Abington Faces $7.7 Million Budget Deficit for Fiscal Year 2027
Select Board authorizes Town Manager to begin restructuring departments and staff cuts as officials prepare for potential override election to address massive shortfall.
ABINGTON - July 10 - Abington officials confront a projected $7.7 million budget deficit for fiscal year 2027, prompting the Select Board to authorize immediate departmental restructuring and potential staff cuts during their July 10 meeting.
Select board member Kevin Donovan outlined the dire financial situation, explaining that the deficit projection stems from level-funded state aid and declining revenues. The town has relied on one-time revenues for the past two fiscal years to balance budgets.
"As we sit here today, the deficit that we're looking at for FY27, which is a year from July 1st, will be $7.7 million," Donovan said. "That iteration is going to go through 89 different variations before we come to the final of it, but it's going to tie into what the motion I'm going to make."
The board unanimously approved a directive requiring Town Manager Scott Lambiase to begin implementing restructuring measures immediately. The motion specifically targets positions previously funded by the American Rescue Plan Act that have been absorbed into the town's general operating budget for fiscal year 2026.
Donovan emphasized the urgency of beginning the restructuring process, noting that the fiscal year 2026 budget took effect July 1. The town manager has 10 days to report back to the Select Board Chairman identifying affected positions and implementation plans.
"It is imperative to begin implementing the initial phases of the restructuring process to eliminate this absorption, including any services or positions," Donovan stated in his motion.
The Select Board also directed Lambiase to work with labor counsel to ensure compliance with employment obligations regarding the restructuring directive.
Looking ahead to addressing the budget crisis, Donovan proposed a "menu approach" for a potential override election that would allow voters to decide department by department how to spend their money. This strategy differs from traditional single-question override votes.
"I am not in favor of a one-size-everybody-in-it-together type override that has been done in the past," Donovan said. "I think that's important. It's incumbent upon us, and we'd be derelict in our duty if we did not do this, is to give the people the chance and the opportunity to decide, based on their own pocketbook, what services they feel as though they can afford."
The board plans to move town meeting up by one month to provide the finance committee adequate time to review budget figures. Officials hope to structure a warrant that presents voters with a base budget using available funds, followed by department-specific override questions.
Donovan cited his experience with similar budget crises in other communities, describing the process as "very messy" but necessary. He referenced a successful menu approach implementation during his tenure in Kingston.
The financial challenges stem partly from stagnant state aid, which has increased only 2.2% and 1.6% in recent years. Officials expect level-funded state aid unless the commonwealth provides additional revenue.
Last year, the town was able to balance its budget using $4 million in certified free cash. However, discussions with the Town Manager and Finance Director indicate this year's free cash certification will be significantly lower.
The board also established new oversight measures, requiring quarterly budget reports from department heads beginning in September. Donovan specifically requested reports from the treasurer on account reconciliation progress, citing concerns about delays that affected free cash certification timing last year.
"I want to see how they're trending," Donovan said. "If the trend for that for the first quarter seems to be above where it should be, I would like the department head up here to explain why."
The board approved year-end transfers totaling $909,600 to balance the fiscal year 2025 budget, leaving a remaining snow and ice deficit of $430,090 to be raised on the tax recap.
Officials plan to finalize their approach by February or March 2026, potentially calling for a special election in conjunction with town meeting. The timeline depends on the governor's budget filing in January.
Other Major Items:
• The board scheduled a special election for Nov. 15 to fill the select board vacancy created by Amanda Zompetti's resignation, with nomination papers due Sept. 29.
• Officials approved a new strategy for marketing the North and Center schools, directing town counsel to obtain zoning, conservation, water, and sewer approvals for existing 16-unit development plans before issuing another request for proposals.
• Deputy Police Chief provided an update on train crossing gate malfunctions caused by lightning strikes, which temporarily disrupted traffic before repairs were completed.
• The board appointed Paul Bunker as liaison to both the Affordable Housing Trust and Plymouth County Advisory Board, and approved two new appointments to the Veterans Memorial Trustees.