Despite expected cuts at least one is hopeful in Saugus

SAUGUS – Like communities across the state Saugus is bracing to get hit with state aid cuts but some town officials are also feeling a little hopeful.
Selectman Michael Kelleher said he spent some time at the State House earlier this week and he was encouraged by what he heard.
Kelleher said it is likely, according to statements made Monday that state aid will be cut by 10 percent after the first of the year. While that doesn’t thrill anyone Kelleher said there might be other news that does. Kelleher said he believes state officials are warming to the idea of a dedicated meal tax, taxing telecommunication poles and, he hopes, bringing slot machines to areas such as Wonderland in Revere.
“Loosening these position would allow us to help ourselves,” he said.
Kelleher has argued in favor of a 1 percent dedicated meal tax for the better part of six years. The idea is 1 percent of the meal tax would go directly back to the community that permits the restaurant.
While restaurant owners have fought any increase in meal tax Kelleher said the cost to diners would be negligible and since it would be statewide it wouldn’t impact any one community unfairly.
He also said that based on 2007 numbers, a 10 percent cut to state aid represents nearly $1 million for the town. Instituting a 1 percent dedicated meal tax would bring in roughly $760,000.
“It would almost negate the aid cut,” he said.
He said allowing communities to tax telecommunication poles is a no brainer.
“It makes all the sense in the world,” he said. “Residents are taxed for their property, why shouldn’t telecommunication companies (be taxed).”
Lastly Kelleher called allowing slot machines at Wonderland is a win-win-win for everyone because it would keep the place viable and keep people working.
Town Manager Andrew Bisignani said Kelleher made a good point but added it is too soon to tell what exactly will happen.
“There are a lot of questions but at this point its all speculation,” he said. “We don’t know what the governor will do . . . hopefully after the first of the year we’ll know better.”
Bisignani said no matter what happens he is prepared to take whatever action needed to keep the town solvent.
“Right now the town is financially stable but that could change at anytime,” he said.
While the tax rate has been set, Bisignani said the Department of Revenue is still keeping the town on a short leash.
He insists if the cuts come he will slash the budget as he did two years ago when he was forced cut $5 million from the budget to make ends meet.
“If I have to I’ll do it again if it means maintaining our fiscal integrity,” he said.
Kelleher, however, said it is his hope it won’t come to that if the new initiatives are approved on the state level.
“Nationally we’ve had to bail out the banks and it looks like we’ll bail out the car companies,” he said. “Massachusetts doesn’t need that we just need access to the tools to help ourselves.”