Fuel-cost increase creates empty feeling.

Byline: Paula J. Owen

ASHBURNHAM - The fiscal year that starts July 1 is off the mark on fuel costs by at least $1 a gallon, and uncertainty as to how high oil costs will go has town departments tightening their belts and watching spending.

This fiscal year, the Police Department used about 900 gallons of gas a month at $2.30 a gallon and budgeted for the same quantity a month in the coming budget at $3 a gallon. Other departments underbudgeted for fuel by at least $1 a gallon, according to budget figures.

"We're already a dollar off and we haven't started the new budget," said Selectman Margaret L. Whitney.

"We're really going to have to be lean and mean and watch our pennies," she said. "Everyone has to do their share."

In a May 29 memo, interim Town Administrator Paul G. Boushell wrote, "As we prepare to close the books on FY08, I am directing that any spending for the remainder of this fiscal year be approved by my office."

Last year, a similar memo went out to town departments on July 3 saying discretionary spending should be curtailed and any purchases over $1,000 approved by his office.

"He was already preparing," Mrs. Whitney said. Before being elected April 29, Mrs. Whitney served on the Advisory Board, which functions as the town's finance committee.

"We still need to fill that tank at the public safety building," Mrs. Whitney said. "It's a 10,000-gallon tank. Can you imagine what that is going to cost?"

On June 30, the town accountant will close the books for this fiscal year and the town will know how much money is available in free cash, Mrs. Whitney added.

At a recent selectmen's meeting, Advisory Board Chairman Francis Johnson voiced his concerns over rising fuel costs, saying the town should begin working on the shortfall as soon as possible.

With the School Department bidding for fuel this week, the town will have a better handle on fuel costs, which Mr. Johnson said would be an "ugly" number in fiscal 2009.

Mrs. Whitney said the town with have to live below its projected budget, not just within it, to make up for the costs.

"People are having to do it at home with the rising costs of fuel and food," she said. "It's the trickle-down effect. We need to be prepared."

To prevent possible layoffs, Mrs. Whitney said the town must look at cuts , including funding for professional development.

"People are going to have to watch everything," she said. "I would rather they watch their spending habits than have an employee lose their job if revenues do not meet expenses."

NAME: ASHBURNHAM SELECTMEN