Hanover Sets $3.76M Override Question for May Consideration

HANOVER — The Select Board voted 4-1 to place a $3.76 million tax override question before voters, a figure that exceeds the override budget by $250,000 in an effort to strengthen Hanover's long-term financial footing.

The approved proposal adds excess levy capacity—additional taxing authority that the town can use in future years—beyond the $3.513 million needed to fund the town manager's proposed fiscal year 2026 override budget.

"If we move forward with an override ballot question number that is in line with the amount that is being voted on at town meeting, we essentially are right back here having the same conversation in a year or two years because that amount is not getting us because we're not building an excess levy," said Chair Vanessa O'Connor. "I think that's why I think there's a real need for this."

The vote came after a lengthy discussion balancing fiscal sustainability with taxpayer affordability.

"I think increasing the levy limit on the ballot question...is just not practical," O'Connor said. "And so then I'm left thinking, okay...what's the alternative here? And I think the alternative is a compromise."

Town Manager Joe Colangelo supported the idea of building in excess levy capacity.

"We need to have that excess levy," Colangelo said. "So I think a half million dollars is the very minimum...If I was going to make a recommendation to you, I would increase the levy at least 250,000."

Finance Director Jim Hoyes presented long-term projections showing annual operating budget deficits between $1.6 and $2.2 million from fiscal year 2027 to 2031, with a forecasted relief point in 2032 due to the retirement of major debt and pension obligations.

"Without an override at all, we've run out of room of things to cut from the budget to live within a two and a half percent levy," said board member Greg Satterwhite. "I think for the sustainability piece of this...we need to find a fair compromise to pass an override that is affordable and makes sense."

Board member Steve Louko supported a more modest increase.

"In my mind, I think 3.6 seems like a reasonable amount," Louko said. "If you go any higher than 3.6, you kill the whole deal."

Ultimately, the board settled on O'Connor's proposal to add $250,000 in excess capacity on top of the $3.513 million override budget. Coupled with $500,000 in cuts recommended by the Advisory Committee, the override vote would generate $750,000 in excess levy capacity if both measures pass.

Board member John Tuzik made the motion to approve the $3.763 million override language.

"I would support whatever would reasonably get us to some kind of sure footing...to this pot of gold allegedly that exists...in 2031," Tuzik said.

The proposed override budget will first need to be approved at Town Meeting on May 5. It will then go for an override vote at the Annual Town Election in May 2025.

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