In the May Issue …
Yes, Virginia, There is a Santa Claus. Well, Almost
Town budget promises an inconsequential hike in taxes
By Lloyd Garrison
Norfolk’s Board of Finance Chairman, J. Michael Sconyers, may be no Santa Claus, but with a deft shift of funds from one column of the budget to another, he has given the town something to cheer about come tax time in 2012.
The budget for fiscal year 2012-2013 had already been approved by the Selectmen when Sconyers rose to present it before a sparse but attentive crowd at Botelle School’s Hall of Flags on the evening of April 30.
He was quick to stress that the mill rate, which had stayed nearly constant the last two years, would rise from only 20.11 to 20.18, an increase of a mere 0.07 mills. Pointing to a power point presentation projected on to a large screen behind him, Sconyers noted that “the owners of a house valued at $200,000 would see their taxes rise only $14.”
The more than 30 residents in attendance had reason to be cheery, especially when comparing Norfolk’s mill rate with several surrounding towns. Winsted’s projected tax rate is going from 25.43 to 27.43 mills. Colebrook’s mill rate last year was 26.
The shift from one column of the budget to another amounted to $400,000. It originated in an account containing unspent funds that is listed in the budget under “Positive Fund Balance.” It was shifted to beef up the town’s revenue, thus avoiding a more substantial hike in the mill rate. “There is no risk here,” said Sconyers. “We still have over $1 million in reserve to be used as needed for future contingencies.”
In effect, Sconyers and the Board of Finance have managed to hold the line on taxes at a time of sluggish revenues, depressed real estate values and an economy still climbing out of a recession. They did so while increasing spending on education by 2 per cent, paying an extra $50,000 into an under-funded pension account and shifting from a fixed-pension plan to a 401(k) plan for town employees. “The 401(k) will cost the town more in the immediate future but less in the long run.” said Sconyers in an interview before the meeting began.
The biggest increase in last year’s budget was $66,000 for road maintenance. Next year’s budget will maintain that increase for a total of $475,000, much of it for resurfacing roads most afflicted with potholes and frost heaves. Major sections of Westside Road and Loon Meadow have been completely resurfaced. “When I drove up Estey Road the other day,” said Sconyers, “It was like I was on a super highway.”
Read more in the May issue of Norfolk Now!