Capital and Non-Recurring Fund

Five-Year Plan

The Board of Finance, working in conjunction with the Boards of Selectman and Education, develop a five-year plan for the funding and acquisition of capital and non-recurring items and projects. By definition (and as a distinction from on-going operating expenditures), an item or project must cost more than $5,000 and have a service life of at least three years in order to qualify as a capital expenditure. Examples of past capital purchases include police cruisers, fire trucks, ambulances, plow trucks, roadway paving, computer equipment, school band instruments, furniture and non-routine building maintenance (roof and window replacement for example).

This long-range planning tool serves two purposes; first and foremost it provides a framework to evaluate our town’s capital needs while balancing those needs with available funding. Secondly, by virtue of the Board of Finance adopting such a plan, it enables the town to qualify for state funding under the local capital improvement program (LoCIP). Although this source of funding has decreased significantly over the past decade, currently our town is allotted approximately $35,000 a year under this state program.

It should be noted that this is a planning tool used by the Boards and inclusion of a particular item or project is no guarantee of funding. By state statute, each and every expenditure from the Capital and Non-Recurring Fund must be considered and approved by our electorate at a town meeting. It should also be noted that this plan is continually updated to reflect changing needs, priorities and available funding resources.

Five Year Capital Plan