Politics & Government

RTM Budget Cutting Saves $6 a Year in Taxes

$6 Annual Savings Applies to Residents With Property Assessed at $600,000

A resident with property assessed at $600,000 would save $6 a year in taxes in 2010-11 based on budget cutting by the Representative Town Meeting Monday and Tuesday nights.

Before the RTM reviewed the proposed $251.7 million town budget for 2010-11, the tax rate tied to that budget was 19.28 mills, or $19.28 for every $1,000 of assessed property value.

The RTM, during a total of 7.5 hours Monday and Tuesday nights, cut $193,609 from the proposed $251.7 million town budget and adopted early today a town budget of $251.5 million for the fiscal year that starts July 1.

Find out what's happening in Fairfieldwith free, real-time updates from Patch.

The tax rate needed to finance a $251.5 million town budget works out to 19.27 mills, or $19.27 for every $1,000 of assessed property value, based on documents from Chief Fiscal Officer Paul Hiller.

For Fairfield residents, the tax savings in 2010-11 achieved by the RTM's $193,609 budget cut works out to:

Find out what's happening in Fairfieldwith free, real-time updates from Patch.

* $5 for homeowners with property assessments of $500,000. These homeowners now pay $9,450 a year in taxes and their tax bill in 2010-11 would rise to $9,635, instead of $9,640. Their tax increase would be $185 instead of $190;

* $6 for homeowners with property assessments of $600,000. These homeowners now pay $11,340 a year in taxes and their tax bill in 2010-11 would rise to $11,562, instead of $11,568. Their tax increase would be $222, instead of $228;

* $7 for homeowners with property assessments of $700,000. These homeowners now pay $13,230 a year in taxes and their tax bill in 2010-11 would rise to $13,489, instead of $13,496. Their tax increase would be $259, instead of $266;

* $8 for homeowners with property assessments of $800,000. These homeowners now pay $15,120 a year in taxes and their tax bill in 2010-11 would rise to $15,416, instead of $15,424. Their tax increase would be $296, instead of $304;

* $9 for homeowners with property assessments of $900,000. These homeowners now pay $17,010 a year in taxes and their tax bill in 2010-11 would rise to $17,343 instead of $17,352. Their tax increase would be $333, instead of $342;

* $10 for homeowners with property assessments of $1 million. These homeowners now pay $18,900 a year in taxes and their tax bill in 2010-11 would rise to $19,270, instead of $19,280. Their tax increase would be $370, instead of $380.

The town's Board of Finance - an elected board of nine volunteer residents - is scheduled to officially set the tax rate for 2010-11 at 8 p.m. today in the Education Center, 501 Kings Highway East.

The Board of Finance doesn't have to set the tax rate at 19.27 mills, though that is the tax rate indicated by town finance officials' belief that lowering the tax rate by .01 mill required a cut of at least $117,444 by the RTM.

The RTM's $193,609 cut was enough to lower the tax rate by .01 mill, but wasn't enough to lower it by .02 mill because that would have required a cut of $234,888.

After cutting $33,850 Monday night, the RTM cut another $159,759 Tuesday night and early today, wrapping up their review and vote on the 2010-11 town budget about 12:40 a.m. today.

The cuts approved Tuesday night - which RTM Republicans described as reductions in increases or maintaining budget line items at current levels - included:

* $2,500 from the Human Resources Department's proposed budget;

* $500 from the Department of Community & Economic Development's proposed budget;

* $1,000 from the Harbor Management Commission's proposed budget;

* $500 from the Purchasing Department's proposed budget;

* $300 from the Office of the Tax Collector's proposed budget;

* $15,750 from the Information Technology Department's proposed budget;

* $48,820 from the Police Department's proposed budget (an additional proposed cut of $89,006, which would have eliminated an additional detective position, with salary, health benefits and social security contributions, failed.)

* $49,941 from the Fire Department's proposed budget (on Monday night, an additional proposed cut of $310,000, which would be used to operate a second ladder truck with a firefighter on an overtime basis, failed.)

* $18,500 from the Department of Public Works' proposed budget;

* $2,948 from the Building Department's proposed budget;

* $3,500 from the Human and Social Services' proposed budget;

* $13,000 from South Pine Creek Golf Course's proposed budget;

* $2,500 from H. Smith Richardson Golf Course's proposed budget.

The three proposed cuts that were not approved Tuesday night (in addition to funding for an additional detective in the Police Department) were $5,000 from the Health Department's seasonal payroll account, which is used to fund nurses at summer schools; $10,000 from the Library's proposed budget, which is used to buy materials; and $20,000 to hire a part-time analyst in the town's Finance Department.

Several residents were angry that the RTM was cutting the budgets of town departments and hadn't cut the Board of Education's $141.6 million budget, which rises 1.4 percent from its current $139.6 million budget.

But RTM members said no one contacted them to urge cuts to the Board of Education's budget and that residents who contacted them wanted the school board's budget left alone. The Board of Education had approved a $144.6 million budget for 2010-11, but First Selectman Ken Flatto cut $3 million, the Board of Selectmen cut another $100,000 and the Board of Finance restored that $100,000 cut, leaving the cut at $3 million.

The overall $251.5 million town budget for 2010-11 approved by the RTM early today rises 1.6 percent, or $3.9 million, from the current town budget of $247.7 million.

The town budget is made up of three parts: The Board of Education's budget, the townside operating budget and annual debt service.

The 2010-11 Board of Education budget, at $141.6 million, rises 1.4 percent, or $2 million, from the current budget of $139.6 million.

The 2010-11 townside operating budget, at $86.1 million, rises 5.7 percent, or $4.6 million, from the current townside operating budget of $81.5 million. But $2.1 million of that increase is in retiree benefits, which rise from $6.2 million to $8.3 million.

Annual debt service in 2010-11 would be $23.8 million, which is 10.3 percent, or $2.7 million, lower than current annual debt service of $26.6 million.


Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.

We’ve removed the ability to reply as we work to make improvements. Learn more here