could cost between $32 million and $42 million, not including interest.

Under the proposed formula, whichever town “engages” in large, future capital expenditures would pay for the project or projects. If the district built a new middle school strictly for Windham students, Raymond taxpayers would not fund the project. However, if the district built a new middle school in Windham that Raymond students attended, Raymond would contribute toward the construction costs. The costs would be broken down proportionally based on student enrollment from each town.

Withdrawal Update

At the Jan. 7 meeting, the board also appointed a working group to negotiate a district withdrawal agreement with the Raymond withdrawal committee. According to Davis, the group will perform a similar function to the research committee recently formed by the Raymond withdrawal committee.

The working group includes three Windham board members – Govoni, Kate Brix and Eric Colby – as well as Superintendent Sandy Prince and Davis. To Teresa Sadak, a member of the Raymond withdrawal committee who has pioneered the withdrawal effort, the decision to form an all-Windham working group is provocative.

“It’s kind of like they’re drawing the line in the sand right now,” Sadak said.

But to Govoni, it makes sense. The Raymond Board of Selectmen excluded Windham residents when it appointed representatives to the four-person withdrawal committee.

“The withdrawal group for Raymond is representing Raymond,” Govoni said. “On the RSU we have to represent Windham because it’s what we get left with if they withdraw. The representation from Windham has to be in the best interest of Windham.”