Northampton mayor presents $152M budget to council, warns of override in FY28

Mayor Gina-Louise Sciarra gives her inaugural address in January.
Reminder Publishing file photo

NORTHAMPTON — Amid “historic financial pressures” levied on cities and towns across the state, Northampton Mayor Gina-Louise Sciarra unveiled a $152 million budget proposal for fiscal year 2027 to the City Council.

The proposal, presented at the council’s May 21 meeting, constitutes a 4.6% increase over the FY26 budget and includes a school budget of $46.6 million, or a 6.7% increase over last year’s base budget.

“In an unstable world, for cities to survive and thrive, we have to pull together and build a stable foundation for ourselves,” Sciarra said in her budget summary. “That includes managing our resources carefully, thoughtfully, and compassionately.”

Schools have been the talk of town throughout the last few budget seasons in Northampton. This year, the School Committee recommended a base budget of $50.3 million, or a 15.3% increase over the FY26 budget. In her summary, Sciarra argues that this number is more than what the city can “responsibly and sustainably provide.”

She said such a budget would drain all reserves in two years and create an $8 million deficit.

“While the School Committee’s recommendation was made with the best of intentions, I could not incorporate it into our final budget without creating a devastating budgetary situation within two fiscal years and violating my governance and fiduciary responsibilities,” Sciarra said.

Instead, her proposed $46.6 million school budget proposal is in line with Superintendent Portia Bonner’s level service budget and marks the fifth consecutive year that the School Department has experienced an increase of over 5%, a feat that hasn’t been achieved in 50 years, according to the mayor.

In her proposal, Sciarra noted that the school budget is further augmented by $166,666 from the remaining gift from Smith College and a Medicaid reimbursement amount from the Special Education Stabilization Fund of $235,311. She added that $114,689 is available to be used throughout the fiscal year, if necessary.

Sciarra also addresses the reduction of 20 positions in Northampton Public Schools that occurred in FY25 in her budget presentation. She notes that those reductions were a result of an overreliance of nonrecurring revenue sources during the COVID-19 pandemic, but she said the district has regained some of those positions back. The student-teacher ratio, as determined by the Department of Elementary and Secondary Education, is a near record low of 10.5-to-1, according to Sciarra.

“Our competitive position to neighboring school districts has grown stronger, making us more desirable to new families with young children,” Sciarra said.

Later in her budget summary, Sciarra said that the FY27 budget is balanced thanks to the help of reserves and aggressive revenue estimates. However, she noted that an override is likely necessary ahead of the FY28 budget.

“At that point, the choice will be yours, whether to renew the Fiscal Stability Plan and maintain services, or end the plan and reduce our level of services,” Sciarra said. “Between now and then, the Mayor’s Office will be a source of transparent budget information to help you make an informed decision about Northampton’s future.”

The likelihood of an override vote next budget season stems from what’s known as the city’s Fiscal Stability Plan, according to Sciarra. For the last 13 years, Northampton has been guided by this plan and its Fiscal Stability Stabilization Fund, which is maintained by periodic overrides spaced several years apart.

Sciarra argues that this process allows the city to maintain services, replenish the fund and continue a multi-plan cycle. Voters backed overrides in 2013 and 2020.

“The first override lasted for seven years — three more than initially anticipated — and the second override is on track for a similar performance,” Sciarra said.

With an override looming, Sciarra said she will convene an override public advisory committee, which will include elected officials, financial staff and community members. The committee will review revenues and expenditures and help align the community’s priorities with what the city can afford.

Without the override in FY28, Sciarra said a reduction of services would occur. The forecasting comes at a time when neighboring districts, most notably South Hadley and Easthampton, are grappling with their own override scenarios. Sciarra argues that the Fiscal Stability Plan steers Northampton away from a similar fate.

“Right now, we are seeing many of our neighboring municipalities not only grapple with how to address big projected deficits in the coming fiscal year, but also how to plan beyond the coming fiscal year to avoid sudden fiscal crises,” Sciarra said in her summary. “That is what our Fiscal Stability Plan is designed to do. Because we have stayed committed to that multi-year approach, we will begin our discussion from a stronger position than many of our neighbors.”

The City Council held public hearings for the FY27 budget on May 27, and they will have one on June 2 in City Council Chambers at 6 p.m. The public will have the option to participate in person or remotely. The full council has to vote on the budget before FY27 officially begins on July 1. However, amendments to the city’s budget have been made after that date during the last two fiscal years.