A Message to the Community Regarding the Proposed Town Budget

The Finance Board and the Board of Mayor and Burgesses, acting jointly, have completed development of the proposed Town Budget and will now present it to the public for review and comment.

Tuesday, May 26 at 6:30 PM
Board of Education Meeting Room
Naugatuck High School

Residents are encouraged to attend, ask questions, and participate in the process.

A detailed breakdown of the proposed budget, including departmental information and supporting financial data, is available on the Borough website at: https://www.naugatuck-ct.gov

Residents are strongly encouraged to review the material prior to the public hearing. The proposed budget includes a mill rate adjustment from 39.79 mills to 40.44 mills , an increase of 0.65 mills.

To help place that figure into perspective:

• One mill in Naugatuck generates approximately $2,185,000 in revenue
• The impact of a 0.65 mill rate increase on a home in Naugatuck with an average home value of approximately $236,000 is estimated at approximately $107 per year.

The primary drivers of the proposed increase are expenses that continue to rise significantly both locally and statewide.

On the municipal side, insurance costs alone increased by approximately 1 mill. These include rising healthcare, liability, and operational insurance expenses impacting municipalities across Connecticut.

On the education side:

• Contractual wages and employee health insurance costs increased by approximately 1 mill
• Special education expenses and related transportation costs also increased significantly

These are essential obligations that the Town and Board of Education are legally and operationally required to address.

Before arriving at this proposal, substantial reductions were made throughout the budget process. Combined requests from all Town and Board of Education departments were reduced by more than $4.4 million .

In addition:

• Approximately $1.8 million in additional state funding helped reduce the overall gap
• All capital expenditures in the proposed budget are being funded through existing reserves
• No fund balance is being used to artificially offset taxes or support recurring operating expenses

This approach helps protect the Town's long-term financial stability and avoids temporary fixes that can create larger financial challenges in future years.

The proposed budget seeks to maintain essential services, support education, meet contractual obligations, and preserve the Town's financial health while recognizing the burden any tax increase places on residents.

No increase is taken lightly. The Finance Board and Board of Mayor and Burgesses spent months reviewing requests, reducing expenditures, and identifying efficiencies before presenting this proposal.

The upcoming public hearing is an important opportunity for residents to learn more about the budget and provide feedback before final adoption.

Your participation and input remain an important part of the process as we continue working together for the future of our community.