New Canaan Council approves $184.5 million budget, 10-2
Town Council · Meeting of April 14, 2026
New Canaan Town Council adopts $184.5 million budget, 10-2, after a late school insurance windfall. Superintendent Dr. Lutzy told the council a reforecast of health claims cut the Board of Education's insurance costs by $1,858,000, bringing its year-over-year budget increase down to 2.31 percent from an original estimate near 4.5 percent.
Council member Kim Norton called it "really remarkable," while dissenter Mike Rogers said he "would have rather that money been pushed out" and returned to the town later if unused. The council separately approved $560,000 from the affordable housing trust fund for security cameras and repaving at the Housing Authority's Milport properties, and agreed to pause any expansion of downtown parking meters onto streets other than Elm Street after merchants objected. Total taxation was set at $168,918,990 with a 98.5 percent collection rate.
In the full story:
- The complete report — 1,182 words
Source: the Town Council meeting of April 14, 2026, reported from the official video recording and transcript.
The Full Article
NEW CANAAN — April 14, 2026 — The New Canaan Town Council voted 10-2 Tuesday to approve a $184,471,451 general fund operating budget for fiscal year 2027, capping months of review that included a late reduction in the school district's projected health insurance costs.
The council also voted unanimously to give the Housing Authority of New Canaan $560,000 from the affordable housing trust fund for repaving and new security cameras at the Milport properties, and agreed informally to pause consideration of expanded parking meters downtown after hearing from merchants opposed to the idea.
The Full Story
Superintendent of Schools Dr. Lutzy told the council the district's projected health insurance claims for next year have come down by $1,858,000 since the budget was first built, the result of a late reforecast using seven months of actual 2026 claims data instead of the three months available in December. Combined with other adjustments, the change brings the Board of Education's year-over-year budget increase down to 2.31 percent, or $2.628 million, compared with an original working estimate near 4.5 percent. A separate, one-time $500,000 transfer from the district's internal service fund to the town's general fund will further reduce the tax impact but is not counted in that percentage.
Council member Kim Norton pressed Lutzy on whether $500,000 in assumed staff turnover savings, built on an unusually high 12 retirements this year against four anticipated when the budget was drafted, could end up affecting classrooms. Lutzy said he was comfortable with the number after spending more than an hour reviewing it that day with benefits consultant Joe Spurgeon, and noted the district has not had a single claimant hit its $300,000 stop-loss threshold this year, calling it "very unusual and it's good news." Council member Lena Lee asked Lutzy to walk through why the district's claims projection improves each year as the budget calendar advances; Lutzy said the district's plan year begins September 1, so each additional month of real spending data before a final council vote sharpens the forecast.
Mike Rogers and Lena Lee cast the two dissenting votes on the overall $184,471,451 budget, which also includes $43,524,887 for town department operations, $116,425,765 for Board of Education operating and health insurance costs, $18,530,152 in debt service and $3,119,000 for the library, among other lines. Rogers said he was uneasy with the size and timing of the insurance reduction.
Earlier, the council unanimously approved $560,000 from the affordable housing trust fund for the Housing Authority, which manages the roughly 110-resident Milport complex. Housing Authority Chairman Scott Hobs said the money will repave deteriorated parking lots and add security cameras to help resolve disputes over vehicle damage and other incidents. He said the trust fund, seeded by a construction fee under the state's 8-30g affordable housing statute, will drop from about $725,000 to roughly $165,000 after the award.
On parking, the chairman said the council had received significant opposition over the prior four to five days from downtown merchants concerned about the effect of expanded metering on their businesses, and proposed pausing further action. Council member Christina Ross clarified the discussion concerned only the possible installation of parking meters on streets other than Elm Street, not existing parking policy. Council member Maria Nutton suggested the Parking Commission take another look at Main Street, and council member Jennifer Zonas asked to see traffic-flow data on the Elm Street change before any further votes. Council members said they had received a legal opinion from the law firm Burch and Moses confirming that under the town charter, the Parking Commission's role is advisory, with any expansion ultimately requiring recommendations to the Police Commission and Board of Selectmen.
The council also revisited a stalled raise for the town clerk and treasurer, which it approved a year ago but which has not taken effect. Ross said the raise was never formally brought to the Board of Finance for the final approval state law requires when an elected official's salary is not set before an election, unlike the first selectman's raise, which the Board of Finance approved separately. The chairman said the Board of Finance is expected to act in May and that the raises, funded from the town's contingency account, will be retroactive.
"I would have rather that money been pushed out, and if it's left over at the end of the year, returned to the town like it's done in the past." — Mike Rogers, Town Council member
"It just helps tremendously to be able to have some sort of a record to resolve things, and just make it a more peaceful and better place to live." — Scott Hobs, Housing Authority of New Canaan chairman
"I've been following budgets all over New England, and this is really remarkable." — Kim Norton, Town Council member
Why It Matters
The approved budget sets the amount to be raised by taxation at $168,918,990 against a 98.5 percent collection rate, with the district's $1,858,000 insurance reduction and a $500,000 fund transfer both working to hold down the tax rate. Under the town charter, the budget takes effect eight days after publication unless a referendum petition is filed within seven days.
The parking pause leaves in place only the existing Elm Street meters while merchants and the council wait to see how a full year of downtown metering affects business before any expansion decision, which could return as soon as next year's budget cycle. Also unresolved: the retroactive town clerk and treasurer raises the council approved a year ago, which require a separate Board of Finance vote expected in May before employees see the money.
Key Motions & Votes
- Vote: Approval of minutes for the March 31 and April 2, 2026 meetings Tally: Approved unanimously - Vote: $560,000 from the affordable housing trust fund to the Housing Authority for Milport capital improvements Tally: Approved unanimously - Vote: General fund operating expenditure budget of $184,471,451 for fiscal year 2027 Tally: For: 10, Against: 2, Abstain: 0, Total: 12 - Vote: General fund non-tax revenue budget of $10,552,461 Tally: Approved unanimously - Vote: Fund balance contribution of $5,000,000 Tally: Approved unanimously - Vote: Amount to be raised by taxation of $168,918,990 Tally: Approved unanimously - Vote: Property tax collection rate of 98.5 percent Tally: Approved unanimously - Vote: Sewer fund revenue and expense budget of $2,198,400 Tally: Approved unanimously - Vote: Other funds revenue budget of $2,522,850 Tally: Approved unanimously - Vote: Other funds expense budget of $2,571,470 Tally: Approved unanimously - Vote: Fiscal year 2027 capital projects funded by tax support, $582,343 Tally: Approved unanimously - Vote: Fiscal year 2027 capital projects funded by bonding, $16,500,714 Tally: Approved unanimously - Vote: Fiscal year 2027 capital projects funded by other sources, $2,491,096 Tally: Approved unanimously - Vote: Total fiscal year 2027 capital plan of $19,574,153 Tally: Approved unanimously - Action: Further consideration of parking meters on streets other than Elm Street — Tabled pending merchant feedback and traffic data, expected no earlier than the next budget cycle
Source
Town Of New Canaan: Town Council meeting, April 14, 2026