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Norwood budget panel approves FY27 plan using $7.37 million in free cash
Summary
The Town of Norwood Budget Balancing Committee voted 4–0 on March 2 to approve an FY27 budget that uses $7,368,224 in free cash after updated health-insurance pricing and an increased school assessment shifted earlier projections.
The Town of Norwood Budget Balancing Committee voted 4–0 on March 2 to approve an FY27 budget that relies on $7,368,224 in free cash to balance the town’s books, after updated insurance pricing and a higher school assessment altered earlier estimates.
Jeff, staff presenting the committee’s numbers, told members that the state health plan (GIC) recently voted to exclude GLPS weight-loss coverage and table other plan design changes, and that staff used an assumed 8.5% health-cost increase for modeling. He said an additional email from Blue Hills added roughly $500,000 to the town’s obligation because of 18 additional students, bringing Blue Hills’ assessment to about $2.5 million. "We got the actual ask of free cash at this time down to 7,368,224," Jeff said as he reviewed revenue and expenditure changes.
Sarah, a member of the Budget Balancing Committee, summarized a persistent concern from FINCOM: "we were still using $7 million of free cash to balance a budget," she said, noting that the practice departs from the town’s financial policies but that residents and other officials might resist large cuts or tax overrides while a substantial free-cash balance exists.
Committee members described revenue adjustments that helped the calculation: ambulance receipts were raised to 99% of the two-year average (about $2.849 million), and licenses and permits were modestly increased to $1.6 million. Those adjustments, combined with updated insurance and school-assessment figures, produced the $7,368,224 free-cash requirement.
A motion to approve the budget as presented — specifically to balance FY27 using $7,368,224 in free cash — was offered and seconded. The committee conducted a roll-call vote; the motion passed 4–0. The committee then thanked staff for updating figures and adjourned; members said they expect to continue discussions at the Board of Selectmen review and in follow-up budget meetings leading to Town Meeting.
The committee’s action authorizes the use of the specified free-cash amount for FY27 pending any further review by the Board of Selectmen and the presentation to Town Meeting, which sets final appropriation decisions.
