Loomis presents biennial budget with modest surpluses; staff asks council to shift $55,000 into operating reserve

Ted, the town finance director, presented a draft biennial budget for fiscal years 2025–26 and 2026–27 and told the Loomis Town Council the general fund is balanced in both years with modest surpluses and planned capital spending.

The budget shows a $103,000 surplus in 2025–26 and a $54,000 surplus in 2026–27, Ted said. He asked the council for feedback on increasing the operating reserve by $55,000 — moving that amount from the unassigned general fund balance — to meet the Government Finance Officers Association (GFOA) “best practices” guideline of maintaining two months of expenses, or 16.7 percent, in operating reserves.

The operating-reserve question drew brief discussion but no vote; Ted said there was no item before the council to adopt the change that night and that staff will return with a resolution for the June meeting to set specific dollar amounts for each year. “According to the GFOA … the recommended minimum operating reserve balance is equivalent to 2 months of expenses or 16.7%,” Ted said. He noted the town’s current operating reserve equals about 15.9 percent and that $55,000 would bring it to the recommended level.

Nut graf: The biennial budget frames Loomis’ priorities for two years and includes staff additions, a planned upgrade to the town’s finance system and a capital improvement program (CIP)…