Articles 18, 20 and 26 if approved, will draw upon the Unassigned Fund Balance for a cost reduction to taxpayers in the current year of $1,154,500 – roughly $36.00 savings for a home valued at $400,000. This is in addition to $2 million from the Unassigned Fund Balance that was used to lower the tax revenue needed to meet general budgetary requirements.

The Unassigned Fund Balance consists of excess funding that comes from either more revenues than expected (Example: the Rooms and Meals Tax distribution from the State; or higher than anticipated reveneus from Trust Funds)) OR from lower than anticipated costs (example an expense approved by the taxpayers that ends up not costing as much as expected, or the project is not pursued.)

There is a required minimum funding that a municipality needs in the Unassigned Fund. The New Hampshire Department of Revenue Administration (DRA) recommends 5%-17% of the municipality’s overall budget be held as “unassigned” to cover emergencies and to mitigate the fluctuations in the timing of revenue received and outlays required. The top end of this exigency translates to over $5 million for Hampton. Even with the hold-back requirements, there is excess funding to dedicate to projects the Town Departments feel are needed. If the voters approve these expenditures and if they were NOT being funded by the Unassigned Fund Balance, it would require additional taxation.

If all the Articles that call upon the Unassigned Fund Balance are passed, it would reduce the Unassigned Fund by $1.1 million, which would leave adequate backup resources, and would still allow the town to qualify for a lower bond rate for Warrant Articles that are bond-funded.

When you see “no tax impact in 2024” associated with an Article that uses the Unassigned Fund Balance, it means there is no need to raise new tax revenue to cover the proposed costs, because the money was previously raised, earned or conserved. However, the voters have the ability to approve or reject the proposed use of those funds.

What it means: The DPW Jet Vacuum Truck is used by Sewer and Drain Division to clean catch basin, manhole, drainage and sewer systems. The funding will come from the Unassigned Fund Balance, which means that there will be no new tax impact in 2024.

Those in favor say: With interest rates high, it was deemed more favorable to purchase the truck outright, rather than lease. The existing Vac truck is rusting to a point that holes are forming, seals are weakened and not replaceable and vacuum suction is decreasing. The new truck will have increased capacity, making it more efficient with less dumping. There will be more power for vacuuming, giving us the ability to perform maintenance to areas that were not serviceable previously. The jetting capabilities are also increased. The retiring truck was a 6-wheeler; the replacement truck will be a 10-wheeler.

Those opposed say: No one spoke against this Article at the Deliberative Session.

Fiscal impact: This Article proposes the use of the Unassigned Fund Balance to pay for the truck. The taxpayer will not see any increased cost in 2024 if this proposal is approved by the voters.

What it means: Establishing and funding a Capital Reserve Fund helps spread the cost of needed work over multiple years. Savings will be available for future maintenance and improvements to the roadways and associated sidewalks within the Town of Hampton. Approval is required by Town Meeting (your vote) to use this Fund. The current value of the fund without this appropriation, but after the use of $500,000 towards the recently approved High Street Improvements project is $2,335,091. Projects that may be considered using funds from this reserve account could include, but are not limited to:

• Moulton Road Improvements
• Mace Road Improvements
• Winnacunnet Road Improvements

 No one spoke for or against this Article at Deliberative Session.

Fiscal impact: Cost per $1,000 valuation is $0.126. A household valued at $400,000 would see a tax increase of $50.40 for 2024. However, $500,000 was approved and was part of the 2023 tax bill. Thus, this would remain constant with 2023 tax bills, i.e. no increase over last year.

What it means: This Article asks for approval for costs associated with the engineering, design, permitting, and construction ofdrainage infrastructure upgrades in three areas, identified by inspections as requiring immediate work.

Those in favor say: Half of Mary Batchelder Road was paved last year, but the balance could not be paved because the corrugated metal pipes underneath the road are deteriorated. This project would fix the pipes and so that the roads can be repaved. The funding sought under this Article would also replace the Hackett Lane pump station which helps prevent flooding in the Hackett Lane area. Finally, the funding would be used to improve the water filtration aspects of the High Street Parking Lot to improve water quality as required by New Hampshire Permitting, and to maximize parking.

Those opposed say: No one spoke against this Article at the Deliberative Session.

Fiscal impact: This Article proposes the use of the Unassigned Fund Balance. The taxpayer will not see any increased cost in 2024 if this proposal is approved by the voters.

What it means: Hampton anticipates receiving a NH DOT Highway Grant that helps to maintain Class IV and Class V “highways” (basically compact sections of town roads). Funds are applied to specific projects identified by DPW and approved by the Board of Selectmen. Identifying projects is a fluid process, as many factors can affect priority and feasibility. However, the expected focus of these funds in 2024 includes Old Town Hall parking lot, St. Cyr and Falcone Circle, Roberts Drive, Warner Lane, Rosa Road and Donna Lane.

