Gov. Patrick's FY10 Budget Cuts $698K from Amesbury's Local Aid

We are heading into budget season on the State and Local level. The Governor's proposed 'House 1' budget includes a substantial cut to local aid for all MA municipalities. Amesbury's share of this is $691,232. For perspective, our FY09 local aid share in Amesbury was only $2.4 million, so this represents a 29% decrease in local aid. It is hard to over-emphasize the negative effect that this will have on Amesbury's operations. CLICK HERE to view the Governor's memo to Amesbury regarding our proposed FY10 local aid amounts.

This comes on top of the recent $250K+ mid-year FY09 cut to local aid that we received in January. And on top of substantial drops in excise tax receipts, building permits and interest income (from Town investments and savings accounts). And on top of a very expensive winter storm season. And on top of rapidly increasing veteran's benefits (paid out by the Town).

Amesbury is caught in the same financial storm that virtually every community and State in the country are facing. There is absolutely no way that Amesbury will be able to avoid making the same kinds of cuts that governments and businesses everywhere are making. When personnel represents that vast majority of our operating costs, then we have no option but to cut positions. This situation will be long-lasting and extend beyond the recent announced cuts to local aid, I have no doubt. Mayor Kezer will be announcing lay-offs and other budget reductions soon that will not be temporary changes but rather, long-lasting.

In his remarks to the Municipal Council at last night's meeting (2/10/09), he described an approach that will not merely take a % decrease amount and spread it evenly across departments but rather is re-examining all services provided by the Town and will focus on preserving core services and reducing or eliminating other services. While arguably all of the current services that the Town provides could be considered 'basic' and essential, some--such as education and water treatment--are 'more essential' than others, say, composting leaves. We will all have to reckon with calculation. I look forward to hearing specifics from the Mayor soon for the balance of FY09 cuts (through June) and how those will extend through next year (FY10).