2007 Annual Report - Town of Wilton

Fiscal Year Ended June 30, 2007The June 30, 2007, audit shows a totalending undesignated and unreserved generalfund balance of $13.9 million. Actual Fiscal2007 revenues were $2.4 million more thanbudgeted, while expenditures were $3.0 millionunder the budget. The combined effect was afavorable variance of $5.4 million.It should be noted that budget-to-actualvariances in grant revenue and the Boardof Education’s expenditures were to someextent the result of statutory accountingrequirements for the Excess Cost SpecialEducation grant. In Fiscal 2007, the totalgrant was $1,659,370 of which $741,080was treated as a reduction of Board ofEducation expenditures.The unreserved, undesignated generalfund balance was 13.8% of revenues. Ona generally accepted accounting principlesbasis (GAAP) the total fund balance was19% of revenues. This is one of the primarymeasures used to determine a credit rating.While Moody’s minimum standard is 5% ofrevenues, 10% is preferred.The Fiscal 2008 BudgetThe Board’s budget process formallycommenced with the late February and earlyMarch, 2007, submissions of the Board ofSelectmen’s and Board of Education’s budgetrequests. During March, meetings were heldwith both boards, followed by two publichearings at the end of the month. Duringthe first week of April, the Board of Financecarefully reviewed all aspects of the budgetand recommended a budget of $102,078,176and a mill rate of 24.23, an increase of 3.6%over the previous year. The Annual TownMeeting approved the budget by a vote of862 to 346 on May 5, 2007.Capital Improvement Bonding ProposalsUnder the Town Charter, any proposal forbonding must be submitted to the Board ofFinance for comment prior to action by theTown Meeting. If the Board objects to anyaspect of the proposal, it must report itsreasons to the Town Meeting.The table below shows the bondauthorizations that were acted upon at theAnnual Town Meeting on May 1, 2007.In November, 2007, the Town issued$3,740,000 in bonds to finance these projects.Through final maturity on November 15, 2022,the bonds carry interest rates ranging from3.75% to 4.00%. Moody’s Investors Servicereaffirmed the Town’s credit rating of Aaa.As of June 30, 2007, the Town’s long-termdebt decreased by $1,830,000 to $69,330,000.The following table shows the long-termfinancing activities during the fiscal year.Bonds and notes outstandingat June 30, 2006ConclusionThroughout much of Fiscal 2007 the Boardof Finance members were Richard Dubow(Chairman), Robert Kelso (Vice-chairman),Carl “Andy” Pforzheimer (Clerk), LenorePalmer, Warren Serenbetz and Lee Wilson.Lenore Palmer resigned in June 2007 andwas replaced by Alicia Lindgren. Lee Wilson’sfour-year term expired on December 1, 2007and he was replaced by Al Alper. RichardDubow reached his term limit after eightyears on the Board, the last as Chairman.Dick was succeeded by Jim Meinhold. Onbehalf of the Board and Wilton taxpayers, IProject Amount Yes NoHigh School Boiler Replacement $925,000 1,040 183High School Improvements Design $200,000 873 353Miller/Driscoll Spec. Ed. Expansion Design $150,000 825 398Middlebrook West Canopy $190,000 810 410Town Hall Emergency Generators $350,000 1,012 212Ambler Farm Improvements $555,000 711 513Town Center Street Lighting $550,000 631 587Athletic Fields $820,000 709 511Total $3,740,000$ 71,160,000Principal payments (5,985,000)New bonds issued 4,055,000Bonds outstanding atJune 30, 2006$ 69,230,000Administration6