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REGULAR SESSION
MARCH 21, 2011
At a REGULAR SESSION of the Town Council of the Town of South Kingstown, County of Washington, in the State of Rhode Island, held at the Town Hall, in and for said Town on the 21st day of March 2011 at 5:16 PM.
PRESENT: Ella M. Whaley, President
Mary S. Eddy
Kathleen A. Fogarty
James W. O’Neill
The Pledge of Allegiance to the flag is given.
Roll Call is taken and three members are present. Council Vice President McEntee and Councilman O’Neill are absent.
Council President Whaley notes that Mrs. McEntee is absent due to a death in her family.
A. The Town Council considers a resolution to adopt the FY2011-2012 Town Council Preliminary Budget.
Click for Town Manager memorandum relative to the Preliminary FY2011-2012 Property Tax Levy Program
Town Manager Stephen Alfred presents an overview of the proposed budget program and reviews the budget hearings schedule for adoption of the Final Budget on April 25, 2011.
Mr. Alfred discusses the property tax roll estimate which has been revised from that in the Town Manager’s Proposed Budget. There are major reductions in the tangible property holdings with several of our industrial taxpayers. The most notable is a $15.6 million projected reduction in the value of American Power Conversion Corp.’s tangible holdings in Town. APCC will continue to be the Town’s largest taxpayer, however manufacturing activities and the associated equipment needed for the operation of that function have been relocated outside of that facility. In addition, research and development functions have been moved out of state.
Additional reductions are also anticipated in CoxCom holdings in Town, estimated to be down by over a million dollars. We’re seeing about a $17 million reduction from what tax roll increases have been in past years. The overall tax roll increases will be approximately $2.8 million, or .07%. Other tangible and leased equipment values are down in the commercial segment of the community, projected at about $775,000.
The projected tax rate increase has been revised from $.07 to $.12. This is predicated on the value of the motor vehicles staying the same as last year. If that value changes, there could be a difference of as much as $.15.
The overall increase in the tax levy has not changed from the Town Manager’s Proposed Budget at $621,258, or a .95 percent increase. The Revenue and Expenditure Statements have not changed, nor the property tax, other than where the dollars are coming from to support the tax levy.
The Town Manager reviews the FY2011-2012 Recommended Budget Program. The projected tax rate, based on the update of the tax roll values, is $14.31.
Councilwoman Eddy questions why CoxCom has such a reduction in tangible property values over a million dollars.
Mr. Alfred responds that their report was just filed for the March 15th deadline, and we haven’t yet compared the report with last year’s, but it is potentially due to depreciation in equipment values.
Councilman O’Neill arrives at 5:35 PM.
Council President Whaley invites questions from the audience, but there are none.
Councilwoman Fogarty makes a motion to adopt the FY2011-2012 Town Council Preliminary Budget.
Councilwoman Eddy seconds the motion.
Councilman O’Neill comments that he has a number of concerns, and will not be supporting the Preliminary Budget.
A vote is taken, and it is
VOTED: to adopt the FY2011-2012 Town Council Preliminary Budget as presented, as shown as follows.
Councilman O’Neill votes no.
Councilman O’Neill comments on funding for the Human Services agencies, the number of police officers, the School Department’s budget request, the motor vehicle exemption, and holiday sales licenses.
Further discussion ensues, and it is
UNANIMOUSLY VOTED: to adjourn at 5:45 PM.
Susan M. Flynn, CMC
Deputy Town Clerk