Signal Mountain residents will not pay higher taxes and fees this year. On paper, not in reality, the town will show nearly $1 million in additional spending for the 2010-2011 fiscal year than was budgeted last year.
Three new line items are responsible for the hike; the rest of the budget is approximately 2 percent under the 2010 projected ending amount. Fiscal budgets run from July 1-June 30.
Enacting a vehicle replacement plan, which “will help ensure a much smoother budget in the future,” according to Town Manager Honna Rogers, is the main difference. It is a $600,000 expense this first year, for which the town is taking out a bond. Approximately $228,000 will be budgeted in each following year to allow for routine replacement of town vehicles and equipment.
A $162,000 American Recovery and Reinvestment Act grant to update MACC’s heating system is also skewing numbers, as is the transfer of a $28,000 certificate of deposit earmarked for a new fire hall, Rogers said.
The budget as it was approved unanimously on first reading June 14 is balanced at $6,116,806. Residents are invited to ask questions and comment before its final vote June 28 at 9 a.m. at Town Hall.
According to Rogers, fiscal 2010 will end with $1,388,100 in additional revenue over what was budgeted. Although several departments did not spend their budgeted amounts, she said the primary reason for this is the “gift” of MACC to the town, which added an asset valued at $1,414,000.