Board of Finance Approves FY 2024-2025 Budget
BOARD OF FINANCE APPROVES FY 2024-2025 BUDGET OF $175.32 MILLION – AN INCREASE OF 5.22% OVER CURRENT FISCAL YEAR
Recommendation Now Moves to Town Council
The Board of Finance on Thursday March 7, 2024 approved a Total Expenditure Budget of $175.32 million for fiscal year 2025, representing an increase of 5.22% over fiscal year 2024’s budget of $166.62 million. The total increase amounts to $8.69 million, with 70.9% of this allocated for increases in Board of Education expenditures budget.
The Board of Finance’s budget recommendation now goes to the Town Council which may accept, reduce or reject the Board of Finance budget recommendation. The Town Council will hear from Departments and after an official notice plans to hold a public hearing on the budget on March 28, 2024. The Town Council is scheduled to approve a final budget on April 2, 2024.
The Total Expenditure Budget includes Board of Education operating expenses of $91.80 million (up 3.95%) and Board of Education transfers to the Health Internal Service Fund expenses of $17.59 million (up 19.44%) for a combined Board of Education expense budget of $109.39 (up 6.17%). In addition to these Board of Education expenses, the budget also includes $8.96 million of other Board of Education expenses paid by the Town. In total, the Board of Finance approved $118.35 million for the Board of Education for fiscal year 2025.
Town department operational expenses were $33.86 million (up 4.42%). Other budget items include a combined Town and Board of Education debt service of $18.91 million (up 2.83%) and tax-funded capital projects of $0.38 million (down 31.25%). To fund this budget, the amount to be raised from taxation is $159.23 (up 6.02%).
"All departments have exhibited exceptional dedication in bringing us to this point. Over the past six years, we've maintained an average annual taxation increase of just 1.21%, a testament to our commitment to fiscal responsibility," remarked Todd Lavieri, Chairman of the Board of Finance. "Throughout the process initiated in January, we've managed to achieve over $4 million in net impact, trimming expenses while ensuring the fulfillment of essential operational needs. Additionally, we've strategically deferred or cut almost $10 million in bonded projects," Lavieri continued. "This budget effectively allocates resources to meet the operational expenditure requirements outlined by the Board of Education, encompassing provisions for teachers, administrative staff, aides, healthcare, sports, arts, and more. Through prudent fiscal management and strategic planning, we've secured funding for our schools, vital social programs, public works, police, emergency services, and fire departments" Lavieri further emphasized.
The Board of Finance’s budget takes into account the Town Assessor’s reported 2023 Grand List (before the Board of Assessment appeals) increase of 23.61% to $9.909 billion from the 2022 net Grand List (after the Board of Assessment appeals) of $8.016 billion.
Attached is a summary of the Board of Finance FY 2024-25 Recommended Budget. For detailed information on the Board of Finance Recommended Operating and Capital Budgets for FY 2024-25, please refer to the Budget Document section on the homepage of the Town’s website at https://www.newcanaan.info/