Council approves $3.065 million transfer from general fund reserves to capital replacement fund

April (staff member) told the council the town's unassigned general fund balance stood at 87% of operating expenditures at the end of fiscal 2024, well above the town's 30–50% policy target with a preferred 45% target. She proposed a one‑time transfer of $3,065,000 to the capital equipment replacement fund to pay for planned replacements spanning fiscal years 2025 through 2030.

The proposal dedicates $500,000 as an emergency reserve subject to a policy the council will develop, and requests $392,000 for expenditures in the current fiscal year (ending Sept. 30, 2025) for items including body‑worn cameras and taser replacements, EMS equipment and a mobile vehicle barrier system.

Why it matters: staff said the transfer avoids incurring new debt and preserves operating budgets while allowing replacement of critical public‑safety and public‑works equipment.

Questions and vote Council members asked about the effect on the town's reserve ratio; April said the transfer reduces the reserve from 87% to about 54%, keeping the town within policy guidance though above the 45% preferred target. April said the council will later adopt a formal policy describing triggers and allowable uses for the $500,000 emergency set‑aside.

A motion to approve the budget amendment carried; the council voted to approve the transfer as presented.

Ending The council approved the transfer and asked staff to return with the emergency‑reserve policy and to follow the capital replacement plan for scheduled purchases.