Weymouth needs more cash. How it'll solve its budget woes

WEYMOUTH – Town officials are looking to increase the cost of trash removal and other fees to help close a budget shortfall of about $1.9 million.

Mayor Robert Hedlund Chief of Staff Ted Langill presented to town council this week the proposed fiscal 2025 operating budget of about $205.2 million – a 4.3 percent increase from the current $196.8 million budget. The new fiscal year starts July 1.

Hedlund said this year's budget is one of the most challenging since taking office in 2016.

"We've had some tough choices in this budget," Hedlund said. "We're adjusting fees for the first time in literally decades."

Langill said sources of revenue for Weymouth have started shifting with a growing dependence on the tax base − rather than state aid and local revenue − to fund the town departments.

Tax revenue will cover about 69 percent of the fiscal 2025 budget, up from about 63 percent in fiscal 2017.

Fixed costs like health insurance drive budget shortfall

Health insurance is the town's largest budget challenge this year. The cost of health insurance through the state Group Insurance Commission will increase by 11 percent, or $2.8 million. The healthcare increase alone will eat up at least 40 percent of new revenue.

"It's really made the budget struggle," Langill said. "It's not a great place to start when you're starting to balance a budget."

The school department also requested an additional $4.9 million, or 5.78%, over this fiscal year.

Just the school budget and health costs make up about $7.63 million in new spending, Langill said.

Cuts to all department budget requests, increased fees will close deficit

Langill said every department, other than the library, has been allocated less than requested. Overall, he said they reduced department budgets by $4 million – some of which will be funded by other sources, like grants.

The total town proposed budget includes an increase of about $3.2 million for the school department, down from the department's request of $4.9 million in new spending.

School administrators are proposing several cost-saving measures, such as reducing under-enrolled courses and streamlining interventions and supports. The district is also considering eliminating administrative positions, which would require administrators to take on more responsibilities.

The cuts to department budget requests left a deficit of about $1.9 million, which Langill said lead them to take a look at town fees.

The trash fee – $100 and $60 for seniors – hasn't been increased since 2005. The revenue generated, about $1.8 million annually, doesn't cover the actual cost of trash, recycling and yard waste removal, which is $5.4 million annually.

Hedlund's office is proposing to increase the fee to $168 and $100 for seniors. The cost for an additional recycling barrel would go up from $50 to $75, and an extra trash barrel would go from $150 to $225. The increased fees would bring in an additional $1.2 million annually.

Other fees will also go up, such as for permits and licenses. Langill said the purpose of the fees is to offset the expense of providing the service, not to make a profit.

"We're trying to solve a problem we have now and keeping an eye on the future to make sure it doesn't get worse," Langill said.

Town council referred the budget to its budget/management committee for review.

Residents will have a chance to weigh in on Hedlund’s spending plan for fiscal 2025 during the annual town meeting at 7:30 p.m. Monday, May 20, in town council chambers.