Thursday, January 15, 2009

Select Board and Finance Committee meet

The Finance Committee and Select Board met tonight at Town Hall. The topics were budget priorities for FY2010 and the impact of state aid cuts and falling local receipts on the current FY2009 budget. There were two distinct points of view on both issues. One view was that the town should try to get by for this year and take actions to address the shortfall in the next year's budget. The opposite view was that the town should make significant cuts immediately and more in FY2010.
I share the latter point of view. Governor Patrick is moving aggressively to cut state jobs and spending in this year and I think the town should do likewise. If we do not take action now, the impact on the FY2010 budget is exacerbated by our inaction. Using our reserves and patching holes now ...

...will only leave us in a deeper hole next year. We need to stop digging. We must start getting the rate of growth of our expenses in line with the rate of growth of revenue. Currently the town's finances are not sustainable even to next year. Somehow pulling a rabbit out of a hat for this year will not prevent the shortfall next year and in fact leaves us worse off.
Those on the opposite side of the argument want to wait and se what the local aid reductions will be and then take action. As I said above, we know that we are facing shortfalls next year. The state aid cuts and falling local revenue have only hastened the time when making the necessary cuts is imperative.
The Finance Committee had planned to start allocating funds to town departments next week and start to meet with the department heads in two weeks, The Select Board would like to meet with the Police Chief and DPW Director before the department budget amounts are allocated. The board and committee decided that the Select Board will meet on Thursday, Jan 22nd to get the Police Chief and DPW director's input and the Finance Committee will meet on Tuesday, the 27th, to allocate the budget and then start meeting with departments on the 29th.

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