The Northfield Budget & Financial Review Subcommittee met to review the town's proposed FY2026'27 budget, calling attention to rising audit and legal costs, questions about ambulance revenue, and the fiscal impact of upcoming capital matches.

Committee members were told the 2024'25 audit will cost about $45,000 for a standard audit plus $7,000 for a single-audit requirement; those charges will hit the 2025'26 year. Legal expenses have also been unusually high this fiscal year—billed legal work already totals about $31,000 through mid-year, and members asked for a counsel briefing to better quantify likely FY2026'27 exposure.

Revenue estimates include several volatile lines. Staff reported an unusually large spike in zoning-permit revenue in 2024'25 and recommended caution raising recurring estimates. The ambulance department billed roughly $1.25 million in 2024'25 but the committee learned about substantial write-offs: approximately $81,735 in bad debt was cited as a significant driver of unrecovered revenue.

On capital, the Main Street project was discussed as a multi-million-dollar undertaking with Northfield's share estimated at about $600,000. Committee members noted that reserving that match from capital funds will reduce the interest earned on CIP balances, lowering non-tax revenue that has helped offset operating costs in recent years.

Members asked staff to refine several lines before printing the town warning: audit and legal forecasts; ambulance revenue and bad-debt assumptions; and the town's proposed match for Main Street and paving grants. The subcommittee scheduled a follow-up capital meeting to finalize CIP adjustments before the full selectboard's January schedule.

“The audit cost for the 24/25 audit increased to $45,000 for a standard audit plus $7,000 for a single audit,” a staff member said during the review. The committee adjourned after agreeing to reconvene to finalize capital recommendations.