Manchester aldermen voted 5:1 to approve the proposed 2013 city budget Monday night. However, Alderman Paul Hamill voted against approving the budget.
"I think the revenue projections are too high," Hamill tells Patch. He referred to them increasing $400,000 in 2013, from 2012. "If we're wrong on these revenue numbers, then we really have a problem."
As previously reported by Patch,
Tuberty said the city calculated that there would be projected revenue of all funds combined of $18 million with projected expenditures of $17.6 million for the overall 2013 budget. The general fund, or the city's operating fund, is estimated at $9,223,000 in revenues. Expenditures are estimated at $8,972,964. The largest expenditure in the general fund is staff related expenses, including salaries and benefits.
After Monday's vote, Tubery said in regard to the revenue projections, there is always that concern, but he is comfortable with the 2013 budget numbers.
"I share that same worry, but we have to move forward, we have to have a budget," Tuberty said. "If it becomes clear that we're not goint to get there, then we will take steps."
Excess of revenue over expenditure is expected to be $426,859. The city's total fund balance is expected to be $16.5 million at the end of 2013.
The city will spend $1,417,000 on trash hauling, it's greatest single expense, plus a projected $1.8 million on capital projects, $1.4 million on park and stormwater projects and $224,000 on sewer repair.
"I think the other issue is that we are really narrowing down our safety net here with our restricted amounts," Hamill added. He said he is concerned how that will impact capital projects long term.
Hamill also later stated in an email to Patch another concern and reason for his "no" vote Monday night.
"The 2013 projected revenues for the general fund will not cover the projected expenses and required transfers out of the general fund. As a result, for the general fund, we will have to dip into the reserves to cover the expenses and required transfers for 2013," the email stated. "I believe we are approximately $35,000 - $40,000 in the red for the general fund for 2013 with, what I think, may be aspirational revenue numbers."
"I don't believe there's any reason for extraordinary concern. We wil continue operating the best way we know how and I think we've been doing it for a very long time," Tubery said of the budget overall Monday night.
City staff is not receiving raises in 2013.
The general fund balance is estimated to be $2.3 million for FY 2013.
The budget should be available shortly on the city website, Manchestermo.gov. Just click on the Document & Form Center on the left side of the page.
For more details on Monday's meeting see the agenda and supporting documents included in the PDF portion of this article.
(Read Related Articles: Manchester Tackles 2013 City Budget)