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Town establishes debt‑service/capital stabilization fund and transfers $360,000
Summary
Voters created a special stabilization fund for debt service and capital projects and approved a $360,000 transfer into it, aiming to smooth rising debt service in coming years.
Town meeting voted to create a special‑purpose stabilization fund for debt service and capital projects under General Laws chapter 40, section 5B and to transfer $360,000 into that fund from a special revenue reserve for appropriation.
The motion was presented as a means to smooth increases in debt service anticipated for fiscal 2008 and beyond: speakers explained the town expected debt service to increase substantially in FY2009 and later years and that the one‑time revenues (state incentives and mitigation payments) totaling $360,000 would be better held in a stabilization account earmarked for debt service.
The measure required a two‑thirds vote. Counters reported 183 in favor and 1 opposed; the moderator declared the article passed by more than two‑thirds.
Clarifying details offered at the meeting: the $360,000 combined a $350,000 state incentive, a $25,000 mitigation payment (from a Walgreens agreement) and an estimated $15,000 in legal fees, producing the net transfer amount described in the motion.
What happens next: funds are now set aside in the debt service/capital projects stabilization account to be used in future years to defray anticipated increases in debt service. The Finance Committee had recommended the action.
