ATHOL — Town Manager Shaun Suhoski last week presented his proposed FY21 town budget to Athol’s Selectboard. The spending package, to be considered at the September Annual Town Meeting, is just slightly more than $21 million.
“The state aid figures became known just a couple of weeks ago,” Suhoski told the board, “and it allows us now to go into our deferred town meeting in September at least with some sense of confidence we can put forward a budget that we can live within.
“In summary, we have a $21 million proposed operating budget. In concert with the finance team — the Selectboard and the Finance Committee — this proposal will require a contribution from free cash of $160,000. The last year we had to use our free cash was in FY17, following several years of down economies, but we were eventually able to phase that out.
“Notwithstanding we are looking for that subsidy from free cash this year, we are not in a dire predicament. In fact, this budget, in my opinion, is sound; it’s sound from a fiscal standpoint, it’s sound from a programmatic standpoint. We won’t lose the progress the town has made over the last five to seven years.”
Suhoski stressed the new spending package will maintain current levels of staffing and service.
“It does fund the capital program as recommended by the Capital Program Committee,” he continued. “It will address a systemic issue in the Fire Department that’s been recurring the last couple of years related to IOD (injury on duty) and other items. The budget is short, but we’re able to address that.”
The town manager further stated that, in adherence to the town’s fiscal policies, money will be used to strengthen Athol’s stabilization fund.
“We’re not drawing on those reserves, but rather we are contributing $150,000 to the stabilization fund,” he said. “And we would reserve another half-million dollars-plus in free cash. This year, free cash was higher than most, at $1.5 million, which gave us this flexibility.
“This would preserve over a half-million dollars, unappropriated, and that would roll to the calculation for the ensuing fiscal year which, in my view, will be difficult unless the federal stimulus package provides monies for state and local government. I don’t see how the Commonwealth, with predictions of revenue shortfalls, will be able to level fund again; and level funding doesn’t keep up with inflation — let’s keep that in mind.”
The Finance and Warrant Advisory Committee was scheduled to begin its review of Suhoski’s proposed budget on Tuesday of this week.
“So,” Suhoski told the board, “inclusive of general government spending of about $15.8 million, net of voter approved debt service, the budget does grow by about 3.7 percent. So, the bottom line is just over $21 million, and that includes the school assessment.
“This does include the certified fund balance (just over $1.5 million) — we’re counting that as a revenue. It includes wage concessions I negotiated with the SEIU of about $24,000, and all of our non-union staff of about $15,000. So, there’s about $40,000 in wage concessions included in the proposal.”
The Annual Town Meeting is scheduled for 7 p.m. on Sept. 14 at Town Hall.
Greg Vine can be reached at gvineadn@gmail.com.
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