Trumbull’s Unrestricted Fund Balance (the Rainy Day Fund) grew by more than $1.7 million, according to unaudited projections presented to the Board of Finance at its September 23, 2021 meeting. As of June 30, 2021, the end of the last fiscal year, the Fund Balance stood at almost $26 million.
“It is apparent that the cautious and prudent fiscal policies of First Selectman Vicki Tesoro and elected Democrats on the Board of Finance and Town Council have been in the best financial interests of the town,” stated Lainie McHugh, Chair of the Board of Finance. “We were laser focused on our revenues and every penny of taxpayer funds spent. We were constantly aware of the financial impact of the pandemic on the town and our residents. We owe a debt of gratitude to our town employees and staff who helped us diligently manage our budget and achieve this favorable outcome.”
Last year’s budget originally called for the use of $2.8 million from the Rainy Day Fund in order to facilitate a budget with no tax increase. However, revenues checked in at $375,000 more than budget, and expenditures were $4.4 million under budget, a result, in large part, of modification of programming and staffing due to the pandemic. Instead of taking the $2.8 million out of the Rainy Day Fund, the town is able to increase the General Fund Balance by $1.7 million, bringing it to an unprecedented high of $26 million, or 14% of the annual budget. This was done while keeping the average tax increase over two years to less than 1%.
“This is great news for the long-term fiscal health of our town,” stated First Selectman Tesoro. “The General Fund Balance, or Rainy Day Fund, is one of the major drivers the ratings agencies scrutinize in determining our bond rating. We continue to work hard to attain AAA bond status, and we are only one level away from the top rating. Our goals remain the same: keep taxes stable through sound fiscal management and strategic economic development, while investing in public safety, education, and other critical town services.”