Those in favor say: This funding helps DPW improve roads that do not have extensive infrastructure issues, but do need top-level repairs. The work helps to return roads to smooth working order. The cost is expected to be partially offset by a block grant from NH DOT.

Those opposed say: No one spoke against this Article at Deliberative Session.

What it means: A certain portion of the parking meter revenue that goes to the Town (as opposed to the State) is deposited in the Recreation Infrastructure Special Revenue Fund, which has been designated by Hampton voters as a set-aside for the needs of the Parks and Recreation Department. Every year, needs are identified, and the voters are asked to approve withdrawal of therequested dollars from the fund for infrastructure projects.

Those in favor say: There is very little in the Recreation Department’s budget for maintenance. The money in the Parks and Rec fund, which comes from a distribution from the state’s parking meters, is used to improve recreational facilities. The ability to offer good recreational opportunities to residents is part of the culture of our town, and this expenditure, which does not require new taxes to be raised, is a crucial part of that.

Those opposed say: No one spoke against this Article at the Deliberative Session.

Fiscal impact: There would be no new tax impact, as the Recreation Infrastructure Fund will be tapped.

What it means: Each of the listed agencies will receive a donation from the town in the noted amount. The funds raised and donated last year are provided for comparison. This is an “all or none” Warrant Article. If the Article passes, all the listed agencies receive the specified donations. If it fails, none do.

The funding requested is considerably lower than last year, because the Seacoast Visiting Nurse Group and Step Up Parents withdrew their funding requests. The Child Advocacy Center has increased their funding request, but the bottom line is still lower than 2023.

   Human Service Agency                                        2023 Funding             2024 Funding

 

These agencies shall be required to give a written report at the end of their fiscal year 2024 to the Board of Selectmen highlighting what the funds were used for and what impact the funds had in assisting them to achieve their goals and objectives.

*Note: Gather received $5,000 last year via a separate Warrant Article. Note that if Article 35 is approved by the voters, the donation to Cross Roads House will add $24,000 for a total of $39,000 rather than the $15,000 shown in the chart on the next page.  See Article 35 for more details. 

Fiscal impact: Cost per $1,000 valuation is $0.039. A household valued at $400,000 would see $15.60 incorporated in the tax bill for 2024. However, since a similar cost has been part of the tax base for some time, there is essentially no increased tax (and in fact a reduction in the tax bill.)

What it means: During police operations, items of value may be forfeited by individuals. There are expenses associated with the management of such property, including storage, the return of items where appropriate, etc. NH law permits the auctioning of abandoned property, and the proceeds are put into a fund. This Article would allow the funds to be withdrawn to cover departmental costs, as approved via the RSAs. The actual amount is unknown at voting time. The $90,000 is seen as the upper limit of what may be available to withdraw.

Those in favor say: No one spoke in favor of this Article at Deliberative Session.

Those opposed say: Those opposed take issue with the taking of property, or have issues with how funds are spent. Both of these issues are defined at the state level and are not affected by the voters’ decision.

Fiscal impact: There would be no new tax impact, since this money is in a set-aside fund. This is a routine measure, seen every year, to allow the withdrawal of the funds for various Police Department needs.

What it means: The portico area of the Lane Library is leaking, and causing internal repair issues in several areas.  This funding request would address that, and convert unused space into a secure office with the construction of a wall and door. The final cost item relates to a website migration to better accommodate a large amount of historical data that the library has accumulated.

Those in favor say: The standing library budget is only $6,000 and does not allow for more significant expenditures without the support of the voting and tax paying public.

Those opposed say: No one spoke against this Article at the Deliberative Session.

Fiscal impact: Cost per $1,000 valuation is $0.013. A household valued at $400,000 would see a tax increase of $5.20 for 2024.

What it means: In 2019, voters approved $200,000 for a new Capital Reserve Fund for the replacement of Firefighter’s Protective Gear. This fund needs to be added to regularly, so that as gear is replaced using money withdrawn from the fund, additional funds will be available for future needs. This Article would transfer the funds from the Unassigned Fund Balance to the Turnout Gear Reserve Fund. The value of the fund at the end of 2023 was roughly $141,733.

Those in favor say: This is an annual procedure to keep our Firefighters safe. A single set of firefighting gear costs around $6,000. There are strict standards with regard to the amount of service before the gear must be replaced, and that has meant 4-5 new sets of equipment each year. To pay for this expense, a reserve fund was established and needs to be regularly replenished. This Article allows funds to be taken from the Unassigned Fund Balance for this purpose. One person at Deliberative Session asked why it is not part of the budget. He was advised that in the event the proposed operating budget fails, the additional put-aside for firefighting gear could not take place. That’s why it is offered to the voters as a separate item to approve.

No one spoke against this Article at the Deliberative Session.

Fiscal impact: There is no new tax impact in 2024. This Article is allowing the transfer of funds from the Unassigned Fund Balance to the previously-established Firefighter Turnout Gear Reserve Fund.