What is the town’s overall financial status? How indebted is the Town?
As reflected in numerous fiscal ratios through the end of the most recent fiscal year (June 30, 2003), the Town’s overall fiscal position remains financially solid. This is evidenced by the Town’s fund balance ratios over the past few years. The Town’s undesignated reserves (fund balance), at 28%, reflect a significant increase over the 25% level seen in the prior audited year. In addition, the Town has not experienced difficulty in meeting its obligations in the past, including debt payments, and it is not expected that the Town will have problems meeting the obligations resulting from the proposed bonds. The Town’s debt service expenditures as a total of the actual expenditures is 9.35%, within acceptable limits as seen by credit rating industries that evaluate the fiscal position of municipalities. Fiscal guidelines recommend that payments not exceed 20% of operating expenses. The town’s outstanding debt as of June 30, 2003 is $5.5 million dollars. Of this amount, $737,250 are bonds
