Select Board calls for level-service and level-funded budgets for FY27, no mention of override

The Select Board is asking town departments, boards, and committees to submit both a level-service and a level-funded budget request for fiscal 2027.

According to the board’s annual budget memorandum, drafted by Town Administrator Dan Nason and Finance Director Jared Mullane in consultation with members of the Select Board, Finance Committee, and School Committee, a level-service budget maintains the same services provided in fiscal 2026 without adding new positions or initiatives, while a level-funded budget keeps spending at the same dollar amount as the prior year.

The board approved the memo and proposed budget schedule without objection Tuesday night, following discussion and acceptance of revisions submitted by board member SusanMary Redinger.

Unlike the guidance offered by last year’s memo, department heads have not been encouraged to submit spending requests that go beyond what’s required to maintain level service. “I don’t see us going beyond level service at this stage,” observed Redinger. She proposed instead that department heads prioritize items in their level-service budgets that would be cut if spending were held to the amount budgeted for fiscal 2026, the current fiscal year.

Departments are required to submit both budgets electronically, along with a narrative explaining goals, priorities, and potential savings.

In evaluating departmental requests and formulating its recommendations, the Finance Committee will seek to maintain current services, invest appropriately in the town’s buildings and infrastructure, and assure Harvard’s financial reserves are sufficient to cover future expenses and “unforeseen circumstances.” The memo’s final criterion stresses that fiscal 2027 spending must be “supported by the Town’s tax base and other revenue sources, without jeopardizing the Town’s operations, credit ratings, and ability to service its debt in coming years.”

While the memo makes no mention of a Proposition 2½ override, the emphasis on balancing services within available revenues reflects a desire to avoid one. Voters approved a $1.37 million override in May to balance this year’s fiscal 2026 budget. In spite of the override, the most recent publicly available Finance Department forecast projects a deficit of $1.7 million in fiscal 2027.

All nonschool budget submissions are due at 10 a.m. Oct. 3; the schools have until Jan. 30. The Finance Committee will present its recommended budget to the Select Board March 3, with the final package scheduled for a vote at Town Meeting on May 2 .