Community to give input on Gilford budget at public hearing Thursday

GILFORD — The selectboard opted not to make any changes to salaries in the proposed 2026 town budget, despite a request from Town Administrator Scott Dunn about raises.

The budget committee is scheduled to meet on Wednesday, Jan. 14, at Town Hall, in advance of a public hearing on Thursday, Jan. 15, and the ensuing deliberative session and Town Meeting, where voters will have their say.

During a selectboard work session Wednesday afternoon, Dunn made several suggestions about employee raises, but the board decided not to take action. The proposed budget, which aligns with the current budget committee recommendation, is $22.1 million, or a 5% increase over last year.

Dunn told The Laconia Daily Sun on Wednesday he plans to retire in August, after 18 years leading the town offices. "The time has come,” he said. He believes the selectboard has plans to create a citizen committee to start the search, which will happen after Town Meeting. Dunn’s contract with the town expires on Aug. 18.

Dunn suggested adjustments be made regarding employee raises, as well as bumping up the pay for the town administrator position.

“When the budget is prepared in October, there are a number of people who get raises between October and Dec. 31,” Dunn said. “Initially, we did an estimate of those pay increases of 3.5%. Some came in less, some came in more. When I plugged in the actual numbers and also adjusted the new town administrator’s salary from [$125,000] to [$130,000], the number is $8,073.”

Dunn said there is “no question” this is all properly budgeted. He said this is good practice, because when the town starts preparing the following year’s budget, when calculating salaries, it could otherwise put them in an immediate hole of $8,073. He also explained his reasoning for the administrator wage increase.

“The reason you might want to consider bumping that up is that the town administrator in Holderness has given his notice, and was planning on retiring. And he said they were unable to hire anybody advertising a pay range up to" $125,000, Dunn told the selectboard.

Chair Kevin Hayes agreed this was shocking. Dunn noted this resulted in the Holderness town administrator postponing his retirement while they “retool” the figure.

“But again, say you find a wonder kid, and start him at [$150,000], the chances are the budget can absorb it, but it puts you in a hole for when you are doing future budgets,” Dunn said. “That is the picture I’ve painted for you, and it is up to you on what you want to do with that.”

The board decided not to make any of the proposed changes.

Dunn also talked about health and dental insurance, saying the line item was capped, and anything over the allotted amount is covered by the health insurance contingency fund. It is budgeted at 1%, but spending over the past two years has been closer to 2%.

“We’re not talking big bucks, but that’s the difference of $21,000 to closer to $50,000,” Dunn said. “Chances are, that trend will continue.”

Hayes asked about the status of the surplus, saying he thought it could be large. Dunn said it is actually “very much smaller” than the last several years, a direct result of the police department being fully staffed.

“The good news is that this budget has been earmarked for $985,996 in surplus, so if we end the year with a million [dollars] it is a wash,” Dunn said. “We’re not getting ahead, and we’re not falling behind.”

The revenues in the budget were adjusted based on the expected surplus, and the board voted unanimously to adopt the new figure of $8.2 million.

The discussion then shifted to the warrant. The board initially approved a request from Lakes Region Mental Health Center for $21,000, presented in Article 20, but the actual request came in at $23,500. The board unanimously voted to change the figure to $23,500 in the warrant article.

Town leaders are still waiting on several potential petitioned warrant articles, based on previous years’ requests. Hayes pointed out if they are not submitted, they won’t be included this year.

“That deadline is next Tuesday, and we don’t know exactly what will be coming in between now and then,” Dunn said.

The proposed budget will be presented at the public hearing at 7 p.m. on Thursday, Jan. 15, in the Gilford High School auditorium, and Dunn said at that time, they could make additional changes. The budget committee’s number is the one that will be used on the Town Warrant, which needs to be posted by Monday, Jan. 26.

The town’s deliberative session will take place starting at 7 p.m. on Thursday, Feb. 5, also in the GHS auditorium. There, taxpayers will have a chance to ask questions and make amendments, and Dunn said there will be informational packets available at the meeting.

The town will then vote on elected officers, as well as the Town Warrant, including the budget, from 7 a.m. to 7 p.m. on Tuesday, March 10, at the Gilford Youth Center, 19 Potter Hill Road.