Politics & Government
Mayor Dickinson Vetoes Budget Approved By Wallingford Town Council
Wallingford Mayor William Dickinson vetoed the council's budget that carried a slight tax increase, but reduced the proposed tax increase.
WALLINGFORD, CT — For the fourth straight year, Wallingford Mayor William Dickinson Jr. has vetoed the budget adopted by the Town Council.
The Town Council recently approved a budget, by a 6-3 vote, that carries a slight tax increase, but reduced the increase proposed by Dickinson in his budget, according to the Record-Journal.
The council’s approved budget would increase the tax rate by 0.3 of a mill, compared to Dickinson’s proposed increase of .83 mills, the Record-Journal previously reported.
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Dickinson recently notified the council in a letter that he was vetoing the budget.
Dickinson cited the council’s increase of reserve funds and use of ARPA money as reasons for the veto.
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“For programs and services to be available, it is necessary to raise revenue,” Dickinson wrote in his letter to the council. “A key element in the revenue is the local tax on citizens and businesses. The proposed budget requires an increase in the tax rate of .83 mills. Our current tax rate of 29.04 (the product of using consistent principles of financial planning) is the lowest of municipalities in our area even though we offer more services than some of our neighbors.
“The Town Council has reduced the proposed increase in the tax rate by .30 mills. This is not achieved by reducing expenditures, but by increasing reliance upon reserves and the one-time ARPA money. The use of audited fund balance increases from $6.4 million to $7.9 million. If the Town does not have $7.9 million in fund balance next year, it will have to replace the deficit with new taxes. The increased use of audited fund balance requires increased money to fund the Credit Reserve, which supports our Credit Rating. Currently, the Credit Reserve totals $17.5 million. We will need an additional $1.1 million to maintain a Credit Reserve of $18.6 million. Reliance upon ARPA funding is also increased by the Town Council action. From the proposed budget of $1.5 million suggested use of ARPA, the Town Council suggests an additional $1.1 million. The $1.1 million of capital will return as new capital expenditure requests in a subsequent year. Without significant new revenues unknown at this time, the adopted budget assures us of an increase of at least $3.7 million next year.
“This is not a time to so seriously depart from the sound budgeting principles that have brought us success.”
The council will hold a special meeting Wednesday in response to Dickinson’s veto. The meeting will be held at 6:30 p.m. in the Robert F. Parisi Council Chambers at Town Hall.
The council could override Dickinson’s veto with seven votes, which it did in two of the past three years.
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