Ways & Means Committee

Tuesday, April 14, 2026, 10 a.m. (Boston time), Boston City Hall, 1 City Hall Square, Boston, MA 02201

Hearing on Dockets #0733-0740, FY27 Budget: Operating Overview

Video of the meeting

On the agenda

Documents

Summary

The Ways & Means Committee, chaired by Councilor Weber, held its first hearing on the FY 27 operating budget (dockets 0733–2074), hearing from CFO Ashley Grubenberger and Budget Director Jim Williamson. The recommended budget is $4.9 billion, growing 2.1%, with departmental reductions of $20.4 million (1.3%), approximately $12 million in discretionary grant cuts, $5 million in year-round youth jobs reductions, 57 long-term vacant position eliminations, and no city layoffs. Councilors raised concerns about grant funding cuts to community organizations, youth employment reductions, BPS central office spending versus classroom services, health insurance cost increases (including GLP-1 medications at $48 million in calendar 2025), and the city's debt service and reserve policies. Two members of the public provided testimony on revenue forecasting and small business displacement.

Transcript

4:31 burning.

4:32 um.

4:35 For the record, my name is ben

4:35 weber.

4:38 I'm the district six city

4:39 councilor and the chair of the

4:41 boston city council on ways and

4:41 means.

4:44 Today is APRIL 14th, 2026.

4:47 The exact time is 1005.

4:49 This hearing is being recorded

4:51 and is also being live streamed

4:55 at boston.Gov/city council dash

4:56 tv and broadcasted it on

4:58 xfinity channel eight, rcn

5:00 channel 82 and fios channel

5:00 964.

5:03 The city's budget review

5:06 process uh which uh officially

5:08 starts now although we've had

5:10 several pre-budget hearings and

5:12 a listening session uh actually

5:16 to uh here um uh will encompass

5:18 a series of public hearings uh,

5:19 beginning now and running

5:20 through JUNE.

5:22 We strongly encourage residents

5:24 to take a moment to engage in

5:26 this process by giving

5:27 testimony on the record.

5:32 Uh, you can do so, um, sorry.

5:33 You can you can do this in

5:34 several ways.

5:35 Uh, first you can attend one

5:37 of our hearings and give public

5:38 testimony.

5:40 You will we will take public

5:41 testimony at the end of each

5:42 departmental hearing.

5:45 Uh, and also at two hearings

5:46 dedicated to public testimony.

5:48 The full hearing schedule can

5:54 be found on our website at

5:55 boston.Gov/council-budget.

5:57 Our scheduled hearings

5:59 dedicated uh to public

6:01 testimony are in person here in

6:03 city hall on tuesday APRIL 28th

6:06 at 6 P.M. And again here in

6:09 city hall in person on thursday

6:12 ,MAY 26th at 6 P.M. You can

6:13 give testimony in person here

6:15 in the chamber or virtually via

6:18 zoom at all of our hearings for

6:19 in-person testimony.

6:22 Please come to the chamber and

6:24 sign up uh, on the sheet near

6:26 the entrance for virtual

6:26 testimony.

6:28 You can sign up using our

6:30 online form on our

6:32 council budget review website

6:36 or by emailing the committee at

6:37 squirm@boston.Gov or by

6:39 emailing uh, chris mitchell on

6:39 it.

6:44 Christmas car is h m a taxi.

6:50 Oh you hand at boston deck

6:52 of um when you are called to

6:53 testify please state your name

6:55 and affiliation.

6:57 Residents and uh, limit your

6:59 comments, uh, to a few minutes

7:01 or two minutes uh uh for each

7:03 uh, person giving public

7:04 testimony.

7:06 Um, and just make sure you're

7:07 prepared for that time limit so

7:08 you can you have all your

7:11 concerns heard by us email your

7:12 written testimony uh, if you

7:16 have it to the committee at 6

7:17 A.M. At boston.Gov.

7:19 Um you can also submit a two

7:21 minute video of your testimony

7:23 through the form on our

7:23 website.

7:26 Uh for more information on the

7:28 city council budget process and

7:29 how to testify, please visit

7:31 the city council's budget

7:34 website at

7:35 boston.Gov/council-budget in

7:37 person public testimony will be

7:39 taken at the beginning of this

7:41 hearing following the panelist

7:43 presentation, individuals will

7:44 be called in the order in which

7:45 they were signed up.

