Finance director presents preliminary tax rate; board backs 3% wage increase and asks capital-reserve options

Finance Director Maggie Frizzell reviewed the town's preliminary tax rate calculation from DRA and updated the Select Board on the municipality's fund-balance position ahead of the 2026 budget cycle. She told the board FEMA reimbursements and recent trust-fund withdrawals will affect the current balance and explained how the town will seek reimbursements for capital-reserve expenses going forward.

Town Manager Jessica Cyr outlined changes to the proposed 2026 budget, saying the health-insurance lines will reflect only the town's share of the premium rather than total premiums or employee contributions. Cyr said she briefly proposed doubling the capital-reserve funding request but returned the figure to a level-funded amount after reviewing rate impacts.

Select Board member Kathy-Jean Lavoie pressed for alternatives showing increased contributions to capital reserves and asked staff to prepare options at 25%, 50% and 75% funding levels for the budget committee. Lavoie also noted a 3% across-the-board wage increase would raise the municipal rate by $0.17, which the board characterized as approximately $17 per year on a $100,000 home and $34 per year on a $200,000 home. The board voted to include the 3% increase in the draft budget to be forwarded to the budget committee for review.

The meeting record also notes that a planned purchase of a fire chief vehicle stalled after grant funding fell through, a change the board said would be reflected in equipment and capital planning.

What happens next: staff will present the revised budget and the requested capital-reserve funding scenarios to the budget committee before the town meeting, where voters will consider any bonding or warrant-article funding requests.