Saco City Council Meeting - May 11, 2026
Saco City Council Meeting - May 11, 2026
The Saco City Council met on Monday, May 11, 2026, at 6:30 PM, with all seven councilors present. The meeting included a proclamation for Arbor Week, public comments, approval of minutes, consent items, and a series of action items related to the FY2027 budget, fees, grants, and tax policy. Key outcomes included adoption of the municipal and school budgets, allocation of funds for affordable housing and active transportation, and adjustments to TIF revenue distributions.
Consent Calendar
- Notice of elections for the budget validation referendum election (June 9, 2026)
- Confirmation of warden and ward clerk appointments
- Confirmation of the mayor's appointment to the Portland Area Comprehensive Transportation System (PACS) policy board All consent items were approved 7-0.
Public Comments & Testimony
- Phil Hatch (19 Evergreen Drive) thanked the council for reducing supported entities funding and commended city staff, particularly Judy in finance, for budget work and adherence to accounting principles.
- Don Pylon (16 Glen Haven Circle) questioned the legality and mission alignment of the school board's nonprofit, "ASK for Saco Kids Foundation," which has received $5,000 annually and is now requesting an additional $20,000 to assist homeless families. He argued this use falls outside the foundation's stated mission and recommended limiting funding to the original $5,000.
Discussion Items
- Arbor Week Proclamation: The mayor proclaimed May 17–23, 2026, as Arbor Week, recognizing Saco's 16th consecutive designation as a Tree City USA.
- Approval of Minutes (May 4, 2026): Approved 7-0.
- CDBG Grant for 12 School Street (Project Home): Public hearing and final reading. The grant request was reduced from $500,000 to $249,999 to avoid Buy American Act requirements. The project would redevelop a historic building into seven deed-restricted affordable units (two reserved for new city employees) and community space. Developer Dan Black detailed financing from Federal Home Loan Bank of Boston ($455,000), historic tax credits (65% of costs), and pending funds. No city match required. Approved 7-0.
- Fee Schedule FY2027: Councilor Gale proposed two successful amendments increasing parking violation fines from $35 to $50 for parking within 10 feet of a crosswalk and within 20 feet of an intersection. Main motion approving the amended fee schedule passed 7-0.
- Water Resource Recovery Department Budget FY2027: $5,844,665 operating budget supported by a 3% sewer user fee rate increase to $10.10 per unit. Approved 7-0.
- Municipal Budget FY2027: Gross expenditures of $43,982,264 adopted. Councilor Johnston moved two amendments from the unassigned fund balance: $300,000 to the committed fund balance for affordable housing (total fund $500,000) and $200,000 for active transport/transit/human-powered projects (total fund $700,000). Both amendments passed 7-0. Main budget approved 7-0.
- Capital Program FY2027–2031: Approved with up to 10% allowance for lease purchase costs on 2027 equipment. Passed 7-0.
- School Budget FY2027: Total $59,954,304 approved, with a city contribution of $20,583,081 (state-mandated minimum). Additional local funds of $15,455,985 were approved in a separate recorded vote. Adult education budget of $151,503 also approved. All passed 7-0.
- Property Tax Due Dates and Interest Rates: Delinquent rate set at 7%, refund rate at 3%. First-half payment due October 14, 2026; second-half due March 10, 2027. Easy pay program continued. Approved 7-0.
- Tax Collection Policy: Reconformed to apply payments to the oldest outstanding tax bill first. Approved 7-0.
- TIF District Captured Value Reduction: Resolution to return varying percentages of TIF revenues to the general fund (overall ~50%). Retained percentages ranged from 23% (Industrial Park Road) to 74% (Transit Oriented District). Approved 7-0. Council discussion noted concerns about future valuation exposure and the need for strategic planning.
- Supported Entities Budget (FY2027): Adopted as recommended on page 144 of the budget book. Approved 7-0.
Key Outcomes
- All action items (A–L) were approved by unanimous 7-0 votes.
- The budget validation referendum for the combined municipal and school budget is scheduled for June 9, 2026.