7:47 um and we'll have two minutes

7:49 to testify if you wish to sign

7:50 up for public testimony.

7:51 You've not done so already.

7:54 Uh, please uh, either sign in

7:56 on the sheet that's uh over

7:59 there now or uh uh, email uh,

8:01 our staff liaison at you know

8:05 christmas and it's cry sahm a.

8:10 Okechukwu h and@boston.Gov for

8:11 the zoom link and your name

8:12 will be added to the list.

8:17 Today's hearing is on docket

8:20 numbers 073320740.

8:23 An overview of the fy 27

8:23 operating budget.

8:25 This is one in a series

8:27 of hearings we'll be conducting

8:29 on the foia fiscal year 27

8:29 budget.

8:32 These matters worse sponsored

8:34 by uh mayor michelle wu and

8:35 were referred to the committee

8:38 on APRIL 8th, 2026.

8:40 Uh, today I'm joined by my

8:43 colleagues in order of arrival

8:44 councilor murphy,

8:46 council PRESIDENT Breadon and

8:46 councilor flynn.

8:48 We've received a letter

8:49 of absence from

8:50 councilor colletta zapata.

8:56 Uh, I you know, I so we're

8:57 because we have a lot of work

8:59 ahead of us and a lot

9:00 of hearings we're not going to

9:02 be doing opening statements at

9:02 these hearings but because

9:03 today's the first and because

9:05 there's only three of you if

9:07 anyone wants uh, one minute

9:09 each to say anything, uh,

9:10 councilor murphy.

9:13 Thank you.

9:15 chair could could you

9:15 explain?

9:17 Uh, are you going to we

9:17 already?

9:19 Uh, well yeah.

9:20 So but.

9:21 but my my mind.

9:21 you know.

9:22 Oh.

9:23 so so yeah.

9:24 Um.

9:25 thank you.

9:27 Could you just clarify before

9:28 we start seeing though this is

9:30 the beginning of many what you

9:32 meant by there will not be

9:32 opening statements.

9:33 Yeah.

9:35 so, uh, sometimes in some

9:36 hearings every councilor gets

9:37 Steve.

9:37 Yeah.

9:37 an opening.

9:38 Before we go to go to the panel

9:42 and go to questions, uh,

9:43 because we're going to be

9:46 spending a lot of time I you

9:47 you can give an opening

9:48 statement as part of your

9:49 questions but we're not going

9:51 to have that part.

9:53 I think uh, councilor earle did

9:54 that last year and and I think

9:56 it was effective in making the

9:57 hearings more efficient.

9:59 But because today is the first

10:00 one if you want to say.

10:03 Or just something.

10:04 sure.

10:05 I always want to say something

10:05 .

10:08 Um, thank you again for being

10:09 here.

10:13 Have some obviously questions

10:16 and some concerns knowing that

10:18 you know, we got the budget I

10:21 guess was formally shared last

10:23 wednesday and since then have

10:27 been hearing directly from

10:28 organizations from students.

10:31 So looking for some

10:32 clarification and I hope

10:34 through the slides and your

10:36 presentation and then just

10:36 questions answered.

10:39 but one email that was

10:40 forwarded to me from the eight

10:43 strong commission yesterday was

10:46 notifying a nonprofit provider

10:47 that certain grants would no

10:49 longer be funded and since then

10:52 ,um, I've received outreach

10:55 from students that their jobs

10:57 are being cut and other youth

10:59 employment opportunities that

11:00 are tied to community based

11:01 organizations.

11:05 So I heard it's just a rumor

11:06 though that maybe the city

11:08 started sending out emails on

11:12 friday and organizations,

11:13 nonprofits, individuals are

11:16 finding out that, you know,

11:17 opportunities or jobs they had

11:19 or grants they were funding are

11:21 no longer being funded.

11:23 And it does tie to the question

11:25 that I think four times now,

11:27 chris, um, I've put on the

11:29 record and when I had my one on

11:31 one with michelle with mayor

11:33 wu, it was the only question I

11:35 asked to see like back in was

11:37 it DECEMBER JANUARY when we

11:39 reached out to each department

11:40 saying we need to make some

11:41 cuts?

