05/06/2015

Public hearing on $35.2 million combined 2015-16 municipal budget May 11

The Town Council will hold a public hearing on Monday, May 11, 2015 at Town Hall on a combined $35.2 million municipal budget proposal for 2015-16.

The proposal would mean a tax-rate hike of 32 cents over this year's rate of $16.80 per $1,000 of assessed valuation, an increase of 1.9 percent.

The town has published a pro forma summary of proposed expenditures, revenues and amounts to be raised by taxes associated with the budget, which includes spending for municipal, school, county and Community Services.

The proposal assumes a $23.5 million budget for schools, up 1.3 percent over this year's but adding no increase in taxes. Following a Town Council Finance Committee meeting April 27, councilors voted to set to public hearing a budget with no tax increase for school spending.

At a workshop May 4, School Board members voted to present three budget options for council consideration at the May 11 hearing: One that poses no tax increase; one that would raise the tax rate 4 cents, an increase of 0.3 percent; and, the board's initial, $23.6 million proposal that would add 7 cents to the tax rate, an increase of 0.6 percent.

The no-tax increase proposal is $110,539 less than what the board adopted and proposed to the council in April. Board members agreed on May 4 that the proposal would eliminate funding for accounting software, $50,000; a human resources position to be shared with the town, $35,000; half the amount budgeted for website design, $10,000; items in the facilities, office of the superintendent and student-and-staff budgets, $10,309; and, equipment and non-textbook supplies for all three schools, $5,230.

The $50,000 budgeted for software is the only reduction proposed for the 4-cent tax rate increase budget the board voted to propose as an option. The board had expected matching funds from the town when the budget was developed, but they are not included in the proposed municipal budget.

The council is expected to approve the overall budget on May 11. The school budget is subject to a townwide validation vote slated for June 9.

Here is a summary of the 2015-16 budget proposals:

Budget summary and proposed tax impact: [ download]

	FY 2015	FY 2016	$ Change	% Change
	BUDGET	Proposed	FY 15  to FY 16	FY 15  to FY 16
EXPENDITURES
TOWN SERVICES	$       9,226,784	$       9,814,882	$          588,098	6.4%
COUNTY ASSESSMENT	$       1,108,992	$       1,171,612	$            62,620	5.6%
SCHOOL DEPARTMENT	$    23,240,174	$    23,536,649	$          296,475	1.3%
COMMUNITY SERVICES	$          465,000	$          533,790	$            68,790	14.8%
Local Homestead Exemption	$          199,200	$          199,200	$                     -	0.0%
	$    34,240,150	$    35,256,133	$       1,015,983	3.0%
REVENUE
TOWN SERVICES	$       3,348,264	$       3,484,400	$          136,136	4.1%
SCHOOL DEPARTMENT	$       3,005,579	$       3,203,729	$          198,150	6.6%
TOTAL	$       6,353,843	$       6,688,129	$          334,286	5.3%
NET TO TAXES
TOWN  SERVICES	$       5,878,520	$       6,330,482	$          451,962	7.7%
COUNTY ASSESSMENT	$       1,108,992	$       1,171,612	$            62,620	5.6%
SCHOOL DEPARTMENT	$    20,234,595	$    20,332,920	$            98,325	0.5%
COMMUNITY SERVICES	$          465,000	$          533,790	$            68,790	14.8%
Local Homestead Exemption	$          199,200	$          199,200	$                     -	0.0%
TOTAL	$    27,886,307	$    28,568,004	$          681,697	2.4%
TAX RATES (Rounded to nearest ¢)
TOWN SERVICES	$                 3.54	$                 3.79	$                 0.25	7.0%
COUNTY ASSESSMENT	$                 0.67	$                 0.70	$                 0.03	5.3%
SCHOOL DEPARTMENT	$              12.19	$              12.19	$                 0.00	0.0%
COMMUNITY SERVICES	$                 0.28	$                 0.32	$                 0.04	14.8%
SUBTOTAL	$              16.68	$              17.00	$                 0.32	1.9%
Local Homestead Exemption	$                 0.12	$                 0.12	$                     -	0.0%
TOTAL	$              16.80	$              17.12	$                 0.32	1.9%
			$                     -
TAX RATE VALUATION BASIS	1,660,000,000	1,668,000,000	$ 8,000,000.00	0.5%