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05/22/2024 03:48 PMBy a close margin, town electors in Deep river voted 81 - 73 to approve the budget for the 2024 - 2025 fiscal year totalling $20,823,163 with an increase in the mill rate by 1.5 mills.
Out of the 73 who voted ‘no,’ 56 felt that the budget was too high, while the remaining 17 felt that it was too low.
At the Annual Town Meeting on May 20, Board of Finance (BOF) Chair George Eckenroth told town electors that this was a “difficult” budget for the BOF and the Board of Selectmen to craft, partly due to cuts that were asked of to most town departments primarily to minimize the impact of an increasing mill rate. The mill rate has been approved for an increase from 28.88 to 31.38.
For the same reason, the joint boards found that it was also best to suspend all proposed capital expenditures that were on the table for the next year, several of which include new equipment for the fire department.
The new budget will officially be in effect on July 1, while the town will continue to run on the current budget until June 30.
Eckenroth pointed out to town electors at the meeting key factors determining the numbers within the budget.
One of the increases includes a $304,636 increase for town employee pension plans, which is seeing an increase of $105,960 in next year’s budget. Medical insurance covered by the town is also increasing from $381,087 to $405,653, and coupled with the increase in pension plans amounts to a 15.94 percent overall increase in employee benefits.
As pointed out in a previous article in the May 9 issue of Valley Courier, the budget and mill rate is influenced greatly by increasing education costs within the Region 4 School District budget and Deep River’s Board of Education budget.
“The total education expenditures for Deep River Pre-K-12, is a 4.13% increase over last year which equals $579,692.00. This is essentially a 1 mil increase,” First Selectman Carol Doak - Jones previously informed Valley Courier.
Marked by a low turnout, Deep River voters narrowly approved the $20 million budget proposal for the 2024-’25 fiscal year.
Electors turned out on May 20 for the town’s annual Town Meeting to approve the $20,823,163 proposal and the associated 1.5 mill rate increase 81-73. Of those voting against the plan,
At the Annual Town Meeting on May 20, Board of Finance (BOF) Chair George Eckenroth told town electors that this was a “difficult” budget for the BOF and the Board of Selectmen (BOS) to craft, partly due to cuts across most town departments to minimize the impact of increasing the mill rate. The 2024-’25 mill rate has been approved at 31.38 mills. It was previously set at 28.88.
For the same reason, the joint boards found that it was also best to suspend all proposed capital expenditures that were on the table for the next year, several of which include new equipment for the fire department.
The new budget and mill rate will officially be in effect on July 1, while the town will continue to run on the current budget until June 30.
Eckenroth pointed out to town electors at the meeting key factors determining the numbers within the budget.
One of the increases includes a $304,636 increase for town employee pension plans, which will see an increase of $105,960 in next year’s budget. The town’s medical insurance coverage is also increasing from $381,087 to $405,653, which, coupled with the increase in pension plans, amounts to a 15.94% overall increase in employee benefits.
Another driver for the budget is increasing education costs within the Region 4 School District budget and Deep River’s Board of Education budget.
“The total education expenditures for Deep River Pre-K-12 is a 4.13% increase over last year, which equals $579,692.00. This is essentially a 1 mill increase,” said First Selectman Carol Doak-Jones.
While the town’s new budget is greater in numbers than the current year’s, cuts to several departments have still been made.
The selectmen’s budget included a $500 cut for hiring a grant writer, a $1,000 cut for professional development, and a $2,500 cut for the Ethics Commission.
“That does not mean that these groups which have budgets cut will not need money,” said Eckenroth. “They will need to come to the Board of Finance next year and explain why they need more money and what the benefits [are] to the town.”
The police department has been cut by 15%, including payment for a part-time and full-time officers. These cuts are a response to officers not being able to fulfill hours needed for patrol. Despite these cuts, “there should be adequate police coverage for the next year,” said Eckenroth.
The highway department, which accounts for 23% of the budget, has been cut by 10.8%. The most notable cut is $150,000 in general road and highway maintenance. The dollar amount was originally intended for a paving project allocated that figure in the current fiscal year, but it was frozen in next year’s budget as a cost-saving measure, said Eckenroth.
As these cuts related to increased taxes, Eckernroth explained, “We have basically cut most departments to be able to keep our mill increase to a minimum.”
However, the joint BOF and BOS are looking at several ways to account for needed projects and sources of revenue in light of the cuts. An alternative funding source is the town’s $3 million surplus with a third of its amount set aside for spending next year.
“To get through the existing budget we’re operating on, we have had to take from our surplus over $1 million,” said Eckenroth. “It’s a one-time take; it does not replenish itself.”
Allocating surplus monies into next year’s budget was an important component of minimizing the impact of the mill rate that was already expected to increase, said Eckenroth. An increase in the mill rate could also help to replenish part of the allocated surplus.
As an additional source of revenue for the town, “The Selectmen have talked about certain properties that can be sold,” said Eckenroth.
Aside from budgetary expenditures, Eckenroth pointed out other expected spending for the town next year. A major project is redesigning the entrance to the transfer station, which, to the grievance of town officials and residents, is frequently used by out-of-town dumpers without check. The town’s anticipated enhancement cost $300,000 and was funded by the town’s American Rescue Plan Act fund, which has not been fully exhausted.