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Record of Proceedings

Joint Select Board & Finance Committee FY26 Budget & FY27 Forecast Presentation – Feb 3, 2026

Selectboard & Town Boards — Tuesday, February 3, 2026
BodyGreat Barrington, Massachusetts
SessionSelectboard & Town Boards
DateTuesday, February 3, 2026
StatusFILED
Video Record
0:00 / 1:34:51

Original source
Transcript — VerbatimClick a timed line to jump · ⧉ to share it

Speaker numbers apply only to this recording.

Speaker 1

0:00

Let's call the

Speaker 2

0:01

meeting to order.

0:02

Pursuant to MGL 7C3A session 20F.

0:06

After notifying the chair of the public body, any person may make a video or audio recording of an open session of a meeting of a public body may transfer the meeting through any medium.

0:17

Beginning of the meeting, the chair shall inform other attendees of any such recording.

0:22

This meetings are recorded by the Berkshire Edge by the town of Great Barrington and by CTSB.

0:29

Any member of the public wishing to speak at the meeting must receive permission of the chair.

0:34

The listing of agenda items of those reasonably anticipated by the chair, which may be discussed at the meeting.

0:39

Not all items listed, may in fact be discussed in other items not listed, may be brought up for discussion to the extent permitted by law.

0:47

So to start with, both boards need to do a roll call vote since we're in a virtual meeting.

0:53

So I'll start with a select board.

0:55

Phil

Speaker 1

1:01

was here.

1:01

I'm now here.

1:03

Perfect.

Speaker 2

1:04

Here Garfield.

1:06

Here.

1:07

Eric.

Speaker 3

1:08

Here.

Speaker 2

1:09

And Steve is here.

1:11

Rich, you want to do the

Speaker 3

1:14

honors.

1:15

I am here.

1:16

Ann O'Dwyer.

Speaker 4

1:17

Yeah.

Speaker 3

1:18

Madonna.

Speaker 4

1:19

Here.

Speaker 3

1:20

Michelle.

Speaker 4

1:21

Here.

Speaker 3

1:22

Milena.

Speaker 4

1:23

Here.

Speaker 3

1:24

We are all present.

Speaker 2

1:26

Thank

Speaker 3

1:26

you.

Speaker 2

1:27

So the one agenda item is the presentation on the state of the FY26 budget and forecast for the FY27 budget from the town manager.

1:36

Liz, it's all yours.

Speaker 5

1:38

Thank you.

1:39

Thank you, everyone, and good evening.

1:41

I appreciate your time tonight and being here.

1:45

Um, also being remote.

1:47

So I know it's a little different, but it actually, I believe, kind of works for the slides that you have them up front and close and personal to you.

1:56

So you don't have to see it on a television screen or uh uh in the meeting room and whatnot.

2:02

So um it kind of made um it worked out in our favor a little bit so you can have a personal view of the all the slides that we're gonna take you through tonight.

2:10

Um, I do want to begin by thanking um Allie and Chris who have worked incredibly hard to with me to prepare this analysis.

2:22

Um the work really does reflect um actually all four months that I have officially been here.

2:29

Today is my four-month anniversary or three-month anniversary, finishing three months and beginning my four months.

2:35

And in that entire three full months, we have done an extensive amount of careful review, policy analysis, and collaboration.

2:44

And I believe that tonight's presentation uh is a clear demonstration of that.

2:49

It's also about sustainability, about whether the town's current financial practices protect our future, and also what changes are needed to ensure that they do move forward that way.

Unassigned speaker

3:04

So

Speaker 5

3:04

I'm gonna uh share my screen.

3:08

Just a second.

3:16

Okay.

3:17

Can everybody see that all

Unassigned speaker

3:18

right?

Speaker 1

3:19

Yes, yes,

Speaker 5

3:20

excellent.

3:21

Thank

Unassigned speaker

3:21

you.

Speaker 5

3:22

Um, so really this presentation is structured around two questions.

Discussion Breakdown — Share of Meeting
Budget Equity Analysis█████████████████████████████████████████████51%
Fiscal Sustainability█████████████████19%
Capital Projects██████7%
Public Engagement█████6%
Cannabis Regulation████5%
Public Works████4%
Procedural███3%
Personnel Matters███3%
Arts And Culture█1%
Summary of Proceedings

Joint Select Board & Finance Committee Meeting – FY26 Budget Review and FY27 Forecast Presentation

On February 3, 2026, the Great Barrington Select Board and Finance Committee held a joint virtual meeting to receive a presentation from Town Manager Liz, along with Finance Director Allie and Accountant Chris, on the state of the FY26 budget and the forecast for FY27. The presentation focused on the town's financial policies, budgetary pressures, and three scenarios for closing a projected deficit.

Public Comments & Testimony

  • James Garzone (84 North Lane Road) thanked the staff for the in-depth presentation, agreed that employees deserve a cost-of-living adjustment (COLA), noted concerns about rising debt from the Housatonic Waterworks sale and school borrowing, and referenced the residential tax exemption discussion.
  • Sharon Shalou asked what the town plans to do about the school's operating budget, which she described as unsustainable given a dwindling population, and urged that it not be taken as a given.
  • Vivian (via chat, then unmuted) highlighted Black History Month and events from the Du Bois Legacy Committee, and later asked about the source of $175,000 in investment income.

