1. Town of Millbury Fiscal Year 2014 Town Manager’s Budget Message

2. Overall Town financial position – strong Town financial position – strong Some improvement in economy – still slow Some improvement in economy – still slow State Aid is up based on governor’s budget State Aid is up based on governor’s budget Many increases due to personnel costs as Many increases due to personnel costs as Benefits and insurances continue to be Benefits and insurances continue to be problem areas problem areas

3. Overall Total budget of $ 38,089,855 Total budget of $ 38,089,855 General fund is $ 36,383,635 General fund is $ 36,383,635  Budget as proposed is in balance  Gen Fund Increase from FY13 of $1,567,807 Includes Modest Cost of Living increases for employees Includes Modest Cost of Living increases for employees Currently No Proposition 2 ½ Override has been proposed Currently No Proposition 2 ½ Override has been proposed

4. Assumptions Budget is balanced Budget is balanced  Based on a proposed revenues  Weather cooperates-little or no snow State aid figures based on Governor's proposal State aid figures based on Governor's proposal  Includes additional $586,172 Local receipts continue to hit projections Local receipts continue to hit projections  However most of the increase is due to higher meals tax and increase in Wheelabrator revenues

5. Revenue Maximum tax levy is $21.4 mil Maximum tax levy is $21.4 mil New Growth Estimate $125,000 New Growth Estimate $125,000 Local Estimated Receipts $4,987,665 Local Estimated Receipts $4,987,665  Includes rooms and meals tax State Aid higher than last year $8,980,191  Includes $108k in secondary approp. Free Cash $626,231 Free Cash $626,231  vs. previous year $1,111,154  Within predicted range

6. Expenses General Government increases from $1,498,354 to $1,518,911 General Government increases from $1,498,354 to $1,518,911  an increase of $20,547 or 1.37%  due mainly to cost of living increases Public Safety increases from $3,035,754 Public Safety increases from $3,035,754 to $3,171,383 to $3,171,383  an increase of $135,627 or 4.47%  due to increase in personnel costs –Retirement pay outs

7. Expenses (con’t) Public Education Increases from $18,832,790 to $19,645,659 Public Education Increases from $18,832,790 to $19,645,659  $812,869, or 4.32% increase for all schools  $786,163, or 4.35% increase for Millbury Public Schools  $26,706, or 3.61% increase in vocational education Public Works Increased from $1,736,065 to $1,743,549 Public Works Increased from $1,736,065 to $1,743,549  an increase of $7,484 or 0.43%

8. Expenses (con’t) Public Health & Human Services increased from $405,879 to $429,999 Public Health & Human Services increased from $405,879 to $429,999  an increase of $24,120 or 5.94%  Increase due to veteran’s services Culture and Recreation increases from $416,545 to $418,968 Culture and Recreation increases from $416,545 to $418,968  a increase of $2,423 or 0.58%

9. Expenses (con’t) Debt Service Decreased from Debt Service Decreased from $2,470,704 to $2,675,338 $2,470,704 to $2,675,338  An increase of 204,634 or 8.28%  includes new tower for fire department Employee Benefits Increased from $6,084,727 to $6,434,830 Employee Benefits Increased from $6,084,727 to $6,434,830  an increase of $350,103 or 5.75%  Increase due to retirement and health insurance

10. Expenses (con’t) General Insurances increases from $335,000 to $345,000 General Insurances increases from $335,000 to $345,000  An increase of $10,000 or 2.99% Sewer Enterprise increases from $1,451,528 to $1,706,220 Sewer Enterprise increases from $1,451,528 to $1,706,220  an increase of $254,692 or 17.55%

11. Expenses (con’t) Free cash is down by $500k Free cash is down by $500k Amount to be raised includes approx. $265k in articles Amount to be raised includes approx. $265k in articles  100,000 is for Roads  $96,036 is for Medicare reimbursement for the school department  $20,000 for senior work off  $49,500 for required revaluation

12. SUMMARY & QUESTIONS