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Candia board delays 2.7% COLA decision until March; will make retroactive if budget passes

Candia Select Board · January 26, 2026
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Summary

The select board voted to delay implementing a proposed 2.7% cost-of-living adjustment until March and agreed to retroactively apply it if the operating budget is approved, citing budget tightness and revenue timing concerns.

Town staff presented the estimated cost of a proposed 2.7% cost-of-living adjustment (COLA) effective Jan. 1, saying it would add about $12,654 to payroll in the first quarter if applied immediately. Committee member (S3) summarized the calculation and noted the figure depends on payroll and timing.

Board members discussed the tradeoffs of granting the COLA immediately versus delaying until after the operating budget vote. Chair (S2) and others noted the town's budget is "very tight," and that if the operating budget defaults the COLA could not be included. Staff (S6) said recent changes — including higher ambulance fees and future Main Street condo taxes — will affect revenue timing but do not eliminate near‑term constraints.

After discussion, the board agreed to a motion to delay the effective decision until March. The motion specified that if the operating budget is approved, the board would make the COLA retroactive to Jan. 1 and pay backpay accordingly; if not, the board would consider alternative adjustments. The board's motion to wait and retroactively apply the COLA if the budget passes was approved by the members present.