Beverly Mayor Proposes Tax Hikes To Avoid Layoffs In Budget

BEVERLY, MA — Beverly Mayor Mike Cahill's proposed budget for the fiscal year beginning July 1 avoid laying off city workers by calling for a 2.5 percent tax increase, the maximum allowed under Massachusetts without voter approval.

In addition to $2.7 million from the tax increase and $1.2 million in taxes from new development, Cahill's budget closes a $4.6 million revenue shortfall with $1 million from the city's reserves, a $350,000 cut in road and sidewalk and a call on city departments to tighten budgets in other areas. City departments have already saved about $2 million since reigning in spending since the start of the coronavirus crisis in March

"Since services people count on in Beverly are provided by our city and school employees, that has to be the priority now," Cahill said in his budget memo to city council.

The $136.5 million budget is up 1.2 percent from last year and includes a $1.4 million school budget increase. The city is expecting a 17.5 percent decrease in state aid this year.

See Mayor Cahill's complete Beverly budget proposal.