'Our Residents Have Made An Investment in Trumbull'

During his annual State of the Town Address on Wednesday, First Selectman Timothy Herbst had a bright outlook on Trumbull's finances. The following is the excerpt from his speech about the town's finances.

Over the last four years, working together, we have turned budget deficits into budget surpluses. These last four years we have stabilized the tax rate. The average tax increase over a four year period has been less than two percent and because of increased commercial growth, last year, for the first time since 1983, residential property taxpayers saw an average tax decrease of 3.5 percent. 

This allows families and businesses to plan their futures with confidence. A modest and predictable tax rate encourages investment in our community, both personal and real.

For years, the Town's pension fund has represented an ailment that has affected our fiscal health. Four years ago, we made a commitment to deal with this problem, both short term and long term. Today, we are beginning to see the positive results of that action. In the budget that I have proposed for the 2013-2014 fiscal year, for the first time in a generation, the town has reached the adequate levels of proper annual pension funding. Our assets are growing and for the first time in recent history our net cash flows are positive. This has been the short term solution.

Long term, we have negotiated multiple employee labor agreements that have reduced the number of town employees that are pension eligible, with new employees participating in a defined contribution plan. This will reduce our unfunded pension liability. 

While we have been committed to stabilizing the tax rate for every Trumbull resident we have also taken the necessary action to protect our most cherished residents, by doubling senior citizen tax relief. Now, the people who helped build this town can plan their futures with confidence knowing that they will be able to afford to stay in Trumbull.

As a result of the actions we have taken on the financial front, Fitch, Moody’s and S&P have lauded the town’s financial management.

Our residents have made an investment in Trumbull and their investment has resulted in a strong financial position for our Town. But the best rate of return we have received on that investment is in our future.