PORTSMOUTH — Although the books are not yet closed, the town apparently ended the 2021-22 fiscal year with a large surplus — somewhere in the vicinity of $800,000 or so.

Andrea Terkelse, interim finance director, revealed the surplus during a monthly finance report to the Town Council Monday night.

Terkelse credited better-than-expected revenues in several budget line items are the primary reason for the extra revenue.

Revenues from the real estate transfer fees, for example, were budgeted at $500,000 but ended up at $954,650, or $454,650 (191 percent) more than what was anticipated. “If we look at our actual figures for real estate, that is one of the larger surplus items, which is terrific,” Terkelse said.

Building inspection fees were budgeted at $343,763, but the town ended the year with $522,776 — $179,013 (152 percent) over.

Terkelse said the final results of the budget’s general fund are not yet ready, however, adding she’d like to take a closer look at the line items with the largest surpluses. “This is a preliminary year-end look at the general fund results. I say preliminary because we are still looking at a number of year-end items,” she said.

IN OTHER COUNCIL NEWS: Portsmouth delays vote on resolution opposing Mayflower cable.

Larry Fitzmorris, president of the taxpayer watchdog group Portsmouth Concerned Citizens, said that under his calculations, the year-end surplus currently stands at about $810,000. He acknowledged Terkelse’s opinion that the surplus will probably come in lower than that when all the calculations are completed.

“However, I don’t anticipate that this is going to be reduced substantially,” Fitzmorris said. “So I will say at the beginning, congratulations to the administration and the council for the surplus, which is better than a deficit every day.”

However, Fitzmorris noted the town has been running a large surplus for the third year in a row, and the council needs to take a closer look at the reason why.

“I’d like to remind council and the administration that when we run a large surplus, that means we taxed heavier than we needed to do,” he said.

Zoning amendment

In other business during the council’s brisk, 34-minute meeting Monday, the council voted unanimously to refer a proposed amendment to the zoning ordinance to the Planning Board for an advisory opinion.

Attorney Cort Chappell said the proposed amendment, which follows a new state law, would expand the jurisdiction for planned resort development to include the lots currently housing the Aquidneck Club south of Willow Lane. Currently, such development is limited to the area bounded by Willow Lane, West Main Road, Bristol Ferry Road and the Mt. Hope Bridge, and one other lot on the Middletown line, according to an Aug. 5 letter from Chappell to the council. 

The Planning Board, which next meets on Sept. 14 and Oct. 12, would get input from the Planning Department before forming an advisory opinion. The feedback would go back to the council, which would advertise for a public hearing to consider the changes. Under the rules, the hearing should be held within 65 days of the receipt of the proposal.

Chappell started detailing a brief history of the goings-on at the resort, “which I will always call Carnegie but is now called the Aquidneck Club.” However, he was cut off by Town Solicitor Kevin Gavin, who said due to threats of litigation, the council should address only the issue of sending the matter off to the Planning Board.

The council voted 7-0 to do just that.

Solar changes tabled

The council voted unanimously, at Town Planner Lea Hitchen’s request, to table action on a request to submit proposed modifications regarding zoning for solar energy systems to the Planning Board for an advisory opinion. 

Hitchen said she requested the continuance to further study and vet the issue. There are some procedural questions she wanted to confer with staff on, she added.

In an Aug. 16 letter to the council, Hitchen said she and staff members met with several residents on July 21 regarding additional modifications that could be made to the solar ordinance.

“These amendments include addressing ambiguity of screening and buffer areas, lot coverage limitations for medium and large solar projects, setback requirements from private and public wells, and general language to deal with solar projects over the course of the installation,” she stated in the letter.

Manager’s goals

The council voted 7-0 to approve a list of goals and priorities for Town Administrator Richard Rainer, Jr. in 2022-23.

They include addressing staffing shortages, continued transfer station operation versus curbside pickup, contract for continued operation of the Glen Manor House, continued involvement in planning for re-pavement of East Main Road, advance plan for renovation of Weaver Cove, transfer of Old Stone Bridge and Teddy’s Beach from R.I. Department of Transportation to Portsmouth, development of Island Park and Portsmouth Park storm drain and catch basin repairs, prepare fiscal year 2024 budget, labor negotiations, and continued talks between the town and Church Community Housing regarding the construction of a new senior center and affordable housing complex. (The last item was added Monday night.)

“This is a pretty good game plan for the year,” said Council President Kevin Aguiar. He cautioned, however, that the goals and priorities for the administrator could change “week to week, day to day.”

Vehicle tax reminder

Rainer, in his administrator’s report, reminded taxpayers of the motor vehicle excise tax phaseout. 

“We’ve been getting a lot of inquiries from people about the motor vehicle excise tax,” Rainer said. “As you’re aware, the state budget has been passed officially into law. This is a reminder that the new budget law replaces the last year of the motor vehicle phaseout and completes that program one year earlier than planned, so there will be no more motor vehicle tax bills.”

Resignation accepted

The council accepted with regret the resignation of Philip Driscoll as the town’s fence inspector.

Future meetings

The council will travel to Prudence Island on Saturday, Sept. 10, for its annual meeting to discuss island-wide concerns. The meeting will run from 10 a.m. to noon at the Union Church.

The council will also meet at 7 p.m. on Monday, Sept. 12; Monday, Sept. 26; and Tuesday, Oct. 11.