Town Council Meeting On 2026–2027 Municipal Budget
When: Wednesday, April 1 at 6:30 pm
Where: Charlestown Town Hall on Route 2 (4540 South County Trail)
What: Special Town Council Meeting to review, and possibly change the 2026-2027 town budget
On April 1, the Town Council will have its first look at the municipal budget recommended by the Budget Commission for the coming fiscal year that begins July 1. At the meeting, the Council will review the budget, and may make revisions.
The Budget Commission has presented a solid budget that provides for the continuation of services, with minimal investments. The overall budget is projected to increase by 4.96%, and the amount of tax revenue that will be needed is projected to increase by 2.5%. Finally, the tax rate is projected to decrease substantially–to approximately $5.02 per thousand dollars of valuation.
How is this decrease possible? The most obvious answer as to why the tax rate can be reduced so dramatically and still generate the funds needed to provide necessary services is that the assessed values of all real estate in the town have again increased–by approximately 21%. The other reason is that some of the town’s savings have been in the past, and will now be used, as revenue.
A yellow caution light is flashing. As last year, the Budget Commission reports that expenditures have continued to increase faster than the income received from taxes and that achieving the balance between a low tax rate and providing necessary services and facilities was “particularly challenging.”
Common sense says we cannot assume that property values will continue to increase. It also goes without saying that drawing down reserves year after year to lower tax rates cannot be sustained over time.
In addition, maintaining an adequate level of savings is essential for the financial health of our town. The purpose of the formal Fund Balance Policy, which was adopted in 2021, is to provide for adequate levels of fund balance to mitigate current and future risks (e.g., revenue shortfalls and unanticipated expenditures) and to ensure stability for town services and tax rates going forward.
In order to budget well, future expenditures, especially for expensive capital projects, must be considered. As noted, the Budget Commission warns that the revenue–expenditure situation has changed. In addition, we face intense pressure from the state to increase housing production of all types, and there is the need to provide for climate resiliency.
Past Budget Commissions and Town Councils prioritized improving town roads, which had been badly neglected for years; saving money to meet anticipated future expenditures; and building a healthy “savings account,” that is, a healthy unassigned fund balance. These goals were met as a result of sound financial management.
In the budget process, a five-year capital improvement plan that is updated annually is required by state law and by the town’s charter. The charter states the following:
The Town shall undertake a capital improvement program process pursuant to the provisions of Chapter 22 of Title 45, Section 7 of the General Laws and to require the Administrator to collect capital improvement program information for a five-year period from the date of the present budget cycle for presentment to the Planning Commission, then the Budget Commission for advisory opinions and, thereafter, to the Town Council for consideration and possible adoption.
It is now time, before the chickens come home to roost, for the Town Council to focus on the development of a five year-capital improvement plan that is based on a current assessment of future needs, that assigns priorities to those needs, and that addresses how these needs will be financed.
- 2026/2027 Budget as proposed by the Budget Commission
- Budget Commission’s transmittal letter and other related items are in the April 1 meeting packet
Bonnie Van Slyke, the author of this post, won a seat on the Town Council in the December 2, 2025 election, and she was sworn in to her Town Council seat at the January 12, 2026 Town Council meeting. You can learn more about Bonnie on her profile page.