Board of Selectmen Ponder Projected $2.1 Million Budget Deficit

The Wrentham Board of Selectmen talked about ways to cut down a projected $2.1 million deficit for the proposed fiscal year 2012 budget.

The town received the news recently that the budget, as presented constituted, would outpace revenue.

Finance Committee Chairman Jerry McGovern said the area school systems accounted for the majority of the projected deficit.

"Of the $2.1 million deficit, $1.9 million is above level funding to schools," he said.

McGovern said, if the schools were to be level-funded, the town would be facing a much smaller shortfall.

Finance Committee member Charles Kennedy, though, said the schools' spending was not outlandish.

"Out of schools in the state, King Philip ranked 193rd [in terms of money spent per pupil]," he said. "Wrentham Elementary ranked 323nd."

McGovern said the town's stabilization fund is at $1.8 million.

"That's about 5.5 percent of our operating budget," he said. "A 5.0 is needed to maintain our bond rating. We like to keep it a 5.5, so we have a little flexibility in case an emergency comes up."

He said the town hadn't contributed to the fund in six years.

"Prior to that, we were putting in $50,000 every year," he said. "That got us in pretty good health. We've had two withdrawals since then."

Town Administrator William Ketcham said the town used free cash last year to supplement the budget, and substantially less would be available for the FY2012 budget.

"Mr. McGovern mentioned that very likely, by the time we're done with the snow and ice, [free cash] will be down to $300,000," he said.

He said the economic downturn has also led to revenue issues.

"Wrentham, for many years, has been able to fund its budget based on new growth," he said. "The new growth this year does not make up for the amount of free cash spent last year."

Ketcham suggested a number of possible solutions, including using debt exclusion. Such a measure, he said, would require voter approval.

Town Clerk Carol Mollica, though, said the deadline for placing items on the April ballot was Feb. 28.