11:43 What was that communication to

11:44 each department and what did

11:46 they send back?

11:48 And now seeing that we do have

11:49 the budget in front of us, I

11:50 think it's still important to

11:51 see that because I do want to

11:53 line up where the cuts were

11:54 made and how are we

11:56 communicating and what are we

11:56 going to do about it.

11:57 Thank you.

11:57 Okay.

11:58 thank you, councilor murphy.

12:00 Councilor uh, breadon, do you

12:00 have uh.

12:03 Um no, I think okay, I have my

12:04 time for sure.

12:06 uh, councilor flynn one minute.

12:08 Thank you, mr chair.

12:09 I'll be one minute.

12:11 I want to say thank you to the

12:13 chair administration team that

12:13 is here.

12:15 Over the last several.

12:16 Years I've focused.

12:20 And advocated for us to be more

12:21 fiscally discipline and

12:23 fiscally responsible,

12:25 transparent and accountable to

12:26 the taxpayers of the city.

12:30 I proposed several ways to get

12:32 our economy moving again

12:34 including a city city

12:35 council blue ribbon commission

12:38 that was approved twice which

12:41 would encourage um and support

12:43 businesses in downtown boston.

12:46 I know our economy is

12:47 struggling, especially economic

12:49 development and I propose

12:51 reducing the idp.

12:55 I propose reducing the

12:56 regulations that we have on

12:57 berto.

12:58 I want to see.

13:01 City workers and.

13:02 Businesses back to work.

13:04 I do believe the rent control

13:05 debate.

13:05 Is hurting.

13:07 Financial investors that want

13:08 to come to boston.

13:12 But I want to support a

13:13 pro-business climate in the

13:15 city so businesses understand

13:18 that boston is open and and

13:19 welcoming to businesses.

13:21 We have to change the

13:24 perception that um that we are

13:26 anti-business businesses help

13:28 pay for our schoolteachers, for

13:30 our roads, for our bridges

13:31 supporting our elderly.

13:32 Uh, mr chair, thank you.

13:33 Okay.

13:34 Thank you very much.

13:35 We're joined by

13:36 councilor sharon durkan.

13:39 Uh, I you know, I'm just we're

13:41 statements.

13:41 generally we're waving opening

13:42 Uh, people can give statements

13:43 during their questions.

13:43 Thank you.

13:45 well, I'm excited to dig in

13:45 then.

13:45 Okay.

13:46 okay.

13:46 Do.

13:49 Uh, you know, I just, uh, a

13:50 brief statement for me, you

13:53 know, um, I think what we're

13:55 seeing is a budget where we're

13:56 having to we have budget

13:58 deficits this year.

13:59 Uh, we're going to look how

14:00 that's going to impact next

14:01 year.

14:03 Uh, for me, a question I'd like

14:04 to answer over the course

14:06 of these hearings is, you know,

14:07 is this, uh, sort of a

14:07 condition.

14:09 That's going to continue on

14:11 into the future is not like one

14:13 thing that we can point to like

14:15 a housing crisis or a.Com

14:17 bubble or or something we just

14:19 sort of have the costs increase

14:20 and the amount of revenue that

14:21 we can raise doesn't increase

14:23 as fast, you know, how are we

14:25 going to plan for the future in

14:26 an environment where um.

14:27 You know.

14:30 Uh right now it's it's uh it's

14:31 hard it's hard to do all the

14:33 things that we want as a city.

14:35 Um, and you know, whether this.

14:36 Is going to.

14:37 Continue on into the future.

14:39 So we've been joined by chief

14:40 financial officer ashley

14:42 griffin burger and budget

14:43 director jim williamson.

14:47 Um, I believe you have uh, a

14:48 presentation.

14:48 so I'm.

14:49 going.

14:50 To hand this off to you.

14:52 Thank you.

14:52 It's um thank you, mr chair.

14:53 Good morning.

14:53 Councilors.

14:54 Thanks for having us.

14:56 Um, excited to kick off this

14:58 very important phase of the

15:00 budget process for this year.

15:02 So thank you for taking, uh, a

15:03 lot of time with us today.

15:06 Um, we'll walk through a couple

15:07 of slides related to the budget

15:09 and then look forward to your

15:09 questions.

