Officials explain borrowing options and potential $15k–$20k cost of repeated town-meeting revotes

Discussion at the July 6 Special Town Meeting focused on what happens if voters do not approve the proposed FY27 General Fund budget. Town Manager Brandon Gulnick and Town Treasurer Steve Hier described options including using a tax anticipation note (short-term borrowing) to fund operations while the town schedules additional votes.

Gulnick said the amount to borrow depends on the timing of the next Town Meeting and gave an example of borrowing two months' worth of funds if the next meeting were scheduled two months out. Dr. Murray and others discussed the Selectboard's authority; one figure mentioned in the discussion is that the board may borrow up to 85% of the last approved budget, though that percentage was discussed and not formally cited to a statute at the meeting. Gulnick estimated the administrative cost of repeating Town Meetings and re-votes at roughly $15,000 to $20,000, a total he said would include salaries, benefits, worker's compensation, postage and staff time.

Town Treasurer Steve Hier explained typical tax timing: the Selectboard sets the tax rate and bills are usually sent with the first installment due in August, which shapes how much short-term borrowing might be needed. Residents and committee members pushed back on some of the cost assumptions and asked for clearer breakout of the estimate; Gulnick and Dr. Murray debated which tasks are already uncompensated volunteer work and which drive the forecasted expense.

No formal borrowing action was taken at the meeting; staff indicated follow-up information would be provided to clarify calculations and the legal authority for any borrowing limits.