The combined amount of the proposed budgets is $156.3 million, with the Board of Education's proposed budget at $96 million and the town's proposed budget at $60.4 million.
It is now the responsibility of the Board of Finance to review these budgets for final approval or to make recommendations for further cuts. According to Joseloff, if no further cuts are made to either budget, residents could face a tax increase of 4.5 percent.
All parties involved acknowledged the present harsh and unpredictable financial environment and stressed the need to balance fiscal responsibility with providing quality services in both education and residential life in Westport.
Board of Finance members will meet at Town Hall on March 18 with members of the Board of Education to finalize the education budget and on March 24 with town officials to finalize the town budget. Board of Finance members have asked that members of the public offer input to assist them in critical decisions which revolve around raising taxes at a time when unprecedented numbers of residents have sustained losses to their personal financial security, whether in real or potential job losses and declining assets such as home values, investments, savings and retirement accounts.
Board of Finance Chairman Jeffrey Mayer said, "We are all facing a new unprecedented challenge looking ahead and trying to anticipate what our decisions today mean for the next few years. The next couple of weeks will be very important and public input will have a material input on our thinking."
Mayer said, "One of the difficulties we have is that the issues are very complex, and it is hard for people to address both the tax increase and the quality of service issues at the same time. It would be helpful to know whether people understand that a two percent increase in the school budget might mean a 4.5 percent increase in their taxes, and whether those who want no tax increases recognize the dramatic decrease in town services that would result - fewer road repairs, decreased park services and so forth."
Mayer said the board is working with three important concepts.
"What tax rate do we feel Westporters can accept? How much money must we keep in town reserves? Do we have to fully fund our future pension fund obligations?"
In order for the town to maintain its AAA rating, it must keep its reserve funds at 8 percent. Joseloff has previously stated that he had no intention of being the first First Selectman in Westport to lose the town's AAA rating. The town is also required to fund its pension obligations despite some leeway in the amount.
Currently the town is obligated to make up the shortfall in its pension obligations created by the drop in the financial markets, an obligation that would be far less expensive should the town move away from a "defined benefit" plan to a "defined contribution" plans, like 401(k)'s.
Mayer says the town is working with actuaries who have stressed that failure to fund the town's pension obligations would require an even greater contribution next year.
Said Mayer, "That leaves the tax rate as the question mark. If we want to keep our taxes flat next year, then it means that we will have to find a minimum of $5 million in additional savings in these budgets. On the other hand if we don't find the additional savings, our taxes would have to go up 4.5 percent. Somewhere within that range is where we will probably come out."
Board of Finance member Charles Haberstroh said he had been getting an equal amount of input on both sides of the tax question.
"I've gotten a lot of emails supporting the Board of Education budget from people with children in school but have also been informally talking to a lot of people who are very concerned about any tax increase," he said.
Haberstroh concluded, "We can't achieve this without some shared sacrifices."
He, too, is eager for public input. "If people have some brilliant ideas that we haven't thought about they should come forward.
"We want to maintain services, our fine schools and not put a burden on taxpayers. The devil is in the details. We're trying to look at things as many ways as we can."
Avi Kaner, another member of the Board of Finance said, like Haberstroh, he gets email in support of the Board of Education budget and verbal input which reflects concern with the economy, taxes, and an awareness that tough decisions may have to be made.
"I almost think they are the silent majority but they do not communicate," he said.
Kaner said that he hopes that in the future the town and Board of Education can work more closely together to consolidate redundant functions. For example, paying a teacher and paying a firefighter require the same payroll function.
"We missed an opportunity last year when the Board of Finance voted 4-3 against a single system for both the schools and the town. We are hoping that the economic downturn is a wake up call to create the political will for these consolidations," he said.
Contacting Board of Finance members can best be done by accessing the town's website at www.westportct.gov. Select Board of Finance, and access email by clicking "contact us."