The Acton Finance Committee convened on September 23, 2025, to discuss critical financial matters affecting the town's capital spending and budget forecasting. A significant focus of the meeting was the methodology used to estimate future capital expenditures, which raised concerns among committee members.

During the meeting, it was emphasized that the capital improvement plan (CIP) should not be solely relied upon for tax revenue predictions. The committee noted that most funding for projects typically comes from grants and other sources rather than tax revenue. Additionally, the use of "free cash"—funds that are available for spending—was discussed. While some of this free cash originates from recycled tax revenue, it does not directly lead to tax increases. The town manager and select board indicated that if free cash is limited, fewer projects would be proposed in that fiscal year.

The discussion also highlighted issues with the ALG (Acton Leadership Group) model, which projected a $12 million budget imbalance in future years. Committee members pointed out that this figure is misleading due to the model's inherent flaws, which inaccurately carry forward net positions from year to year. It was noted that the ALG model tends to present a pessimistic view of the town's financial outlook, as it does not account for potential turnbacks by the town manager until free cash is certified.

In addition to these discussions, a historical expenditures sheet was presented, showcasing actual spending values derived from town meeting results rather than estimates. The data indicated that the town's average expenditure increase over the past ten years was approximately 3.3%, suggesting that the town manager and select board's future prediction of a 4.2% increase may be conservative.

The meeting concluded with a request for electronic copies of the presented materials to be shared with committee members for further review. The committee's ongoing discussions reflect a commitment to improving financial forecasting and ensuring responsible budgeting practices for the town of Acton.