Discussion Items

  • Presentation Overview: Liz explained the two-part structure: where the town stands in FY26 (third quarter) and what is needed for FY27. She outlined the layered budgeting framework, the town's mission statement, strategic priorities, and the five key financial policy principles (live within means, realistic revenue assumptions, clear funding sources, long-term balance, responsible debt management).
  • Free Cash & Debt: Allie presented free cash certified at $11,245,266, with $5,632,278.6 reserved for cannabis-related legal matters, leaving $6,182,014 for general use. Debt service currently consumes about 19% of the town's $16.6 million general operating budget, far above the recommended 5–7% threshold, and the town's bond rating is at AA+ but at risk of dropping if new borrowing continues.
  • Existing Commitments: Unfunded capital projects (including overspent authorizations) create additional pressure. Rising employee benefits, school assessments, infrastructure needs, and limited revenue growth under Proposition 2½ are structural drivers.
  • Three Budget Scenarios:
    • Scenario 1 (6.23% operating increase): Includes 2% COLA for all employees, no workforce reduction, $200k in reserves, $3.5M capital funded by free cash (no new borrowing), but results in a $5.5M deficit.
    • Scenario 2 (2.45% operating increase): Zero COLA, meets financial policy minimally, no free cash for operations, $4.8M deficit, and moves non-mandatory items (celebrations, VFW/American Legion leases, Housatonic legal fees) to free cash funding.
    • Scenario 3 (meets Proposition 2½, zero COLA, offsets deficit with all available free cash): Still leaves a 1.2% operating deficit and fails to meet contractual obligations.
  • Levy Limit & Revenue: Estimated FY27 levy limit at $30,586,345 after 2.5% increase and $100k new growth, plus $1.15M debt exclusions. Cannabis revenue is not projected due to volatility; prior year free cash accounted for actual receipts.
  • Capital Requests: Departments submitted $18M in capital needs over five years; Liz's recommendation spreads $4.82M across FY27 funded by free cash ($3.5M), grants, Chapter 90, and $400k from capital stabilization (leaving $1.1M balance). No new borrowing for capital.
  • Restructuring Proposals: HR duties reassigned between Town Manager's office and Treasurer; IT moved to Town Manager's office; South County Connector Transportation to be established as an enterprise fund.
  • Service Enhancement Grants: $150k proposed for health/water intern, human service grants, arts/culture, employee professional development, and fire department washer/dryer.

Key Outcomes

  • No votes were taken; the presentation was informational.
  • The budget book will be delivered to boards on Friday, February 13 (10 days from meeting), with six additional meetings scheduled before the joint public hearing on April 14.
  • Town Manager Liz noted that a Proposition 2½ override is legally possible and could create a blank slate to stop the structural deficit growth, but no decision was made.
  • Finance Director Allie clarified that the new growth figure is a conservative local estimate; actual numbers come from the assessor in late summer.
  • The meeting adjourned by unanimous consent.

Meeting Transcript

Let's call the meeting to order. Pursuant to MGL 7C3A session 20F. After notifying the chair of the public body, any person may make a video or audio recording of an open session of a meeting of a public body may transfer the meeting through any medium. Beginning of the meeting, the chair shall inform other attendees of any such recording. This meetings are recorded by the Berkshire Edge by the town of Great Barrington and by CTSB. Any member of the public wishing to speak at the meeting must receive permission of the chair. The listing of agenda items of those reasonably anticipated by the chair, which may be discussed at the meeting. Not all items listed, may in fact be discussed in other items not listed, may be brought up for discussion to the extent permitted by law. So to start with, both boards need to do a roll call vote since we're in a virtual meeting. So I'll start with a select board. Phil was here. I'm now here. Perfect. Here Garfield. Here. Eric. Here. And Steve is here. Rich, you want to do the honors. I am here. Ann O'Dwyer. Yeah. Madonna. Here. Michelle. Here. Milena. Here. We are all present. Thank you. So the one agenda item is the presentation on the state of the FY26 budget and forecast for the FY27 budget from the town manager. Liz, it's all yours. Thank you. Thank you, everyone, and good evening. I appreciate your time tonight and being here. Um, also being remote. So I know it's a little different, but it actually, I believe, kind of works for the slides that you have them up front and close and personal to you. So you don't have to see it on a television screen or uh uh in the meeting room and whatnot. So um it kind of made um it worked out in our favor a little bit so you can have a personal view of the all the slides that we're gonna take you through tonight. Um, I do want to begin by thanking um Allie and Chris who have worked incredibly hard to with me to prepare this analysis. Um the work really does reflect um actually all four months that I have officially been here. Today is my four-month anniversary or three-month anniversary, finishing three months and beginning my four months. And in that entire three full months, we have done an extensive amount of careful review, policy analysis, and collaboration. And I believe that tonight's presentation uh is a clear demonstration of that. It's also about sustainability, about whether the town's current financial practices protect our future, and also what changes are needed to ensure that they do move forward that way. So

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