Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Budget topic
No spam. Unsubscribe anytime.
Denmark officials present 2027 draft budget with 7.6% increase as tax and capital questions loom
Summary
Town staff told the joint Select Board and Budget Committee that the draft 2027 budget shows a 7.6% increase driven by electricity, insurance, planned wage adjustments and capital requests; members asked staff to run mill‑rate scenarios and deferred final choices on a salt‑shed and equipment purchases.
Denmark — The Town of Denmark’s Select Board and Budget Committee on Feb. 10 reviewed a first-draft 2027 budget that staff said would raise spending by roughly 7.6% compared with current appropriations.
Betty, who presented the budget notes, said higher projected electricity costs, increased insurance premiums and proposed wage adjustments are the primary drivers of the draft increase. She said the draft includes several capital requests that are not yet finalized, and that the salt-and-sand storage building estimates shown in the notes are not yet inclusive of foundation and site work.
The presentation stressed a conservative approach to projected energy costs: staff multiplied 2025 kilowatt usage by the town’s current rate and added a 10% cushion to reflect an expected rate rise in January 2027. Health and benefits projections in the draft assume about a 9–10% rise in health insurance and roughly 8–12% on other coverage lines; the initial salary proposal is a 3.5% general increase with a 2.8% cost-of-living alternative recorded for consideration.
Betty also summarized recent revenue changes: the town moved deposits to a new bank and reported about $52,700 in interest income from July through January, and FEMA storm reimbursement money was split between capital and general funds per prior votes. She said the fiscal‑year audit is not yet final and the unaudited rolling unassigned fund balance entering FY26 is roughly $477,389, subject to adjustments when the audit is complete.
Committee members pressed staff for mill‑rate scenarios showing the tax impact if the town were to raise all increases through property tax rather than drawing on unassigned funds. Members also asked staff to run scenarios that would remove or reduce large-ticket capital items to show the effect on the overall increase.
Why it matters: the figure presented — a mid-single-digit percentage increase — affects the town’s mill rate and household tax bills. The committee asked staff for more granular line-item review at the next meeting and for an initial mill‑rate projection so members can evaluate tradeoffs between using fund balance and increasing taxes.
What’s next: staff said department heads will attend next week’s meeting to go line-by-line, and the committee requested a mill-rate projection and refined fund-balance figures once the audit draft is complete.
