By Beth David, Editor
Fairhaven Town Administrator, Keith Hickey, presented a grim picture of the town’s budget to the Select Board at its meeting on 1/12/26. Chairperson Charles Murphy, and member Andrew Saunders were both absent.
Mr. Hickey presented the budget calendar for FY27 and said department heads have submitted two budgets: One is a budget that funds department costs based on current services provided, the other is a level funded budget (same amount funded in FY26) with an explanation of which services will be affected.
The presentation numbers on Monday were based on historical increases and include wage adjustments, health insurance increase (15%), and increase to the school budget (3.6% + $200K for NB Voc-Tech and Bristol Aggie). The overall budget increase is 4.3%. State revenues are estimated at 5.7% higher than FY26.
Based on those assumptions, expenditures for FY27 are $64,894,290. Revenues are projected to be $63,231,511
Mr. Hickey said the presented budget is a worst case scenario. He said several factors could change the numbers: new growth may be more than average due to the Department of Revenue completing their five-year tax evaluation, which would result in the town being able to raise more on the tax levy (property taxes); the state aid to cities and towns (Cherry Sheet) may come in higher; local receipts (excise taxes, building permits, etc.) may also come in higher.
He added, however, that it was unlikely that the town could find $1.6 million in savings/revenue to make up the difference without cutting services.
The presentation projected revenues and expenditures out to FY31, with that year showing a $9.2+ million deficit.
Mr. Hickey said that the “lion’s share” of Fairhaven’s property tax base is residential. If the town could get some kind of industrial businesses that the residents would support, that would help take some pressure off residents.
The discussion then turned to the possibility of a Proposition 2 1/2 override. Prop. 2 1/2 is a state law that limits the amount municipalities can increase taxes to 2 1/2 percent of the previous year’s overall tax levy. The law has been in place since 1980. Municipalities can override the limit. In Fairhaven it requires a vote at Town Meeting to get it on the ballot and then a townwide vote.
Fairhaven Town Meeting passed a $450,000 override attempt in 2023, but it failed at the ballot box by a resounding 1423–690 vote, with 16.6% of the electorate voting.
SB Vice Chair Andrew Romano said he would support an override, but noted that last time around a lot of people felt it was just a “bandage and not a solution.”
He asked if they would be asking for a break-even year or to get ahead.
Mr. Hickey said the it would be a discussion with the SB and Finance Committee. He suggested a two-year fix.
Mr. Romano said if there is any chance of getting an override, it would have to be with the active participation of the SB, teachers, unions. He said they need to rally that participation.
“We all understand how it is to live on a tricky budget,” said Mr. Romano, noting the board has self employed and retired people.
He also said they have to recognize that they are sitting in “this marvel of a structure to have this meeting.”
“We all have to be aware of the benefits of living in this town,” said Mr. Romano, adding that every department is having the same discussion.
He said there is no more fat to cut in the budget.
Mr. Hickey added that if the override does not pass, they will have to cut every department, including public safety.
SB member Natalie Mello said they needed to get started to get the word out immediately.
Mr. Hickey said he would schedule information sessions, use social media and Cable TV, and hold coffee hours with residents.
The meeting is available on FairhavenTV.com and the presentation is included
In another matter, the board appointed Patrick Carr to the Capital Planning Committee as the Construction Representative. Mr. Carr made his case for his appointment, talking about his business experience.
Departments have made $21 million in capital requests. Mr. Carr said his business experience will help him prioritize projects.
He said when it’s their own money, people spend wisely, when it’s the town’s money, maybe people are not necessarily making sure it is spent wisely.
Mr. Romano voiced his concern about Mr. Carr facing conflicts because of the other committees he is on. Mr. Carr said he would recuse himself if there is a conflict.
Mr. Romano also voiced his concern about appointing a Planning Board member to another board before the investigation into the Timothy/Hiller debacle is completed.
Mr. Carr said that town hall staff members were also being investigated. He said by Mr Romano’s logic, the board would not be able to move forward with anyone “from here.”
He said he had nothing to hide and was not worried about the investigation, and it has nothing to do with capital planning. If there is a violation, the SB, as the appointing body, can remove him, he said.
In the end, SB member Keith Silvia made the motion to nominate, Mr. Romano seconded the motion and the two voted in favor, with board member Natalie Mello voting, “no.”
The board failed to appoint Cathy Melanson to the Zoning Board of Appeals as an Associate member. Mr. Silvia made the motion to appoint, but it did not receive a second, so the motion died.
The board also unanimously approved a liquor license transfer for South Coast Wine and Spirits, 355 Huttleston Avenue, to Shree Ashtavinayek, Inc.
Mr. Hickey announced that the Harbormaster had secured $1 million in grant money for the remaining work at Union Wharf. The town will have to provide $280K for the balance.
The public works department also received funds to pave the parking lot at the Pease Park boat ramp.
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