Vernon voters approve budget with town's first tax increase in six years [Journal Inquirer, Manchester, Conn.] - Insurance News | InsuranceNewsNet

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April 23, 2024 Newswires
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Vernon voters approve budget with town's first tax increase in six years [Journal Inquirer, Manchester, Conn.]

Journal Inquirer (Manchester, CT)

Apr. 23—VERNON — Despite objections from a handful of residents, including one Town Council member, voters overwhelmingly approved a budget that includes the first tax increases in six years during the annual town meeting on Tuesday.

The $109 million budget includes an increase of $7.2 million from the previous fiscal year, with about $3.9 million in new taxes.

Ultimately, residents were not swayed by the tax increase, overwhelming supporting the budget by a vote of 57-8, with Town Councilman Brian Motola among those voting in opposition.

The new tax rate will be 35.09 mills for real estate and personal property, representing a 1.7 mill increase from the current rate. Car taxes remain capped at 32.46 mills, as they are limited by state law.

One mill equals $1 for each $1,000 in assessed property value.

The largest drivers for the tax increase are nearly $1.9 million more in medical insurance, about $911,000 more in the school budget, and nearly $500,000 more for police, as well as increases in pension costs and municipal insurance premiums.

"This year, as everybody has seen in their daily life, the cost of everything has gone up," Mayor Dan Champagne said. "As much as it pains the Town Council to have to raise taxes, it came to a point where we didn't have much choice this year."

Regarding his decision not to support the budget, Motola cited ongoing increases to the cost of food, fuel, and the cost of living in general.

"I just think we're piling on," he said.

Motola said that he understands that "health care costs are killing us," but "I wanted to make a statement about just not approving something that's going to increase the cost for people living in town."

Former Town Councilman Bill Campbell also voted against the budget, largely because of the impact higher taxes would have on older residents.

"I feel bad for those who are on fixed incomes," Champagne said, "but what it comes down to is, I think every single person understands the cost of everything has gone up."

Nonetheless, the town continues to make investments, including the additional $500,000 for police to cover a new union contract.

There are also infrastructure investments, such as those that will help pay for sports fields, the Citizens Block building, and the Horowitz Pool at Henry Park, Champagne said.

Despite the use of reserves, Vernon will continue to maintain roughly $18 million in its rainy day fund, which Champagne said is the amount town auditors recommended.

Former Mayor Ellen Marmer — a pediatric cardiologist — advised the Town Council to consider alternatives to being self-insured, which Vernon is.

"I think self insurance is a liability at this point," she said, adding that perhaps it would be better to increase taxes incrementally with each budget, "rather than sock it to us."

"I think this could have been anticipated," she said of increased costs, particularly in regards to health care.

Ultimately, however, Marmer voted to approve the budget.

___

(c)2024 Journal Inquirer, Manchester, Conn.

Visit Journal Inquirer, Manchester, Conn. at www.journalinquirer.com

Distributed by Tribune Content Agency, LLC.

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