Salem Town Council Budget Review Meeting – October 14, 2026

The Salem Town Council met on October 14, 2026, for its final budget review session, making line-item adjustments to the proposed FY2027 budget before forwarding it to the Budget Committee. Members present were Chair Bob Bryant, Vice Chair Joe Sweeney, Secretary Lisa Whithrow, Bonnie Wright, DJ Betancourt, Paul Pelletier, Jeff Hatch, Kathy Stacey, and Key Stromaya. Town Manager Joe Devine, Assistant Town Manager Colin Mayu, and finance staff Nicole McGee and Cindy Kenderson also participated. No public comment period is reflected in the transcript. This summary is based solely on the transcript; no agenda or minutes were provided.

Revenue Adjustments

• Councilor Lisa Whithrow moved to add $150,000 to the building permits line. After discussion, the motion was amended to $200,000. Staff noted that the fire chief had indicated $150,000 was appropriate and that $200,000 was within range. The amended $200,000 increase was approved unanimously.

Operating Budget Deliberations

• Town Manager: Councilor Kathy Stacey moved to reduce the proposed cost-of-living adjustment (COLA) from 4% to 3%, saving $17,367. The motion was approved 9-0.
• The council reduced the statute books line item (line 4405) from $4,000 to $2,000 on a motion by Stacey, seconded by Whithrow. Approved 9-0.
• Chair Bryant asked Town Manager Devine to provide a return-on-investment analysis for municipal association dues, noting that the dues increased again this year. No vote was taken.
• Community Development and Planning: Staff clarified that the planning director position is not a dual role; it oversees the planning department, GIS, and inspectional services as part of a reorganization. The council approved a motion to fund the Community Development Director position for six months instead of a full year, with the six-month total cost set at $103,189, including benefits; $66,304 was cited as the salary component. The council also noted that it had previously removed the flyover item by a 9-0 vote.
• Police and Fire: The council made no new changes. It noted prior actions, including a car wash line reduction for police and a 9-0 vote on fire equipment rental.
• DPW/Municipal Services: The council asked for accurate per-ton recycling and trash costs, noting that current figures are estimates based on recent bids from other towns. Town Manager Devine confirmed that the council has the authority to decide whether to continue the recycling program without a separate town vote; residents could seek to restore funding at the deliberative session or Budget Committee hearing. Councilor Betancourt questioned an engineering services increase; staff explained that it reflects MS4 requirements and a $50,000-to-$100,000 increase in outside engineering services because an in-house civil engineer position was eliminated.
• Human Services: The council added $30,000 to the direct assistance line (account 601104433), increasing it from $47,500 to $77,500. Approved 7-2, with Bonnie Wright and DJ Betancourt opposed. Supporters cited transparency now that charity warrant articles go to voters and the risk of shortfalls if those articles fail; opponents questioned the need given the history of those articles passing.
• Fireworks: On a motion by Jeff Hatch, the council voted 7-2 to use $45,000 in prior-year gaming revenue for Fourth of July fireworks. The price quote was about $20,000 excluding details, and the town will go to bid. Voting no were Wright and Betancourt. Betancourt said he was not convinced there was a problem with the current fireworks arrangement; Wright cited recent cuts to nonprofits and recycling and raised concerns about high school bleachers capacity.

Capital and Fund Balance

• The council discussed using unreserved fund balance for capital needs. Councilors referenced an unreserved fund balance of about $16.6 million, with a $9.6 million practical floor. Some members supported applying money to the future fire station project; Councilor Whithrow said impact fees and donations could bring that project to roughly $4.7 million. The council approved a motion to use $300,000 of unreserved fund balance for DPW equipment replacement (line 4729) by a 9-0 vote, with the fire station funding to be considered later through the warrant article process.

Final Budget Numbers

• Town staff reported that the all-in FY2027 budget, including enterprise funds, is $73,272,691. Assuming the road program is funded at $3 million, the estimated increase over FY2026 is 3.4%, based on the estimated FY2026 tax rate. The operating/capital budget alone is now projected to be down 3.35%, compared with the original down 2.7%; the comparison is complicated by outstanding collective bargaining agreements and by FY2026 warrant articles such as road funding.
• Chair Bryant praised the council's work and urged the Budget Committee to scrutinize the school budget with the same level of accountability.

Key Outcomes

• Added $200,000 to building permit revenue (unanimous).
• Reduced the proposed COLA from 4% to 3% (9-0).
• Reduced the statute books line from $4,000 to $2,000 (9-0).
• Funded the Community Development Director position for six months instead of a full year (9-0).
• Added $30,000 to human services direct assistance (7-2; Wright and Betancourt opposed).
• Used $45,000 in gaming revenue for fireworks (7-2; Wright and Betancourt opposed).
• Appropriated $300,000 from unreserved fund balance for DPW equipment (9-0).
• The budget will be forwarded to the Budget Committee for review. The council adjourned 9-0, and the next regular town council meeting is scheduled for October 19.