Reserves

The City shall maintain an undesignated fund balance between 5% and 15% of general fund revenues, less debt exclusion and Ch. 70.

Results: The city's undesignated fund balance as of June 30, 2025, was $13,985,452 or 7.85% of general fund revenue. This is up from June 2024, which was $12,569,995 or 7.36%.

In the event that the city's undesignated fund balance falls below 5% of general fund revenues, less debt exclusions and Chapter 70 Aid, (the "Fund Balance Floor"), a plan for specific expenditure reductions and/or revenue increases shall be submitted to the City Council during the next budget cycle.

The amount to be held in free cash shall not be less than 2% or more than 8% of general fund revenues, less debt exclusion and Ch. 70.

Results: The city is projected to have a free cash balance of $0 at the end of fiscal year 2026, largely due to exceptionally high snow removal costs that exceeded $4.6 million during the past winter. This winter was the coldest and snowiest the area has experienced since 2014-2015. In light of these unprecedented expenses, the Mayor and the city's Emergency Management Director have requested financial assistance from the Commonwealth. This year's free cash balance marks a significant decrease from the city's balance at the end of fiscal year 2025, which was $2,578,279, reflecting a decline of 1.51%.

Order- That $2,770,000 will be transferred from fiscal 2025- certified free cash to partially fund the snow and ice deficit and to provide for continuing appropriations

The city shall maintain a Stabilization Reserve Fund of at least 3% of general fund revenue, less debt exclusion and Chapter 70.

Results: The city's stabilization fund is $8,001,094 or 4.49% of general fund revenue, not including Chapter 70 and debt exclusions. This is up from fiscal 2025 which had a balance of $7,533,248 or 4.41%.