Thursday, November 11, 2021

Recap: Finance Committee hears of FY 2022 overall budget reduction of $454K

Quick Recap:
  • New growth had been forecasted to be $1,199,593 and is being revised down to be $1,105,000; the $94,593 less revenue is one piece of several moving parts of the budget

  • The State numbers (Chapter 70, etc.) were finalized in August and now those numbers become real and update what had been expected when the budget was put together in Mar/Apr. The total net change to the bottom line is a decrease of over $400K. The Town side will absorb about $300K and the school budget will be reduced by $93K. The summary of how the decrease is absorbed can be found on page 12

  • Host community agreements are not considered 'general revenue', they are targeted to be mitigations for the impact of the sale of such cannabis products that generate the agreements. They are forecast for a five year revenue period, currently the max allowed under MA general law. The host community agreement funds are therefore allocated to DPW, SAFE Coalition, and Police Department as outlined in the memo/draft resolution on page 13

As with most meetings in this pandemic period, I took my notes via Twitter. I participated in the meeting in the Council Chambers. 
The Twitter hashtag can be found online  #fincom1110 
Agenda document ->
  • #fincom1110 meeting about to start agenda and connection info ->
  • Chair calls meeting to order with 7 members present #fincom1110
  • Town Administrator Jamie Hellen speaks to the adjustments for FY 2022 as part of the annual budget process. Usually done about this time before the tax rate is set in late Nov/early Dec…  #finCom1110
  • new growth amount to be reduced, use 10 year average, and things have changed since it was forecasted earlier this year #fincom1110 main item of note from memo, packet on page 2, see totals of new growth over last 10 years preparation of savings in good times, paves way
  • "baring any unforeseen circumstances", everyone is seeing disruptions in supply chains; State revenues finalized after our budget was done, so the numbers are finalized at this time - page 7 in the packet show offsets on Charter school revenue vs. assessments #fincom1110
  • pause for Qs on revenue sheet; none at this time -  narrative of memo that intros the doc explains these line item changes #fincom1110 Fire/Police changes due to unforeseen retirements and resulting new hire training/staffing items
  • decrease to Schools also due to the lower revenue growth; Health Dept adjustment due to Health nurse starting later than anticipated, hence salary savings #fincom1110 health ins categories decreases reflect enrollment numbers vs. projections
  • host community agreements are not 'general revenue', they are targeted to be mitigations for the impact of the sale of such; #fincom1110 memo on 13 outlines where the incoming funds would be used
  • page 12 - outlines the total general operating budget adjustments #fincom1110 host agreements currently for a 5 year term;
  • motion to approve general fund adjustments #fincom1110 seconded, passes 7-0 (Corbosiero and Keophanga absent)
  • motion to approve resolution on host agreements, seconded, passes 7-0
  • late receipt of bills from printing (performed during prior fiscal year) #fincom1110 (possible pandemic related problem, hoping it a one time problem) motion to approve, seconded, passes 7-0
  • motion to adjourn, seconded, passes 7-0 #fincom1110
  • stay tuned for Town Council meeting coming up at 7 #tc1110  #fincom1110
 Audio recording of meeting to be available in couple of days


summary of how the decrease is absorbed
summary of how the decrease is absorbed

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