Dresden board member Allen Wilbur suggested at a Dresden Town Board meeting on Feb. 8 that the board put some leftover money from 2020 into a capital reserve fund for future capital projects.
Town supervisor Paul Ferguson was discussing the town financials for the end of 2020 when Wilbur made the suggestion.
Wilbur said there is roughly $34,000 left over in the town highway budget and $52,846 left over in the general fund.
“Those are two numbers where I would like to see if we can take part of that or some of that and put it into a capital fund or reserve fund so that we can’t touch it unless it is for a capital project,” he said.
Wilbur suggested a project such as establishing a new town hall or town shed.
Ferguson said that he thinks it’s a good idea but he wants to make sure they go about it the right way.
“I think we’re jumping the gun a little bit,” he said. “We can do it but make it a very small number.”
Ferguson said that right now the money that the town is getting back from the TDI Line is supposed to go towards a capital project, and he doesn’t want to put too much money into a fund and not use it for something else.
Wilbur agreed that the board didn’t have to put all of the money into the funds but he wanted to put in a decent amount.
“If we have $34,000 left over, if you take $10,000 and put it into a reserve fund. Then out of this $52,000 take $25,000 of it and put it into a capital fund,” he said. “That way we have those started, it shows good diligence on our part that we’re not running on excess in our budget. We are financially sound on it.”
Wilbur is looking ahead to the future. After the XL Pipeline was axed via an order signed by President Joe Biden, Wilbur suggested that the town doesn’t rely too much on the TDI Line money coming in.
“We don’t know what’s going to happen…We don’t know, they might kill TDI,” he said. “Let’s not count on money we don’t have, let’s count on money we do have.”
Ferguson agreed to get the fund started if all the other board members agreed, but he wanted to make sure it was a minimal amount of money being put in.
“If you start it with $5,000 you can do whatever you want with it,” he said.
Board member Ed Raymond said the board will be able to make an adjustment if they find that they have an overflow of money in the fund after the TDI Line funds are put into the equation.
“If we ever wanted to, if we ended up saving too much money in there, we can always make another resolution and move it to another fund,” he said.
Wilbur made a motion that the board placed $10,000 into a capital reserve fund. The motion was seconded by Raymond and the board unanimously approved.