Holden council endorses town’s proposed budget

HOLDEN – The town’s proposed 2004-05 operating budget is projected to increase by 3.36 percent, which translates into a 22 cent jump in the mill rate for property owners.

Town councilors held a public hearing on the budget Monday with half a dozen residents in attendance. Councilors have reviewed the budget several times in the last month and quickly endorsed the numbers, said Town Manger Larry Varisco during a phone interview Tuesday.

“Everything passed as presented,” he said.

The total budget is projected at $4,189,675, which will cause the mill rate to increase from the current $21.56 per $1,000 of valuation to $21.78.

This number includes the combined municipal and school budgets along with county taxes, which are $183,318. The $1,760,724 municipal operating budget for next year is $1,771 less than the current budget, and Holden’s share of the school budget is projected to be $2,245,633, an increase of $115,098 or 5.41 percent.

Under the proposed budget, every town employee will receive a 2.5 percent raise. The big increase for the budget falls under the public safety department, which includes police, fire and animal control. This year, the department’s budget is $279,758 and the projected budget for next year is $19,365 more or $299,123. Fire Chief Jim Ellis said a jump in call volumes is the reason behind the increases.

A portion of the town’s projected $535,961 undesignated fund balance will be used to offset the budget in an effort to keep taxes from rising. Town officials like to maintain a minimum of $400,000 in the undesignated fund balance, which would leave approximately $136,961 that could be used to adjust the mill rate.

“The final number for that will not be final until the mill rate is set,” Varisco said. “That leaves [the council] a little room to adjust the mill rate. We won’t know the final undesignated fund balance until we close the fiscal year on June 30.”

The town’s reserve funds for the municipal building and garage and the town’s sand-salt shed total $111,518. Funds amounting to $1,672,223 are in the equipment replacement schedule for administration, police, fire-rescue and highway maintenance.

“A serious attempt has been made to keep all line items as realistic as possible,” Varisco said in a memo. “I would describe the whole budget as tight, given the level of services we are currently providing.”

The annual town meeting is at 7 p.m. June 9 at the Holden School, 590 Main Road.