Post on 03-Apr-2018
7/28/2019 Mayor Maturo's Budget Powerpoint
1/32
. ,
thedepartmentheadsthatsatwiththeBoardof
Financeandreviewedmyinitialrecommendations.
IdalsoliketothankourFinanceDirector PaulRizza. Mr.
Rizza workedincrediblyhardonthisbudgetandhe
deservestoberecognizedforthatwork.
7/28/2019 Mayor Maturo's Budget Powerpoint
2/32
. ,
cappingtheTownsfinancialpositionattheendofthe
20112012fiscalyear.
7/28/2019 Mayor Maturo's Budget Powerpoint
3/32
.
shows,theTownendedthe20112012FiscalYearwitha
surplusof$237,043dollars.
Thatmone wasaddedtotheTownsrain da fund
doublingtheTownsfundbalance.
Attheendofthe20112012fiscalyear,theTownhada
totalrunningsurplusof$437,843.00.
7/28/2019 Mayor Maturo's Budget Powerpoint
4/32
4. You ma be askin How does this com are withpreviousyears?
Between
2002
and
2007
during
my
first
10
years
in
office,
theTownbalanced10straightbudgetsandmaintainedarunn ngsurp uso no ess an m on o ars.Between2007and2011,theTownranthreestraightdeficitswhich,atonepoint,causedtheTownsfundbalancetodroptonegative$5.1milliondollars.
However,Iamhappytoreportthatinthelast18months,
Iand
my
team
have
quickly
reversed
this
trend
and
producedapositiverunningsurplus. Thegoalistoendthecurrentfiscalyearwith nolessthan$1milliondollars
.
7/28/2019 Mayor Maturo's Budget Powerpoint
5/32
. ,
neighboringTowns?
Ourfund
balance
over
the
last
4years,
in
comparison
to
otherTowns wasrathersmall. However thankstobetter
budgeting,wearebeginningtostabilizeandcatchupto
ourneighbors.
Incomparison,between2002and2007,ourfund
balancewasonparand,insomecases,inexcessofour
neighbors.
7/28/2019 Mayor Maturo's Budget Powerpoint
6/32
. , ,
Standards&Poor,stronglyrecommendthattheTown
haveasavingsaccountequalto5%ofitsoperating
budget.
Fivepercent
of
our
proposed
budget
is
about
4.3milliondollars.
Inthepastyear,wehavecommittedtoaplanof
incrementalcontributionstothefundbalancetobring
theTowninlinewiththerecommendedfigure.
7/28/2019 Mayor Maturo's Budget Powerpoint
7/32
7. In addition to the Towns fund balance debt is anotherkeyeconomicmeasure. LikeyouandI,theTownhaslongtermdebt.
IampleasedtoreportthatthechangeintheTownslongerm e pos on n ca es a wecon nue omove
forwardontherighttrack.
TheTownbeganthe20112012fiscalyearwithjustover$48milliondollarsinlongtermdebt. Inthelastbudgetyear,wepaidoffnearly$3.6millionofthatdebt,or7.4%
percent,reducing
our
total
long
term
debt
to
$44.5
milliondollars.
,progressinthe18shortmonthswevebeenhere.
7/28/2019 Mayor Maturo's Budget Powerpoint
8/32
.
madeinthelast18months,Iwanttospeakbrieflyabout
whatfactorsinfluenceamunicipalbudget. Putsimply,
thebudget
is
composed
of
two
parts:
expenses
and
revenues.
7/28/2019 Mayor Maturo's Budget Powerpoint
9/32
. , ,
severalareconstant. Theyareexpenseswhichregularly
occur,mayberequiredbycontract,orareessentialto
runningthe
Town.
Forexample,employeebenefits,insurance,anddebt
servicearerequiredexpenses. Legalservicesare
essentialtothedefenseoftheTown. Utilitieslikewater,
sewer,heat,andelectricityareconstant. Andfinally,
education,police,fire,andpublicworksservicesare
essentialto
ensure
the
day
to
day
safety
of
our
Community.
7/28/2019 Mayor Maturo's Budget Powerpoint
10/32
. ,
incomefortheTownarefromtaxes,stateandfederal
funding,andmiscellaneousfees(suchasfeesfor
recordingdocuments
on
the
land
records).
7/28/2019 Mayor Maturo's Budget Powerpoint
11/32
. ,
particularattentiontotheexpensesideofthebudget.
