Proposed FY 2016 BudgetTown of Lisbon

Presentation to Board of SelectmenOctober 7, 2015

Direction of Selectboard

Maintain service levels

Zero Dollar increase in Town Budget from 2015 levels

Allowance for 3% Cost of Living Adjustment (COLA)

Summary of ChangesAddition of Town Administrator Position (FT/PT)

Eliminating one PT position in Transfer Station

Eliminating the Finance Administrator PT Position

Adding $50,000 to Capital Reserve Accounts

No Ambulance figures in current budget – Will be warrant Article for 2016 Town Meeting, but range of costs is too varying to include in Budget ($25k used to $125k+ new) – Will have to be added prior to Town Meeting.

3% Cost of Living Adjustment for all Town Employees

Double-Budgeting of Highway Dept. Labor in all Depts. eliminated and Water/WW amounts associated with Town lines are now deducted from those lines (Town Services Fee) Savings: approx. $57k

Overall reduction in Town Operations of approx. 7.9% (-$165,617)

Increase in Charitable requests and Capital Reserve Accounts (+$32,367.38)

Reduction in Water and Wastewater budgets of approx. 17% (-$82,861)

Overall Town Budget down approx. 8.2% (-215,710)

Town portion of Tax Rate to fall approx. $1.54 to projected $11.72 (Current rate is $11.94, but this rate is from FY ‘14 – actual current rate is estimated to rise to $13.26 when tax rate is set in Nov./Dec.)

Undetermined for FY 2016 BudgetHealth Insurance at FY ’15 levels (Rates not released yet).

Health Insurance Buyout Program not in effect, yet.

State Revenues at FY ‘15 levels (State Budget Not approved yet).

Property and Liability Insurance at FY ’15 levels (PLT in court case – not able to issue new policies as yet).

All charitable requests have not been received yet.

Local Education, State Education and County portions are not set yet.

How is the Tax Rate Set?

Total expenses from Town, Local Education, State School Education and County added together.

Revenues from Town, State, Grants, etc. reduces Town side.

Total Budget amount divided by Taxable Valuation of the Town, multiplied by 1,000 equals the Total Tax Rate:

Formula – Town Tax RateTotal Town Budget

(Expenditures) - Revenues

Total Town Assessed Valuation

X 1,000 (.000) = Mill Rate

$2,004,775 – $752,581 = $1,252,194$106,831,648

= 0.011721189 X 1,000 = $11.72

Average Tax Rate Breakdowns

With $106,831,648 Town Wide Valuation:

$10 on Tax Rate = $1,068,316

$1 on Tax Rate = $106,831

$0.10 on Tax Rate = $10,683

$0.01 on Tax Rate = $1,068

$1,252,191 to be raised from taxation (Town Portion of Tax Commitment) = $11.72

Summary of Budget as Proposed

Town Operations (Not Incl. Water/WW)Budget of $2.004 Million

Total Town Budget (W/Water/WW)of $2.418 Million

Town wide Taxable Valuation of $106,831,648 Million

Estimated tax rate of $11.72 (down from $13.26, or $1.54 from FY 2015)

Tax Rates are set in Nov. of that FY (FY 2015 being set in Nov. of 2015, FY 2016 will be set in Nov. of 2016)

Municipal Budget SummaryExecutive: $ 109,269.00 (+89.04%)Town Clerk: $ 69137.00 ( +7.44%)Financial Admin: $ 63,909.00 ( -31.90%)Revaluation of Property: $ 26,850.00 (+91.79%)Legal Expense: $ 15,000.00 ( -15.49%)Personnel Admin.: $ 6,130.00 ( 0.00%)Planning and Zoning: $ 2,340.00 ( -23.38%)Cemeteries: $ 13,500.00 ( -6.90%)Insurance: $ 53,500.00 (-18.94%)Advertising and Regional Assoc.: $ 2,702.00 ( 0.00%)Other General Gov’t.: $ 0.00 ( 0.00%)Police: $ 353,743.00 ( -1.10%)Fire: $ 70,436.00 ( -3.58%)Life Squad: $ 44,940.00 ( -6.84%)Building Inspection: $ 10,100 ( -0.98%) Emergency Management: $ 500.00 ( 0.00%)Dispatch: $ 49,135.00 (+11.47%)Highways and Streets: $ 361,569.00 (-11.93%)Street Lighting: $ 20,000.00 ( 0.00%)Highway Block Grant: $ 86,000.00 (+9.91%)Transfer Station: $ 179,061.00 (-20.06%)Welfare: $ 25,806.00 ( 0.00%)Culture and Recreation: $ 15,251.00 ( 0.00%)Library: $ 59,121.00 (+1.96%)Patriotic Purposes: $ 1,000.00 (-9.09%)Debt Service: $ 54,384.00 (-1.04%)Land and Improvements: $ 150,000.00 ( 0.00%)Machinery and Vehicles: $ 35,000.00 (+99.99%)Health Agencies: $ 27,702.38 ( +9.34%)Capital Reserve Funds: $ 50,000.00 ( +150.00%)

