Board approves budget transfers; hears revenue, tax-sale and project updates

The New Canaan Board of Finance approved a set of budget transfers and heard a financial update that showed several revenue categories running ahead of plan and $632,667 collected to date from outstanding tax bills.

During the meeting the board authorized transfers that include: $192,006.40 moved into a special-project fund for ARPA-identified projects that will not expire at year-end; a transfer to pay Deloitte for a combined CHP-credit analysis (the town expects a multi‑thousand‑dollar refund, with estimates discussed in the meeting ranging broadly); roughly $30,000 moved from salary to outside consultants to fund interim financial consulting support; and transfers to cover repairs at two railroad stations (Talmadge Hill platform work estimated at about $25,000 and Elm Street painting estimated at about $100,000, with $78,000 on hand from an MOU to apply toward the work).

Board members discussed tax-sale collections and a separate debt-refunding authorization approved earlier: town staff reported $632,667 received so far toward outstanding taxes and about $1.5 million remaining outstanding; separately, an April 3 action authorized a potential refunding of approximately $17,800,000 of outstanding issuance to try to reduce interest costs, and staff said they and counsel will monitor the market for opportunities to refinance.

Finance staff also presented revenue highlights: year-to-date revenue of about $171,500,000; current tax collections of about $159,200,000; stronger-than-budget prior‑year collections; building permit revenue ahead of budget (noted as tied to the Burdess and Cherry development permitting); conveyance fees and parking revenue exceeding prior pace; and investment interest running ahead of budget. On the expense side, staff reported spending consistent with expectations and that a storm-related transfer will be partially reimbursed.

The board moved the transfers for approval, a motion passed by voice vote recorded as "Aye," and then proceeded to executive session.

Details and clarifications

- Tax sale: staff said the sale is scheduled and that buyers must wait six months for owners to cure outstanding taxes; if an owner cures within six months, buyers receive their deposit back and the property is returned to the owner. - CHP credits: staff said Deloitte will do a deep review of past filings for combined-heat-and-power credits; estimates discussed ranged from approximately $120,000 to $170,000 in potential credits, though the final amount depends on the federal review. - Transfers: the transcript documents a transfer of $192,006.40 from ARPA holdings into a special-project fund, $30,000 to outside consultants, and amounts to address railroad station and Elm Street maintenance needs.

What happens next

Town staff will set purchase orders and contracts (for Deloitte and consulting work), complete the railroad station repairs and Elm Street painting as funds and MOUs permit, and continue to monitor tax-sale payments and refunding-market conditions that could affect the $17,800,000 refunding authorization.