2008 Total Tax Collections $125,663,056

County Taxes20.00%

$25,125,241

Town17.52%

$22,074,137

Board of Education61.52%%

$77,318,188

County Open Space Tax.90%

$1,145,490

2009 Budget Headlines• State Aid allocation has significantly decreased again in the amount of $315,928.

• Total salaries & wages increase 1.27%, which includes all increases due to collective bargaining units.

•Health Insurance costs decrease by .87%

•Municipal budget is below the allowable 4% Levy Cap imposed by the State. State allows for a 6.8% increase in the tax levy and the 2009 tax levy is proposed at 6.12%. The net effect for each resident is a 5.5% increase due to the increase in ratables.

• In January 2008 the Town used it entire available surplus of $3,785,000 to balance its budget. Due to a decline in excess revenue only $2,738,455 was generated back for a final beginning balance in 2009 of $2,848,351.

• In 2009, Town will again use its entire available fund balance, $2,700,000 to fund the budget, and use an additional $2,123,100 from, the sale of assets fund balance to fund the budget. Without this additional fund balance the tax levy increase would be 16%.

2009 Municipal Budget - Expense Side•Departmental Operating Budgets down .61%

- $18,825

Salaries Budget up 1.27%

+ $216,630

Debt Service up 5.2%

+ $74,600

Statutory/Required Expenditures up 10.14%

+ $1,454,551

Reserve for Uncollected Taxes up 2.63%

+ $50,000

2009 Municipal Budget = $39,654,044

Operating Expenses7.71%

$3,056,002Debt Service3.81%

$1,509,600

Reserve for Uncollected Taxes4.92%

$1,950,000

Deferred Charges0.18%

$70,000

Statutory/Required39.84%

$15,798,828

Capital Improvement Fund 0.11%

$45,000

Salary & Wages 43.44%

$17,224,614

Did You Know…

The Municipal Budget includes appropriations for:

•Street Lighting $335,000 (+$36,000)

•Public Fire Hydrants $507,400 (+$32,400)

•Senior Transportation Services $102,200 ($0)

•School Crossing Guards $485,000 (+$15,000)

•Reserve for Uncollected Taxes $1,950,000 (+$50,000)

•Leaf Collection & Disposal $295,000 (+$5,000)

•Curbside Recycling $222,000 (+$35,000)

Revenue Sources

- Property Taxes (+$1,350,668)

- State Aid (-$315,928)

- Miscellaneous Revenue (-$275,000)

- Surplus (+$606,504)

2009 Municipal Budget - Revenue Side

Year State Aid

2005$4,484,903

2006 $4,484,903

2007$4,569,580

2008$4,330,724

2009$4,014,796

At a 2.5% increase per year since 2005, State Aid would be more than $5,000,000

2009 State Aid Analysis - Revenue Side

$3,000,000

$3,500,000

$4,000,000

$4,500,000

$5,000,000

$5,500,000

2005 2006 2007 2008 2009

Year

2009 Total Revenues = $39,654,044

Local Property Taxes59.07%

$23,424,705

Fund Balance12.16%

$4,823,100

Misc. Revenue15.02%

$5,957,302

State Aid10.21%

$4,048,937

Delinquent Taxes3.53%

$1,400,000

Did You Know…

2009 Anticipated Revenue Sources include:

•Municipal Court Fines and Fees $784,000 (+$109,000)

•Parking Permits, Meters & Paystations $1,662,000 (-$63,000)

•Building Department Fees $600,000 (-$150,000)

•Interest on Income & Investments $215,000 (-$385,000)

• State Aid $4,048,937 (-$315,928)

• Delinquent Taxes $1,400,000 (+300,000)

•Available Surplus $2,700,000 (-$1,085,000)

•Sale of Assets Surplus $2,123,100 (+$1,691,504)

2009 Surplus (a.k.a. Fund Balance)

• Surplus is considered to represent cash and may be utilized as a revenue item in the budget to support appropriations.

• Surplus results from the process of closing the operations account at the end of the fiscal year and is generated either by excess of revenue over what was anticipated in the budget or lesser expenditures than were appropriated in the budget. The net result of the two determines what amount of surplus will be available at the beginning of the next fiscal year.

• 2009 available surplus is $1,085,000 less than was appropriated in 2008.

2009 Surplus (a.k.a. Fund Balance)

In addition to the surplus account the Town has maintained the sale of assets fund balance which has been a strategic surplus account. In 2009, $2,123,100 will be appropriated from the sale of assets fund balance to fill the void from the loss in revenues and to meet the new mandated 4% tax levy cap. The sale of assets account is again a critical factor for the Town in managing the revenue side of the budget within the State imposed 4% mandated tax levy.

Total Surplus Snapshot – January 1

2008 2009 2010

Surplus $3,894,896 $2,848,351$2,500,000*

Sale of Assets $3,848,407 $3,416,811 $1,293,711

Total $7,743,303 $6,265,163$3,793,711

*estimate

2009 Municipal Tax CalculationTotal Appropriations $39,654,044

minus

Anticipated Revenues $16,229,239

equalsLocal Purpose Tax $23,424,805 (4% Cap +)

divided by

Total Assessed Value $1,895,767

equals

Local Tax Rate 1.236

per $100 assessed value

Avg. assessed home in 2009 = $184,600

Municipal budget = $10.58/month increase

Continued Examination …

Continued examination of revenue sources with anticipated increases in various fines and fees in addition to implementing new fees where appropriate.

Continued examination of all expense items with anticipated reductions in programs, services and employees to deliver a balanced budget in 2010.

Continued examination and management of debt service.

2010 Municipal Budget Challenges

•Union Contract increases

•Additional Sewer Assessments

•Increases in Utilities

•Additional increase in Pension Contributions

•Continuation of Services (Leaf Collection, Snow Removal, Recycling, Public Safety Services, Conservation Center, Infrastructure

Improvements, etc…)

•Continued Loss of State Aid, Surplus and Various Revenues to Offset Mandated/Required Expenses