Friday, July 18, 2008
FY08 loose ends wrapped up
$100,000 tax abatement loss covered
Fund transfers approved by the Selectmen and Finance Committee (FinCom) last week allowed the town to cover department deficits and unanticipated expenses within the FY08 budget, including the case recently decided against the town by the state Tax Abatement Board.
The town collected $83,603 in rollback taxes in 2005 when land owned by the South Street Nominee Trust on Hobblebush Lane owned was taken out of Chapter 61 forestry classification. This designation allows property owners to pay reduced real estate tax while the land is used for forestry or agriculture. Under certain conditions roll-back taxes are due when the land is removed from the program. The trust appealed and the town has had to pay back the rollback taxes along with $16,641 in interest.
The Selectmen voted on July 8 to transfer unspent funds from the following departments to cover part of the past winter’s unusually large snow and ice expenses:
General Town Admin. $4,138.85
Planning Board $2,806.77
Town Administrator Madonna McKenzie said that the following night the FinCom concurred with the Selectmen’s vote and then voted the following Reserve Fund transfers:
DPW for snow & ice $3,693.80
Communications Dept. $20,769.68
Town Clerk $429.05
Memorial Day $179.11
Tax Title Foreclosure
legal fees $5,098.24
Earlier, officials had planned to use only money from the Reserve Fund to handle the snow and ice overage, but this method freed up more money in the Reserve Fund for the tax abatement case. These Reserve Fund transfers were made to cover the tax abatement case:
Short term interest $16,640.68
Allowance for 2005
According to McKenzie, the ending Reserve Fund balance of $19,140.04 will be applied toward Free Cash.
High School funds
In other financial affairs, the favorable results of the Concord-Carlisle Regional School District audit by Melanson Heath & Company P.C. were reported at the June 24 Regional School Committee meeting. Auditor Matt Angell said the balance and income sheets were stable and noted $895,583 of unreserved funds in the Excess and Deficiency (E & D) Account. Angell said, “This is just under 5% of your expenditures, it’s a healthy number. It shows stability from year to year.” ∆
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