Board of Aldermen adopts fiscal 2026'27 budget, sets 28.67 mills after amendments and 9'6 vote

The Milford Board of Aldermen voted 9'to'6 on May 7 to adopt the city's fiscal year 2026'27 budget and to establish a mill rate of 28.67 mills, after a night of technical adjustments, targeted personnel reductions and debate over tax impacts.

The vote followed a long session in which the mayor and the finance director outlined the financial picture facing the city. "Milford taxpayers have had their taxes increase over nine and a half percent over the prior two years," Mayor Smith said, and described a package of cost pressures including a state'mandated revaluation, an increase in health care claims (described in the meeting as over $6 million), and recently settled salary contracts. The mayor said the administration imposed a spending and hiring freeze and cut roughly $3.5 million from department requests to help contain costs.

The board'level action began when Alderman Pelli moved to approve the board of finance's recommended revenue and expenditure plan with a set of "technical changes" that the finance director summarized as chiefly reflecting: (1) costs from a newly settled Milford Employee Association collective bargaining agreement, (2) an actuarial revision that reduced the pension contribution, (3) updated state grant line items after the state budget, and (4) removal of a previously anticipated Milford power plant PILOT when the assessor confirmed there is no active pilot agreement. The finance director told members the net effect of the listed expense changes in the technical adjustments was an increase in general fund expenditures of $19,181 as presented to the board.

Members then offered and voted on several amendments. Alderman Pelli's amendment to eliminate two unfilled Highway/Parks positions (two truck driver positions) was approved; the finance director said that change reduced the Highway/Parks line by $124,672. A motion by Alderman Belli to remove an unfilled solid waste truck driver position was also approved unanimously. In contrast, an amendment from Alderman Smith III to increase pay and budgeted positions in the finance department (the proponent estimated a net increase of roughly $66,948) failed on a roll call (8 no, 6 yes).

The meeting included a brief procedural point and a clarified funding item for the senior center: the mayor said Representative MJ Shannon had secured $90,000 for the senior center, and the finance director said that money will be recorded in the grant fund and not as a change to the line labeled "elderly nutrition contributions," prompting Alderman Beavenon to retract a proposed one'year $30,000 increase.

Debate before the final vote focused on tax impacts and use of reserves. Alderman Smith III criticized the process and argued the board had not "transcended politics," while Alderman Smith Jr. and others said the adopted budget will raise the tax burden on homeowners. Alderman Healey and other supporters said operational needs across departments justified the adopted approach and said the mayor and staff would pursue efficiencies where possible.

After amendments, the main motion to adopt the budget as amended passed by a 9'to'6 roll call. The board then read and adopted an ordinance formally setting the fiscal 2026'27 budget and establishing the mill rate; the ordinance as read in the hearing set the mill rate at 28.67 mills. The board asked the finance director to finalize calculations and the meeting recessed for that work before voting on the ordinance and adjourning.

Votes at a glance - Main motion (adopt budget as amended): Passed 9 yes, 6 no. - Amendment (eliminate two Highway/Parks positions; Alderman Pelli): Passed unanimously; fiscal decrease reported $124,672. - Amendment (eliminate Solid Waste truck driver position; Alderman Belli): Passed unanimously. - Amendment (increase finance department positions/pay; Alderman Smith III): Failed on roll call (8 no, 6 yes). Recorded roll call for that amendment (as read in the transcript): Alderman Ali (Yes); Alderman Bannon (No); Alderman Beavenon (Yes); Alderman Brennan (No); Alderman Casey (Yes); Alderman Federico (No); Alderman Fowler (Yes); Alderman Healey (No); Alderman Height (No); Alderman Pelli (No); Alderman Michael Smith (No); Alderman Winthrop Smith Jr. (Yes); Alderman Winthrop Smith III (Yes); Alderman Vro (No).

What happens next The finance director will finalize the detailed budget documents and mill rate calculation; the board adopted the budget and the ordinance at the meeting, and the finance director will confirm and post the final numbers to the city's official records.

(Reporting note: dollar figures and some line'item numbers were read aloud in the meeting transcript with punctuation and formatting errors; numbers in this report are presented as the finance director and aldermen stated them in the hearing. Where a transcription affected readability, this article reports the finance director's plain'language descriptions and the rounded/approximate totals given by board staff.)