Wednesday, January 31, 2007

Charter Questions

Before we get into any questions, I want to take an opportunity to share some common ground with the charter commissioners.
1.) We are all on the same page in saying that we all want lower taxes. I have never heard one person say to me that they wanted taxes to go up. My taxes went up and I don't like the fact that they increased by about 30%

2.) I give credit, where credit is due. The Commissioners want more people to be involved and to participate in our local goverment. The first thing that i said which was quoted in the papers last year is that I wanted people to feel that they could come to their town councilors and feel like they have a responsive goverment.

My personal feelings are that I would much rather have participation with someone who disagrees with my opinions than for an apathitic citizen, whom may complain later but has not particiapted in the process. You have heard people complain and someone says " did you vote'? and many times the answer is "no, I have no time" or any other excuses... you get what I'm saying here.

So, we find common ground on these important topics. Thank you charter commissioners for keeping that to the forefront.

Now, after I read the Derry News Letters to the editor on 1/30 I would like to thank Councilor Coyle for pointing out a fact in his words "The town administrator and the council continue to be responsible for preparing the budget within the limitations imposed by the tax cap, but the voters get the final say on approval.

Ok, Lets look at the proposal the commissoners worked at and are proposing for us.

Bonding-Any bonding proposal over 2.5% of previous budget-the voters will decide and as Kevin pointed out this year that number would be $970,000.

I could of been in favor of voters input on any bonding that was outside of the tax cap. (which by the way has never happened. In fact any bonding previouly approved by past councils was always still under the tax cap.)

The TIF vote ( approved but not yet issued) if under their proposal would of had to wait until May for a vote on, and depending on timing issues-could be a future problem if time is not on our side in attracting businesses. ( we lose being able to be pro-active ) But all and all I think we should be ok in this area.

The changing of the May date is not the end of the world. Although, I'm not happy about spending an additional $8000./year and I'm concerned the split voting days could have a negative effect in people not wanting to come out every two months to vote. I hope if the proposal passes that I'm proved wrong on this one.

And last, Voting on the budget is where most of my questions are. The proposal as we know right now is talked about in simple terms. If the voters do turn down the budget, the budget then defaults to last years budget. Ok, most people understand that pretty easily,
however if we take this upcoming budget as an example and pretend that the charter proposal has passed and the voters voted down the budget. What happens next.

we all know, that this year, under the tax cap the council can increase town spending by 23 cents and in fact if we go right up to the cap and propose to spend 23 cents, we still are short on the budget by $330,000. ( I have not seen a council yet, spend upto the cap. always making sure we scutinize every dollar)

Now, if the budget were to default to last year. we would not be able to raise the 23 cents, which represents obligations by contract and we would still be short the $330,000

The 23 cents represents about $880,000 in real numbers

Budget would need to be cut by 1.21 million. Question: What happens next in the process?

Who makes the cuts?
What gets cut?

Both Kevin and Paul Hopfgarten would be able to best answer these questions as both are/were councilors and are familiar with the towns budget.

These are some of my questions for the commissioners that I would like to know about. I will have more, but until they answer these. I have a problem with thier proposal.

5 comments:

exDerryRes said...

BC - maybe you should talk to the school board and Moody. They figured out how to use the previous years budget year after year. This is common practice, not some new phenomenon!

BC said...

exderryres,
Don't confuse the previous years budget wording. The schools have their recommended budget and a no vote would default to a default budget ( not previous years budget) BIG difference!

The schools default budget could of been more money than the recommended budget and either of its budgets would include obligated costs.

This Charter Commission wants to default to last previous budget with NO obligated costs- Meaning we have to pay them and can't raise money so it needs to come in the form of a cut.

I just want to know the who, what and where of the cuts

The why is obvious that the people have spoken. After that What is the next steps in the process.

BC said...

I guess nobody is taking me up on my questions
What gets cut, who does the cutting.
nobody wants to answer the hard questions i guess.

exDerryRes said...

The simple answer is the TC. However, I believe that the CC made a mistake by flatlining the budget. There needs to be an increase at least to cover inflation (although the town is resource heavy and could find cuts if they had to). The key here is that taxpayers want a say on the budget, which IMO, the TC has taken too many liberties with. I would only vote for it with admendments, so maybe it will happen next year! :).

BC said...

Ex,
I don't know if the TC would be the ones making the cuts. Lets check-out the process.
March-TC does its budget meetings
April- Finish budget and 2 public hearings on budget
May- The people vote on the budget(lets say they vote it down )
May-June: And this is what I don't know of how the process will work? Does TC then spend May and June on cuts???
This is interesting, because all along I have said that this is where the pitting neighborhood vs neighborhood begins. How long does the council hash out the issues of the cuts?? THIS BECOMES A HUGH MESS. ( You think the meetings are exciting now?? just wait!)
When the petition started it was about BONDING. Now they included Paul Hopftgaren's budget piece ( No one from the public spoke on this-its Pauls baby only ) and as you said did not include inflation costs- ( Paul keeps saying its not about money but obviously it is and it shows in his proposal-charter revision recommendation.
The people do have a say in under current charter-They just don't show up to the public hearings on them.