AUBURN – Several city councilors cautioned the School Committee Wednesday that this year’s spending cannot raise property taxes.
The two groups met to review projected figures on revenue, spending, and what it could mean to property taxpayers when the city budget is passed this spring.
Based on current spending and projected revenue from the state and other sources, interim City Manager Laurie Smith said taxes would go up about 2 percent. “This forecast is an idea of what could happen,” Smith said. The actual amount could be higher or lower.
Councilor Ronald Potvin suggested the council give the school board a number on how much it could spend. That, he said, would prevent last year’s budget confusion and controversy.
And, Potvin said, the council has been elected “with a message to send. It has to start tonight.” Giving the school board a number would be “an opportunity for us to take a lot of mystery out of the budgeting.”
Potvin asked that the council direct the school committee to cut 3 percent (about $400,000) in money that comes from Auburn taxpayers, saying that money could be offset from increased state money.
This year, Auburn is expected to get more money from the state, despite school consolidation. School business manager Jude Cyr projected that Auburn should receive about $1 million more because the state is expected to fully fund 55 percent of education costs.
City Councilor Bruce Bickford echoed Potvin’s idea.
City Councilor Robert Hayes disagreed, saying coming up with a number would be arbitrary and premature.
Mayor John Jenkins told Potvin it would be premature in the first budget meeting “to do as you asked, to set a number. That’s not going to happen.” The budget needs further discussion so “due diligence” can be given to the pros and cons of cuts versus increases.
At least one councilor, Daniel Herrick, said allowing a 3.2 percent cost-of-living budget increase is not out of line in all departments, including the school department.
While the council did not agree on any number Wednesday, several, including the mayor, did agree that taxpayers would not accept any increase.
Besides a brewing recession, “everyone knows where the gas prices are, where the oil prices are,” said Councilor Ray Berube. “They’re taking collections in churches and other charities to be able to buy oil so people can stay warm this winter. People should take into consideration that now is the time to tighten the pocketbook. There can be no increase in the city or school committee (spending) this year.”
Budget referendum
Before the two groups talked about the budget, Auburn Superintendent Tom Morrill briefed officials on the school consolidation law, saying it could mean an aggressive budget schedule this winter and spring.
He proposed a public hearing on the school budget be held April 7, with school board and city council votes to follow April 16 and 28. The law now mandates all school budgets be approved by local referendums. An Auburn referendum on school spending could be scheduled for April 28, Morrill said.
If voters reject the budget, the process has to start over. If needed, a second referendum could be held June 2, Morrill said.
The superintendent also pointed out that a bill before the Legislature, if passed, would delay the referendum vote requirement by a year. But, he added, approval of the legislation would require a two-thirds super majority.
School Committee member Bonnie Hayes asked Morrill if skipping the referendum this year would save money. Morrill said yes. A referendum vote costs the city between $3,000 and $5,000, according to the interim city manager.
In other business Morrill and Cyr reported that the sale of Mt. Auburn Avenue property was proceeding, and that land and buildings would be returning to tax rolls. A special education program housed at the Mt. Auburn property, according to officials, needs to be moved to old Webster School, and money is needed to prepare that building for the special education students.
At that, Berube blasted officials, saying they wasted $45,000 of taxpayers’ money by going through a real estate agency. That wouldn’t have been necessary, Berube charged, if the city negotiated the sale. School officials disagreed with Berube’s account.
Jenkins ended the squabble, saying the council will act on a request to renovate Webster after it receives a fiscal note from the school board.
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