Portsmouth sets curbside subscription at $620 amid debate over program shortfall; transfer-station accounting restatement revealed $86,000 deficit
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Summary
Councilors voted 4–3 to set the FY27 curbside subscription at $620 after staff disclosed a $234,993 curbside deficit and an $86,000 transfer-station shortfall tied to deferred-revenue accounting. The council also authorized a $50 prorated Prudence Island pass for the remainder of the fiscal year.
Town Administrator Raynor and Finance Director Marsden told the council that auditors and staff identified a prior-year accounting practice that should have treated certain sticker sales as deferred revenue. Correcting those entries revealed an $86,000 shortfall in the Headley Street transfer-station enterprise fund.
Administration proposed a status-quo transfer-station sticker at roughly $321 (rounded to $320) to cover expected operations and to reconcile prior deficits. For the curbside subscription program — planned as a townwide voluntary enterprise fund — staff reported participation at about 3,225 households versus an anticipated 4,000. That participation gap produced a $234,993 deficit for the first year of curbside operations; staff recommended a $620 annual subscription for FY27 to stabilize the program under current enrollment.
The proposal prompted extended public comment. Resident Chris Carsella described the increase as “about a 35% increase” and said the program’s enrollment assumptions were not accurate; he argued the increase would price some residents out of curbside service and urged the town to consider tax-based or hybrid funding options. Other residents raised concerns about shared bin use, recycling rates and whether service costs should be subsidized by taxes.
Councilors debated alternatives including pay-as-you-throw fees, operational savings (for example, re-evaluating the number of gate attendants and whether certain truck/vehicle line items could be reduced) and greater outreach to increase voluntary participation. Councilors also discussed the short-term administrative options for Prudence Island residents and approved a prorated $50 pass for the remainder of FY26 for island households who want temporary access.
Final recorded actions: the council voted to set the curbside annual subscription at $620 (motion passed 4–3) and approved the $50 prorated Prudence Island pass (unanimous). The transfer-station sticker pricing and enterprise accounting adjustments were presented for input and will be incorporated in the FY27 budget; staff said they will return with any recommended changes after ad hoc committee work and the budget hearings.
Next steps: administration will include the $620 assumption in the draft FY27 budget and the ad hoc solid-waste committee will continue to explore operational changes, pay-as-you-throw options and strategies to increase voluntary enrollment.
