After a lengthy discussion about the proposed spending plan for fiscal year 2019, the Board of Selectmen has approved budget parameters established by town financial officials that call for a 2 percent increase in personnel salaries and no increase in general fund expenditures.
LUDLOW -- After a lengthy discussion about the proposed spending plan for fiscal year 2019, the Board of Selectmen has approved budget parameters established by town financial officials that reflect a contractually obligated 2 percent increase in salaries and no increase in general fund expenditures.
The fiscal 2019 budget isn't expected to change much from the $66.3 million fiscal 2018 budget approved at town meeting in May 2017. The proposal represents less than a 1 percent increase over the current general fund budget and a 1.5 percent increase in the school budget, according to Town Accountant Kimberly Collins, who said the goal is to minimize the use of free cash.
"The effort is to lessen our reliance on free cash as a budgeting source of funds," she told selectmen during a recent discussion on setting budget parameters.
As town officials prepare to finalize the plan, awaiting state and insurance numbers, this year's budget-making process has been tweaked a bit, according to Town Administrator Ellie Villano.
"We are, for the first time ever, preparing the budget for the departments and handing them the budget based on what the parameters are," she said during the discussion. "They then have to put their budget into the system, review it, make the changes that they feel are necessary, and go in front of the Finance Committee to justify any changes that need to be made to their budget."
In essence, it comes down to giving department heads a sense of "where we think their budgets should be," Villano said, adding that the town has been "cutting back as much as we can."
That includes "taking a hard stance on no new positions, no changes, no increases, no extraordinary expenses unless it's of an emergent nature," she said.
Funded positions that become vacant will be filled, but otherwise the town will not be hiring any new employees, according to finance officials.
Selectman Brian M. Mannix, known for being a fiscal watchdog, said he believes the town is "going in a terrible direction" and needs to learn how to do more with less.
"We need to tighten things up. We need to change things. We may need not to do so many things at one time," he said.
Maureen K. Downing, chairwoman of the Ludlow Finance Committee, defended the spending plan, calling it a "lean and tight" budget that creates parameters to avoid cutting labor costs.
"I think this is a fair and moderate budget," Downing said. "It is doable. I truly believe that anything less than this, we are looking at layoffs."