PLYMOUTH - January 9, 2026 - The Plymouth Select Board delayed a vote on the Fiscal Year 2027 budget Friday night after learning that soaring health insurance premiums and a $1.1 million calculation error had created a significant financial shortfall. Faced with a “bleak” forecast, the Board voted unanimously to direct the Town Manager to present a new budget option that cuts the proposed tax levy increase by 1%—approximately $2.5 million—rather than asking taxpayers to cover the full deficit.
The Full Story
Town Manager Derek Brindisi and Finance Director Lynne Barrett presented a sobering financial picture to the Board, dominated by what Barrett called a “perfect storm” of rising healthcare costs. The primary driver is a projected 14% increase in health insurance premiums, fueled by skyrocketing claims that are currently draining the town’s trust fund at a rate of nearly $5 million per month.
Brindisi highlighted the severity of the situation, noting that fixed costs are swallowing the town’s new revenue growth.
“50% of our new revenue of $14 million is covering just two of our line items. It’s covering our health insurance and it’s covering our pension.” — Derek Brindisi [25:42]
Compounding the issue was a clerical error discovered by Barrett during the budget process. She revealed that incorrect base rates were used to calculate Medicare costs for retirees, resulting in an unexpected $1.1 million gap on top of the already high premiums.
“I was horrified to say the least and very embarrassed... but that’s the reality of what happened.” — Lynne Barrett [41:25]
Barrett explained that the error, combined with a surge in claims—partially driven by high-cost GLP-1 drugs—has forced the town to budget for a dramatic replenishment of its self-insurance trust fund.
The Select Board pushed back against solving the problem solely through taxation or by exhausting the town’s “excess levy capacity”—the safety buffer between what the town is legally allowed to tax and what it actually collects. Chair David Golden argued that exhausting this buffer to pay operating costs would jeopardize the town’s bond rating and leave no room for emergencies.
“If revenue outpaces costs... [families] can’t make money appear out of thin air like we can through something like a Prop 2 ½ override... I think it’s unfair to continue to ask the taxpayer to bear the brunt of this.” — David Golden [01:31:44]
Vice-Chair Richard Quintal agreed, stating he would not support a budget that leaves the town with only a razor-thin margin of excess levy capacity.
“Let’s not tax people to the max just to be clear... Live within your budget or not... because then after that’s an override.” — Richard Quintal [01:48:22]
Select Board member Deborah Iaquinto requested that when the revised budget is presented, it include data on exactly how specific dollar cuts would impact the average tax bill, ensuring the Board understands the trade-offs between service reductions and tax relief.
Why It Matters
This decision directly affects Plymouth taxpayers and town services. By refusing to approve the budget as presented, the Board is signaling a desire to shield residents from the maximum possible tax hike. However, achieving the requested $2.5 million reduction will likely require cuts to town departments or services.
Additionally, the Board’s refusal to drain the excess levy capacity is a move to protect the town’s long-term financial health and “AAA” bond rating. As Brindisi noted, the current trajectory is a “yellow blinking light” warning of a potential financial crisis within 18 months if structural costs are not reigned in [24:33].
Official Minutes & Data
Key Motions & Votes
Motion: To request the Town Manager present a budget option at the next meeting that reduces the tax levy raise by 1% (approximately $2.5 million).
Outcome: Passed Unanimously [01:59:23]
Public Comment
Dale Webber, a member of the Insurance Advisory Committee, disputed the characterization of the health insurance situation as a long-term crisis. He suggested the spike in costs is temporary and predicted rates would self-correct by July 2026, arguing against drastic measures based on a “perfect storm” he believes will pass. [01:21:44]
What’s Next
The Select Board will hold a joint meeting with the Advisory & Finance Committee and the School Committee on Tuesday, January 13, 2026, to review the new budget options and potentially vote on a recommendation.
Source Video: Plymouth Meetings: Local Seen Streaming Channel