Despite a downward economy, town of Snowmass Village officials are proposing to spend 14.8 percent more in 2009 than they budgeted in 2008. Payments on the new Town Hall, higher fuel and energy costs, more capital outlay and increased personnel and service costs all factor into the higher budget.
Snowmass Village is facing some budgetary challenges this year, according to an introductory memo to the budget presentation. First is an additional $330,000 annual payment that kicks off in 2009 to pay for the new Town Hall. The higher payment accounts for 2.59 percent of the budget increase.
Town officials are also recommending offering more competitive wages. Positions remain unfilled because of an increasingly competitive labor market in which the city of Aspen, Pitkin County and now the natural gas industry all offer better pay, the memo says. Lack of housing and the upvalley commute is also making town of Snowmass Village positions less attractive than they have been in the past.
Personnel costs account for 4.3 percent of the budget increase — 2.8 percent for payroll and 1.2 percent for benefits. Some town departments are budgeting slightly more for overtime, and the town wants to offer a 2.25 percent merit program in 2009.
However, Snowmass Village is not budgeting for any net new employees in 2009.
Representing 4.4 percent of the budget increase are operating and maintenance expenses, which include gas for town vehicles. Increased spending on utilities and snowmelting is reflected in the purchased services category, which makes up 3.5 percent of the increase. Utilities overall are budgeted to increase by 30 percent, and vehicle gas and oil by 20 percent. Finally, vehicle replacements account for 2.6 percent of the total spending increase.
Last winter’s heavy snow led to extra spending in the 2008 budget. Overtime for the road crews, higher gas prices and maintenance costs for town vehicles, and bigger utility bills for snowmelting all forced approximately 2.9 percent more spending than the budget originally had anticipated.
Tax collections and other revenues are anticipated to be flat or down in 2009.
Declining real estate sales have led town officials to project lower revenues for next year’s Real Estate Transfer Tax, and a decrease in interest income due to declining interest rates and a lower fund balance are anticipated.
The town also has an agreement with the Aspen Skiing Co. in which it receives a potion of lift ticket sales, which are projected to decrease 2 percent this season.
Snowmass wants to increase solid waste fees next year, based on increases in services, particularly construction trash, and a fee hike from the county landfill.
Town officials are recommending that the town put off several requested budget items, such as a bus stop at the Snowmass Chapel, until future budget years. Some budget items will be revisited after the winter in case the ski season is stronger than expected, or, conversely, in case another big snow year results in more spending again.
Snowmass Village Town Council will take a hard look at the 2009 budget — and a revised 2008 budget — when it meets for its first budget discussion Tuesday morning. The meeting starts at 9 a.m. in council chambers in Snowmass Village Town Hall. The goal is to adopt the budget by Nov. 3.
lutz@aspendailynews.com
