Newtown Finance Board Reviews Fund Balance, Advances Insurance And Contract Policy Items

NEWTOWN, CT — The Newtown Board of Finance reviewed the town’s financial position and advanced several policy and budget items during its regular meeting Thursday night at the Newtown Municipal Center.

Finance Director Glenys Salas reported that the town’s unassigned General Fund balance stood at approximately $13.46 million at the end of fiscal year 2025, representing 9.5% of expenditures, a slight increase from the prior year. Salas said preliminary projections show the balance could rise to about 9.7% by the end of fiscal year 2026 if revenue and expense targets are met.

Salas cited surplus town aid for roads and excess Education Cost Sharing funds, totaling roughly $328,500, as contributors to the anticipated increase. The town’s most recent cash balance was reported at approximately $19 million as of Nov. 30.

The board unanimously approved a $23,250 special appropriation for investment advisor fees. Salas said recent investment performance exceeded budget projections, allowing the expense to be fully offset by increased interest earnings, resulting in no net impact on the General Fund.

Members also reviewed a revised Medical Self-Insurance Fund Strategic Plan, which addresses rising health care costs and long-standing fund deficits. The plan outlines a multi-year strategy to restore the fund balance, including premium adjustments, cost-containment measures and administrative changes. The plan had previously been approved by the Employee Medical Benefits Board and was forwarded to the Board of Finance for review before final consideration by other town boards.

In other business, the board discussed proposed revisions to the town’s contractor insurance requirements and indemnification policy. Finance officials said the updates would clarify minimum coverage limits and align the town’s standards with current risk management practices. The item was discussed and forwarded to the Board of Selectmen for review and action.

The board received committee reports from the Recycling Ad Hoc Committee, which is transitioning from twice-monthly to monthly meetings, and from the Capital Improvement

The CIP/Facilities/Finance Committee reported progress on transportation operations, school maintenance projects and infrastructure repairs, including roof work at Newtown High School.

There were no public comments or announcements.

The meeting adjourned at 9:30 p.m.