Council approves $16.8 million town budget, sets June 8 hearing on $28.5 million proposal for schools

The Town Council has approved a $16.8 million town budget for next fiscal year, and will hold a public hearing on a proposed $28.5 million school budget at its next regular meeting June 8, 2020. [pro-forma summary]

Councilors voted to approve budgets for non-school expenditures, including a $1.5 million Cumberland County assessment and a series of special-fund budgets, at a special meeting May 27. Typically the council votes on combined budgets for school and non-school funding, but this year, due to coronavirus emergency, the vote on the school budget was postponed to accommodate a later date for the validation election.

Councilors also approved the warrant for the school-budget validation, setting a July 14 election to align with postponed state primaries. The council will vote on the school budget June 15, within the 30-day window required for the validation election.

The $16,802,794 town budget approved by councilors is $1,173,680 less than this year's, a decrease of 6.53 percent. Anticipated revenues from sources other than property taxes are down 9.17 percent, a full $1 million less than this year.

Property taxes for town and county (non-school) services are estimated at $4.78 per $1,000 of assessed valuation, down 2.25 percent compared this year. Final rates will be fixed by the town assessor in August, but the budget predicts a $3.91 tax rate for town services (down 14 cents from this year); and 87 cents for county services (up 3 cents).

Councilors thanked staff for their work to minimize the tax impact the coronavirus has had on town finances. "I don't know how many times you guys looked at this and reworked it," said Councilor Valerie Deveraux to Matthew Sturgis, town manager, and John Quatararo, finance director. The approved budget defers more than $800,000 in capital projects, postponed after the pandemic emergency was declared in mid-March.

The total, combined tax rate for town expenditures and proposed school expenditures is estimated at $19.86, up 18 cents, or 0.9 percent, over this year's.

The school budget proposal, up for public hearing June 8, is up 5.95 percent over this year's $26.89 million budget for schools. It poses a $15.07 tax rate for school services, up 3.79 percent over this year's rate of $14.52.

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