BRATTLEBORO — A first look at the draft proposal of a $22,473,369 operating budget for fiscal year 2025 shows a 2% increase ($434,692) to the current fiscal year's $22,038,677 operating budget.
As the budget process continues, any - or none - of 13 potential additional expenses could be included in it.
Calling it the "first bite" when reviewing the proposal as such on Nov. 21, Selectboard Chair Ian Goodnow said while the board could pass the "base budget sandwich" without adding to it, he appreciates the process.
"I think it's a more transparent way for the Selectboard to consider budget alternatives for additional things the town can take on and actually understand the impact to the General Fund and to the taxpayer," he said.
As presented in this budget scenario, a 1% proposed property tax increase would cost each individual taxpayer an additional $17 annually (or about $4 each quarter) per $100,000 of property value.
In the draft budget, personnel compensation would increase by 8%, including an overall 4% cost of living adjustment, and services and supplies by 7%.
Current staffing capacities in all departments remain consistent with levels this year, and no new programs or staff positions, except the Emergency Medical Services program previously approved by the Selectboard, are included.
Personnel costs, Town Manager John Potter says, as projected are consistent with already approved collective bargaining agreements and include a level-funded cost of living adjustment of 4%.
Staff compensation totaled $12,836,470 in this year's budget. The base budget for FY25 anticipates an 8% ($1,033,004) compensation increase for a total of $13,869,474, which would constitute 62% of the overall budget.
"The town of Brattleboro is a service organization, so maintaining adequate staffing to deliver expected levels of service is always the largest expense," Potter says.
Overall employee benefits are projected to decrease by $14,234 from $3,785,276 this year to $3,771,042 in FY25. Potter says that's due to an "updated and more accurate" method of assigning health insurance expenses across the town's three operating funds - General, Utilities, and Parking.
Although health insurance premiums are expected to rise by 11%, calculating the expenses in a different way than formerly is expected to result in a slight reduction compared to this year.
While many departmental service and supply projections remain flat or reduced, fire department services and supply costs are estimated to increase by $129,795, of which $91,125 is "directly attributable" to the incorporation of the Emergency Medical Services (EMS) program.
Potter said the staff used the "lowest, most conservative model" in assuming how much would be collected through EMS billing and landed with about $866,000.
Part of the costs associated with the newly approved municipal program, wherein the fire department will assume all EMS responsibilities in July, are startup equipment and supply costs plus adjustments to utility costs and medical billing services.
Debt service is expected to decrease by $40,700 (4%) from this year.
'Major new needs' still on the table
In his Nov. 21 budget memo (available at brattleboro.gov), Potter writes, "while the town is unlikely to be able to afford to incorporate many of these recommendations, staff believed it would be helpful for the Selectboard and the community to be aware of major new needs as determined from the department perspective."
In the following list, if the board were to include all, the budget would increase by $951,395, adding another $94 of estimated annual tax impact per $100,000 of Grand List value or the equivalent of $172 of additional estimated annual tax on a bill for the Grand List median home value. It would take the 1.2% overall property tax increase in the base budget up to a 6.8% increase.
Other areas for consideration not already included in the draft budget include:
• Hiring an independent consultant to make a base compensation study (about $20,000). Adding $20,000 to the budget would require an increase in taxes of an additional $2.85 per $100,000 of valuation.
• Adding a social worker to the Brooks Memorial Library staff ($95,000–$106,0000) to "better serve the needs of the public, many of whom also present challenging behavior within a library setting." Adding $100,500, as a midpoint in the potential salary range, to the budget would require an added tax increase of $9.47 per $100,000 of valuation.
• Installing a new self-checkout and security system ($65,000) at the library for "greater operational efficiency." Adding $65,000 to the budget would require an added tax increase of $6.55 per $100,000 of valuation.
• Hiring a library outreach and programming specialist ($89,000–$103,000) to help meet demand. Adding $96,000 to the budget would require an an added $9.10 tax increase per $100,000 of property value.
• Hiring a community resource specialist for the police department ($84,000–$93,000), a concept in development since Chief Norma Hardy joined the department in 2021. Adding $88,500 to the budget would require an added $8.48 tax increase per $100,000 of property value.
• Hiring a downtown custodian ($70,000-$80,000) to the facilities maintenance staff, enabling that team to add Central Fire Station and Station 2 to the list of covered facilities and "better position the team to spend time downtown." Adding $75,000 to the budget would require an added $7.37 tax increase per $100,000 of valuation.
• Hiring an assistant highway supervisor ($85,000–$100,000) to enhance communication and oversight. Adding $92,500 to the budget would require an added $8.81 tax increase per $100,000 of valuation.
• Hiring a public works deputy director ($97,000-$122,000) to bring that team back to three people, as it once was, and "revamp" and "expand upon a proactive approach" to manage infrastructure. Adding $109,500 to the budget would require an added $10.21 tax increase per $100,000 of property value.
• Adding more hours for the part-time assistant town clerk ($15,000–$25,000), changing from 26.5 hours weekly to 33 hours weekly. Adding $20,000 to the budget would require an added $2.85 tax increase per $100,000 of property value.
