A few thoughts on Killington's upcoming Australian "town meeting" vote.
While the Town Manager is touting the proposed town budget will only result in a half cent increase in the property tax this year there are ramifications beyond this year.
Since the 2014 budget includes $423,325 in FEMA reimbursements from Irene that amount will have to be found elsewhere in the 2015 budget. At roughly $90,000 per 1 cent of property tax rate that could result in close to a 5 cent hike in next year's tax rate if 2015's budget is level funded.
It has already been announced that if Article 5. the $1.400,000 bond for the road improvements passes that it will result in a 2.5 cent increase in the budget for 2015 and further increases on top of that in future years.
Part of the proposed budget is the estimate of 1% options tax receipts which was somewhat arbitrarily set at $700,000. The Town manager, showing prudent fiscal sense, had actually wanted a lower estimate, yet at the behest of the select board increased his estimate so the estimated rate increase would be less that 1 cent.
Even though the tax rate is only estimated to go up about 1/2 cent the proposed budget is an increase of $368,358 or 9.87% over last year's budget. It is even greater if the proposed 2014 budget is compared to the actual 2013 general fund expenses, a whopping $512,929 or 14% increase which is about 5.5 cents of the tax rate (See page 26 of town report). This year it's mostly covered by the FEMA reimbursements. Next year it will have to be borne by the taxpayers if level funded. So be forewarned as to what's coming down the road next year, either serious cuts or a serious increase in the tax rate. So between losing the FEMA cushion and road bond maintenance we're already talking an 8 cent increase next year.
If Article 6 passes allocating $169,000 for the renovation of the former teen center into a haven for the historical society it will add another 2 cents to this year's tax rate. While in principle I have no problem with the article being put forth as there may be enough interest amongst Killington natives and long time residents in preserving Killington/Sherburne's heritage to warrant such an expenditure, the process by which this came to fore is somewhat dubious. When the historical society initially approached the select board they requested a loan so as to explore funding options for the restoration stating they would seek grants and other financing options while at the same time firmly stating they would not approach the taxpayers for said funds. Yet here we are, about a year and a half later, the loan has not been paid back and they are looking to the taxpayers to finance their project.
At approximately the same time a representative of the Chamber announced during a select board meeting that the Chamber supported the historical society and was willing to set aside space in the property formerly known as Bill's Country Store for the society. Whatever happened to this option? Given all the support the town has given and is planning to give to Bill's why is this not a viable option?
Mind you all this occurred before last year's hotly contested election. You have to wonder what was going on behind the scenes.
Also consider this, if the renovation is approved there will be operating costs such a climate control, water, sewer, insurance, etc., never mind staffing. Where are these funds going to coming from?
And what about the park and ride at the property formerly known as Bill's Country Store. Once the park and ride is built who is going to maintain it.. You guessed it, the town. We had to go through an agonizing process just to get the elementary school parking lot plowed by the town road crew, now we're adding the expense of plowing what is basically a private parking lot. Was this expense factored into the budget?
And rumor has it that the Discover Killington website is going to be handed over free of charge to a private entity after the town spent hundreds of thousands of dollars developing it. This is a vehicle which if properly operated could make revenue for the town.
And last but not least, even though a lot of lip service was paid to putting additional money aside to pay off the golf course refi balloon payment nothing was budgeted for 2014. Going back to kicking the can down the road.
So given all these pitfalls I am voting no on the budget and urge you do so as well so the board can re-evaluate its priorities and plan properly for the future not just for the upcoming year.
Vito
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