However,certainexpensescontinuedtopresent
challenges.
Policeovertime,
resulting
from
ashortage
of
man ower continuestobeachallen e. Wehavetaken
steps,includinghiringnewofficers,tosolvethisissue,
butthesavingsfromthosestepsisstillmonthsaway.
Additionally,expensesrelatedtoHurricaneIrene,
Superstorm Sandy, andtherecentwinterstormareonly
partiallyreimbursed
to
the
Town,
requiring
the
Town
to
absorbtheunreimbursableportions.
7/28/2019 Mayor Maturo's Budget Powerpoint
12/32
.
andexpenses,Iandmyteamcarefullyputtogethera
budgetforthe20132014fiscalyearwhichIwouldnow
liketo
share
with
you
now.
7/28/2019 Mayor Maturo's Budget Powerpoint
13/32
. ,
expensesof.55%and$44.3million dollarsineducation
funding.
7/28/2019 Mayor Maturo's Budget Powerpoint
14/32
. , .
milliondollarsinrevenueand$86.1milliondollarsin
expenses. Whenweaddinthe$1milliondollar
contributionto
our
Town
savings
account
(or
fund
balance oucanseeIm ro osin atotalbud etof
$87.1milliondollars.
7/28/2019 Mayor Maturo's Budget Powerpoint
15/32
. ,
considerationswhensettingtheincomeandexpense
numbersyoujustsaw.
Ontheex enseside theTownex eriencedamillion
dollarincreaseinemployeemedicalexpensescausedby
thenewObamacareregulations. Thisincreasewas
unavoidable,andrequiredtheTowntogetcreativeabout
absorbingtheincrease.
Onthe
revenue
side,
the
elimination
of
several
grants,
includingthePequotandMohegangrants,andthe
proposedrestructuringofotherStategrantsmade
revenuecalculationsdifficulttopindown.
7/28/2019 Mayor Maturo's Budget Powerpoint
16/32
.
thisbudgetwasthechangeinthevalueofthegrandlist
thelistofalltaxablepropertyinTown. Asyoucansee,
theTown
experienced
very
slight
growth
in
the
grand
list
tothetuneofabout 9milliondollars whichwillleadto
averyslightincreaseinrevenuefortheTowninthenext
year.
7/28/2019 Mayor Maturo's Budget Powerpoint
17/32
. ,
worst,keepthemthesame.
Asaresult,
my
proposed
budget
calls
for
savings
or
no
increasesto23ofthe48 rimar bud etlineitems.
Withafewnotableexceptions,includinghealthcare
costs,theremaininglineitemsincludeverymodest
increases.
7/28/2019 Mayor Maturo's Budget Powerpoint
18/32
18. S ecificall de artments like Counselin andCommunityServices,Zoning,andBuildingMaintenance,willallseesavingsduetoreductionsintheirexpenses.
By
percentage,
you
can
see
that
Counseling
and
CommunityServiceswillseethelargestsavings,atnearly, ue opr va z ng emanagemen o e
departmentwhichhasbothsavedcostsandincreasedrevenue.
SavingswillalsoberealizedintheZoningDepartmentandwithBuildingMaintenance.
TheLegalDepartmentseesnoincreasewhatsoever,whileinsuranceseesamodestincreaseof1.47%as
. . .
7/28/2019 Mayor Maturo's Budget Powerpoint
19/32
19. As education is an issue of critical im ortance to theTown,Ialsowanttoexplainthefundingbeingproposedinthisbudgetforeducation.
Inmyfirst10yearsinoffice,myTeamandIwereveryproac veregar ng un ng ore uca on.
Infactbetweentheperiodof2000and2008,myTeamandIgaveanaverageincreasetotheBoardofEducationof$1.25millioneachschoolyear. In2004,thatincreasewasashighas$1.85milliondollars.
Weunderstoodthattimesweregoodandthatenrollmentwasincreasing. Asaresult,wemadea
systemoverthatperiodoftime.
7/28/2019 Mayor Maturo's Budget Powerpoint
20/32
. ,
Educationsenrollmentchart,thestudentpopulationhas
beensteadilydecliningoverthepast4years. In2009,we
hadapproximately
3,520
students
in
our
system.
As
of
2012 thatnumberhaddro edb almost400to3 159
students.
