Council authorizes $76,109 in LOSIP funds for public-facilities projects; finance report projects $1.3 million general-fund surplus

The West Haven City Council on May 27 authorized the finance director to obligate and add $76,109.04 in remaining LOSIP entitlement funds to a new “Public Facilities” capital-improvement project. The council’s action, requested by the finance and public works departments, places the state grant money into the FY24–25 capital improvement plan and caps local exposure at the grant amount.

Michael Gormeny, the city’s finance director, told the finance committee and council that LOSIP funds must be used in accordance with state LOSIP guidelines — primarily for renovation, repair, upgrades and improvements to eligible public buildings — and that the $76,109 was unallocated after reconciliation of older projects. “There’s no cost to taxpayers or anything like that. Again, this is grant money that comes through the state,” he said. Council members confirmed the city is capping expenditures at that amount and will not bond to cover additional work.

Gormeny also presented the monthly financial report for April, saying city officials continue to project a surplus across the main funds. “In the general fund right now, we’re projecting approximately a $1,300,000 surplus,” he said, while clarifying the number remains fluid through fiscal-year close as revenues and expenditures continue to be recorded.

Council members asked whether LOSIP funds have deadlines; Gormeny said the funds are governed by the program’s rules and are generally available for up to seven years from allocation. He also told the council the state recently changed its LOSIP process to provide some funds up front; the city expects a larger disbursement of roughly $900,000 in an upcoming round and will earmark those monies for standard capital buckets such as sidewalks and paving.

On a separate finance matter the council approved the transfer of uncollectible personal property and motor vehicle taxes from the 2021 grand list to the tax suspense book, in accordance with Connecticut General Statute Section 12-165. The amount transferred is $1,026,853.41, comprised of $346,287.56 in personal property (322 accounts), $560,199.89 in motor-vehicle accounts (2,149 accounts) and $120,365.96 in supplemental motor-vehicle accounts (554 accounts).

Council members and the mayor discussed timing for tax bills; Mayor Dorinda Borer noted the city cannot finalize and mail tax bills until the independent fire districts provide their mill-rate information. The mayor said the city is exploring an ordinance to change budget and tax deadlines or coordinate schedules with the fire districts so county and municipal billing align more predictably.

The council’s LOSIP authorization and suspense-list transfer were approved by voice vote; staff said projects funded by LOSIP will be selected and scheduled by Public Works within the $76,109 limit and that the city will petition the state if any unspent grant balance required an extension rather than a return of funds.