Ridgefield Finance Board Weighs Revenue Assumptions, Defers Key Budget Votes

RIDGEFIELD, CT — The Board of Finance on March 26 continued its review of revenue assumptions and budget projections, opting to delay formal votes until next week while refining key estimates that will shape the town’s fiscal 2026-27 budget.

Chairman Mike Rettger said the board plans to vote on revenue items Monday, followed by decisions on operating and capital budgets Tuesday.

“We’re not going to do motions tonight,” he said, adding that members would “sleep on [the numbers] for a few nights” before taking action.

Conservative approach to revenue projections

Board members indicated a preference for maintaining conservative assumptions, particularly for the tax collection rate, which is currently set just under 99 percent.

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“We want to be accurate, but we don’t want to be overly aggressive,” Rettger said, noting that even a small change in the rate can significantly affect revenue.

The board also reviewed updated projections for investment income, which have increased due to higher-than-expected interest rates. Officials estimated current-year investment income could exceed budget by roughly $100,000 to $115,000.

Members cautioned, however, that the category remains volatile.

“I’m scared about the potential downside on this number,” Rettger said, warning that overestimating revenue could require budget cuts later.

Surplus estimate takes shape

Combining higher revenue projections with expense savings, officials discussed a preliminary year-end surplus estimate of about $1.45 million.

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That figure includes approximately $275,000 in projected savings from the Board of Education budget, based on a midpoint estimate within a previously provided range.

Members agreed a midpoint estimate was more appropriate than using the most conservative figure.

“If we’re going to take estimates, I would go with the midpoint,” member Joseph Shapiro said.

Even at that level, the projected surplus would be smaller than in recent years, according to the discussion.

Review of non-tax revenues

Finance officials said projected “other revenues” — excluding taxes and investment income — total roughly $15 million, representing about a 2.5 percent year-over-year increase.

Ridgefield's finance director Kevin Redmond said estimates were developed with department input and reviewed by a revenue committee.

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“They’re all very much in line with where we’re projecting current year,” Rettger said, noting no major increases are anticipated.

Some uncertainty remains, including a potential reduction tied to a dispute involving a telecommunications lease and variability in housing authority payments.

Senior tax credit expansion questioned

The board also examined the fiscal impact of a proposed expansion of the town’s senior tax relief program, which would add an income-based credit.

Members removed a previously assumed $100,000 impact from the upcoming fiscal year budget after questioning whether the program could be implemented in time.

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“It sounds like this won’t be a thing until fiscal 2028,” member Andrew Okrongly said during the discussion.

Tax Assessor Al Garzi said administering the program would require additional documentation and staff time, raising concerns about timing.

“The best way to do this… is to make it July 2027 to 2028,” he said.

Board members said they will seek further clarification before making a final decision.

Fund balance debate continues

The board also began discussing how much of the town’s fund balance to use to offset taxes, with preliminary estimates suggesting between $1 million and $1.45 million could be applied.

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Some members cautioned against overreliance on fund balance, warning it could create future budget pressures.

“The more you increase your use of fund balance, the harder it is the next year to get off the treadmill,” Rettger said.

Officials also noted anticipated increases in debt service next year could add to those challenges.

Next steps

The board will continue its deliberations Monday, when members are expected to vote on revenue assumptions and finalize inputs for the budget model.

Decisions on capital spending, fund balance use and final budget recommendations are expected Tuesday.