FY 24-25 Tolland Town Budget

On March 13th, the Tolland Town Manager submitted his proposed budget to the Town Council. I want to thank the Town Manager, the Finance Director, and the town staff for all the hard work that goes into creating this budget. I am also incredibly grateful for the time and effort that the elected officials on the Board of Education and the superintendent put into their budget.

There were concerns raised during a recent Town Council meeting that highlight the divisiveness of the budget process. There have been unkind messages leveled at individuals of all political beliefs, none of us are immune. I truly believe that everyone on the Town Council is doing what they believe is in the best interests of the town. We are united in that we all volunteer our time because we love Tolland. There will be times, such as during budget season, where we will not agree on what is the best way to serve our town. I do not support personal attacks on elected officials but respectful disagreement on policy is always appropriate. Although I understand the frustration elected officials face when confronted with criticism, it is critical that, as elected officials, we remember that the budget process is not about us. It is about the residents of this town. I am also mindful that the town budget has real world impacts on our amazing town staff, teachers, and their families.

I ran on a platform of doing what is best for all of Tolland and on the importance of working together to achieve that goal. In the spirit of bipartisanship, I encourage all members of the Council to support the Town Manager’s proposed budget, which includes the Board of Education budget advocated for by the Republicans on the Board. The town budget includes funding for all town departments. However, because the Board of Education's budget represents around 70% of the total town budget, and because 72% of Tolland households are families, it rightly receives a lot of attention this time of year.

I understand that for some of my fellow Councilors, the budget passed by the Board of Education may not be as high as we wanted. Indeed, our Democratic colleagues on the Board fought tirelessly for additional funding to reduce any losses to staff or programs. But the Republican controlled Board of Education took into consideration the financial realities facing many residents while also acknowledging the need to address years of underfunding. Even the Democrats on the Board stated in our joint meeting that they will support the education budget as passed, while emphasizing their desire to alleviate any position and program losses.

I understand too that other Councilors may find the Board of Education budget higher than what you would like. Many are rightly attentive to the financial realities facing our low-income residents. Mindful that the median household income in Tolland is over $121,000, the Board of Education budget is what your Republican colleagues on the Board felt was necessary to sustain our schools. The result, in my view, is a bipartisan compromise balancing the needs of our schools and the financial realities of our residents.

We must acknowledge that our schools have been underfunded for years. This is not the fault of any single person or party. But it is a reality that we must face. The numbers don’t lie. Since 2013, Tolland has consistently lagged behind comparable districts in school funding. Four of those years resulted in an increase to Board of Education funding of less than 1% (one year at 0.0%). Indeed, Tolland's average education budget increase over the last eleven years has been 1.7%. Every comparable district has been at least 2% and as high as 4.41%. An average increase of 1.7% over the last decade does not even keep up with inflation. Tolland is also in the lowest quartile for per pupil expenditure. The Board of Education never starts from a level services budget. This year alone the proposed budget could result in the elimination of 6 positions and the reduction of 19 programs. This path is not sustainable if we value Tolland's future.

At the same time, no one wants their taxes to go up. But the goals of no tax increase and topnotch town services are in tension. Unfortunately, Tolland’s tax base is largely residential and impacts of the budget are born most heavily by our residents.

In the long term, we as a town need to find ways to diversify our tax base by encouraging the development of new appropriately zoned businesses, while maintaining the historic charm we all love about our town. There are positive commercial developments on the horizon, from the Santini apartments to the Starbucks to the cannabis retailer, all of which will generate revenue for the town.

In the long term, we must find other ways to maintain high quality services while minimizing the tax impact to the residents of this town. This can be done by expanding on the tax relief program this town offers to seniors and to create a tax relief program to help our most financially constrained residents. We can also do this by developing, and sticking to, a long-term financial plan. The town does this and the Board of Education has begun the process of creating a five-year budget plan. Creating predictability in the budget allows all town departments to plan and provide consistent services.

In the short term, we must try to ease the financial strain on our residents by taking advantage of the incredibly strong state of our town's finances. We are fortunate to have a Finance Director who, with the leadership of the Town Manager, has wisely invested town funds and protected our town finances. As a result, Tolland has—and must maintain—a AAA bond rating. But as I mentioned during the Town Council’s goal setting meeting, having a AAA bond rating is not a goal in-and-of-itself. That goal must be in service to the larger goal of helping our residents and community.

The town's general fund balance—specifically the Municipal Tax Stabilization Fund and the Unassigned Fund Balance—may provide an avenue to ease the tax burden on our residents. As of June 30, 2023, the Unassigned Fund balance was over $11 million, which is over $1.2 million above what is required by policy. Let’s tap into some of these funds to offset the tax impact on our residents by using this money for nonrecurring expenses. To be clear, the Town Council has an obligation to be responsible with these funds, but we also have an obligation to use portions of these funds to help our town maintain high quality services.

My goal over the coming weeks is to explore ways of passing the Town Manager’s proposed budget in full, while lowering the mill rate increase for our residents. I implore my fellow Councilors who may disagree with this approach to come to the table with solutions, not merely problems, that consider the town's long-term health. Now is the time to make difficult decisions to ensure our town is successful for generations to come.

Ultimately, Tolland residents will decide on the appropriate town budget. I encourage all residents to get out and vote during the budget referendum on May 7th. In the meantime, come to budget meetings and let your elected officials know what is important to you in a budget. The Council has heard from residents who support fully funding our schools and from residents expressing concerns over rising mill rates. Both points are valid. Regardless of your position, when you reach out, I can assure you, I am listening.