Canton Town board directs 2% cost-of-living raise amid warning of possible $1 million tax shortfall

The Canton Town Board on April 8 directed staff to include a 2% cost-of-living adjustment (COLA) in the proposed fiscal year 2024–25 budget, following a budget work session in which Deputy Tax Collector Wanda Lurvey warned of "a possible $1 million cut" in tax revenue tied to the Evergreen property and other personal-property adjustments.

Interim Manager Stinnett opened the board's second budget work session and said, "this years proposed budget was going to be focused on sustainability as we progress forward," framing the department presentations that followed. Finance Officer Natalie Walker reviewed revenue projections and asked the board whether to fund pay increases, possible motor-vehicle, water and garbage rate changes, and various departmental requests.

Walker told the board that some department requests would likely need to be curtailed to make room for any compensation increase. After discussion, the board instructed Walker to include a 2% COLA in the proposed budget. Board members and department heads said retaining employees was the priority: department leaders told the board that raises were more important than new equipment for preserving staff.

During the presentation Deputy Tax Collector Wanda Lurvey cautioned the board about a major potential revenue loss tied to the Evergreen property and related personal-property valuations and urged conservative budgeting to offset "a possible $1 million cut." Finance Officer Walker also outlined gaps in funding for flood-related capital projects and asked the board to prioritize projects so revenue-generating facilities can move toward operation; Interim Manager Stinnett asked the board to set priorities so staff can pursue available state options.

The record shows the board voted in a series of procedural motions to enter and exit closed sessions: Alderwoman Proctor moved to enter closed session at 12:12 p.m. to discuss personnel (seconded by Alderwoman Mull); the board returned to open session at 1:47 p.m. Alderwoman Mull then moved to enter closed session at 1:48 p.m. to discuss economic development (seconded by Proctor); the board returned to open session at 2:04 p.m. Each motion "carried," per the minutes. Mayor Smathers adjourned the meeting at 2:04 p.m.; the next regular meeting is scheduled for April 25, 2024, at 6:00 p.m. at 85 Summer Street, Canton Town.

The board asked staff to schedule a follow-up budget work session to resolve prioritization and funding choices for the 2024–25 budget.