More on the Surplus

We received the following anonymous comment on the surplus:

"So are you really saying we should spend it just because we have it? All these things you mention will cost a lot of money. We need a plan first. In the meantime, give us back the money."

We are reprinting it because there is a case for returning money to taxpayers since there is no capital improvement plan and no separate capital improvement line item in the budget. This "surplus" money is in the general fund, which means that the Select Board can spend it as they see fit without public approval. They can focus on short-term projects without considering the long-term consequences. For example, some of the money can be spent to buy speed bumps for Leavitt Hill Road instead of being put aside to repair Leavitt Hill Road or the other roads in town that are in poor condition.

Perhaps a better example is the purchase of attachments for the new sidewalk plow. The voters approved the warrant article for $130,000 for the purchase of a sidewalk plow. The plow actually cost approximately $120,000. The Select Board then approved the purchase of attachments for about $6,000 even though the warrant article did not specify the purchase of attachments. The Board claimed that they saved the town money when, if fact, they cost the town an additional $6,000.

The fact is, the town did not have $130,000 for the plow to begin with. That money has to come from existing funds, revenues, loans, and/or taxes. If the town had had a capital reserve fund, it could have planned for the purchase of the plow over a longer period of time. This would have lessened the financial impact on tax payers. It would have also made it much easier for voters to approve the warrant article in the first place. As it was, we had no idea what the financial impact of the sidewalk plow would be, and we still don't because we don't know how it was paid for.

If the town had a capital replacement plan, the purchase of the plow would have been planned for and prioritized along with other long term capital items. Was the purchase of the plow more important than repairing Thompson Street, fixing the Fire House, replacing the fork lift at the transfer station? Did we take into consideration other critical long term needs like replacing the old equipment at the Water and Sewer? We will never know because there is no plan. We will also never know what buying the plow instead of addressing other important needs actually cost us. Delaying repairing a road, for example, can increase the cost of the repair substantially if put off too long.

The anonymous comment has merit. Poor planning and budgeting costs us money. We would hope that the Select Board would develop a capital replacement plan and establish a capital reserve fund. If that does not happen, it may very well be time to ask for our money back.