On March 4, 2025, voters narrowly approved the Otter Valley Unified Union School District’s (OVUUSD) proposed fiscal year 2026 budget of $28,022,999. The ballot specifically highlighted a 9.38% increase in per-pupil spending, raising the per-student cost to $13,516. Recent analysis, however, suggests that voters may not have fully understood key elements of the budget they approved, prompting community discussion about a potential revote.
Clarifying the OVUUSD and RNESU Relationship
At the center of the discussion is the financial relationship between OVUUSD and the Rutland Northeast Supervisory Union (RNESU). OVUUSD’s approved budget includes an assessment to RNESU, which we estimate to be over $11 million, representing approximately 40% of OVUUSD’s total budget for FY26. This estimate is based on OVUUSD’s share of student enrollment within the supervisory union and RNESU’s overall budget allocations. However, the ballot presented to voters did not explicitly identify RNESU’s financial share, instead requesting approval for OVUUSD’s total budget as a single figure without detailing how much would be allocated to district operations versus supervisory union costs.
Voters might reasonably have interpreted the ballot as funding only OVUUSD schools, including Otter Valley Middle/High School, Lothrop Elementary, Neshobe Elementary, and Otter Creek Academy. However, RNESU—responsible for centralized services such as transportation, special education oversight, and district administration—receives substantial funding from OVUUSD’s budget. RNESU’s costs are shared between OVUUSD and Barstow Unified Union School District, with OVUUSD covering the larger share due to its higher student enrollment.
Budget Increases at RNESU
An examination of RNESU’s recent budget documents shows notable increases:
- Fiscal Support & Technology Services increased approximately 44% between FY24 and FY26.
- General administrative costs rose by over 34%.
- RNESU’s FY26 budget includes new positions, such as a Data Manager, as well as funding for additional consulting services aimed at improving data management and administrative processes.
Rising Cost of Benefits
One area that experienced substantial growth is benefits spending, which increased approximately 55% between fiscal years 2021 and 2026.
A major driver of this increase is health insurance. The district’s family health insurance plan now costs $32,757 per employee, with licensed staff receiving an annual $4,000 deposit into a Health Savings Account (HSA) and non-licensed staff receiving $1,400.
These employer-funded contributions help employees cover medical expenses such as deductibles, co-pays, and prescriptions. The funds are provided annually, but the exact distribution schedule—whether as a lump sum or in installments—is determined by district policy.
Even with district support, health insurance premiums increased 11.9% this year, adding further financial pressure to the school budget.
However, it remains unclear how much of this 55% increase is directly attributable to OVUUSD versus district-wide RNESU staffing. Publicly available documents do not clearly differentiate the distribution of these costs between OVUUSD and RNESU.
Salaries and Local Wage Comparison
Public salary data provides additional context. According to recent figures from the Vermont Department of Labor and the Public Assets Institute, Rutland County’s average wage was approximately $56,500 in 2023.
A previous projection estimated that Rutland wages would reach $63,000 by 2026, but historical wage growth trends suggest that the actual figure will likely be closer to $57,000.
Meanwhile, the average OVUUSD teacher salary for fiscal year 2024 was about $64,428.
When adjusting for teachers’ contracted schedule (typically ~190 workdays annually, compared to ~250 workdays for private-sector employees), teachers’ effective hourly pay is higher than the county average.
Including benefits, OVUUSD teachers’ total compensation significantly surpasses Rutland County’s average compensation levels.
Understanding Administrative Costs
The discussion around administrative expenses has focused attention on RNESU positions.
Documents provided by the district indicate that administrative positions, such as principals, assistant principals, and directors, have salaries that typically exceed those of classroom teachers.
Administrator salaries generally range from $90,000 to $100,000 per year, with some positions earning more, though precise FY26 figures were not readily available in public documents.
Voter Transparency and Clarity
At the core of the push for a revote is the desire for greater budget transparency.
The OVUUSD ballot did not explicitly disclose the significant financial contribution OVUUSD taxpayers make to RNESU’s administrative operations.
Although the district’s budget documentation refers to RNESU “assessments,” the terminology and financial details are complex, making it difficult for the average voter to fully understand the scope of the district’s expenditures.
This ambiguity has led some community members to advocate for reconsideration—not necessarily based solely on the overall size of the budget or specific spending increases, but rather due to concerns about transparency and voter understanding.
Advocates argue that clear delineation of funding—specifically, how much is directly benefiting OVUUSD classrooms and students versus how much supports administrative overhead—is essential for informed decision-making.
Community Dialogue Moving Forward
As residents discuss the possibility of calling for a revote, transparency has emerged as the leading issue.
Clarity about how tax dollars are allocated between OVUUSD and RNESU would provide voters with a more accurate picture of the district’s financial priorities.
Whether this renewed dialogue results in a revote or simply leads to improved budget communication in the future, it highlights the community’s ongoing interest in how educational funds are managed and spent.
Questions to Consider
As the community reflects on the budget process and its implications, consider the following:
- Did you know that when you were voting on the OVUU budget, you were also voting on the RNESU portion as well?
- Do you know what an “assessment” is, rather than calling it something clearer like “RNESU’s operating share”?
- If you had seen a breakdown of how much OVUUSD’s budget funds local schools versus RNESU administration, would it have changed how you voted?
- Would you support a future ballot format that clearly separates OVUUSD school spending from RNESU’s administrative expenses?
These are the kinds of questions that can help shape future discussions and ensure that voters fully understand what they’re approving when they cast their ballots.
Dave Soulia | FYIVT
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