Overview

Town has approximately $119,000 in uncommitted capital savings, what we
call the capital stabilization fund.
The tax rate in the current year was $15.04 and if the meeting follows
Selectboard and Finance Committee recommendations the rate will be
$15.70.
The Selectboard and Finance Committee jointly recommend the budget and
articles with the exception of Article 20 which is proposed to be dealt
with instead by an increase in the Fire Department budget.
$0.33 of the tax rate increase is attributable to the first year payment
on the new highway truck.
The town will have about $88,000 of unused taxing authority (excess capacity).
The wireless broadband and transfer station enterprise accounts are
self-funding and budget neutral.

Revenues

State aid will be reduced to Warwick by 18%. The House local aid
estimates, which are the lowest projections, were used in the model.
Payment in lieu of taxes was level funded by the State. That is part of
why we are better off than many other communities.
The budget projects one-time revenues of $45,000 from FEMA grant /
reimbursement related to the December ice storm. Depending upon when and
how these funds are recognized the amount could be as high as $60,000.
Available Free Cash and Assessor's Overlay Surplus are applied to reduce
the tax rate.

Expenses

The Pioneer school budget is lower than last year.
The Highway budget is level funded.
Town employees are seeing 2% upward wage adjustments while cost of
living increased 5.4%
New highway truck payments begin. This debt was excluded from the levy
limit by vote last year.
Budget proposes to fund snow and ice removal at historic average instead
of planning to run a deficit.

Coming into the next fiscal year, FY11

The Town will have capital savings of $130,000
We will have untapped capacity to tax of $85,000
It is quite likely the Town will not have a snow ice overdraft from the
prior year to make up.

Notes on the omnibus budget:

Wage increases are at 2%.
Increases to Town accountant budget are due to some previously
three-town cost sharing now split between two towns.
Tax Collector increase is for postpaid envelopes. Carried forward
inventory is exhausted.
Town Clerk budget decrease is due to fewer elections next year and
in-house printing of ballots.
Firefighters are seeking compensation. Selectboard proposes stipends
instead of hourly. Details will be worked out. If the $6000 within the
budget is approved a motion will be made later to pass over Article 20.
Increase in Fire Department expenses are for replacing dated turn-out gear.
Ambulance contribution amounts to $10 per capita in coming year.
Snow removal appropriation is proposed at historic ten-year average in
order to avoid ongoing annual deficits.
Board of Health increase reflects additional training and travel.
Recreation Committee returns to traditional level after one-time
increase to start baseball.
Total education is down more than $20,000 from last year in recognition
of the economic climate.
Insurance costs are somewhat down this year due to lowered unemployment
and despite increase in our workers compensation basis.


Warrant articles:

#4:  This establishes revolving accounts for operation of inspections
and many other town functions supported by fees. No new items this year.

#5:  Town must set the salary of elected officials. Typographical error
in Town Clerk line should read $5700 as reflected in the omnibus budget.

#6:  Money to improvement account for community school. Building is
ours. Capital items are ours.

#7:  This is to replace funds expended from the Selectboard's
discretionary fund to pay a prior-year bill.

#8:  Revaluation of property happens every three years. We appropriate
annually to budget for the cost.

#9:  Under control of Assessors, these are funds they have determined
are no longer needed.

#10 & #11:  Regional School proposed capital items. Three of four towns
must approve for them to pass.

#12:  Selectboard is default governance of enterprise funds. This puts
the BOH in charge as they have traditionally been.

#13:  Housekeeping. Rescinds un-issued portion of authorization to borrow.

#14:  This is our fund balance, which we can vote to reduce the tax levy.

#15:  Budget proposed $25,000.  Takes a 2/3 vote to move money into our
capital savings account.

#17:  Building and energy committee recommends $9300 for more insulation
at the town hall, chimney repair. This investment will result in a quick
payback in energy savings in just a few years.

#18  $13,250 proposed for preparation and paint or staining the town
hall.  Suggested funding source is from Capital Stabilization so this
will require 2/3 vote.

#19  Creates an Agricultural Commission whose first charge will be to
propose right to farm by-law.

#20  Firefighter Compensation - This article to be passed over provided
matter is addressed as part of budget.

David Young