Thursday, September 3, 2009

City Takes $2 Million Hit In State Budget


At Wednesday's Finance and Governance meeting, city Finance Director Carl Erlacher offered a sobering analyis of the effects of the state budget, passed this week, on the city of Middletown.

In almost every category, according to a chart released by the Connecticut Commission of Municipalities, Middletown received less than anticipated in this year's city budget. On the Education side, the city received an amount equal to the ECS grant ($16,652,386) but substantially less in every other category, including transportation and adult education.

On the municipal side, the city actually received more than anticipated in LOCIP (Local Capital Improvement) grants (budgeted: $333,584 - adopted: $410,720) but in all other categories received substantially less including the Pequot-Mohegan Grant, and PILOT (Payment in Lieu of Taxes) for college, hospital and state-owned property despite the promise of state representatives to fight for equitable PILOT reimbursement.

In total, the Board of Education received $64,695 less than anticipated, and on the municipal side the city received $1,973,685 less than anticipated.

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