Sunday, June 24, 2012

Summertime - Budgettime


Time is flying – seems I just posted but much has been happening. The budget has consumed most of the past two months – we have another Town Meeting on Monday, June 25th with a referendum the following Monday, July 2nd. The Board of Finance will present a revised plan of expenditures which, when compared to the current approved budget, increases the Education budget by 2.6%, the General Operating and Capital budget by 4.5% and the debt schedule by 42%. 

The main differences between this year and the proposed budget are:

Education - $314,110 increase in salary (driven by teacher contracts), forecasted transportation expenses and special education costs.

General Government Operating and Capital - $216,311 increase from including storm damage mitigation projects (installation of box culverts) for Northwest Corner Road and Pinewoods Road and repairs to the Town Hall parking lot and brook retaining wall (none of this is reimburseable from FEMA). If these projects were not included in the budget, the General Operating and Capital budget would be 4.5% less than this year.

Debt – increased $393,685 all due to a planned payment of $400,000 on the bridge repair/replacement loan of $1,975,000. We are planning to roll the balance due ($1,375,000) into another short term note. The bridge repairs are eligible and have been approved for reimbursement by FEMA up to 75%. 

You can see the latest proposed Revision C of the budget on the Town website – just click on the following link:


If your questions are not answered at the Town Meeting Monday night, please drop me a note and I’ll be glad to help you with it.

The Board of Finance has set the mill rate for 2012-13 at 25.25 mills. This represents an overall property tax increase of 4.5%. Even though the mill increase from 20.29 (current) to 25.25 looks like a lot more than 4.5%, we really need to look at the calculated tax for the assessment of the property. Consequently in the current year, we expected to collect $12,314,349 in property taxes (at 20.29 mills against a Grand List of $626 million). But next year, we expect to collect $12,862,755 (at 25.25 mills against a Grand List of $525 million). With the Grand List devalued by $100 million, the Town needs an equivalent tax adjustment of 3.86 mills just to get us the same amount of taxes as this year to pay for expenditures.

Additional information on the tax rate and how it may affect your property tax bill can be found in a message from the Assessor on the Town website – you can click here to see it:

 
Again, if you have any questions give me a call (860-334-9204) or e-mail me through this blog.

More to follow on the budget and other things happening in town!

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