Town Council approves $42M budget with significant capital outlay and staffing changes

Merrimack Town Council has taken significant steps to address community infrastructure and budgetary needs during the Town Deliberative Session held on March 12, 2025. Key decisions made during the meeting will impact local services and financial planning for the upcoming year.

One of the most notable resolutions was the approval of a $45,000 loan aimed at developing a conceptual engineering design and cost estimate for updating the aging Penny Chuck water pump station. This initiative is expected to enhance the town's water infrastructure, ensuring reliable service for residents.

The council also discussed the proposed operating budget for the fiscal year, which totals $42,863,616. This budget reflects a projected increase of 31 cents on the tax rate. Major factors contributing to this increase include a $510,000 rise in wages and benefits due to contractual raises for union employees, as well as a $930,000 increase in capital projects, which includes the construction of an 800 megahertz communication tower to improve emergency services communication.

Additionally, the budget outlines a $1,315,000 increase in debt service, primarily related to the nearly completed $33 million wastewater upgrade project. The council emphasized the importance of these investments in maintaining and improving town services.

The session also covered the establishment of capital reserve funds, which serve as savings accounts for major expenditures like fire trucks and police vehicles. This approach allows the town to avoid costly bonding and take advantage of state funding opportunities for infrastructure projects.

In a separate discussion, the council addressed the creation of a committee to manage approximately 30 acres of forest land, as specified in a will from a local benefactor. This committee will oversee forest management and potential revenue from timber sales, although concerns were raised about environmental studies and the inclusion of the conservation committee in the decision-making process.

Overall, the deliberative session highlighted the council's commitment to addressing infrastructure needs and managing the town's budget effectively, ensuring that Merrimack continues to provide essential services to its residents. As these articles move to the ballot, community members will have the opportunity to weigh in on these critical decisions.