Open Space Ordinance, History of Funding

Given the numerous requests I've had and misunderstandings I've heard regarding the funding in the Open Space Trust Account, I post the following summary of information I read into the record during the March 2006 BOA meetings. This is collected directly from Ordinance's at the City Clerk's office, Grand List's from the Assessor's office, and the Finance Department monthly reports on activity and balances to the account.

Shelton laid the groundwork in 1976 with ordinance #249 appropriating $20k per year in the budget for Open Space Acquisition. Unfortunately, the amount remained static for years. According to the inflation calculator from the website of the US Dept of Labor, Bureau of Labor Statistics, if $20k had simply increased with inflation (the Consumer Price Index) over the years, today’s yearly allocation would be $69701.24

A watershed change was reached in 1991 with ordinance #631 that created the Open Space Committee, an Open Space Trust Account and set the appropriation equal to one-half a mill of the grand list.

A little tweaking came the next year in 1992 via ordinance #638 where the term “Open Space” was defined, the Committee make-up was changed, and the funding was modified to .0075 of the taxable Grand List growth of the previous fiscal year. It also refined the calculation to be used in re-evaluation years and set a minimum contribution of $20k. Finally, a clause was created that would “sunset” or void the ordinance upon realization of 10% Open Space.

3 years later in 1995 ordinance #688 suspended funding for the 95/96 fiscal year (allocation would have been $452,894.03) Calculation is .0075 x (1994 grand list $2,083,696,530.00 – 1993 grand list $2,023,310,660.00)

In 1996 ordinance #700 was passed to change the funding formula for a 3rd time. It called for monies expended from the Trust account in the previous year up to $50k would be replaced dollar for dollar. Monies expended above $50k would be replaced over the next 4 fiscal years at 25% per year. The “sunset” clause increased the realization level from 10% to 15% open space.

In 1998, ordinance #727 changed the formula again, reverting back to the allocation of .0075 times the previous year’s Grand List growth, with the $20k minimum contribution, and it hasn’t changed since then.

Nobody told the Finance Department that the Ordinance had changed. Consequently, the four most recent years illustrated below have not been following the law of that formula:
+++++++++++++++
Grand List 2001 $3,174,463,100.00
Grand List 2002 $3,219,614,200.00
Increase in Grand List from 2001 to 2002 $45,151,100.00

FY 03/04 from Ordinance .0075 times the Grand List increase of previous year. $338,633.25
City Budget Allocation FY 03/04 $129,076.00
Missing a budget amount of -$209,557.25

++++++++++++++++

Grand List 2002 $3,219,614,200.00
Grand List 2003 $3,246,595,540.00
Increase in Grand List from 2002 to 2003 $26,981,340.00

FY 04/05 from Ordinance .0075 times the Grand List increase of previous year. $202,360.05
City Budget Allocation FY 04/05 $192,643.00
Missing a budget amount of -$9,717.05

++++++++++++++++

Grand List 2003 $3,246,595,540.00
Grand List 2004 $3,305,553,540.00
Increase in Grand List from 2003 to 2004 $58,958,000.00

FY 05/06 from Ordinance .0075 times the Grand List increase of previous year. $442,185.00
City Budget Allocation FY 05/06 $0.00
Missing a budget amount of -$442,185.00

++++++++++++++++

Grand List 2004 $3,305,553,540.00
Grand List 2005 $3,389,503,540.00
Increase in Grand List from 2004 to 2005 $83,950,000.00

FY 06/07 from Ordinance .0075 times the Grand List increase of previous year. $629,625.00
City Budget Allocation FY 06/07 $0.00
Missing a budget amount of -$629,625.00

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The total amount underfunded from July 1, 2003 thru July 1, 2006 over 4 fiscal budgetary periods: $1,271,650.20

While not following the ordinance as I brought to everyone's attention, the City Administration points to accomplishments that it claims show the "intent" of the ordinance was met as Open Space Acquisitions were completed that often used bonding money and no trust account money. These include :

Indian Wells "Overlook" property from the Glover family, purchase of Development Rights for a farm from the Shelton family, properties on Rte 110 and Constitution Boulevard from the Goodman family, The Above the "Overlook" parcel from the Donofrio family, The Aside the "Overlook" parcel from the Wasko family, a parcel from the UI utility company on Buddington Road, the Wiacek family farm on Meadow Street, Tall family farm on Long Hill Avenue, Klapik family farmland on Long Hill Avenue, Carrol family and Behuniak family property on Long Hill Avenue, Pagliaro family property off John Dominick Drive. Those are the ones I can think of on the top of my head.

Given all the above acquisition accomplishments, the Administration's claim should be considered. Just to be sure and fully document such a claim, the BOA passed a motion that stated the money from bonding for the Tall farm purchase was "deposited" as a receipt into the Trust Account, and the expenditure for the Tall farm purchase was "withdrawn" as an expenditure from the Trust Account.

Some will claim that such action is window dressing, some will say it is simply dotting the 'i's and crossing the 't's on what was done and bringing into recognition actions with the ordinance. I simply state the facts in this blog rather than debate politics and let the reader decide.