City Council Budget & Finance Committee

Budget & Finance Standing Committee

Thursday, September 3, 2026 – 5:30 p.m. City Hall 1st Floor Council Conference Room 9 Dale Avenue Gloucester, MA 01930 and via Zoom

-Minutes-

Present: Chair Councilor Scott Memhard; Vice Chair Councilor Tony Gross; Councilor Patti-Ann Page

Other Councilors Present: Councilor Jason Grow

Also Present: CAO, Kelly Dolan; Auditor, Kenny Costa; DPW Director, Michael Hale; General Counsel, Suzanne Egan

Meeting called to order at 5:30 p.m.

This meeting was conducted in-person and remotely via ZOOM.

Councilor Memhard announced the names of the B&F Committee members in attendance and City staff who were in attendance in person and on Zoom.

1. Memorandum from the Archives Department requesting acceptance of donations in the amount of $216 (cont. from August 20, 2026)

Summary of Discussion: None.

COMMITTEE RECOMMENDATION: On a motion by Councilor Memhard, seconded by Councilor Page, the Budget & Finance Committee voted, 3 in favor, 0 opposed, to recommend that the City Council accept various cash donations under MGL c. 44, §53A, to support the Archives Department in the amount of $216 from the following members and business partners in our community:

| NAME | AMOUNT | DATE | |---|---|---| | Ben Webster | $10.00 | 7/10/26 | | Connie Desimone | $1.00 | 7/12/26 | | Mark L. Nestor | $200.00 | 7/20/26 | | Judy Peterson | $5.00 | 7/27/26 | | Total | $216.00 | |

2. Memorandum from the Veterans Services Director requesting acceptance of donations in the amount of $550

Summary of Discussion: None.

COMMITTEE RECOMMENDATION: On a motion by Councilor Memhard, seconded by Councilor Page, the Budget & Finance Committee voted, 3 in favor, 0 opposed, to recommend that the City Council accept various cash donations under MGL c. 44, §53A, to support Veterans Services in the amount of $550 from the following members and business partners in our community:

| NAME | AMOUNT | DATE | |---|---|---| | Kristine M. Stellato | $100.00 | 7/22/26 | | Christina A. Roberts | $50.00 | 7/22/26 | | Ambrose D. Scola & Valerie D. Scola | $25.00 | 7/22/26 | | Evelyn F. Howard & Dennis A. Howard | $50.00 | 7/22/26 | | Angela F. Rich & David G. Rich | $25.00 | 7/23/26 | | Lauren L. DiMarco | $50.00 | 7/23/26 | | Elana M. Brink | $100.00 | 7/23/26 | | Philip P. Murray Jr. | $50.00 | 7/24/26 | | Edward Comeau | $100.00 | 7/29/26 | | Total | $550.00 | |

3. Memorandum from the Director of Elder Services requesting acceptance of donations in the amount of $777.86

Summary of Discussion: None.

COMMITTEE RECOMMENDATION: On a motion by Councilor Memhard, seconded by Councilor Page, the Budget & Finance Committee voted, 3 in favor, 0 opposed, to recommend that the City Council accept various cash donations under MGL c. 44, §53A, to support Elder Servicesin the amount of $777.86 from the following members and business partners in our community:

| NAME | AMOUNT | DATE | |---|---|---| | Margaret J. Allen | $100.00 | 8/3/26 | | Barry S. McKay | $377.86 | 7/20/26 | | Ann Byers | $100.00 | 6/21/26 | | Barbara G. Black | $50.00 | 6/4/26 | | Barbara G. Black | $50.00 | 8/5/26 | | Maureen A. Surrette | $100.00 | 8/12/26 | | Total | $777.86 | |

4. Memorandum from the Director of Elder Services requesting acceptance of the State Formula grant in the amount of $164,320

Summary of Discussion: Councilor Page asked if this was for FY27. Auditor, Kenny Costa stated that it was, and the grant was being received earlier than in recent years.

COMMITTEE RECOMMENDATION: On a motion by Councilor Memhard, seconded by Councilor Page, the Budget & Finance Committee voted, 3 in favor, 0 opposed, to recommend that the City Council accept under MGL c. 44, §53A, a Massachusetts State FY2027 Council on Aging Formula Grant Allocation from the Mass. Executive Office of Elder Affairs in the amount of $164,320. There are no local matching requirements for the state grant and the grant period is from July 1, 2026 through June 30, 2027.

5. Memorandum from the City Clerk & #2027-SA-2 for payment of the Early Voting staff for the State Primary in September and the State Election in November in the amount of $3,100

Summary of Discussion: None.

