Scituate Select Board Approves Fiscal Year 2027 Budget Without Layoffs Despite Rising Fixed Costs
SCITUATE - October 28 - The Scituate Select Board received a comprehensive overview of the Fiscal Year 2027 operating budget on October 28, 2025, with Town Administrator Jim Boudreau reporting a balanced budget that includes no layoffs or service reductions despite significant increases in fixed costs. The budget projects a 2.5% property tax increase with new growth estimated at $700,000, substantially lower than previous years when major developments contributed over $2 million in new growth.
The Full Story
The Select Board meeting began with a recognition ceremony for firefighter Paul MacPherson, who was honored for 25 years of service with the Scituate Fire Department. Fire Chief Donovan presented the recognition, noting that MacPherson played a significant role in building the department’s paramedic program when he joined in October 2000, at a time when the department had only four or five paramedics compared to 46 today. MacPherson currently serves on the department’s dive team and is stationed at Humarock. Chief Donovan described MacPherson as “a true professional” whose dependability over 25 years has been remarkable.
The board conducted its annual tax classification hearing, with Director of Assessing Joe Divito presenting the recommendation to maintain a single tax rate rather than shifting any residential tax burden onto commercial, industrial, and personal property. Divito explained that Scituate has only 4% commercial, industrial, and personal property in its tax base, making any shift potentially catastrophic for those property classes. The board unanimously approved maintaining a factor of one, which translates to a projected tax rate of $9.83 per thousand. Divito noted that if the town shifted even 15% of the burden onto commercial properties, the average commercial tax bill would increase by $1,500 while residential bills would only save $186.
A significant portion of the evening was devoted to the presentation of an updated Housing Production Plan by consultant Karen Sunnarborg and Steve Irish, chair of the Scituate Affordable Housing Trust. The plan, required to be updated every five years and submitted to the state by December 2025, showed that Scituate currently has 455 subsidized housing units out of 7,484 year-round units, representing just over 6% of the housing stock—an increase from 4.98% in 2020. To achieve “safe harbor” status under state law, which allows the town to deny inappropriate comprehensive permit applications, Scituate must produce 37 new affordable units (one-half of 1% of its year-round housing stock).
The housing plan revealed troubling trends, including a decline in rental housing units from 1,132 in 2010 to 800 in 2023, likely due to conversions to seasonal units or short-term rentals. Market rents have reached an average of $3,600, while the median single-family home price climbed from $888,000 at the end of 2020 to $1.1 million as of September 2025. The plan showed that 30% of households are considered cost-burdened (spending more than 30% of income on housing), with 11% severely cost-burdened (spending more than half their income on housing). Among households earning at or below 80% of area median income—approximately $120,000 for a family of three—56% had cost burdens and 28% had severe cost burdens.
The housing plan outlined strategies in three categories: capacity building, planning and regulatory strategies, and housing development and preservation. Key recommendations included continued use of Community Preservation Act funding, exploring regional collaboration for professional housing services, promoting greater housing diversity beyond single-family homes, and making suitable publicly-owned property available for affordable housing. The discussion revealed tensions about how to balance affordable housing that counts toward state requirements versus creating housing that’s simply more affordable for residents.
The fiscal year 2027 budget presentation revealed significant financial challenges ahead. While fiscal year 2025 ended well with healthy receipts and department turn-backs, and fiscal year 2026 is tracking on projections, the FY27 budget required careful management to balance. New growth, which reached over $2 million in fiscal years 2021-2023 when major projects like Seaside and developments at Greenbush Station were coming online, has dropped to $700,000 as those projects have been completed. State aid is projected to increase only 2%, and local receipts are projected to increase by $1.25 million, much of that from building permit fees.
The town administrator emphasized that approximately 80% of the town’s budget comes from property taxes, making the declining new growth particularly concerning. He reported that personnel requests for new positions—including five new police officers, IT positions, facilities positions, and fire department changes—were not supported in his budget recommendation, with the exception of a half-year water treatment plant operator position needed when the new plant goes online. The Economic Development Committee’s funding structure will change, with the administrator recommending elimination of their automatic funding and instead having them compete for budget allocations like other departments, though a temporary allocation of $30,000 to their stabilization fund was proposed for FY27.
Enterprise funds received detailed attention. Widows Walk Golf Course was reported to be in excellent financial shape, making money after three years of deficits, with general manager Ian and his staff receiving praise. The waterways enterprise fund held a successful shoulder season generating approximately $8,000, though the harbor master will need to return to discuss rate increases for upcoming major projects. The water enterprise fund faces the most significant challenges, with costs rising substantially—electricity costs alone up 28%—requiring a recommended 3-4% rate increase to remain self-supporting. The sewer enterprise fund faces revenue challenges as connection fees, which historically made up a large chunk of revenue, have declined due to lack of new development in sewered areas. However, the upcoming North Scituate sewer system, expected to go online in the coming years, will require numerous new connections.
