VBM: July 19, 2017
RUTLAND — The Board of Aldermen made a move that turned a small tax increase into a slight decrease.
The board voted unanimously Tuesday night to reduce the amount of money the city sets aside for working capital that helps manage cash flow throughout the year.
However, while the full board endorsed the action, City Treasurer Wendy Wilton opposed it. She urged the board to stick with a policy set in 2010 regarding the amount of working capital the city keeps on hand.
As a result of the board’s cut, a home valued at $150,000 saw a swing of $30 in its tax bill, from a projected $24 increase to a $6 decrease.
Alderman William Notte proposed cutting the working capital fund to 9 percent of municipal revenues, a reduction from 10 percent. That takes it from a little more than $2 million to about $1.8 million.
“I want to do what we can to give them the biggest savings possible,” Notte said of taxpayers.
The $30 drop on a tax bill for a home in the city valued at $150,000 may seem small, he said, but it sends the message the board is doing all it can to keep taxes in check.
Alderman Christopher Ettori agreed. He said that rather than the city holding onto another $200,000 to protect against a “potential issue” with cash flow throughout the year, it puts the money into the pockets of taxpayers.
Alderman Tom DePoy added, “I’m going to look at this as $200,000 we’re putting back into the economy of Rutland City.”
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