Citizens For Center Grove

How Accurate are the Budget and Tax Projections?

All budgets are estimates of income and expenses. If they were not estimates, they would be called reports, as they would be reporting what had already happened. By definition, a budget is a projection based on the best information available at the time the estimate is made. This, however, does not make them worthless. Assumptions are not guesses. C4CG based the estimates on comparable towns adjusted for things that we know are different. A wide variety of factors went into estimating the budget. Here are just a few:

* The average pay of a Town Manager
* The average pay of a Clerk/Treasurer
* The cost per mile to maintain roads, including six different levels of repair
* The cost to establish and maintain a police department
* The availability and cost of office space for the town government
* The cost of supplies to operate a town government
* The Assessed Value of all properties within the proposed town
* The anticipated capital cost of the town
* The cost to comply with various Federal regulations
* The cost of benefits for the town employees

The budget will be set, and approved by the Department of Local Government Finance before we have a town council in place, in order to ensure the town has tax revenue as soon as it begins to provide services to area residents. [The details of this process will be decided when we become a town.) When the town council does create its first budget, in the first months of 2014, they will have to deal with essentially the same level of uncertainty that Citizens for Center Grove faced. This is simply the nature of making a budget and while it does have to deal with unknown factors, it is far from being just a guess.

View the Tax & Budget Analysis from Umbaugh and Associates here

View a breakout of what expenses are in what category of the proposed town budget here

 

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