On May 11, the Southington Town Council voted to approve the budgets recommended by the board of finance for 2009-10. The board of education budget was unanimously approved at $76.3 million, an increase of 1.3 percent over the current year.
The $76.3 million board of education budget approved by the town council leaves the board of education with a $1.5 million deficit.
“The board of education is anticipating a surplus of $750,000 in this year’s budget. The board of education would like to use this surplus in next year’s budget,” said John Barry, town council chairman. Barry read into the official record a letter from Superintendent Joseph Erardi Jr.
“It will be my strong recommendation to the school board to request that we go without 2008-2009 needs, return the fund balance as projected to the general fund, and to request that the balance be re-appropriated back to the school board to offset 2009-10 expenses,” Erardi wrote.
The town council voted to support the return of the 2008-09 board of education budget surplus to the board of education budget for use in 2009-10. This rollover does not happen automatically, but has the support of both the board of finance and town council.
John Moise, chairman of the board of finance, said the board of education worked hard to achieve the surplus and once the exact amount of the surplus is confirmed during the annual audit, that amount will be returned to the board of education.
Edward Pocock III, town council member, noted that returning the $750,000 anticipated 2008-09 surplus only funds half of the $1.5 million needed by the board of education to keep staff and programming at the same level as the current year.
Pocock made a motion to move a $117,00 capital line item for constructing an additional driveway at DePaolo Middle School to the board of education budget to cover their operating costs. The motion failed five to four.
Prior to the votes on the budgets, Barry asked town council member David Zoni to respond to resident feedback about the fund balance. “Some folks felt we should use the fund balance to supplant the budget,” said Zoni.
Zoni explained that the town council does not control the fund balance. By charter, it is controlled by the board of finance.
“Some folks thought we had $13 to $15 million in the fund balance,” said Zoni. “The fund balance is currently $9.4 million or 7.9 percent of yearly expenditures.” Zoni said the town council had established a target level of nine percent.
Zoni cited several reasons why the board of finance would decide not to access the $9.4 million fund balance this year to supplant the operating budget, including bond ratings and the potential for tough years ahead.
“What might seem like a rainy day today, may seem like a drizzle,” Zoni said of the possibility of reduced state support in future years.
Barry asked Anthony D’Angelo, town council vice chairman, to explain that the town council does not make program decisions for the board of education. D’Angelo said, “The town council just gives the total amount to the board of education. The board of education decides what programs to keep or cut.”
The board of education will begin making those decisions at their meeting May 14 at 7:30 p.m. at Southington High School in the main cafeteria.
The general government budget was approved, eight to one, at $42.5 million, a zero percent increase over this year. Council member Nick DePaolo, the one dissenting vote, had previously made two amendments that failed.
The animal fund budget at $202,935, a .03 percent increase, was approved by unanimous vote.
The board of education, the town government and the animal fund budgets total $118.8 million. The board of finance has approved a .25 mill rate increase to balance this total budget. The current mill rate is 23.02 and will increase to 23.27 as of July 1, 2009. The net effect to the homeowner is a $25 increase in annual taxes for every $100,000 of assessed property.
The board of finance has said it will increase the mill rate by .25 to 23.27. The owner of a home assessed at $200,000 will pay an additional $50 in taxes next year.
The sewer fund budget was unanimously approved at $4 million, an increase of 20 percent from last year. Funding this budget does not factor into the mill rate and is billed directly to Southington residents by the sewer department.