Groton Could Face $10 Million Reduction In State Aid

Groton Town Manager Mark Oefinger told the Town Council Tuesday he received a document that shows Groton could be looking at a $10 million reduction in state aid under one possible state budget scenario.

Oefinger said municipalities would receive 28 to 29 percent less state aid under the possible "doomsday" scenario. Groton is slated to get $28.65 million under the governor’s proposed budget from February. Under the doomsday scenario, it would receive $18.4 million.

To make up the loss through property taxes, the town would need a local tax rate increase of 2.4 mills.

“This is one scenario. And it’s all pretty much being developed as a fall back plan in case (union) concessions and other cuts can’t be identified through the budget process,” Oefinger said.

“We need to be aware of them, but I don’t know that we all need to be running around screaming the sky is falling either.”

Three Groton town councilors said they believe the scenario is posturing by the governor to get the unions to cooperate.

“It shows them what happens if they don’t come through,” councilor Bill Johnson said.

“What it does is it gets the municipalities in an uproar," Mayor James Streeter said. "But if it did indeed happen, it would be devastating.”