The Select Board reviewed the town manager’s recommended Fiscal 2027 operating and capital budget on Dec. 17, with staff projecting recommended general fund and enterprise fund capital requests totaling about $252.3 million and pointing to room occupancy tax gains as a key revenue source.

Town Manager (speaker 4) and Finance Director (speaker 14) said the recommended general fund operating and capital package totals $170.3 million in projected expenditures and that the capital list includes major items such as Island Home, Somerset sewer work, school projects and town employee housing. The presentation flagged continuing constraints: limited staff capacity, inflation and construction‑cost escalation, and uncertainty about state aid.

The finance director outlined proposed funding sources for capital items: borrowing within the levy, debt exclusions, free cash and other revenues. He showed an illustrative average‑home tax impact for selected debt exclusions: the Island Home borrowing would add about $207.02 annually to the average year‑round homeowner with the residential exemption; the stadium/track project is estimated to add about $139.29 under the presented assumptions; Somerset sewer SRF‑eligible and non‑eligible portions were shown separately to reflect different financing terms.

Staff also demonstrated the OpenGov public budget portal and said a public hearing on the recommended budget will be held on Jan. 14; the board may modify recommendations before the town manager transmits a final warrant to the school committee and the Capital Program Committee’s report in late January/early February.

Why it matters: the recommended capital program contains several high‑cost projects that, if placed on the warrant as debt exclusions, would increase property tax bills for the life of the borrowing. Staff emphasized trade‑offs, noting that some projects may be deferred, phased or funded by alternate sources.

Board response and next steps: board members praised the clarity of the presentation and asked staff to post an interactive tax‑impact calculator online. The Select Board scheduled further review on Jan. 7 and the public hearing on Jan. 14. Staff will return with details about phasing and final cost estimates for projects the board asks to prioritize.

Sources and authorities: town charter section cited in the presentation (Section 4.2.d.3) and budget transmittal materials in the board packet were referenced by staff.