Budget Review Committee Meeting - March 23, 2026

The Budget Review Committee met on Monday, March 23, 2026 at 8:33 PM in the Aldermanic Chamber to consider three items: a supplemental appropriation for overtime, a bond authorization for public works garage design, and a collective bargaining agreement with the police patrolman's association. The meeting was adjourned at 9:30 PM.

Consent Calendar

• R-26-003 (as amended): Supplemental appropriation of $15,000 from assigned fund balance to Department 161 (Streets) account 5130 (overtime) and $40,000 to Department 177 (Parks) account 5130 (overtime). Motion to recommend final passage carried unanimously by voice vote.

Public Comments & Testimony

• No public comments were made.

Discussion Items

R-26-007: Bond Authorization for Public Works Garage Design

• Proposal: Authorize the mayor and city treasurer to issue bonds not to exceed $3 million for the design of a new public works garage. The original amount was $5.5 million; the reduction of $2.5 million was noted as shifting some costs to the construction phase.
• Key Details: The new garage would cover 47% of vehicles indoors (up from 20%), with seasonal storage allowing all plow trucks indoors during winter. The design is expected to be completed by spring 2026, with a construction bond resolution anticipated in May 2026. The total construction cost is estimated at approximately $48 million.
• Sustainability: The building will be EV-ready with charging infrastructure, and will be equipped for future solar installation (though not initially). Heat captured from methane gas is expected to save approximately $100,000 per year.
• Positions:
  • Alderman Tebow expressed strong support, noting the current facility is "deplorable" and operational efficiency gains (e.g., reducing vehicle retrieval time from 30 minutes) will benefit residents.
  • Alderman Senate expressed support but questioned the 47% indoor coverage, asking for cost-benefit analysis specific to that configuration. He was assured the numbers were tied to the current plan.
  • Alderman Greg encouraged tours of the current facility and highlighted the inefficiency of operating from multiple locations.
  • Alderman Greig (via Zoom) inquired about EV maintenance capabilities and solar plans; Director Foto confirmed the design accommodates both.
  • Alderman Sullivan (not on committee) noted the payback period from savings was 60-108 years but appreciated the cost-benefit analysis. He asked about the full construction timeline and the $100,000 annual heating savings.
  • Alderman Klee (not on committee) supported the project, stating the current conditions are substandard and that the city has a fiduciary responsibility to invest in proper facilities.
  • Alderman O'Large (not on committee) expressed concern about the overall bonding capacity, noting a target of $25 million per year over five years, and asked for a prioritization of major projects (e.g., fire station, DPW garage, renovations). He indicated he would not support the design bond until he had more information.
• Outcome: Motion to recommend final passage carried. One alderman abstained (citing counsel's advice) and one opposed.

R-26-017: Collective Bargaining Agreement – Police Patrolman's Association

• Proposal: Approve cost items from a four-year collective bargaining agreement (July 1, 2026 through June 30, 2030). Raises: 4% in year 1, 4% in year 2, 3.5% in year 3, and 3.5% in year 4. Uniform allowance increased from $650 to $1,100.
• Presentation: Chief Kevin Rock detailed recruiting and retention challenges. Over the last five years, 79 officers were hired but 75 left (over half left the profession entirely). The department is currently 15 officers below authorized strength. An IACP workload assessment indicates a need for 18 additional patrol officers. Rock noted that neighboring communities (Hudson, Laconia) have salary levels that are now competitive or surpass Nashua. The contract was negotiated respectfully and focused on raises.
• Positions:
  • Chief Rock, the Police Commission, Mayor, and 11 aldermen endorsed the contract.
  • Alderman Kelly supported the contract but expressed concern about the level of detail in health care plan language, preferring more flexibility. She also questioned the uniform allowance increase but accepted the chief's explanation.
  • Alderman Johnson supported the contract, citing the importance of police.
  • Alderman Tebow supported, noting the need to retain officers.
  • Alderman Klee (not on committee) supported, praising the police department's training and performance, especially during the Sky Meadow incident.
• Outcome: Motion to recommend final passage carried unanimously by voice vote.

Key Outcomes

• Vote on R-26-003: Recommended final passage (unanimous).
• Vote on R-26-007: Recommended final passage (one abstention, one opposed).
• Vote on R-26-017: Recommended final passage (unanimous).
• Schedule: Budget committee meetings may be pushed to May; the public hearing on the budget may be delayed by one week. Donna will provide updated schedule.
• Next Steps: R-26-003 and R-26-007 will appear on the Board of Aldermen agenda for March 24, 2026. R-26-017 will also go to the full board. The design phase for the garage is expected to be completed by spring, with a construction bond resolution in May.