Cohasset’s fiscal landscape for the upcoming year took center stage Wednesday as the Advisory Board reviewed an unbalanced draft budget that proposes eliminating town positions and ending Sunday service at the Paul Pratt Memorial Library. Interim Town Manager Michelle Leary presented the $37 million spending plan, noting that revenue growth is failing to keep pace with inflation. Revenue is constrained by Proposition 2.5, which limits growth to 2.5% while inflation is 4% to 5%, Leary explained, adding that new growth is anticipated to drop to $350,000 as local construction slows.

To manage tightening margins, the town proposed several service reductions, including moving a communications specialist to part-time, eliminating the assistant town planner and town cleaner roles, and reducing library hours. Municipal departments were asked to trim expenses by 3% to 5% to help bridge the gap. Despite these cuts, the town found additional funds for the schools, which receive 61% of the budget. Regarding the school budget, Leary reported that educational staff should be saved, even as some other school positions may be phased out.

The board discussed the structural limitations of Massachusetts tax law. Chair Jeanne Astino, who is nearing the end of her term-limited service, expressed caution regarding an operational override to fund salaries. In my view, overrides should be for projects, not salaries, because once it's in the levy, it stays there, Chair Astino said. Member Thomas Callahan agreed that the current system is failing the town, stating, Proposition 2.5 is outdated. Most of our budget is personnel, and they want raises higher than 2.5%. It's unrealistic now. Member Callahan suggested inviting state legislators to discuss increasing the levy limit to reflect modern economic pressures.

Infrastructure costs also dominated the agenda, particularly a looming crisis at the wastewater treatment plant. Paul Kierce, Vice Chair of the Sewer Commission, warned that critical filtration membranes are failing years ahead of schedule. One was replaced last year for about $325,000. Now the other is failing, Kierce said, noting the plant’s unique design requires custom membranes with a 30-week delivery window. Motion to approve a $152,840 transfer from the reserve fund to the sewer budget for the membrane deposit passed 9-0. To address longer-term needs, the board also supported a future borrowing article. Motion to recommend Article 19, authorizing a bond up to $1,000,000 for Wastewater Treatment Plant upgrade designs, passed 9-0.

The draft Town Meeting warrant has grown to 28 articles, including a placeholder for the Public Safety Building project at 135 King Street. Member Mark Cameron provided an update on the facility, noting the town is undergoing value engineering to keep costs manageable. King Street needs to be built first, Member Cameron said, emphasizing that inflation continues to drive up construction costs. Member Diane Kennedy requested more clarity on upcoming water rate hikes included in the warrant, stating the town should be explicit about the impact on the average ratepayer. Leary confirmed a full presentation on the water rate structure is scheduled for the next meeting.

Board members expressed frustration over the tight timeline to review financial data before the April 1st warrant deadline. Member Courtney Murphy asked for more certainty on when the articles would be finalized to avoid repetitive deliberations. Member Michael Barclay raised concerns about capital requests, specifically $120,000 for the Sawyer Street parking lot, which Leary clarified was for a full repaving rather than just painting lines. Member Mike Flaherty questioned the vetting process for high-ticket items like a $1.2 million fire engine. Leary assured the board that the Capital Budget Committee is reviewing all quotes and documentation beginning next week.