Merrimac Light Department tells Finance Committee it cannot increase PILOT funds

At a Feb. 25 Finance Committee meeting, Mary Usovich, Merrimac Light Department manager, told members that the Light Department’s budget is separate from the town and that “the Light Department is not able to provide any additional funds to the town” this year.

Usovich and Light Commissioner Norm Denault said the amount the utility can provide through the PILOT program is lower than in prior years as the Light Department faces higher operating costs, including what the department described as unanticipated legal expenses they said the town forced them to incur. Usovich said the Light Department will implement a 2.5% rate increase for customers; employees received a 4% cost-of-living increase and the department maintains a 70/30 health‑insurance split for staff.

The Finance Committee emphasized that the Light Department should take town budget constraints into account in future negotiations, noting that the town cannot match the benefits and increases the Light Department has been able to provide its employees. Usovich said the commissioners will review the utility’s budget at their March 18 meeting.

The Light Department also informed the committee it will appear at an upcoming Town Meeting regarding the sale of 10 West Main Street and the continued renovation of the Federal Way building to relocate its office.

The Finance Committee did not record any formal motion to change the town’s budget in this exchange; the presentation served as information for the Committee as it prepares budget recommendations.