Saybrook Budget Hearing Draws Few Citizens
OLD SAYBROOK - While turnout by residents was light for the town finance board's first public hearing, the few who attended had a bit to say-and ask. Of those who spoke, several asked for clarification of the increases in health insurance, which show up in the fixed charges portion of the budget.
Those asking for clarification of these budget elements included Ken Gibble and Carol Manning. Resident Matt Rubin asked the Board of Finance to increase the town's $7,500 support of energy assistance for those in need to $40,000, while another resident, John Duhig, asked the Board of Finance to start over with a zero-increase budget.
The hearing began with First Selectman Carl Fortuna's presentation on the proposed $14.8 million general government budget and its $634,000 increase.
"Many of you have read that we are managing a $230,000 deficit this year in health insurance," said Fortuna. "I had to budget the health insurance for next year by adding the [annual] cost increase on top of the [higher] health insurance actuals for this year."
He said that the higher actuals were due to under-budgeted employee health insurance accounts in several departments in the approved budget for the current fiscal year.
"Where are the deficits? In the Youth & Family Services budget, $30,000 [in health insurance costs] were not budgeted. In the selectman's office, close to $50,000. In the Police Department, $57,000 [in health insurance costs] wasn't budgeted."
To manage this year's health insurance budget deficit internally, Fortuna sent a memo out to town departments asking each to hold all discretionary spending for the rest of the year.
"The town budget is up $634,000 and $339,000 of that is health insurance costs that have gone up year over year; it's a 39 percent increase. It's not a pretty sight and it kind of destroyed this year's budget," said Fortuna. "That number is to me the most startling thing that happened" in this budget cycle.
Other highlights include changes to the Acton Library budget. With support from Library Director Michelle Van Epps, the selectmen agreed to swap routine library capital spending for a one-time capital expense. The one-time charge will support costs to convert the library materials inventory system to a regional consortium system called Libraries Online (LION). Through cuts elsewhere in the library operating budget, the selectmen agreed to a proposed five hours' per week increase in the work-hours of one part-time library staff member.
Fortuna also said the town is discussing with the school district ways in which town and schools can share or consolidate such as by sharing purchasing of supplies.
One discussion between Fortuna and the Board of Finance Chairman David LaMay was generated by a question from Manning, a former selectman, noting that the presentation of fixed charges in the budget led to confusion (fixed charges include dollars allocated to pay for employee benefits like health insurance).
LaMay said in response to a question from Fortuna, "I prefer having all these fixed expenses broken out [into categories] like health insurance. Last year [for example] the town budget showed a decrease in health insurance which was not right because it was actually up."
Schools Business Manager Julie Pendleton then offered comments on the school district's proposed $22.7 million budget that would increase spending by 4.53 percent if approved.
Pendleton noted that in the current 2011-'12 year, the teachers took a zero percent increase and in the 2012-'13 budget year, a 2.9 percent increase that is mostly offset by health give-backs.
"I'm proud to say that the Board of Education budgeted appropriately for health insurance [planning for] an eight percent increase in the current year. We plan a net increase of just three percent for health insurance next year," said Pendleton. "We have increased co-pays in a number of contracts."
As in many years, Pendleton said the cost of special education is the most difficult to manage, describing it as "a moving target. We lifted our budget hold this week on spending because [at least] this year, we've done well."
No questions arose with respect to the Board of Education budget presentation and so David LaMay adjourned the meeting. Another public budget hearing is planned for April.