Why an Override?
Why does Winchester need a tax override now?
Because of Proposition 2 1/2, town revenues can’t keep up with inflation and rising costs
In 1980, Massachusetts passed Proposition 2 1/2, a law that limits the amount of property taxes a city or town can collect to a 2.5% annual increase (plus new growth - about 3% in total in Winchester). Over time, however, inflation has regularly exceeded this limit, making it difficult for cities and towns to fund schools, public safety, and municipal services without seeking regular overrides to help bridge the gap.
The architects of Proposition 2 1/2 understood that 2.5% increases would not always be sufficient to maintain municipal services. That’s why they gave the voters the power to approve local tax increases to fund the services they believe are necessary through tax overrides.
Cities and towns in Massachusetts regularly depend on overrides for essential funding
Winchester last passed an override in 2019. The override was designed to last three to four years. With conservative financial management and additional federal funding during the pandemic, the town was able to stretch it out for seven years. Despite those best efforts, the town has repeatedly faced a growing structural deficit of millions of dollars, which it has been forced to fund through ever-shrinking reserves.
Many Massachusetts communities are facing similar budget shortfalls. Inflation has hit budgets hard in recent years, especially in key areas like transportation, healthcare, and construction—major expenses for every city and town. As a result, towns across the state have passed overrides in recent years, including our neighbors in Medford, Arlington, Belmont, Melrose, and Stoneham.
Through careful management and operating on a tight budget, Winchester has put off an override as long as possible. But at this point, further cuts jeopardize our schools, buildings, safety, and basic public services.
Our town’s revenue challenges are not due to overspending or fiscal mismanagement
Winchester already runs a lean budget.
Winchester’s per-pupil spending ranks in the bottom third of the state, despite being one of the state’s wealthiest towns based on per-capita income.
Additionally, Winchester holds a AAA bond rating - one of just 14 towns in the state, and one of only two towns with our suburban, mostly residential profile - signifying strong fiscal management and a very low default risk. This allows our town to borrow at the lowest interest rates (which further saves us money). Maintaining this rating is crucial because it directly impacts the cost of municipal and school building and infrastructure projects. If we lose our AAA rating, these projects will only become more expensive.
Winchester is dependent on property tax
Town management has worked diligently to explore and utilize every avenue to raise revenue outside of an override (learn more here). However, because Winchester is over 95% residential real estate, with limited space for commercial development, opportunities for new business growth - and any resulting revenue from that growth - is limited. The only way to truly address the growing budget deficit is with a tax override.
The proposed override was very carefully considered
Facing significant budget shortfalls, the Town spent much of the last year undertaking a State of the Town process to create a long-term, comprehensive plan for both our schools and town services. The process was led by the Select Board and included representatives from the School Committee, Finance Committee, Planning Board, and Capital Planning Committee. In addition, seven at-large members brought diverse perspectives—from young parents to a former Select Board chair to a former superintendent of Arlington Public Schools.
Together, the group worked to build a plan that is rigorous, balanced, and forward-looking—one that supports strategic and essential investments in school and town services, identifies opportunities to grow non-property tax revenue, minimizes impacts on taxpayers, and rests on a foundation of strong financial stewardship. You can read the State of the Town’s findings and detailed reports here.
Voting NO is NOT a vote to maintain the status quo
Voting NO is a vote for cuts that will result in real harm to our schools and our town.
If the override does not pass, things will not stay the same. Costs will only continue to increase faster than revenue, widening the deficit and making problems more expensive to fix. There will be real cuts. Real needs will be unmet. And our kids, teachers, seniors, community, and town will feel the impact. In the end, it will cost us far more money down the road. Please click here to better understand what we will lose without an override and what is at stake.
By voting YES, we can address our revenue challenges so that Winchester remains the wonderful community we are proud to call home - a community where residents of all ages can thrive.
