MARBLEHEAD MASSACHUSETTS ESTABLISHED OVERRIDE 1649 THREE-TIER OVERRIDE TOWN OF MARBLEHEAD 3-YEAR OVERRIDE TIERS AND PURPOSE SELECT BOARD TIER 1 TIER 2 TIER 3 FY 2027 $9M $12M $15M Annual Town Meeting Partial Restore Build Invest THREE-TIER OVERRIDE Understanding Tier Options 1 TIER 1 — PARTIAL RESTORE 2 TIER 2 — BUILD 3 TIER 3 — INVEST $9 Million $12 Million $15 Million Partially restores previously reduced services to Adds staff, creates a maintenance division, and Comprehensive investment combining all ensure baseline functionality across key expands Recreation and Council on Aging restorations, enhancements, mental health departments. services. funding & capital. • Restores 15 positions cut in FY27 • All Tier 1 restorations included balanced budget • Fully restores Library and Materials and • Allows Library to apply for accreditation +1 PT Assistant Librarian + expenses • All Tier 1 & 2 investments included waiver • +2 Firefighters + 1 Police Officer • +2 Firefighters + 1 Police Officer • Brings back Police SRO position • +1 IT Director +1 Budget Analyst • +1 Foreman +1 Specialized HEO • Restores DPW, Rec & Park, COA, Public • + 1 PT Social Worker +1 GIS position • +1 Grants Writer Buildings, Finance • $450K maintenance to public buildings • $60K for mental health counseling • Partial restore of Community for buildings and rail trail Development and Laborer in Cemetery • $1M recurring capital investment • Restores 1 Special Clerk and 1 Assistant • Restores Long-Term Financial Health Planner (former Sustainability) and 1 contributions Conservation Agent (former Grants) Town of Marblehead | FY2027 Override HOW A THREE-TIER OVERRIDE WORKS MHD 1649 One question on the ballot. Three tiers. Vote YES on any or all tiers — the tier with highest $ amount and majority vote is approved. ▲ TIER 1 TIER 1 — $9M | PARTIAL RESTORE Library partial restore +4 • Police SRO • DPW HEO, Laborer, and PT Clerk + asphalt • $9M Public Buildings 2 Custodians • Rec & Park Groundskeeper • COA Nutrition Coordinator and Temp Clerk • Finance Senior Clerk • Comm Dev Director • Cemetery Laborer • Other PARTIAL RESTORE Gen Govt Stabilization, OPEB, Workers Comp Funding TIER 2 TIER 2 — $12M | BUILD (all of Tier 1, plus:) + Tier 1 $12M +1 Police Officer • +2 Firefighters • 1 Special Clerk restore • +1 IT Director +1 Budget Analyst Finance • +1 GIS DPW • +1 Social Worker COA • 1 Asst. Planner & 1 Conservation BUILD Agent • $450K Building Maintenance • Fully restore Library TIER 3 TIER 3 — $15M | INVEST (all of Tiers 1 & 2, plus:) + Tiers 1 & 2 $15M +1 Police Officer • +2 Firefighters • $60K Mental Health • +1 Grant Writer • $1M Recurring Capital • +1 Specialized HEO • +1 Foreman INVEST HO W RESIDENT VO T E W O RKS Vote YES on Tier 1 only Vote YES on Tier 2 (Tiers 1 & 2) Vote YES on Tier 3 (1 & 2 plus Tier 3 adds) -> $15M enacted — Tier 1 restore & Tier 2 additions -> $9M enacted — Tier 1 restorations take effect -> $12M enacted — Tier 1 restore & Tier 2 additions plus Tier 3 additions IF NO OVERRIDE PASSES Loss of Town Services by Department LIBRARY POLICE RECREATION & PARKS PUBLIC WORKS Loses certification No SRO in schools No Groundskeeper 2.5 positions Cut & Asphalt Cut No Trash pickup for 186 public trash No Laborer, Heavy Equipment School Resource Officer eliminated Operator, and PT Clerk; $60K Asphalt Open only 3 days/week ; No barrels Evenings and No Weekends; 8.5 FIRE TOWN CLERK CEMETERY positions cut Overtime costs spike; Down 1 full No Special Clerk ; reduced services No Laborer shift COUNCIL ON AGING FINANCE I PUBLIC BUILDINGS nCAPITAL Key staff cut Senior Clerk cut and IT 2 Custodians cut Zero capital FY2027 equipment and Training cut No Nutrition Coordinator/Labor and Facility upkeep diminished for Mary No equipment, Public Buildings Temporary Clerk ; No Senior Clerk causing