7/28/2019 Mayor Maturo's Budget Powerpoint
21/32
. ,
inrecentyears,theTownwillbecommittingthesame
amountofmoneytoeducationasitdidlastyear. The
resultis
that
the
Town
will
be
allocating
approximately
14 000 erstudentintheu comin bud et afull
$1,500moreperstudentthanwasbudgetedjust4years
ago. Thisisalmost$300dollarsmoreperstudentthan
lastyearalone. Asaresult,whilethetotalfundingfor
educationisstayingthesame,wecontinuetoincrease
thestudentfundingavailabletotheBoardofEducation.
7/28/2019 Mayor Maturo's Budget Powerpoint
22/32
. , ,
abouttaxes. Everyonewantstoknow,Whatwillthis
budgetmeanfortaxes.
7/28/2019 Mayor Maturo's Budget Powerpoint
23/32
.
lastbudget. Improudtosayweachievedthatgoalfor
nearly70%ofthehomesinTown. Unfortunately,the
changein
real
property
values
caused
by
the
state
mandatedrevaluationmadeitachallen etoim lement
auniformtaxreduction. However,6,801homessawtax
reductionsbetween1%andashighas39%.
Again,thatsover6,800homeswhichsawataxreduction
inthelastbudget.
7/28/2019 Mayor Maturo's Budget Powerpoint
24/32
. ,
highlightedinlastyearsbudgetaddress. Itwasahome
whichisreflectiveoftheaveragehomeinEastHaven a
2bedroom,
1bathroom
cape.
It
showed
that
the
taxes
in
2011hadswelledto 3 814dollars. However becauseof
therevaluation,undermytaxplan,thishomeownerpaid
just$3,183dollarsin2012.
Thehomeownersawa$631dollartaxcut. Thistaxcut,
asapercentage,representsa16.5%taxcut.
7/28/2019 Mayor Maturo's Budget Powerpoint
25/32
. , ,
thehomeofanotherpersonlastyear. Thispersonpaid
$6,088dollarsintaxesin2011. Undermybudget,this
personpaid
$5,410
dollars in
2012.
The$678dollarsavingsrepresentsan11%taxdecrease.
7/28/2019 Mayor Maturo's Budget Powerpoint
26/32
. ,
intheMomauguin areaofTown. Thishome,whichsawa
taxdecrease,isonHollandRoad. Thispersonpaid
$4,917dollars
in
taxes
in
2011.
Under
my
budget,
this
erson aid 4 159 in2012.
The$756dollarsavingsrepresentsa15%taxdecrease.
Onceagain,duetotherevaluationinstitutedpriortomy
takingoffice,implementingauniversaltaxdecreasewas
impossible.
However,in
just
one
year,
6,800
families
in
Townsawadecreaseintheirrealestatetaxes withno
decreaseinservices.
7/28/2019 Mayor Maturo's Budget Powerpoint
27/32
27. As a result the bud et that I am turnin over to outheTownCouncil,callsfornoincreaseintaxes. Rather,itcallsfortheTowntoallowthe6,800homeswhichsaw
their
taxes
drop
to
continue
to
keep
those
savings.
e avemany n v ua s n ownon xe ncomes. ormanyyears,EastHavenhadoneofthehigherunemploymentratesintheregion. MyteamandIaresensitivetothefactthatweneedtocontinuetomakeitaffordabletoliveinEastHavenandraiseafamilyhere.Weunderstandweneedtodomore,withless. Asyou
cansee,
we
are
up
to
that
challenge.
Thisbudgetrepresentsarealisticbudget,whichwill.
7/28/2019 Mayor Maturo's Budget Powerpoint
28/32
. ,
commitmenttonotaxincreaseistheexceptiontothe
rulethisyeararoundtheState. Infact,manyTownsare
lookingat
significant
increases
in
their
taxes
in
the
u comin ear. SeveraloftheseTownsarever close
neighborsofours.
7/28/2019 Mayor Maturo's Budget Powerpoint
29/32
.
lookingatclosetoa1milltaxincrease.
7/28/2019 Mayor Maturo's Budget Powerpoint
30/32
. , ,
significanttaxincrease. Finally,TheRegisterhasreported
thatothershorelineTownslikeGuilfordandNorth
Branfordare
also
expecting
increases
in
their
tax
rates.
7/28/2019 Mayor Maturo's Budget Powerpoint
31/32
. , ,
buckingthistrend. Thankstosoundfiscalmanagement,
myrecommendationandplanistokeeptaxesexactly
wherethey
are.
7/28/2019 Mayor Maturo's Budget Powerpoint
32/32