The Town has free cash and stabilization funds. Why not use these funds to reduce the cost of the new elementary school?

Town officials are considering whether to use a portion of these funds to offset the project. These funds generally fall into two buckets: 1) rainy day funds and 2) capital funds. Rainy day funds are needed to protect the Town against economic downturns or unanticipated emergency expenditures. These funds help the Town maintain a strong bond rating which in turn results in a better interest rate when it goes out to borrow funds. Town officials do not advise using any of the rainy day funds.

Town officials are building up capital funds to pay for a new fire station. By using capital funds for the fire station, the Town will not need to borrow money and will save millions in interest costs. If these funds were used for the new elementary school, the new fire station would be delayed unless the funding was handled differently.

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1. Why are our taxes so high?
2. I can’t afford to pay more taxes. How can the Town help?
3. It seems like the Town is taking on a lot right now. Why?
4. What is the Town’s budget and why does it need additional funding for the elementary school?
5. What has the Town done to make sure they are stretching every tax dollar as far as possible?
6. The Town has free cash and stabilization funds. Why not use these funds to reduce the cost of the new elementary school?