The Town has changed its Fund Balance Policy to a ratio of 8% to 15% of General Fund expenditures compared to General Fund Balance on a budgetary basis. The budgetary General Fund balance was $68.7 million on a budgetary basis compared to $428,669,289 of expenditures on a budgetary basis.
Mynarski said, "The use of fund balance is too high," and while it was not improper, it was not a good practice in municipal finances and needed to be addressed.
The Greenwich BET’s official policy requires the town to maintain an unrestricted fund balance within a range from 10% to 15% of the town’s operating budget.
Year to date operations show the town's spending to be flat to last year and, should spending continue at such levels, Fitch views management's expectation for surplus results by fiscal year end, leading to growth in its fund balance, as reasonable.
• Based on data published in October 2022 by S&P, the median “available” fund balance for CT issuers rated AAA was 19.0%. the Town’s current ratio is 14.1% below the 15% level the rating agencies would like to see for a AAA rating.
This document has been prepared by Munistat Services, Inc. (“Munistat”) on behalf of the Town of Greenwich from information supplied by the Town Officials and other sources.
Greenwich achieved Sustainable CT Silver level certification in 2018, 2021 and 2024 and now adds the prestigious Climate Leader designation to its accomplishments for exceptional leadership in addressing climate change and fostering resilience.
The Town has a Fund Balance Policy to a ratio of 8% to 15% of General Fund expenditures compared to General Fund Balance on a budgetary basis. The budgetary General Fund balance was $68.8 million on a budgetary basis compared to $443 million of current year expenditures on a budgetary basis.
Mr. Drake amended the original motion, seconded by Ms. Moriarty, to approve the proposed Fund Balance Policy target ratio range of 8% to 15% as amended. The Working Group voted 4 0 0.
Over the 10 years since, the BET policy has been able to build and maintain the town’s fund balance between 5 percent to 10 percent of the general fund expenditures.
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