#MiddleburyCT #MiddleburyBudget
By MARJORIE NEEDHAM
Tonight, Tuesday, April 7, at 6:30 p.m. in the Larkin Room at the Middlebury Public Library, the Board of Finance will present the proposed 2026-27 Middlebury town general fund and capital budgets to be voted on Wednesday, May 7, 2026. The general fund budget is $13.97 million, a 2.29% increase over the 2025-26 budget, while the capital budget is $583,000, a 72% decrease from the previous year’s $2 million dollar budget per calculations by Middlebury First Selectwoman Jennifer Mahr.
Mahr has discussed the following information at Board of Finance and Board of Selectmen meetings and has also posted it on Facebook:
Provided the final vote on the Region 15 budget on April 6 leaves Middlebury’s share of that budget at $31.7 million and other numbers do not change, the mill rate is expected to be 26.56, down 18.33% from the current 32.52.
The total town budget (with Region 15 included) is $45.7 million. The total Region 15 budget is $95.8 million, a 5.3% increase.
The major drivers of 99% of the general fund budget’s $492,000 increase are Employee Salary Increases, FICA, Medical Insurance, DCP Employer Match, New Fire Truck Lease, Police Contracts for Body Cameras and IT, and Probate Court costs (total increase = $618,000). The increase also includes a dedicated School Resource Officer for Middlebury’s schools.
These increases were offset by budget reductions of $129,000 to the Revaluation Reserve, Snow/Ice Removal Reserve, TIP Fees, and interest on debt.
On the revenue side, interest rates have been trending down, so the FY 2026-27 general fund budget cannot rely on as much investment income as it has received the last two years. The town also lost a tax appeal case in December 2025 worth $326,000 in tax income; $100,000 of reserve funds will be used as income to offset this gap.
Mahr provided the following information (edited for conciseness) in March 19 and 20, 2026, Facebook posts.
1. The revaluation process did not affect individual taxpayers in the same way: condo values increased at a higher rate than single family homes while commercial properties did not rise in value at the same rate as residential properties. This effectively shifts the tax burden more towards residential taxes.
2. The FY 2025-26 budget benefited from using a $515,000 “revenue subsidy” by using reserve funds as revenue in lieu of collecting that amount in taxes. Last year’s mill rate would have been 0.08 higher had that not happened.
3. The total town budget increased 5.21% in FY 2025-26 compared to the proposed FY 2026-27 2.29% increase. The budget increase rate fell this year largely because of a shift in Region 15 Average Daily Membership (The percentage of Middlebury students versus Southbury students dropped). The only elected officials who have control over the Region 15 budget decision-making process are the Board of Education members.
4. The proposed FY 2026-27 Town Budget had to absorb a new $152,000 lease payment for the Middlebury Volunteer Fire Department’s Engine 2. The town’s total yearly debt service will rise to $1,159,557 from $1,028,433 (there were some savings in the interest payment). The new budget also absorbed a 3% non-union salary raise and at least that plus more for union employees.
The capital budget for FY 2025-26 was $2.1 million and used $1.2 million in undesignated funds to pay for this expenditure. Adding in the $515,000 “revenue subsidy” and the $230,656 in additional transfers to reserves for the FD/PD roofs, Fenn’s Farm, and Rochambeau Memorial maintenance meant that nearly $2 million in undesignated funds were allocated and/or spent in FY 2025-26. The Charter requires an 8% reserve balance at all times, and we are now hovering at less than one percent above that threshold. The town also lost a tax appeal case that put a $326,000 hole in our projected revenue collection. Finally, the original MVFD sprinkler system installation cost was estimated at $350,000 and that number has now grown to more than $1 million. Since the project has been started, the town must finish the work, but we do not currently have the reserve funds to do so without dipping below the Charter’s required 8% reserve.
This is the budgetary landscape Mahr inherited when she was sworn in as First Selectwoman on December 1, 2025. She said she can’t do anything about the past, but she is doing the following for the future:
- Applied for federal Community Project Funding through Congresswoman Hayes’ office to pay for the MVFD sprinkler system and roof replacement costs. This work will be on hold for up to a year until the results are known.
- Testified in person and submitted written testimony on proposed legislation in Hartford that would increase the Education Cost Share formula and bring more money for Middlebury’s school budget. Joined municipal CEOs from all across CT in this lobbying effort.
- Advocated for the State to reverse its policy on the distribution of Mashantucket Pequot Grant funds so that Middlebury can start receiving its fair share of this revenue.
- Initiated a thorough review of the town’s insurance policies to ensure appropriate coverage and to identify areas for potential cost savings.
- Selected a new town attorney whose firm has in-house expertise to cover areas for which Middlebury is currently paying outside specialty firms.
- Networks frequently with other municipal CEOs to discover economic development opportunities.
- Working to have the Plan of Conservation and Development revisions begin as soon as possible.
Mahr stated, “It’s your town, your money, and your voice. I am committed to hearing your call for change and executing that change to the best of my ability. If you have questions or concerns about the budget, please reach out: 203-758-2439 or jmahr@middlebury-ct.org.”
