By Beth David, Editor
Acushnet Town Meeting will get a balanced budget on Monday, 6/17/24, after town officials sharpened their pencils and closed a $2.1 million deficit. In its letter to the residents in the TM warrant, the Selectboard wrote that in spite of decreased state aid, very slow new growth, and unpredictable local receipts, the board worked “very diligently” with the school committee and Finance Committee to preserve essential services while presenting a balanced budget. The board wrote that it postponed TM from 6/3 to 6/17 to work on the deficit.
Revenues for a municipality are from three main sources: property taxes (the tax levy); local receipts (excise taxes, building permits, etc.); state aid. The tax levy is limited to an overall increase of 2 1/2 percent plus new growth; state aid increased by a paltry 1.2%. The governor’s budget, however, has not been finalized. All revenues are estimates.
Although property taxes are reliable, other sources fluctuate, especially local receipts.
For Fiscal Year 2025, the board is presenting a budget of $36,183,789 based on estimated revenues. Education, which includes tuition costs to the high schools that Acushnet students attend, is $19,303,631, for 53.35% of the total operating budget.
Department budgets are level funded, except for salary increases.
Town Meeting will be asked to implement a local meals tax of .75%. The tax would generate between $50,000 and 100,000 in revenue. The SB is recommending the tax and notes that over 80% of Southcoast communities have implemented a meals tax.
The town has $445,382 in Free Cash, and proposes to spend all but $902.23 of it.
Free Cash expenditures include $105,000 for the fire department to upgrade the fire alarms in town buildings. The old system is obsolete and parts are no longer available. The FD is also asking for $40,000 to upgrade the radio system repeater and relocate it to the Peckham Road tower from Mendall Road. The equipment is outdated.
Other Free Cash articles include $81,301 to complete the Participant Equity Fund payment needed to join a health insurance group, which has helped to lower insurance premiums; $20,000 for the Senior Work-Off program which allows seniors to work off part of their taxes by working in town departments; $30,000 to fund the Youth Employment Service Program, which is designed to instill work ethic, while providing financial and social benefits to resident youths; $100,000 to the town’s Stabilization Fund.
Free cash will also be used to pay $74,178.77 as part of a settlement with Amaral Bus Company in a Superior Court case stemming from student transportation during the pandemic.
The Community Preservation Committee is recommending $17,000 for an ATV for the Recreation/parks department. The maintenance vehicle will be used to transport equipment in off pavement park areas.
CPS is also recommending $7886 for repairs to the fence at the Long Plain Museum; $8,000 for a consultant to for the Perr Hill Church National Register nomination.
The budget uses funds from the Overlay Surplus account for retroactive payments for union contracts including police. The total for all collective bargaining retro payments is $496,645, with $445,750 going to police; $40,830 for Steelworkers Union (some department managers and inspectors); and $10,065 for dispatchers/clerical.
The overlay account is money put aside by the Assessor’s office to use for tax abatements. Acushnet has $1.7 million in the overlay account, but traditionally uses about $100,000 pre year. Using the account for one-time expenses is an appropriate use of those funds.
Town Meeting will also be asked to vote on several articles related to the Slocum Street project, which has received $2,913,406 in ARPA Funding (American Rescue Plan Act). Article 11 asks for $600,000 from the Capital Expense Stabilization Fund for the project. Article 23 asks for $600,000 from the Water Special Revenue Fund.
Article 24 asks for $1,800,000 in borrowing for the project, but the town expects it will not need the funds. The town is applying for additional ARPA funds, however, the town needs to have all funding in place for the project. Town Meeting can always rescind the vote if they get the ARPA funds.
Other articles include transfers from the various enterprise funds and revolving accounts to operate or help offset budgets associated with those accounts. Enterprise funds may only used for specific purposes, e.g., the Golf Enterprise Fund can only be used for the Golf Department.
Town Meeting will also be asked to approve a bylaws change, updating the MS4 Stormwater bylaw. The new language is required by the Environmental Protection Agency
In a phone interview with Town Administrator Jamie Kelley, he said the school department was instrumental in closing the gap.
“They cooperated magnificently,” he said.
On the town side, he said they eliminated some positions, combine some positions, and made some positions go from full time to part time. They also held off on buying two police cruisers. They also used the overlay account to offset some of the costs of Old Colony Regional Voc-Tech.
He said that he Selectboard member Kevin Gaspar were literally cutting a few hundred dollars from different accounts right up until the warrant had to go to the printer for town meeting on Monday.
Mr. Kelley said the financial woes are being faced by all municipalities, and it is not their fault. The state has not increased aid to municipalities on a pace that makes sense. Cities and towns are constricted by Proposition 2 1/2 and state aid has only increased by one or two percent most years. Chapter 90 funds, used for roads, has been flat for 13 years.
Acushnet is also looking at regionalization, and has signed a Memorandum of Agreement with Mattapoisett to share a town planner.
Town Meeting is on Monday, 6/17/24, at Ford Middle School, 708 Middle Road, at 7 p.m. Acushnet has an open town meeting, so any voter registered in Acushnet can speak and vote on articles.
Town Meeting materials are available on the website at https://www.acushnet.ma.us and click on “Town Meeting” in the top navigation bar; or contact the Town Clerk’s office or the Selectboard/Town Administrator office, 508-998-0200.
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