2010 BUDGET UPDATE

I have been meeting with the Select Board and the Finance Committee to discuss the proposed Town of Amherst budget for the period July 1, 2009 to June 30, 2010. As you may know, the projected revenue from the Commonwealth has been reduced by $2,800,000. That dramatic reduction requires the Town to implement steps to meet that funding gap. Those steps include funding social service programs from the Community Development Block Grant fund and not local property taxes; it includes increases in fees for Leisure Services and Supplemental Education (LSSE) programs; it includes increases in ambulance fees for individual users and the towns of Hadley, Leveritt, Shutesbury and Pelham; it includes reorganization and potentially regionalization of the Police Communication and Dispatch Center; it includes the elimination of five positions in the town budget. Certainly, there will be more changes that need to be made. However, I am doing my best to reduce the need to lay employees off.

I have sent a letter to the three unions currently under contract with the town. I hope to have a conversation about the contracted Cost of Living Adjustment (COLA) of 3 1/2% scheduled for implementation on July 1, 2009. The reduction or elimination of the COLA would go a long way to resolving our budgetary problem for next year. In order to show leadership and to set an example, I will not accept a COLA for next year. Further, the town department heads have stated that they would be willing to accept a COLA adjustment less than previously committed consistent with the school administration. I am pleased and proud of the position that the department heads have taken.

I have been invited to participate on a weekly radio show with Jay Fedanza of WHAI of Greenfield, Massachusetts. The spot will run weekly on Tuesday morning. The show is designed to highlight the various activities of Amherst for the previous week.

Finally, it looks as if I will have my left hip replaced on June 15, 2009. I had the right hip replaced in 2004. I am hoping for same terrific results-----higher mobility and no pain.

Have a great weekend.

Larry

BUDGET DISCUSSION IN AMHERST

It has been very interesting and telling to observe the discussion over the proposed Town of Amherst budget and the effects of the loss of State Aid ($978,000 for 2009; $2,800,000 for 2010). There are those who are pleased to understand that draconian cuts are not the exclusive option available to the Town to address the severe shortfall in revenue. As a result of some very wise decisions in the past, the Town now has the option to employ revenue it has generated from grants and the independent health insurance trust owned and operated by the Town. I will continue to look for strategic reductions that do not appreciably impact the ability of the organization to deliver services. I will also continue to work very hard on developing alternative revenue sources which have already generated over $400,000. for next year. Leisure Services and Supplemental Education (LSSE) Department has implemented dramatic changes in the number of programs and how those programs are administered. Specifically, LSSE has reduced staff by one position and increased revenue for programs by over $181,000. The Fire Department has also seen an important increase in revenue of over $200,000. These increases in revenue are a result of the investment that the Town has made in capacity and is the reason why Amherst has more options going forward to address our budgetary challenges.

The Winter Fest at Cherry Hill Golf Course last weekend was great. The weather was fantastic and the community responded with great attendance. It was wonderful to see the community enjoy this tremendous asset.