Beverly council to cover strike-related school costs with $628,693 free-cash transfer

The Beverly City Council voted to transfer $628,693 from the citys certified free cash balance into the Beverly Public Schools operating budget to cover costs associated with the teachers strike last fall.

City Finance Director Bridal Ailes told the council the funds will allow the school department to absorb strike-related expenses without drawing on other operating accounts. "The order you have before you this evening is a request to transfer 628,693 from the city's reserve for free cash to the school operating budget to cover costs associated with, the strike that occurred last fall," Ailes said.

Why it matters: Councilors and staff said paying the bills now is preferable to leaving liabilities on the books at fiscal year-end, which would reduce next years certified free cash and either raise the tax rate or force service reductions. Budget analyst Jerry Perry recommended the transfer, calling it the correct accounting step: "If we do not pay this, it'll be a liability to be on the books on June 30. It will reduce our free cash. And then for the tax rate come next November, December, we're gonna have to pay for it anyways."

What the transfer covers: City staff provided a line-item summary in committee and at the council meeting: - Police details: $214,960 (premium rates paid under the police collective bargaining agreement during strike-related gatherings) - Legal costs (strike-related): $82,317 - Student meal costs for days schools were closed: $12,023 - Weekend and holiday custodial overtime during negotiations: $4,455 - Non-school-day locked-out labor costs: $165,850 - Increased parental-leave costs (retroactive to the settled agreement): $48,871 - Saturday makeup-day overtime and related costs: $100,217 Total: $628,693.

School and community perspectives: Dr. Cherchek (school official) and Emma Pugliese (new director of finances for the city) attended the hearing. Ward 6 School Committee member Lorinda Visnick, speaking as a resident, urged the council to remember the community impact of the labor dispute: "Our community has been torn apart in ways that I'm not sure will heal anytime soon," she said, and defended the district's communications choices during the strike.

Attempts to recoup costs: Councilors asked whether any portion of the $810,000 in fines levied by the State Employee Relations Board (SERB) against the teachers' association could be returned to the city to offset these expenses. Dr. Cherchek said SERB and the teachers' association were discussing payment plans and possible arrangements, but she did not provide a definitive mechanism for the city to recover strike costs. Budget staff said they will investigate whether any fine proceeds could be applied to municipal costs and report back.

Council action and timing: The finance committee recommended approval; the full council approved the transfer (final tally reported in the minutes as 8 yes, 1 no). Budget staff emphasized urgency: police detail invoices in particular are awaiting reimbursement.

Next steps: The council referred the matter to the finance and property subcommittee for final action paperwork; staff said they will follow up about potential SERB recoveries and provide a more granular breakdown of detail shifts and legal invoices if requested.

Ending: Councilors who said they opposed the transfer during debate said they did not want to leave the costs unpaid but expressed disappointment at the size of outside legal and PR expenses. Supporters said the transfer conforms to the city's financial policies for one-time expenditures and preserves operations across departments.