Deer Isle budget down as town meeting approaches

Deer Isle residents are set to vote on a town budget that is 7 percent smaller than last year, according to Town Manager Jim Fisher.

- BY WILL ROBINSON

The proposed 2025 budget runs $2,514,000, about $190,000 smaller than the previous year. By itself, Fisher said the town budget won't raise taxes, but increases in the county and school budgets could still affect tax bills.

Fisher said the drop in the budget follows a drop in spending, particularly on grant-funded infrastructure projects. Last year, federal and state grants funded the replacement of a large concrete culvert in Sunshine, the development of the comprehensive plan and a host of smaller projects around town.

The government money increased the total budget, but shifted the cost of those projects away from taxpayers. This year, Fisher said grant funds are "drying up."

"The big difference from last year is we're not getting the federal money we've been getting," Fisher said.

While the proposed 2025 budget is smaller than the previous year, it is about $950,000 higher than 2020's approved budget. Generally, Fisher said budget increases over the past five years are driven by a combination of inflation, federal and state funds issued during the COVID-19 pandemic and a string of capital projects.

"Inflation played a role, particularly last year and the year before," Fisher said. "There was also a sharp line at COVID when we got lots of money that increased the budget but didn't necessarily increase property taxes each year."