Thursday, September 1, 2016

Not A Bad Nest Egg

Select Board August 29 New Town Manager Paul Bockelman's 1st SB meeting

Comptroller Sonia Aldrich updated the Select Board and new Town Manager Paul Bockelman on Monday night about the current financial shape of the town and it was a good to great report.

The town closed out FY16 with a surplus of $1.7 million from a total budget of $72.5 million, which included a $295,000 payment from UMass on the Hotel/Motel tax representing 21 months or almost two years worth.

UMass played hardball and bullied the town into signing a lousy 3.5 year "Strategic Agreement" with the caveat they would pay the Campus Center Hotel tax retroactively after they had ceased paying it due to a legal loophole.

The town now has $6.9 million in Stabilization, a savings account that requires a two thirds vote of Town Meeting to appropriate. 

And Free Cash, which only requires a majority vote to spend, once all the grants come in will be anywhere from $4.4 to  $4.9 million so total reserves could end up close to $12 million. 

Which sounds like a lot.  But not so much when you consider the four major building projects coming up that will require over $100 million in local tax dollars. 

The first of which, the new $65 million Mega School Override, comes up on the November 8th ballot.


Anonymous said...

The town better save their money to help the schools...

When was the high school gym floor damaged (some reports say early August- before the golden parachute was approved and launched)
The repair/replcement is one of those "unplanned expenses" for the schools. Isn't that the funds they plan to dip into to pay Maria?

kevin said...

It is just good fiscal planning, no magic. Like the snow budget, we didn't use it. So there's some money for your new school, you should be happy. Which you are going to have build eventually. Bond financing will never be this cheap again, never ever. Waiting just one year will cost the town $6 million. You got an extra six mill laying around? I sure don't.

Anonymous said...

I durnst boleeven in no skoolins!

Anonymous said...

I must have missed the news on the flooding and gym floor damage at the high school. Are they connected? Facts or rumors?

Anonymous said...

Article about the flooded gym- destroyed wood floor