Total Town Operations Budget: $ 2,004,775.38 ( -6.23%)

Water Dept. (User Fee Funded): $ 169,223.00 ( -27.73%)Wastewater Dept. (User Fee Funded): $ 244,919.00 ( -6.68%)

Total Municipal Budget: $2,418,917.38 (-8.19%)

Town Budget SummaryExecutive

5%Town Clerk

3%Financial Admin.

3%

Revaluation of Property1%

Legal Expense1%

General Government Buildings2%

Insurance2%

Police15%

Fire3%

Life Squad2%

Other Public Safety - Dispatch2%

Highways and Streets 15%

Street Lighting1%

Highway Block Grant 4%

Solid Waste Disposal7%

Welfare: Direct Assist. and CAP1%

Parks and Rec.1%

Library2%

Debt Service2%

Land and Improvements6%

Machinery and Vehicles1%

Health Agencies 1%

Town Capital Reserve Funds2%

Water Dept. (User Fee Funded)7%

Wastewater Dept. (User Fee Funded)10%

From Taxation, By Departments

Executive6%

Town Clerk4%

Financial Admin.3%

General Government Buildings3%

Insurance3%

Police19%

Fire4%

Life Squad2%

Other Public Safety - Dispatch3%

Highways and Streets 20%

Highway Block Grant 5%

Solid Waste Disposal10%

Library3%

Debt Service3%

Land and Improvements8%

Machinery and Vehicles2%

Town Capital Reserve Funds3%

Budget Details in Excel Pages of Budget Document

Town Budget History2000-2015

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 $-

$500,000.00

$1,000,000.00

$1,500,000.00

$2,000,000.00

$2,500,000.00

$3,000,000.00

$1,882,851.00

$1,770,249.00

$1,787,461.00

$1,924,972.00

$2,313,806.00

$2,012,582.00

$2,305,697.00

$2,333,649.00

$2,553,716.50

$2,436,361.00

$2,459,180.00

$2,832,669.66

$2,800,542.00

$2,542,693.00

$2,405,378.00

$2,634,628.00

$2,409,550.00

Tax Rate History in Lisbon2000-2015

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 $-

$5.00

$10.00

$15.00

$20.00

$25.00

$30.00

$35.00

$29.99 $29.99 $29.99 $29.50

$31.00

$22.51

$25.86 $26.19 $27.28

$28.61 $28.61 $28.68

$32.41

$30.43 $30.40 $30.43

Tax Rates - 2000-2015

Impact on Average Homeowner• Average Home Value in Lisbon: $150,000

• Tax Bill in 2014 at $11.94 rate = $1,791.00

• Tax Bill w/ Projected Town Tax Rate in 2015 ($13.26): $1,989.00 (+$198/yr. or $16.50/mo.)

• Tax Bill in 2016 at proposed rate of $11.72 = $1,758.00

• Difference of $33/yr. or $2.75/mo. from 2014

• (Difference of $231/yr. or $19.25/mo. From 2015)

Next Steps:Board of Selectmen to determine when they will review budget and when to send to Advisory Budget Committee.Advisory Budget Committee reviews budget, inquires of Dept. Heads and Town Administrator for info, formulates their budget recommendations – Dec./Jan. 2015/2016.Once BOS and ABC have recommendations, Selectmen schedule Public Hearing on Budget by February 12th, 2016.Once Public Hearing held, BOS approves Budget to be placed on Town Warrant by February 22nd, 2016.Warrant is printed up with Annual Report by March 1st, 2016 (At least 7 days before Town Meeting).Town Meeting (March 8th) – Budget is voted on and approved by residents. New Fiscal Year Begins January 1st, 2016.

FY 2016 Budget Availability

Hard copies and electronic copies will be sent to Advisory Budget Committee at Selectmen’s direction.Hard copies already distributed to Department Heads.Full budget with Executive Summary, etc. will be available for viewing/download on Town web site: www.lisbonnh.orgHard copies for public available at Town Offices

Questions ???

Dan Merhalski, Town Administrator(603) 838-6376,m ext. 12

lisbonnhadmin@ne.twcbc.com