Treasurers Alley and Abbot Hall. improvements COMM DEV & PLANNING Office to be understaffed; IT BUILDING INSPECTIONS FINANCIAL HEALTH replacement equipment & training No Community Development Cut Other Professional and Technical No Stabilization Fund for new staff eliminated or OPEB liability ($250K each); Director, Sustainability Coordinator, Expense which funds OpenGov and Grants Coordinator; Subscription & Copier Maintenance Cut FinCom Reserve by $26K; cut $97,662 Workers Comp Town of Marblehead | FY2027 Override COMPARISON: NO OVERRIDE vs. TIERS 1–3 No Override Tier 1 – Partial Restore Tier 2 - Build Tier 3 - Invest ✓ Lose Accreditation; Operates only Allows Waiver for Accreditation; Fully Restored; 8.5 positions and library Library 3 days per week; No evenings or No evenings/weekend hours; 4 positions materials; +1 Part-time Librarian weekends; 8.5 positions cut restored and increase expenses funding No School Resource Officer (SRO) Fully restored SRO but Police staffing level 1 Police Officer added for a total of 3 with SRO brings Police Police Department Fully Restored SRO +1 Police Officer Added brings staffing to 29 officers at historically low level Staffing Level to 33 Officers in line with historic staffing level No staff cuts to contain overtime (OT) Fire Department 2 Firefighters added 2 Firefighters added for a total of 4 to reduce overtime costs expense; currently down 1 full shift 2.5 positions cut; $60,000 reduction in Fully restored 1 PT General Clerk, 1 Heavy In addition to the 3 positions restored and the new GIS position Department of asphalt; Equipment Operator, 1 Laborer and 1 GIS position added; Improved service levels in tier 2, Adding1 Foreman position & 1 Specialized HEO; Public Works reduced services levels Asphalt,; service levels at historic low level significantly improved service levels in line with past staff levels ✓ Cut Groundskeeper; No trash pick up Fully restored 1 Groundskeeper to pickup Maintenance & Materials budget increased Recreation & Parks for 187 public trash barrels trash barrels $25,000; Utilities increased $17,000 ✓ Nutrition Coordinator/General Labor & Fully restored 1 Nutritional 1 Part time Social Worker added; Building Council on Aging Temp Special Clerk cut Coordinator/Labor and 1 Temp Clerk maintenance $15K added; Improved Service Community Director restored only; Currently the 1 Asst. Planner & 1 Conservation Agent added In addition to full restore and 2 tier positions Cuts include Director, Sustainability Development & Director is also the interim Planner; Lost 2 (replacing Sustainability Coordinator Adding 1 Grant Writer position to bring in Coordinator, and Grant Coordinator Planning employees (planner & sustainability) FY26. & Grant Coordinator) additional grant revenue for the Town. ✓ Senior Clerk cut; Computer equipment Fully restored 1 Senior Clerk, IT equipment 1 Town IT director added; 1 Budget Analyst Finance Department and Staff training cut; Treasurer Office identified for replacement, and training for added to improve IT and operations under staffed and need IT equipment new staff hired along with certifications ✓ Cut 2 Special Labor Custodians that Fully restored 2 Special Labor Custodians Establish a $450,000 maintenance budget Public Buildings service Mary Alley and Abbot Hall. that serve Mary Alley and Abbot Hall. for buildings townwide and rail trail Impacts cleaning, meetings, & more. ✓ ✓ Cut OpenGov subscription and Fully restored OpenGov subscription and Building Inspections copier maintenance. copier maintenance needed for operations. Double funding to Mental Health with $60,000 investment in Level funded Health despite need Health Department mental for additional mental health health counseling Town Clerk Cut 1 special clerk reducing the office from 3 employees to 2 employees Fully