MCPS has a $40 million deficit in its Employee Benefit Plan (EBP)

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If you think the deficits are bad now, wait until MCPS alienates its tax base when they redistrict people who are currently buying million dollar homes out of the schools that they think they're getting.

The school is not conveyed with the home.

Are you suggesting that people don't pay more for better schools? Or that they do, but they're "wrong" to? Because the latter does not preclude my point. Expectations are set by the fact that boundaries haven't changed much in 40 years, and those folks are in for a rude awakening.

I think PP is saying that homeowners do not have a legal right to be zoned for the same schools in perpetuity.

Real estate agents have been incessantly warning buyers and fearmongering about redistricting so I don't think people will be caught off guard as much as upset about change that may negatively affect their property values. Property values are not MCPS's problem though.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If you think the deficits are bad now, wait until MCPS alienates its tax base when they redistrict people who are currently buying million dollar homes out of the schools that they think they're getting.

The school is not conveyed with the home.

Are you suggesting that people don't pay more for better schools? Or that they do, but they're "wrong" to? Because the latter does not preclude my point. Expectations are set by the fact that boundaries haven't changed much in 40 years, and those folks are in for a rude awakening.

I think PP is saying that homeowners do not have a legal right to be zoned for the same schools in perpetuity.

Real estate agents have been incessantly warning buyers and fearmongering about redistricting so I don't think people will be caught off guard as much as upset about change that may negatively affect their property values. Property values are not MCPS's problem though.

I definitely agree that homeowners do not have a legal right to be zoned to a particular school.

Neither of the real estate agents I've worked with have even mentioned redistricting at all, even when suggesting W districted properties that are likely to be rezoned.

I find it very surprising that someone would say property values are not MCPS's problem in a thread about MCPS having a $40 million budget deficit.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If you think the deficits are bad now, wait until MCPS alienates its tax base when they redistrict people who are currently buying million dollar homes out of the schools that they think they're getting.

The school is not conveyed with the home.

Are you suggesting that people don't pay more for better schools? Or that they do, but they're "wrong" to? Because the latter does not preclude my point. Expectations are set by the fact that boundaries haven't changed much in 40 years, and those folks are in for a rude awakening.

I think PP is saying that homeowners do not have a legal right to be zoned for the same schools in perpetuity.

Real estate agents have been incessantly warning buyers and fearmongering about redistricting so I don't think people will be caught off guard as much as upset about change that may negatively affect their property values. Property values are not MCPS's problem though.

I definitely agree that homeowners do not have a legal right to be zoned to a particular school.

Neither of the real estate agents I've worked with have even mentioned redistricting at all, even when suggesting W districted properties that are likely to be rezoned.

I find it very surprising that someone would say property values are not MCPS's problem in a thread about MCPS having a $40 million budget deficit.

I am sure the county council is reminding MCPS leadership that property values are something MCPS leaders should keep in mind.

[Anonymous]

Presumably if someone's property values go down someone else's values will go up. It's all the same for the county.

[Anonymous]

Why did the finance team have to explain to Silvestre that need to make cut/show good faith effort to resolve the EBP deficit before going to the County Council to request more funds? As president of the board did she really not understand this…

[Anonymous]

Anonymous wrote:Why did the finance team have to explain to Silvestre that need to make cut/show good faith effort to resolve the EBP deficit before going to the County Council to request more funds? As president of the board did she really not understand this…

Really? They really had to remind her this? Wasn’t this year’s budget partially why my taxes went up this year? I remember there was some pushback because they asked for more then too. Or am I confused? Where did the all the money go??? It can’t be all health insurance. Surely they would have had the wherewithal to know there would be an increase in premiums? This is yikes.

[Anonymous]

Anonymous wrote:Why did the finance team have to explain to Silvestre that need to make cut/show good faith effort to resolve the EBP deficit before going to the County Council to request more funds? As president of the board did she really not understand this…

LMAO Well....your question answers itself really.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Why did the finance team have to explain to Silvestre that need to make cut/show good faith effort to resolve the EBP deficit before going to the County Council to request more funds? As president of the board did she really not understand this…

Really? They really had to remind her this? Wasn’t this year’s budget partially why my taxes went up this year? I remember there was some pushback because they asked for more then too. Or am I confused? Where did the all the money go??? It can’t be all health insurance. Surely they would have had the wherewithal to know there would be an increase in premiums? This is yikes.

This situation is completely about health insurance. The EBP Trust Fund is projected to have a $40M deficit at EOFY because cost are exceeding premiums. MCPS implemented a freeze and has brought a supplemental appropriation to the BOE to move Fund Balance savings into the EBP Trust Fund to provide a temp fix for the problem. Essentially keep it from getting to the point where things can’t be covered.

https://mcpsmd.new.swagit.com/videos/296609
(3:33 mark)

[Anonymous]

I think he knows how terrible MCPS will look if they ask the Council for money for this because he knows very well that they screwed up big time. The BOE doesn't fully understand that, I think. Their MO is to treat the Council like an ATM and cry bloody murder if the Council doesn't give them what they want. In this case, the Council has staff that will explain in no uncertain terms that this should not have happened and cannot be waved away as "inflation".

[Anonymous]

Is this different than the 50 million dollar number I have seen floating around? I really hope it’s not 9M in the hole.

[Anonymous]

Anonymous wrote:I think he knows how terrible MCPS will look if they ask the Council for money for this because he knows very well that they screwed up big time. The BOE doesn't fully understand that, I think. Their MO is to treat the Council like an ATM and cry bloody murder if the Council doesn't give them what they want. In this case, the Council has staff that will explain in no uncertain terms that this should not have happened and cannot be waved away as "inflation".

Correct.

[Anonymous]

Sorry. 90 million.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Why did the finance team have to explain to Silvestre that need to make cut/show good faith effort to resolve the EBP deficit before going to the County Council to request more funds? As president of the board did she really not understand this…

Really? They really had to remind her this? Wasn’t this year’s budget partially why my taxes went up this year? I remember there was some pushback because they asked for more then too. Or am I confused? Where did the all the money go??? It can’t be all health insurance. Surely they would have had the wherewithal to know there would be an increase in premiums? This is yikes.

This situation is completely about health insurance. The EBP Trust Fund is projected to have a $40M deficit at EOFY because cost are exceeding premiums. MCPS implemented a freeze and has brought a supplemental appropriation to the BOE to move Fund Balance savings into the EBP Trust Fund to provide a temp fix for the problem. Essentially keep it from getting to the point where things can’t be covered.

https://mcpsmd.new.swagit.com/videos/296609
(3:33 mark)

Wow. Thank you for clarifying. Oh my goodness. I hope things can get balanced out with little repercussion.