Budget panel passes $9 million budget

By Elna Seabrooks
Staff Writer
    HOULTON — With no real sticking points to drag out the process, the Board of Budget Review agreed at their Dec. 13 meeting to send their proposed budget of $9,078,811 to the Houlton Town Council.
    The proposed budget maintains services while reducing the bottom line to taxpayers thanks, in part, to revenue from state-approved Tax Increment Financing (TIF), one less payroll period in the calendar year, elimination of a part-time position in the assessor’s office and savings in several departments.
    According to Town Manager Doug Hazlett, by drawing down $145,200 in TIF revenues, the town can offset bottom line costs. TIF policies permit Houlton and other municipalities to offset certain expenses with tax revenues derived from economic development initiatives. For example, taxes collected from the developer on the new senior citizen housing complex in Market Square go into the TIF account to help offset budget expenses.
     The municipal budget also realized another cost saving measure thanks to a reduction of $23,015 in insurance premiums resulting from a competitive bidding process. Glatfelter Insurance through F.A. Peabody will provide Houlton’s municipal insurance coverage.
    At their final meeting on the 2011 budget, the Board of Budget Review members agreed on the following five budget increases: $2,000 for preservation of administrative and town records, $500 for tree maintenance, $2,129 for arena repairs and $500 for the Aroostook County Historical and Art Museum.
    The budget panel also approved a one-time grant of $1,500 to Vital Pathways. The organization operates with a volunteer staff and occasionally acts as a conduit for grant money benefiting the town and the community as a whole.
    The Town Council will vote on the proposed budget at its Jan. 3, 2011 meeting, 6:30 p.m. in Council Chambers at 21 Water St.