Tough choices ahead for Houlton residents

HOULTON, Maine — Financial matters dominated Monday’s town council meeting in light of the annual audit, mandated expenditures and dwindling revenue from Augusta and Washington.
    Ron Smith of RHR Smith & Company expressed concern that the fund balance has gone down, saying the town needs to address the issue. Town Manager Doug Hazlett and Smith agreed that the town faced serious budget issues in 2008 to maintain the mil rate and meet fuel consumption needs.
When asked about possible future bonds for improving the Rec Center, for example, Smith said viewing the town’s debt-to-equity ratio makes borrowing “the prudent thing to do.” He also strongly advised the town to “never use short-term money for long-term needs.”
A citizens’ proposal to cut excise and sales tax on new vehicles, a ballot initiative in November, was also discussed since it will cut deeply into town revenue and affect the budget.
Councilor Walter Goodrich said although cutting taxes sounds like a good idea, excise taxes stay in local communities.
Councilor Paul Romanelli said voters will have to decide whether they want to raise taxes or cut services with less revenue coming in from the state and federal government. Hazlett echoed the need to make hard decisions, particularly with school budget mandates and other unfunded liabilities. Paul Cleary said with a bare-bones budget, there are few places, if any, to make cuts.
Public hearing and referendum on school budget
The first school budget after consolidation must go before voters as mandated by law. A public hearing will be held tomorrow, Thursday, 6 p.m. at Southside School.
Polls will be open to decide the fate of the budget, Tuesday, June 16, from 10 a.m. to 6 p.m. at the Gentle Memorial Building (Rec Center).
Other matters
The council entered into a lease agreement with Evergreen Wind Power II to store equipment at Airport Industrial Park for $4,000 a month.
The council also accepted a bid of $35,556 per year from Autotronics of Madawaska for a three-year lease/purchase agreement to totally refurbish an ambulance body and remount it on a new chassis.
A bid of $1.11 per square yard from Aroostook Asphalt Applicators of Presque Isle was accepted for chip sealing on Foxcroft, McIntyre and Mooers roads due to the condition and traffic volume.
A proposed ordinance to make parks tobacco-free zones was knocked down after discussion on difficulties with regard to enforcement and possible infringement on personal liberties. Councilors suggested that voters express their opinions to determine if the matter should go forward in the future.
The resignation of Sherri Quint from the Zoning Board of Appeals was accepted with appreciation for her work. An advertisement will be placed for a replacement.
The council accepted a $100 donation from the Elks Club for the Just for Kids playground rehabilitation fund.
The next meeting of the council will be Monday, June 22 at 6:30 p.m.