Friday, March 5, 1999
FinCom presents long-term debt options
Before updating the selectmen on the status of the FY00 budget, the finance committee presented three alternative scenarios for bonding the town's long-term debt. Between the most and least aggressive approaches there was a difference of approximately $200,000 in total debt, which would translate into a difference in tax rate of approximately 28 cents per thousand in assessed value. This is on top of a 30-cent increase over FY99 and does not include the cost of bonding a new library.
Costs associated with financing long-term debt are not subject to the Proposition 2-1/2 levy limit. Nevertheless, the selectmen were concerned that with the possibility of a significant operating budget override, taxes will jump quite high in the next few fiscal years if the most aggressive long-term debt bonding approach is taken.
No decision was made on which approach to take until the amount of the budget override request is known with more certainty. Selectmen instructed the FinCom to attempt to tighten the budget numbers before making a final presentation.
© 1999 The Carlisle Mosquito