Town Manager Matt Lutkus presented his recommended budget for the 2022-2023 fiscal year, which includes a 15.852% increase in expenditures, to the board of selectmen at its first budget review meeting on March 2.
The proposed budget totals $4,045,473.23, an increase of $553,550.07 or 15.852%.
Lutkus said the steep increase is due to a number of non-negotiable expenditures that the town committed to, including a $2.255 million bond issue with $191,000 in debt service payments for 15 years, a 100% increase in costs for Central Lincoln County Ambulance, a $35,000 increase in annual compensation for members of the police department, a $30,000 increase in compensation for the new town manager, and a 9% increase in the Lincoln County Government tax.
“I’m not thrilled with this budget because … we haven’t even started our review and we’ve got a number of fixed items,” Lutkus said. “Where last year I think we were looking at a less than 2% increase, this year we’re up around 15% … so it’s pretty sobering.”
In an effort to reduce the “astronomical increase” to the budget, Selectman Josh Pinkham made a motion to eliminate a line in the proposed administration budget setting aside $20,800 for a new part-time office assistant position.
The motion failed, receiving no second.
The proposed administration budget totals $531,078.54, an increase of $87,315.54 or 19.676%. If the $20,800 for the part-time position were removed from the budget, the total increase would be $66,515.54 or 14.99%.
“I think (that) this year, the way that things have increased … I’m going to move to … not include that,” he said. “The way things have gone this year, we’re going to have to push through because we’ve got to find avenues to cut a 15% increase.”
Lutkus and Town Treasurer Cheryl Pinkham pushed back and said that details are being missed in the town office because the current staffing levels are insufficient for the tasks.
Lutkus said staff struggles to keep the website up to date, track training, and attend to town business in an efficient manner.
“I feel like sometimes we’re just operating by the seat of our pants,” Lutkus said. “I do stuff that I shouldn’t be doing. You see me in here collating the agenda packets every other week.”
Pinkham said she is often not able to direct all of her efforts to treasurer duties, despite her position as a full-time treasurer.
Selectman Louis Abbotoni also expressed his support for the additional office position.
“I think if we try to put too much onto the present staff, things are going to get missed, and it’s going to cost us money,” Abbotoni said.
The board ultimately approved the administrative budget over Pinkham’s opposing vote.
Selectmen also approved the municipal building department budget, which totals $57,593, an increase of $13,823 or 31.58%.
The majority of that increase is accounted for in the $14,552 set aside for the seasonal municipal restroom in the waterfront parking lot, an increase of $10,492.96 or 258.51%. Most surprising for the selectmen was the $6,480 set aside for janitorial labor for the cleaning of the restroom.
“It is what it is, I guess. I just didn’t think it was going to be that high,” Pinkham said.
Pinkham also proposed that the board apply increases to the fee schedule across the board; this would include town-issued permits, licenses, and fines for ordinance violations.
Lutkus said Damariscotta’s fee schedule is high compared to other Maine towns but that increases would not be unwarranted given the administrative burden on the town office.
Selectman Mark Hagar was absent for the March 3 meeting.
The board will consider that item in addition to the remaining budget sections, including the fire department, police department, and highway budgets at its next budget review meeting at 4 p.m. March 16, at the Damariscotta Town Office. A livestream and recordings of past meetings are available at the Town of Damariscotta YouTube page.