• Hiring an IT coordinator ($85,000–$101,000); proposed by the Town Manager's office to address issues and potential cybersecurity threats and replace an "a la carte" system with an in-house system. Adding $93,000 to the budget would require an added $8.85 tax increase per $100,000 of valuation.
• Offering an additional 1% COLA ($85,895) to help with the fact that "inflation continues to result in an escalating cost of living" and add to the 4% adjustment now in the draft budget. Adding $85,595 to the budget would require an added $8.24 tax increase per $100,000 of valuation.
• Contributing $5,000 more to Southeast Vermont Transit for town bus service. The town currently contributes $50,000 and has been asked to increase that to $55,000 annually. Adding $5,000 to the budget would require an added $1.61 tax increase per $100,000 of property value.
Capital considerations
Money to pay for capital expenses for infrastructure projects, replacement vehicles, and large equipment items - previously planned and identified in the 2022-23 Annual Town Report - is projected to come from a General Fund cash transfer of $1,773,723. This is a 30% reduction from the $2,531,000 in this year's budget.
A consideration that may have an impact on the final budget for the FY25 Capital Fund is the extent to which the Selectboard decides to use one-time American Rescue Plan Act (ARPA) funds and excess fund balance to pay for identified capital needs.
It is estimated the town will spend up to $1.375 million in ARPA money for EMS startup expenses. Among these expenses: hiring an EMS supervisor and more firefighter/EMTs by July 2024, and buying three new ambulances.
Use of this amount of ARPA money will leave about $1.4 million in that fund for other projects.
The base budget includes paying for previously identified capital projects: three delivered by Public Works and one delivered by Recreation and Parks.
The Esteyville Park Gazebo project cost estimate incorporates the need to completely replace or rebuild the bandstand structure at a newly estimated cost of $37,000.
Other planned capital expenses include vehicle and equipment replacements with contributions to both the Fire Truck and Future Ambulance reserve funds.
The ambulance is the only new item and is based on the Selectboard's decision to provide municipal emergency medical services.
The Williams Street Intersection Improvement Project, which had been considered a grant-funded project, is a possible ARPA project.
After study and input, town staff members have determined 10 potential capital projects not included on the currently approved long-term capital plan.
These alternatives total an additional $1,225,000. Paying for all would require an additional 7.2% increase in property taxes, unless they are paid for by other means, such as ARPA money.
A public survey asking for input regarding priorities for ARPA money use is available at brattleboro.gov/blog/take-the-arpa-survey.
These 10 capital project alternatives include:
• Added street paving and improvement ($100,000) to make progress to address a road repair backlog estimated at $18.5 million. Adding $100,000 to the budget would require an added $9.43 tax increase per $100,000 of valuation.
• Added sidewalk repair/replacement ($100,000) to address the town's 35 miles of sidewalk and "make a project that is an appealing size to contractors." Adding $100,000 to the budget would require an added $9.43 tax increase per $100,000 of valuation.
• Green and High Street intersection construction ($75,000) to complete the final design. Adding $75,000 to the budget would require an added $7.37 tax increase per $100,000 of valuation.
• Brannen Street retaining wall repair ($75,000) to fix this wall before it compromises the road and the home on top of it. Adding $75,000 to the budget would require an added $7.37 in taxes per $100,000 of property value.
• Public Works facility site analysis ($50,000) to look more closely at the existing site and improvements that could be made there. Adding $50,000 to the budget would require an added $5.31 increase in taxes per $100,000 of valuation.
• Relocate the salt and sand shed ($150,000) to optimize space and keep the sand dry. Adding $150,000 to the budget would require an added $13.54 tax increase per $100,000 of valuation.
• Cotton Mill Hill intersection improvements ($120,000) to improve traffic issues. Adding $120,000 to the budget would require an added $11.07 tax increase per $100,000 of property value.
• Central Fire Station HVAC control replacement ($55,000) of a system that has never worked properly. It is expected the full $130,000 cost can be reduced by a $75,000 state energy efficiency grant to $55,000. Adding $55,000 to the budget would require an added $5.72 tax increase per $100,000 of property value.
• Dispatch console replacement ($300,000) because Motorola, manufacturer of the system currently in use at Brattleboro Central Dispatch, has notified the town that the equipment has reached the end of its service life and the company will no longer support it. Adding $300,000 to the budget would require an additional $25.88 tax increase per $100,000 of property value.
• Additional surveillance cameras ($200,000) to expand the town surveillance camera inventory by four locations. Adding $200,000 to the budget would require an added $17.65 tax increase per $100,000 of property value.
Next steps
The budget process began in April with several meetings, including a community open house in September.
The Selectboard is now at the stage of reviewing preliminary costs and income needed to continue current town service levels and planned capital projects and equipment replacement as well as possible additional expenses and their tax impacts.
Potter says the plan now is to publish a further micro-level breakdown of the budget in the next few days on the town website. He and Assistant Town Manager Patrick Moreland will update the board at its Dec. 5 meeting.
On Dec. 19, the board will consider alternate budget additions and use of ARPA money.
The Selectboard will vote in January on a final budget for presentation at the March 2024 Representative Town Meeting (RTM).
Visit brattleboro.gov and follow the prompts under Selectboard to the budget memo to read more details.
This News item by Virginia Ray was written for The Commons.