To: Residents of South Thomaston

Fr: South Thomaston Selectboard

Subj: FY2019 Financial Update

Date: August 18, 2019

The following is a recap of the discussion on our year to date financial conducted at the August 13, 2019 Selectboard Meeting:

Tax Bills: Tax bills have been sent to all property owners reflecting the new “mil rate” of $14.00 per thousand of valuation.

 

Revenues:

Ambulance billings are on track to exceed the budget/forecast of $45,000.

Auto Excise revenue is basically on plan but is a watch item with risk of a shortfall in November/December.

All other revenues are on track or any shortfalls are immaterial.

 

Expenses:

There are some major watch items in the expanse budget:

Recent repairs to the ambulance have cost $5155.94, well over the budget of $2400. We believe at this time that this overage will be offset by the additional revenues the ambulance service has brought it. Our vehicle is of a type and generation that Ford has discontinued primarily due to higher than expected repairs and lower than expected useful life. A rather serious failure occurred on Friday, August 16 and the Board and Ambulance Directors will meet this coming week to determine if a replacement request must be made on an accelerated basis. Such a replacement will come over a year earlier than projected and will be funded partially by the Ambulance Reserve and partially by some mix of surplus and/or borrowing. The Ambulance Reserve is currently at $56,633 and it will top out in early October at $67,300.

We have overspent the computer/network tech support budget as we missed accounting for some installation charges at budget time. We are confident that tech support and one or two smaller items in the Administration budget will be covered by under spending in other categories.

All other Departments and their budgets are on, or under year to date anticipated spending levels.

 

Next Actions on the Financial Front:

In the first week of October we will have 9 months of revenue and spending and the bulk of tax receipts. At that time, we will fund the Reserve Accounts with the $138,723 authorized at Town Meeting.

I plan on issuing a report similar to this each quarter. I welcome your comments and suggestions at [email protected]

 

Sincerely,

Walter Reitz, Chair

Cheryl Waterman, Member

Jan Gaudio, Member