The Finance Committee of Danvers convened on April 16, 2025, to review the budget for fiscal year 2026, addressing several key areas including the assessing budget, debt service, retirement system, and benefits and insurance.

The meeting commenced with a discussion on the assessing budget, where it was noted that a reorganization within the department had led to the creation of a data analyst position. This change is expected to enhance control over cyclical inspections and reduce costs associated with contracted services. The committee unanimously approved the assessing budget after a brief discussion.

Next, the committee reviewed the treasurer collector budget. Assistant Treasurer Nick Naven, filling in for the vacationing Treasurer Jill Summitt, highlighted an increase in operating expenses primarily due to rising costs in bill printing and software maintenance. The committee expressed concerns about the anticipated returns on investments, with expectations set lower than previous years but still positive. The budget was subsequently approved without opposition.

The debt service budget was presented next, revealing a decline due to some debts falling off the schedule, alongside a new addition for the acquisition of a preservation restriction at the Rebecca Nurse Homestead. This acquisition, costing $750,000, was financed through debt stabilization funds. The committee confirmed that the town's bond rating was unaffected by the current debt service structure. The debt service budget was also approved.

The Danvers retirement system was discussed, with the board targeting an 8% increase year-over-year to achieve full funding by 2035. Currently, the system is 64.5% funded, and the assumed rate of return has been lowered to 7%. The committee approved the retirement budget after addressing questions regarding legal services and overall funding.

Finally, the benefits and insurance budget was reviewed. The committee noted a level funding approach, with a significant increase in employee insurance costs driven by a 10.9% renewal rate. Factors contributing to this increase include higher utilization rates and rising prescription drug costs. The committee discussed strategies for educating employees about their health insurance options and potential adjustments to plan designs. Despite concerns about future rate increases, the budget was approved.

In conclusion, the Finance Committee's meeting resulted in the approval of all discussed budgets, with a focus on maintaining fiscal responsibility while addressing rising costs in various sectors. The committee plans to continue monitoring these areas closely as they prepare for the upcoming fiscal year.