By Sephora Charles
State lawmakers recently passed legislation that will affect how even the smallest of towns, including Ocean Ridge, put together their annual budgets.
Among the new laws is House Bill 1329, which requires local governments to perform a budget reduction exercise to see what would have to be cut to lower the cost facing municipal taxpayers, said Bonnie Landry, president of Bonnie Landry and Associates Professional Planning Services, during an Ocean Ridge Town Commission workshop meeting on May 4.
Once the commission prepares a tentative budget for the coming fiscal year, this new law requires officials to meet at least 14 days before the final budget is adopted to consider a reduced plan. During that meeting, commissioners will create an alternate option that would make the upcoming budget 10% smaller than the current budget — without compromising essential services, such as police and fire departments.
From there, officials must decide whether “it’s worth it,” Landry said. Municipalities are not required to adopt the reduced budget, but they must publish it and the town’s proposed budget for residents to see and compare before the town adopts a final budget.
While the new requirements do not take effect until 2027, Town Manager Michelle Heiser plans to give them a trial run this year before a final budget is adopted in September.
The purpose of HB 1329 is to get officials to evaluate spending efficiencies and alternatives.
The bill also mandates that officials be more transparent about their finances online.
The last six years of budget records must be displayed online, making local budgets easier for residents to access and understand. HB 1329’s requirements also force local governments to justify their spending.
“Normally, the stuff you see in private will have to be up there for public consumption in the future and available on the website as well,” Heiser said during the meeting.
At the June 1 meeting, she proposed a five-year capital improvement plan. The total for 2027 was $6 million, but the commission discussed changes to reduce it to $4 million.
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