New London expected to end year with surplus

New London - The city is looking at anywhere from half a percent to a 1.8 percent surplus in the budget when the fiscal year ends June 30. The estimated savings depends on who is looking at the numbers.

On Tuesday, Ron Nossek, the accountant hired by the city to review the 2012-13 budget, told the City Council Finance Committee he estimates about a $750,000 surplus in the city's $41.2 million general government budget.

But Finance Director Jeffrey Smith, who did not disagree with Nossek's estimate, put the surplus closer to $250,000 to $500,000.

"I'm very conservative,'' Smith said. "I think we're in agreement, but Ron's a little more optimistic than I am."

Part of the savings, according to Smith, comes from a freeze on non-essential spending in all departments and some year-end revenues that are coming over the estimated amounts.

"I think this is a real plus to the new government that we can finish the first fiscal year in the black,'' City Council President Michael Passero said after the meeting.

In March, the council hired Nossek, who is a partner at the Cohn & Reznick accounting firm, to review the current spending plan to be sure the city would end the year without going over its budget. Earlier, Mayor Daryl Justin Finizio had told the council he was curbing all non-essential spending so that there would be no deficit.

- Kathleen Edgecomb


Loading comments...
Hide Comments