restored 1 Special Clerk ✓ Cemetery Reduce dept. head to part time; Cut 1 laborer Restore 1 laborer ✓ ✓ No Capital for FY2027 except $1 million capital for recurring leases, contractual Leases; Recurring Capital equipment, and building improvements (3 articles seen annually 1 of 3 recurring Capital Articles on on the Town Warrant) warrant funded. No contribution to Stabilization Fund Fully restored annual stabilization transfer, ✓ ✓ Long Term or OPEB liability ($250K each); OPEB transfer, FinCom Reserve restored Financial Health Cut FinCom Reserve by $26K; to 440K, and workers comp restored to cut $97,662 Workers Comp cover any unexpected claims. Restores another 6.5 positions; FTE Summary Cuts 21.5 Positions Restores 15 Positions Adds an additional 6 New Positions Adds 7 New Positions WHAT DOES IT COST? Tax impact on the Median $998,600 Marblehead homeowner Overrides are phased in over 3 years. The amounts below reflect the estimated annual property tax increase per household. TIER 1 — Partial Restore TIER 2 — Build TIER 3 — Invest $9M $12M $15M Override Total Override Total Override Total Year 1 ~$130 Year 1 ~$280 Year 1 ~$430 Year 2 ~$533 Year 2 ~$676 Year 2 ~$720 Year 3 ~$256 Year 3 ~$274 Year 3 ~$388 $919 $1,230 $1,538 Estimates based on median assessed home value. Actual amounts will vary by property. Town of Marblehead | FY2027 Override WHAT DOES IT COST? Tax impact on the Average $1,291,507 Marblehead homeowner Overrides are phased in over 3 years. The amounts below reflect the estimated annual property tax increase per household. TIER 1 — Partial Restore TIER 2 — Build TIER 3 — Invest $9M $12M $15M Override Total Override Total Override Total Year 1 ~$168 Year 1 ~$362 Year 1 ~$556 Year 2 ~$689 Year 2 ~$875 Year 2 ~$931 Year 3 ~$331 Year 3 ~$353 Year 3 ~$502 $1,188 $1,590 $1,989 Estimates based on average assessed home value. Actual amounts will vary by property. Town of Marblehead | FY2027 Override OVERRIDE TAX IMPACT (CUMULATIVE AT END OF 3 YEARS) MHD 1649 ★ Median home value: $998,600 (current tax bill ~$8,548/yr) | Average home value: $1,291,507 (current tax bill ~$11,055/yr) | Current Tax Rate $8.56 Annual cost per household based on assessed home value. Rate: $0.10 per $1,000. Chart shows increase if full costs in year one rather than phased over 3 years. Home Value Tier 1 — $9M Tier 2 — $12M Tier 3 — $15M Monthly (Tier 3) $500,000 $450 $600 $750 $63/mo $600,000 $540 $720 $900 $75/mo $700,000 $630 $840 $1,050 $88/mo $800,000 $720 $960 $1,200 $100/mo $900,000 $810 $1,080 $1,350 $113/mo $998,600 ★ MEDIAN $899 $1,198 $1,498 $125/mo $1,100,000 $990 $1,320 $1,650 $138/mo $1,200,000 $1,080 $1,440 $1,800 $150/mo $1,291,507 ★ AVG $1,162 $1,550 $1,937 $161/mo $1,400,000 $1,260 $1,680 $2,100 $175/mo $1,500,000 $1,350 $1,800 $2,250 $188/mo MEMORANDUM OF UNDERSTANDING (MOU) MHD 1649 A public commitment among the Select Board, School Committee, and Finance Committee governing fiscal discipline through FY2030. 62%–38% unrestricted revenue split formalized along with No override at least through FY2030 benefits allocation Select Board, School Committee, and Finance Committee commits Establishes clear allocation of revenues and benefits between to not pursuing another override at least through fiscal year 2030. schools and the town. Quarterly joint financial review Reduce reliance on Free Cash Quarterly finance reviews and annual public updates from Town Shift to structural budgeting and phase out use of Free Cash to Administrator and School Superintendent balance the budget. Build Stabilization Fund to 5% of Operating Budget Establishes a target reserve level that provides a meaningful financial cushion for the town against future volatility and unexpected costs in line with financial policy. This MOU is a public promise — accountability to Marblehead residents.