Fixed costs continue to be a major concern. The pension system is projected to be fully funded by 2031, providing “light at the end of the tunnel,” but health insurance costs continue to escalate. The administrator noted that coverage for GLP-1 drugs (weight loss medications) could cost nearly $50 million statewide in the coming year. Property and liability insurance will increase 5%, with additional increases expected when the new water treatment plant comes online and increases the town’s insured property value.
The board also reviewed updated leases for the Mann House and Lighthouse Keeper’s residence, both historical properties with reduced-rent arrangements. The Lighthouse Keeper’s lease includes extensive caretaking responsibilities, including opening the lighthouse for tours and maintaining detailed knowledge of the property’s history. The Mann House lease, by contrast, requires only keeping vents clear of snow and basic maintenance. This disparity prompted discussion about whether all tenants in historical properties should have similar responsibilities. The Historical Society had provided input on the lease requirements, and town counsel had reviewed the documents. The board voted to table the leases until November 4th to allow further consultation with the Historical Commission about appropriate responsibilities for historical property tenants.
In other business, the board approved a change of manager for Barker House Weddings, with Megan Palencia taking over as manager of record. The board voted to opt out of the Community Choice Energy aggregation program and awarded a 48-month contract to BP Energy at $0.1289 per kilowatt hour, providing savings over current rates for municipal electricity. Cemetery fees at Union Cemetery were increased to match those at Cudworth Cemetery to create parity for veteran burials. The board also approved a conflict of interest disclosure for William Yonce to work for both the recreation department and the school department as a teacher.
A lengthy and emotional discussion took place regarding a proposed memorial statue honoring Navy SEAL John Connors, who was killed in action during the 1989 invasion of Panama. The statue, designed by nationally renowned sculptor Chas Fagan, would be placed in Lawson Common and titled “Aliis” (Latin for “to others, for others, with others”). The memorial committee, led by John Sheehan and Frank Forbes (both Navy veterans who served with Connors), reported raising approximately $650,000 of the $1 million project cost, with $182,000 currently in the bank and a $100,000 pledge. The project timeline shows granite procurement and statue fabrication occurring through 2026, with construction planned for April 2027.
The statue proposal generated significant public comment. Supporters, including veterans, emphasized that the 14-foot bronze statue would honor all veterans of modern warfare (from Panama forward), not just Connors, despite being rendered in his likeness wearing period-accurate gear from the Panama operation. Several residents, however, expressed concerns about the statue’s placement in Lawson Common, which was designed by the Olmsted firm as a naturalistic war memorial park. Sally Mace, whose family has lived near the common for 80 years, argued that the park’s vision has been maintained by placing memorials on the periphery, keeping the interior focused on the Civil War memorial and elephant fountain. Jim Glinski of the Historical Commission noted that there are no statues of individuals with weapons in active stances currently in the park, and questioned whether appropriate processes had been followed, referencing a 2005 Select Board meeting where members had called for a formal policy on memorials in Lawson Park—a policy never created. Other residents disagreed, with Army veteran Jimmy Montagne expressing frustration at the ongoing debate about honoring someone who died serving the country, noting that cannons already exist in the common. The board took no action, with the discussion serving as an update on the project’s progress.
Board members provided updates from their committee liaison assignments. The Metropolitan Area Planning Council (MAPC) held meetings on decarbonization programs for the MBTA, with plans to convert diesel trains to renewable diesel (reducing emissions 66%) and eventually to battery-electric trains with overhead electric lines in some areas. The MBTA ferry committee reported that the Hingham-Hull ferry carried 61,000 passengers in August alone, with year-to-date ridership across all routes exceeding 1 million. Multiple town committees—Sidewalk Committee, Bike Committee, Traffic Rules and Regulations Committee, and Bylaw Committee—are forming a working group with one representative from each to discuss e-bikes, golf carts, and bicycle safety education without violating open meeting law.
The board discussed creating a community survey to gather resident input on town services and priorities. After extensive debate about question wording and topics, the board agreed to include questions about community priorities (roads/sidewalks, beach access, public safety), satisfaction with town services (including transfer station, DPW, harbor, golf course, trails, and beaches), parking and traffic concerns, communication preferences, and support for the Old Oaken Bucket building and the Mordecai Lincoln House. Questions about Route 3A redevelopment, Pier 44, and economic development were removed, with board members noting those topics would be better addressed after committees complete their work and can properly inform the public. The survey will be available at town meeting via QR code and online.
