1. Town of Millbury Fiscal Year 2015 Town Manager’s Budget Message

2. State Aid FY08-FY15 Education Programs:FY2008FY2009FY2010FY2011FY2012FY2013FY2014FY2015(gov) Chapter 706,643,0676,956,6606,817,5276,531,8846,566,9506,638,8706,745,9426,879,058 Charter Tuition Assessment Reimbursement57,20121,19311,60945,0088,8788,39615,7695,849 Education Offset Items School Lunch10,0599,4429,9448,94010,46910,51510,3109,826 Sub-Total, All Education Programs6,710,3276,987,2956,839,0806,585,8326,586,2976,657,7816,772,0216,894,733 General Government Programs: Lottery/Unrestricted2,203,899 1,560,1791,497,7721,389,4771,497,7721,533,176 Additional Assistance00000 Police Career Incentive95,32495,39818,1919,7300000 Veterans Benefits43,25462,41492,47989,131117,413127,083109,312113,357 Exempt: Vets, Blind Persons & Surv Spouses34,87137,05888,87187,86788,64890,12987,40392,712 Exempt: Elderly47,19847,202 State Owned Land12,31113,20111,8917,5357,8057,8077,9627,793 General Government Offset Item Public Libraries19,57120,61013,70513,36313,64913,44713,53714,005 Sub-Total, All General Government2,456,4282,479,7821,785,3161,705,3981,616,9921,736,2381,751,3901,760,575 Total Estimated Receipts9,166,7559,467,0778,624,3968,291,2308,203,2898,394,0198,523,4118,655,776

3. General Observations  Town financial position – challenging  Some improvement in economy – still slow growth  Governor’s State Aid proposal is inadequate based on new state revenue estimates  Most increases due to personnel costs as benefits and insurances continue to rise and vocational education

4. General Observations Total budget of $ 38,708,403 Total budget of $ 38,708,403 General fund is $ 36,947,544 General fund is $ 36,947,544 Budget as proposed is in balance Budget as proposed is in balance Gen Fund Increase from FY14 of Gen Fund Increase from FY14 of $1,004,570 $1,004,570 Includes contractual cost of living increases for employees Includes contractual cost of living increases for employees Currently No Proposition 2 ½ Override has been proposed, however need to keep option open Currently No Proposition 2 ½ Override has been proposed, however need to keep option open

5. Financial Assumptions Budget is balanced Budget is balanced Based on a proposed revenues Based on a proposed revenues Weather cooperates-little or no snow Weather cooperates-little or no snow State aid figures based on Governor's proposal State aid figures based on Governor's proposal 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 However most of the increase is due to higher meals tax and increase in Wheelabrator revenues

6. Revenue Maximum tax levy is $22.24 mil Maximum tax levy is $22.24 mil New Growth Estimate $263,000 New Growth Estimate $263,000 Local Estimated Receipts $5,164,341 Local Estimated Receipts $5,164,341 State Aid $8,655,776 State Aid $8,655,776 Free Cash $731,063 Free Cash $731,063 vs. previous year $626,231 vs. previous year $626,231 Within predicted range Within predicted range

7. Expenses General Government decreases from $1,482,020 to $1,479,618 General Government decreases from $1,482,020 to $1,479,618 decrease of $2,402 or 0.16% decrease of $2,402 or 0.16% Clerk position eliminated Clerk position eliminated Public Safety increases from $3,130,381 Public Safety increases from $3,130,381 to $3,159,030 to $3,159,030 an increase of $28,649 or 0.92% an increase of $28,649 or 0.92% increase in personnel costs increase in personnel costs Truck repairs due to lack of mechanic Truck repairs due to lack of mechanic

8. Expenses (con’t) Public Education Increases from $19,444,437 to $19,654,858 Public Education Increases from $19,444,437 to $19,654,858 $210,421, or 1.08% increase for all schools $210,421, or 1.08% increase for all schools $132,353, or 0.71% increase for Millbury Public Schools $132,353, or 0.71% increase for Millbury Public Schools $78,068, or 10.18% increase in vocational education $78,068, or 10.18% increase in vocational education Public Works decreased from $1,703,019 to $1,695,810 Public Works decreased from $1,703,019 to $1,695,810 an decrease of $7,209 or -0.42% an decrease of $7,209 or -0.42%

9. Expenses (con’t) Public Health & Human Services decreased from $419,981 to $401,402 Public Health & Human Services decreased from $419,981 to $401,402 decrease of $18,579 or -4.42% decrease of $18,579 or -4.42% due to elimination of clerks position due to elimination of clerks position Culture and Recreation decreases from $418,968 to $417,290 Culture and Recreation decreases from $418,968 to $417,290 de crease of $1,678 or -0.4% de crease of $1,678 or -0.4%

10. Expenses (con’t) Debt Service Increased from Debt Service Increased from $2,675,338 to $2,746,090 $2,675,338 to $2,746,090 increase of 70,752 or 2.64% increase of 70,752 or 2.64% includes school technology borrowing includes school technology borrowing Employee Benefits Increased from $6,318,830 to $7,018,446 Employee Benefits Increased from $6,318,830 to $7,018,446 increase of $699,616 or 11.07% increase of $699,616 or 11.07% increase due to retirement and health insurance increase due to retirement and health insurance

11. Expenses (con’t) General Insurances increases from $350,000 to $375,000 General Insurances increases from $350,000 to $375,000 increase of $25,000 or 7.14% increase of $25,000 or 7.14% Sewer Enterprise increases from $1,558,058 Sewer Enterprise increases from $1,558,058 to $1,760,859 to $1,760,859 increase of $202,801 or 13.02% increase of $202,801 or 13.02%

12. Warrant Articles Free cash is up by $105k Free cash is up by $105k Amount to be raised includes approx. $344k in articles Amount to be raised includes approx. $344k in articles 100,000 is for Roads 100,000 is for Roads $96,036 is for Medicare reimbursement for the school department $96,036 is for Medicare reimbursement for the school department $20,000 for senior work off $20,000 for senior work off $50,000 for cruiser computer $50,000 for cruiser computer $60,000 school technology $60,000 school technology $10,000 master plan $10,000 master plan $8,000 OPEB update $8,000 OPEB update

13. SUMMARY & QUESTI O NS SUMMARY & QUESTIONS