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Massachusetts Governor's Budget Challenges Some Municipalities

Massachusetts Governor Deval Patrick
Massachusetts Governor Deval Patrick

By Lucas Willard

http://stream.publicbroadcasting.net/production/mp3/wamc/local-wamc-1001741.mp3

Pittsfield, MA – In his 2013 budget proposal released yesterday, Massachusetts Governor Deval Patrick is looking allocate over 5.2 billion dollars for the Commonwealth's cities and towns. About 4.1 billion dollars of that funding will go to what's called Chapter 70 school aid.
The funding is split into two main categories. The first, is called (1.1) unrestricted general government aid, which goes to general municipal operations. The account is not guaranteed to be level aid. Geoff Beckwith, Executive Director of the Massachusetts Municipal Association says his organization is hoping that the State will invest an additional $65 million in the unrestricted aid, but that number is dependent on whether or not Massachusetts is facing a surplus after the budget is approved in summer. Last year, additional aid did not come until October. Geoff Beckwith explains
Because that additional 65 million is not guaranteed, municipal governments cannot plan the funds in their budgets. But North Adams Mayor Richard Alcombright hopes the money will come through as it did last year.
The second main category of municipal funding goes to schools, about 4.2 billion. In this year's budget proposal Gov. Patrick increased Chapter 70 school aid funds by 146 million. The total 4.1 billion dollars will keep two-thirds of the school districts in Massachusetts level-funded, meaning the aid will finance the minimum school operating standards. One-third of school districts will see an increase in state aid. Geoff Beckwith again
North Adams is one of those cities receiving level aid, receiving about 13.4 million dollars, as it did last year. Considering inflation and rising health care and pension rates could actually mean a decrease in aid.
North Adams Mayor Richard Alcombright
Legislation that passed last year was not factored into the budget but does help municipalities fight rising health care costs was the Chapter 69 Municipal Health Care Reform law. The law gives cities and towns similar powers that the state used before to set and determine their own health care plans. Geoff Beckwith says the reform will considerably help keep health care costs down. And while challenging, the budget this year is better than previous years.