Why It Matters
The FY27 budget demonstrates Scituate’s ongoing struggle to maintain services without significant tax increases despite declining new growth revenue and escalating fixed costs. With new growth dropping from over $2 million annually to $700,000, the town has lost a crucial revenue source that previously helped offset property tax increases for residents. The 2.5% tax increase on existing properties, combined with the new growth, will determine next year’s property tax bills. Residents should understand that the lack of layoffs and service cuts came through careful budget management and tough choices about not funding new positions, but that future budgets may require difficult decisions as health insurance and other fixed costs continue rising faster than available revenue. The housing production plan’s requirement for 37 new affordable units to maintain safe harbor status affects all residents, as failure to meet production goals leaves the town vulnerable to comprehensive permit applications that can override local zoning rules. The ongoing debate about the Connors memorial statue and proper use of Lawson Common reflects broader questions about how the town honors its history while respecting the vision of its historic spaces.
Meeting Minutes
Key Motions & Votes
Motion: Set the agenda. Outcome: Approved. Vote: Unanimous. (Timestamp: 0:00:05)
Motion: Approve residential factor of one (single tax rate) per MGL Chapter 58, Section 1A. Outcome: Approved. Vote: Unanimous. (Timestamp: 0:18:50)
Motion: Approve change of manager to Megan Palencia for Barker House Weddings, 21 Barker Road. Outcome: Approved. Vote: Unanimous. (Timestamp: 0:21:47)
Motion: Approve 2025 Scituate Housing Production Plan and forward to Executive Office of Housing and Livable Communities. Outcome: Approved. Vote: Unanimous. (Timestamp: 0:59:43)
Motion: Opt out of Community Choice Energy and award 48-month contract to BP Energy at $0.1289 per kilowatt hour. Outcome: Approved. Vote: Unanimous. (Timestamp: 2:42:33)
Motion: Increase Union Cemetery veteran burial rates from $100 to $150 for cremation and $100 to $300 for full burial. Outcome: Approved. Vote: Unanimous. (Timestamp: 2:44:29)
Motion: Approve conflict of interest disclosure for William Yonce (Recreation Department and School Department). Outcome: Approved. Vote: Unanimous. (Timestamp: 2:45:09)
Motion: Table historical property leases (Mann House and Lighthouse Keeper’s residence) until November 4, 2025. Outcome: Approved. Vote: Unanimous. (Timestamp: 2:39:09)
Motion: Approve minutes from October 14, 2025. Outcome: Approved. Vote: Unanimous. (Timestamp: 3:08:47)
Motion: Adjourn meeting. Outcome: Approved. Vote: Unanimous. (Timestamp: 3:08:54)
Public Comment
Patricia O’Connell raised concerns about the Zoning Board of Appeals granting a special permit instead of a variance for a gas station property at Country Way and Route 3A, stating the ZBA exceeded its authority and violated its own bylaws. She noted neighbors were not properly notified of the original meeting. Several residents commented on the proposed John Connors memorial statue. Sally Mace expressed concern about maintaining the natural character of Lawson Common as envisioned by the Olmsted design firm. Jim Glinski of the Historical Commission questioned the appropriateness of placing a statue of an individual with a weapon in an active stance in the park. Army veteran Jimmy Montagne supported the statue, expressing frustration at delays in honoring those who served. Joe Kelley, Veterans Advisory Council chairman and father of Michael Kelley who was killed in Afghanistan, strongly supported the memorial, describing Lawson Common as shaped like a folded American flag and arguing it should honor veterans. Liam Spine, a 30-year military veteran, urged the board to respect previous decisions and move forward. Jodi Dutton questioned why the memorial focuses on one individual rather than listing all service members from modern conflicts who gave their lives.
What’s Next
The board will meet again on November 4, 2025, following town meeting on November 3rd. Historical Commission representatives will be invited to discuss appropriate responsibilities for historical property leases. The town administrator will continue refining the FY27 budget as state aid figures become clearer when the governor releases the state budget in January. The housing committee will submit the Housing Production Plan to the state by the December 2025 deadline. The John Connors memorial committee will continue fundraising efforts with a goal of beginning construction in April 2027. A community survey will be launched at the November 3rd town meeting and made available online. The sidewalk committee will hold an open forum on November 6, 2025, at 6:30 p.m. in the Senior Center to discuss possible sidewalk projects. Multiple committees will continue working to form an e-bike safety working group. The Pier 44 redevelopment committee will present to the Community Preservation Committee in November for final phase layout review.