MANCHESTER, CT — Manchester chief executive Steve Stephanou unveiled a proposed budget of $203.4 million for the 2022023 financial year on Tuesday.
Net income of $203,492,007 represents an increase of $5,486,796, or 2.77% over the current year’s expenditure plan.
“The past two years have been extremely difficult for the City and the entire community of Manchester. In the face of this adversity, and under the guidance of the Board, the City of Manchester has responded exceptionally well,” said Stephanou. “The pandemic is not yet over, but thanks to the efforts of City staff and the incredible resilience of Manchester residents, our community is currently able to emerge from it stronger, more resilient and fairer than before the pandemic, and this proposed budget represents that vision.”
He added, “The proposed budget invests in education, public safety, social equity, technology and sustainability, without compromising the quality of service residents and businesses expect from their local government,” said Stephanou. “Furthermore, this budget preserves the AAA credit rating and prioritizes the long-term financial health of the city. »
Under the recommended budget, city service spending will increase by 2.4% over the FY22 budget.
The Board of Education budget shows an increase of 2.90%, with a recommended increase of 2.7% for the General Fund and a proposed tax rate of 32.18 thousand, a reduction of 12% from compared to last year.
Increases in municipal spending reflect wage increases and “contractually obligated” pension costs, entirely
funding for capital projects and rising non-staff costs affected by inflation, Stephanou said.
The Fire Fund, which provides resources to Manchester Fire-Rescue-EMS, includes a proposed spending increase of 4.85% and a proposed tax rate of 4.73 mills, a reduction of 12.5% from to last year. Fire fund increases primarily reflect rising pension costs, first year of fire truck payments
replacement, plus overtime and severance pay, and partial funding for an additional deputy chief position, Stephanou said.
It is recommended that water and sewer rates be increased by 5% “to keep pace with water and sewer infrastructure, environmental needs and declining billed consumption”, said Stephanou.
The budget includes a recommended tax rate of 32.18 mills, marking the 12% reduction from the 36.52 mill levy for fiscal year 2022.
“It’s the result of a huge increase in the big roster,” Stephanou said. Overall, the real estate big list is up 18.43%, with residential values (single family, residential condominiums, two-family, three-family and four-family properties) up 26%.
Due to the 2021 revaluation. The value of industrial properties increased by 13.46%, while the value of apartments increased by 10.99%. Values of other commercial properties, primarily retail, are down 1.56%.
“The impact of the reassessment on residents and the drop in the rate per thousand will vary depending on the unique circumstances of each property,” Stephanou said. “For some properties that have experienced significant increases in value, the relative shift in burden from commercial to residential will cause
a net increase in tax, although the increase will be less than the increase in property value due to the reduction in the mill rate.
“Based on the increase in the assessed value of their property, net taxes will only increase by a small percentage for some residents, while those whose property value increases relatively little will see a tax reduction. As a result of the reassessment, many businesses with commercial property in Manchester will see a tax cut.”
Manchester Mayor Jay Moran said it was the taxpayers.
“Over the next few weeks, the Board will roll up its sleeves and dive into this budget proposal, with a focus on passing a budget that minimizes any increased costs to residents, while ensuring that the City maintains the service levels that make Manchester a great place to work, play, live and go to school.”
The full proposed budget can be viewed online at: http://budget1.villedemanchester…