Zero increase in town, school budgets

CORNWALL — Serious budget work in a serious economic year has resulted in town and school budget proposals that will not lead to a tax increase in the coming fiscal year, which begins July 1.

Of course, the state budget is yet to be approved, and numbers received for state aid are only predictions. But it is already known that state aid to Cornwall will drop more than $47,000.

On the other hand, the Grand List for 2008, which impacts the coming budget year, marked a $4.5-million increase. That’s $53,698 in added tax revenue. And it’s a pretty sure thing with tax collection rate in the town of 98 percent or better.

There is so much more that goes into a spending plan, but the Board of Finance is prepared to keep the mill rate flat and hold the line on taxes.

Details will be presented at a public hearing Friday, April 24, at 7:30 p.m. at Cornwall Consolidated School.

Town Finance Officer Barbara Herbst took some time to go over the selectmen’s proposal with The Journal. It is a year of wondering where revenues from the state will fall, and of looking around every corner for savings.

Herbst notes right off that selectmen Gordon Ridgway, Richard Bramley and K.C. Baird, and Road Crew Foreman Rick Stone have refused pay increases. That is helping to offset contractual and union-driven pay increases for other town employees, as well has another year of large insurance-premium hikes.

Equally remarkably is that in the end, local spending, including the town and Cornwall Consolidated School (CCS) budgets, debt service and capital projects, is proposed to drop by 4.09 percent.

That decrease was achieved in large part by a reorganization of capital projects, which will drop 43.41 percent within the budget. It is not in any way deceptive or voodoo economics; it’s just a better way of organizing expenses.

“We realized the 5-year capital plan didn’t make sense when you include things that you save toward annually, such as a new firetruck. It makes more sense to create separate line items for these things,� Herbst said.

The trend toward more realistic approaches extends to other areas as well, such as snow removal.

“We are trying to address the situation a little better. It’s always a big guess what winter will bring, but it’s become a regular thing to have to go to a town meeting for more money. We added $20,000.�

That brings the line item as proposed to $90,000. Will it be enough, when snow removal expenses can be driven higher not just by Mother Nature, but also by soaring costs for salt and sand as well as higher delivery fuel surcharges? Expenses this year topped $109,000; they were $123,000 the year before.

There are lots of ups and downs, lots of unknowns and plenty of rarely experienced impacts. The latter includes a projected 30.90-percent decrease — that’s about $23,000 — in fees paid to the town, mostly attributed to a reduction in fees collected on land transactions and building projects.

At CCS, the budget is proposed to rise $88,755, or 3.9 percent. Far larger than that number is the contractual raise for teachers and staff. The jump in health-insurance benefit costs is also much higher than 3.9 percent.

A drop in enrollment of Cornwall students last year at the high school allowed for $30,868, or 7.82-percent decrease, in that line item. Towns are charged a per-student fee for each pupil they send to Housatonic Valley Regional High School.

Town and school officials will be available to hear comments and answer questions, in as much detail as the public desires, at the April 24 hearing.

The Board of Finance will endorse a final budget recommendation at its regular meeting May 21.

A town meeting to vote on that proposal is set for Friday, May 22, at 7:30 p.m. at CCS.

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