North Canaan finds growing population costly


NORTH CANAAN — It’s shaping up to be a year of ups and downs in town finances and proposed budgets.

The boards of selectmen and education have presented their 2007-08 budget proposals to the Board of Finance. Finance Chairman Francis McGuire noted that education surpluses and a grand list increase will balance out a good portion of the proposed local spending hikes.

But then there is the Region One budget increase to deal with, as well as a first look at a more than $500,000 plan to convert the North Canaan Elementary School heating system. While the latter won’t be a budget appropriation, the necessary loan will bring annual interest payments.

Finance members will discuss the heating conversion project at their April 11 meeting, in addition to preparing their budget recommendations. Residents and other taxpayers will have a chance to comment on the proposed spending at a public hearing set for April 25.Managing town’s expansion costs

The selectmen are proposing a $237,000, 10 percent increase.

Of that, $130,000 goes into a capital improvements "savings" account.

An increasing population means more garbage, and higher costs to haul it away for processing, in addition to a $2 increase in the per ton fee. Sanitation is predicted to cost North Canaan an additional $40,000 next year, a 10 percent increase.

"We discussed raising the dump sticker fee, but when you do that, you just wind up picking stuff up off the side of the road, and that costs money, too," First Selectman Douglas Humes told The Journal.

Development also costs the town in the way of oversight. Planning and Zoning’s budget will nearly triple to $18,100 to cover the cost of zoning enforcement.

The town’s share of engineering costs for the Small Cities Block Grant Program (for a second $500,000 grant)adds $40,000 to next year’s budget.

A set-aside for fire equipment was raised from $30,000 to $75,000.

"With Canaan Fire Company’s operating costs going up, along with the cost of new fire trucks, there is no way they can meet the demand of a 10-year replacement cycle without a big increase," Humes said.

A plan to replace the town swimming pool begins with $15,000 put into a capital account each year.

An indoor pool was originally proposed as part of the proposed school expansion, but Humes said it is not likely to happen.

"We hope that with repairs and help from the town crew to make improvements, the current pool will last another 10 years. By then, we’ll have $150,000 to go toward a new pool or renovating the current one."Surplus from NCES

The local school budget proposal came in with a $102,050 increase, or 2.6 percent.

But unanticipated savings in salaries and benefits for teachers leaves a projected surplus in the current budget of more than $106,000. Principal Rosemary Keilty said the board expects to turn back $100,000 to the town’s general fund.

A projected surplus from regional education budgets amounts to about $22,000 for North Canaan. That will be deducted from the town’s April payment. However, the current regional budget proposal, with a 4.97 percent increase, means an additional $329,000 next year.

Notable local spending increases come in the way of staff pay, which will rise contractually by 4.99 percent, or a total of $117,954. On the other hand, health insurance is expected to decrease by around $55,000. Although premiums will rise, teachers will pay another .75 percent toward that cost, and staff needs are lighter.

Programs and purchased services will jump 44 percent. Added costs include more technical support for computer systems, fees for certified sports officials (as opposed to the current volunteers) and anticipated legal fees for teacher contract negotiations in the fall. Teacher course reimbursement were raised to half the cost for each credit hour as an incentive to attract and retain teachers.

Electricity costs are predicted to rise nearly 14 percent, bringing the total cost to $79,200. Heating oil and propane will actually decrease as the oil consortium comes off a peak year. The per gallon price for oil will drop from $2.27 to $2.05. At about 44,000 gallons in annual usage, the savings is only about $1,300, but at least it is going down.

Two budget vote dates are May 8, when the three Region One budgets go to referendum; and May 15, when North Canaan voters will be asked to consider the local budget at a town meeting.

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