15:15 Uh, so the fy 27 recommended

15:18 budget uh, is $4.9 billion and

15:20 is a thoughtful, responsible

15:21 financial plan that honors the

15:23 city's commitments, prioritizes

15:25 meeting our long term

15:26 obligations, uh, and protecting

15:28 core city services while

15:29 setting boston up for the

15:30 future.

15:31 The recommended operating

15:33 budget is projected to grow by

15:37 just 2.1% or 99.4 million, the

15:38 lowest rate of growth in recent

15:39 years.

15:42 Revenues continue to grow but

15:43 are outpaced by significant

15:45 cost increases, particularly in

15:47 health insurance and public

15:49 education costs, which

15:51 necessitated difficult choices

15:52 in order to deliver this

15:53 balanced budget.

15:55 As a result of this slower

15:57 growth, city department budgets

16:00 overall decreased by 1.3% or

16:00 20.4 million.

16:03 These reductions were not taken

16:05 lightly nor were they easy but

16:07 were necessary in order to

16:09 preserve services and filled

16:10 positions in the city.

16:16 The fy 27 budget is coming at a

16:17 time of strain for

16:19 municipalities across the

16:20 commonwealth, driven by costs

16:22 that outpace the growth allowed

16:23 under municipality's main

16:26 revenue source uh property tax

16:27 uh constrained by prop two and

16:28 a half.

16:30 Despite this constraint and

16:31 challenge, the city maintains

16:33 its commitment to responsible

16:35 budget management and unlike

16:37 other municipalities in the

16:39 commonwealth this year this

16:40 recommended budget does not

16:41 rely on additional tax revenue

16:43 in the form of a prop two and a

16:44 half override.

16:46 Nor does it increase its use

16:48 of reserves to support ongoing

16:49 expenditures, ensuring that we

16:51 do not create a fiscal cliff

16:53 for ourselves in fy 28 and

16:53 beyond.

16:56 Rather, this budget

16:57 appropriately aligns spending

16:58 with expected revenue growth.

17:02 We continue to closely monitor

17:03 impacts of federal policies

17:05 whether directly on the city or

17:06 in the overall local economy.

17:09 And we believe that the fy 27

17:11 recommended budget is

17:13 thoughtful and responsible and

17:14 puts us in the best position to

17:16 manage through the current

17:16 economic environment.

17:21 So I'll walk through two charts

17:22 real quick to provide kind

17:24 of context for revenue and

17:24 expenditure growth.

17:27 Uh, so um and we have a lot

17:29 more on this I'll I'll breeze

17:30 through this but revenue growth

17:32 is primarily driven by property

17:34 tax and this budget which while

17:35 constrained represents a stable

17:37 and growing source of revenue.

17:39 The recommended budget assumes

17:40 that we will maximize up to the

17:42 levy limit and makes an

17:43 assumption for new growth uh,

17:46 at $40 million we have also

17:48 assumed increase use of what's

17:49 known as available funds

17:50 through an increase use in the

17:52 parking meter fund to supports

17:54 to support street operations in

17:57 this budget and state aid while

17:58 our second largest source

18:00 of revenue is only projected to

18:02 grow by 14 million consistent

18:04 with the governor's budget from

18:05 JANUARY 2026.

18:08 Uh, we are continuing to

18:09 project modest growth in

18:11 excises but that remains

18:13 relatively stable and then

18:14 consistent with the current

18:16 fiscal year, we are projecting

18:18 modest reductions in revenue

18:19 from departments and licenses

18:20 and building permits.

18:23 And uh lastly, we continue to

18:25 assume a reduction in interest

18:26 income due to expected rate

18:27 cuts during the year.

18:31 Uh, on the expenditure side,

18:34 that revenue growth is entirely

18:36 consumed by projected growth in

18:37 health insurance costs and

18:38 public education.

18:40 Uh the health insurance costs

18:42 alone represent an increase

18:44 of just over 97 million over fy

18:44 26.

18:47 Um this is due to the things

18:48 we've been talking to you all

18:50 about for um, you know, the

18:53 last couple of months, um, the

18:55 need to increase employer

18:56 contributions to health

18:58 insurance, um, as a result

18:59 of increased cost of health