- Administrative update: Absentee voting begins May 12; traffic advisory for I-95 turnpike work between Exits 35–36 through June; beach season preparations (mats installed, lifeguards from June 19, parking rates $2/hour).
- Council comments included appreciation for staff, reminders for safe driving and speed limits, and hope for a timely resolution to the Thornton Academy contract negotiations through mediation.
- Meeting adjourned at 8:00 PM.
Meeting Transcript
Good evening, everyone, and welcome to the Sarko City Council meeting for Monday, May 11th, 2026, at 630 p.m. Would like to make note of all counselors present this evening with the inclusion of administrator Pellet here with us. Thank you, everyone. Okay, moving on to item number four, that is general tonight, and we do have one proclamation, and that is for Arbor Week. The City of SACO is pleased to announce that we have been designated as a Tree City USA for the 16th year in a row. And this is by the Arbor Day Foundation. This recognition demonstrates the commitment that the SACO Park and Rec department must ensure that SACO's urban landscape remains rich with a variety of tree species and that our they are vibrant, healthy, and safe. SACO is celebrating Arbor Week this week, with the excellent time to spotlight the work and our the work of our parks team and their dedication to keeping trees a vital part of SACO's community landscape. The Tree City USA program has been greening up cities and towns across America since seven since 1976. It is a nationwide movement that provides the framework necessary for communities to manage and expand their public trees. Sarco joins a select number of cities and towns in the state of Maine that share this recognition. I will now read the official Arbor Week proclamation. Whereas in 1872, Jay Sterling Morton proposed to the Nebraska Board of Agriculture that a special day be set aside for the planting of trees. And whereas this holiday called Arbor Day was first observed with the planting of more than one million trees in Nebraska. And in 1978, the state of Maine first celebrated Arbor Week during the third full week of May. And whereas trees can reduce the erosion of our precious topsoil by wind and water, cut heating and cooling cost, moderate the temperature, clean the air, produce life-giving oxygen, and provide habitat for the habitat for wildlife. And whereas trees are a renewable resource giving us paper, wood for our homes, fuel for our fires, and beautifying our community. Excuse me. And whereas trees, wherever they are planted, are a source of joy and spiritual renewal. So now therefore I, Jody McPhail, mayor of the City of Sacco, do hear Bribal claim May 17th through May 23rd, 2026 as SACO celebration of Arbor Week. In the City of Sacco, I urge all citizens to celebrate Arbor Week and to support efforts to protect our trees and the woodlands. And further, I urge all citizens to plant trees to gladden the heart and promote the well-being of this for this and future generations. Thank you. Okay, moving on to item number five, that is committee correspondence to council. Are there any committee members wishing to speak? Okay, moving on to item number seven, that is the approval of the minutes for May 4th, 2026. Is there a motion to approve the minutes? I did, thank you. I'm sorry. Moving on to item six, that is public comment this evening. And we do have two members signed up first. We will get those through, and then we will open it to any other members of the public. You will have three minutes to approach the podium and speak to council. And first up, we have Phil Hatch. Thank you, Mary McPhail, City Council and City Administrator. I'm Phil Hatch, 19 Evergreen Drive in Sacco. I want to thank the City Council for your productive discussion last week on making difficult decisions regarding the supported entities. Your efforts to reduce taxpayers' dollars spent on charitable giving are commendable. We have made some progress in this area, but to many taxpayers, it still may not be enough. Some funding for non-quasi municipal supported entities remains and could be further reduced or eliminated if you wish. Perhaps you will consider doing so tonight or make policies for the future. I also want to thank city staff, particularly the finance department for their budget efforts. We only need to look across the river to see the problems a poorly managed municipal finance department can create. I'm sorry, budget processes. She has been the glue behind the scenes, keeping everything together. Three years ago, she graciously came out of retirement to share her knowledge and experience with the Finance Department staff to help them become better at their respective jobs. They are very lucky to have access to her. She has uh tweak tweaked the budget process and the reports it produces to better align them with generally accepted accounting principles. She has made a tremendous contribution to the City of Sarko. So, Judy, I would like to publicly thank you for what you have done, and hopefully you will continue to do so.
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