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02/19/2023 08:08 AMTown Manager Karl Kilduff has presented the Town Council with his initial proposed budget for the next fiscal year. The total proposed budget is $62,777,661, a 5.22 percent or $3,111,790 increase from the current year’s budget. Those numbers are likely to change before voters weigh in, however.
The Feb. 16 meeting was called so that Kilduff and Superintendent of Schools Maryann O’Donnell could present the proposed town and education budgets to the council members. Since the presentation was intended to be an overview, specific line items were not discussed.
The total budget is comprised of a town budget and an education budget. The proposed town budget for 2023-’24 is $23,854,784, an increase of $1,978,149 or 9.04% over the current budget. The proposed education budget is $38,922,877, an increase of $1,133,641 or 3%.
Kilduff mentioned at the Feb. 16 special meeting that the numbers in the proposed budget will likely change between now and when the Town Council votes next month to forward the budget to a public hearing.
While spending increases by 5.22% under the proposal, the tax rate would only increase by 3.22%. Kilduff explained that the difference between the budget increase and the tax rate is due to growth in the grand list and the appropriation of money in the fund balance to pay for capital projects.
The mill rate would increase 0.96 mills, or 3.22%, to 30.79 mills. Kilduff said that this would increase the average Clinton taxpayer’s bill by $209.67
During the presentation, Kilduff explained that the town would appropriate $250,000 from the fund balance to reduce the tax rate increase as well as an applied fund balance of $2,151,000 to fund significant capital projects.
Proposed capital projects—spending on items that last longer than a budget cycle like vehicles or roof repairs—include projects like fire apparatus reserves, paving, radio projects, the replacement of turf at Indian River Recreation Complex, and state-mandated projects.
On the town side, the proposed budget is made up of an operating budget of $18,285,237 (a $ 972,743 or 5.62% increase), debt service of $2,114,840 (an $80,938 or 3.69% decrease), and a capital budget of $3,454,707 (a $ 1,086,344 or 45.87% increase).
The drivers of increased spending on the town side include items like increased pension contributions, utility expenses, program growth, and contingency costs.
The proposed education budget is composed of an operating budget of $35,446,476 (an $894,272 or 2.59% increase), debt service of $2,905,835 (a $14,856 or 0.51% increase), and a capital budget of $570,566 (a $224,513 or a 64.88% increase.)
Drivers of change on the education side include a reduction of state aid in education cost sharing, an increase in employee benefits spending, increased utilities cost, insurance, and repairs.
During the meeting, Kilduff mentioned multiple times that the proposed budget is subject to change and that certain revenues are assumed. As the budget season continues and those exact quantities become known, the proposed budget will be adjusted.
The Process
Now the budget has moved into the hands of the Town Council members. The council is the body that has an ultimate say in proposing a finalized budget. The council will have more in-depth discussions at the budget workshops held during the rest of February and early March, where each individual department has its budget reviewed line by line. The Town Council will finalize the budget proposal that will be sent to a public hearing.
A workshop schedule is available on the town’s website, clintonct.org.
Following all the workshops, the council will hold a special meeting scheduled for Wednesday, March 8 at 6 p.m. to vote on Kilduff’s proposed budget.
At that meeting, the council can accept or ask for changes to be made to Kilduff’s proposed budget. The proposed budget approved by the Town Council in March will be sent to a public hearing scheduled for Wednesday, April 5, at 6 p.m.
At the public hearing, speakers can voice their opinions for or against either the education or town budget. Immediately following the public hearing, the Town Council will hold a special meeting at which it can make any last changes to either the education or town budget before sending the budget to a referendum in May.
At the referendum, residents vote to approve or reject the proposed town and education budgets individually. Since voters cast their vote for each budget separately, that means it is possible for voters to pass one budget and reject the other in the same referendum.
If one or both of the budgets fail, it is revised by the Town Council immediately following the vote. Another public hearing is held the following week, and another referendum is held the week after the public hearing.
The Harbor News/Zip06.com will follow the budget process and will have more in-depth looks at each budget as the process continues.