Several Town Councilors expressed concern last week about the idea of limiting town budget hikes to 2%, a proposal offered by Councilor Joel Martin. Martin’s idea for a freeze on hiring as a cost-saving measure was also met with reservation.
Martin suggested the 2% cap on increases to the 2027–28 municipal operating budget after hearing concerns residents raised during the Sept. 15 Budget Listening Session. Approximately 40 residents attended the session in person or online, and of the 10 who spoke, nearly all objected to the 13.3% increase in the 2026-27 budget and its effect on property taxes.
But three of the five councilors at the Sept. 22 Town Council meeting questioned whether a cap was necessary – or whether 2% was the appropriate limit – and warned that a hard and fast limit could create unrealistic expectations and could be difficult to enact.
“I don’t think we need to provide anything formal” to the staff, said Council Chair John James. “We have worked with the town manager in the past and have produced flat budgets. I don’t like locking in 2% because I don’t know if that is realistic.”
Councilor Paul Schumacher had the same question about whether it’s a realistic number.
“But I do think we need to provide guidance to the interim town manager that we need to do some belt-tightening” Schumacher said. “We need input from the staff on what a reasonable number would be.”
Mallory Cook, council vice chair, expressed caution about a 2% cap creating expectations difficult to meet.
“I don’t want to set the council up to make a promise to taxpayers that we cannot come through on,” Cook said. “What happens if we say 2% and then health care comes in at 9%? If we commit to a number, that’s exactly what people are going to expect, and I cannot sit here and confidently say we’re going to be able to deliver on that.”
Councilors pointed out that some budget items are non-negotiable, like health insurance, fuel costs for the Public Works Department, and an anticipated 7% increase in the Police Department budget.
Martin responded, “I’m not married to the 2% but I think this is something we owe the taxpayers – to charge the town manager with communicating now to department heads to do some creative accounting.” He said he is is also open to limiting budget increases to the cost of living.
Tony Palazzetti, of Whitetail Drive, said he has supported a budget cap but believes Martin’s proposal is premature. “I think Jennifer clearly understands where the public’s sentiment is when it comes to the budget,” he said, referencing Interim Town Manager Jennifer Janelle.
Palazzetti recommended changing the budgeting process to include public input and preliminary information from department heads identifying fixed costs like salaries, health insurance and snow removal.
“And then the council can say, okay, these are things driven by contracts and the economy, and these are the things we have some flexibility with,” he said.
Janelle responded, “I have talked with department heads. They all know we need to push the brakes as much as we can and only ask for must-haves and not wants, and they are all onboard. I’m happy to see if we can reach 2%.”
The second of Martin’s proposals considered by the council would prohibit adding new full-time, part-time, seasonal, temporary or permanent municipal positions to the 2027–28 budget.
James said he’s worried such a measure would prevent Public Works from taking on new staff, like temporary sidewalk shovelers needed for winter weather conditions.
Cook is concerned about how the message of a hiring freeze would be received by residents.
“We can say we are going to have a hiring freeze, and I don’t think it is going to be understood. When we hire a town manager, people will say, ‘why are you hiring a town manager when we are in a hiring freeze,’ and that becomes just another thing we have to explain.”
“We’re trying to limit spending, and I think we can do that by saying we don’t want to exceed a cost-of-living increase,” said Schumacher. “I’d rather just leave it to a limit on spending.”
Tamre Steinhauer, of Hill Drive, thanked the council for both proposals and said, “Personally I think if people heard there would be no new positions they would stand up and cheer. I feel like the council has always rubber stamped whatever the manager brings to you, and now you need to be gatekeepers.”
Councilor Sam Flinkstrom offered to draft a statement, in cooperation with Martin, identifying mandatory spending obligations, as well as any council priorities such as economic development, planning, and public safety, for the 2027–28 budget.
“We should provide a target for the budget but also give (the manager) a prioritization list,” said Flinkstrom.