COMMITTEE RECOMMENDATION: On a motion by Councilor Memhard, seconded by Councilor Page, the Budget & Finance Committee voted, 3 in favor, 0 opposed, to recommend that the City Council approve Supplemental Appropriation #2027-SA-2 in the amount of $3,100 (Three Thousand One Hundred Dollars) from the Receipts Reserved for Appropriation – Special Revenue Fund, Elections, Transfers to General Fund, Account #32165-596001 to the General Fund, Registration – Ordinary Maintenance, Purchase of Services, #0116352-520000 for the purpose of paying election workers to staff the early voting site for the State Primary and State Election.

6. Memorandum from the Interim Police Chief regarding the purchase of Tasers in the amount of $60,211.32

Summary of Discussion: Kenny Costa stated that this was a five-year rotating lease. He stated by entering into a longer lease, it allowed the City to save on the contract.

COMMITTEE RECOMMENDATION: On a motion by Councilor Memhard, seconded by Councilor Page, the Budget & Finance Committee voted, 3 in favor, 0 opposed, to recommend that the City Council approve under MGL c. 30B, §12B a term of contract to permit the procurement officer to award a five-year lease agreement and payment schedule to Axon Enterprise Incorporated for the purchase of tasers and expenses related thereto for the Gloucester Police Department for a total of $60,211.32.

7. Memorandum from the Director of Public Works regarding the new trash and recycling program starting October 1, 2026

Summary of Discussion: DPW Director, Michael Hale shared his screen.

Slide: City of Gloucester Residential Trash & Recycling — Comprehensive overview of the new Automated Cart Collection program launching October 1, 2026, service tiers, and collection rules. (Department of Public Works | Gloucester, MA)

Michael Hale stated the above.

Slide: Program Overview — Program Transition: Transitioning from purple bags to safer, automated cart collection with Casella Waste Management. - Safer, Cleaner Collection: Automated side-load trucks lift carts mechanically, dramatically reducing worker strain and preventing windblown street litter. - Casella Partnership: Partnering with Casella Waste Management to transition smoothly into a highly reliable, modern municipal waste management system.

Michael Hale stated the above.

Slide: What is Changing in 2026? - Old Purple Bag Program: Sunsetting September 30, 2026: Manual collection using official purple municipal trash bags and individual yellow appliance stickers will cease permanently. Overflow bags will no longer be collected. - New Automated Carts: Effective October 1, 2026: City-provided, heavy-duty wheeled carts will be used for all trash and single-stream recycling. Collection will be handled by automated side-load trucks for enhanced safety and efficiency.

Slide: Automated Cart Launch — Cleaner & Safer Neighborhoods - The City's Municipal Waste Collection Program applies to all single-family homes and multi-family residential properties up to four units. - Automated collection keeps neighborhoods tidy by reducing windblown litter, pest access, and physical injury risks for collection personnel.

Michael Hale stated the above.

Slide: 5-Year Contract Cost Projections — Note: Year 1 baseline of $4,614,375.00 with a 5% annual escalator applied compoundingly over the 5-year term. - Year 01: $4.61M ($4,614,375.00 Baseline Year) — Initial budget allocation for automated waste & recycling services. - Year 02: $4.85M ($4,845,093.75 +5% Escalation) — Reflects annual escalation multiplier of 1.05 from baseline. - Year 03: $5.09M ($5,087,348.44 +5% Escalation) — Compound escalator applied over Year 2 projection. - Year 04: $5.34M ($5,341,715.86 +5% Escalation) — Compound escalator applied over Year 3 projection. - Year 05: $5.61M ($5,608,801.65 +5% Escalation) — Final year projections of the 5-year municipal contract term.

Slide: Breakdown of Residential Collection Program: Year 1 Rates — Note: The contract includes a 5% annual escalator. - Collection Schedule: 5 Days / Wk — Comprehensive residential solid waste and recycling collection is scheduled across five days per week. This ensures timely, structured, and reliable curbside service for all designated municipal zones. - Annual Collection Program Budget: $2,760,000 — Allocated funding to support city-wide residential automated waste services and program operations. - Yard Waste Collection: $24,300 / Wk — Dedicated seasonal collection program for organic yard waste, leaves, and brush. Helps divert green waste from landfills to sustainable regional composting facilities. - Park & Beach Barrel Collection: $150,000 (May - October) — Seasonal collection services to maintain public parks and beachfront areas during peak summer months. - Dumpster Management: $180,000 — Yearly budget allocated to manage and service all municipal and school dumpsters across the city. - Disposal & Processing Tipping Fees: Solid Waste: $98/ton charged for municipal solid waste disposal. Recycling: $125/ton processing fee for single-stream recycling.

Michael Hale stated the above.

Slide: Service Tiers & Cart Options

| Service Tier | Trash Cart | Recycling Cart | Standard Fee | Senior Discount (65+) | |---|---|---|---|---| | Standard Tier (Default) | One 65-Gallon Cart | One 65-Gallon Cart | $300/year ($75/qtr) | $150/year ($37.50/qtr) | | Option A (Size Down) | One 35-Gallon Cart | One 65-Gallon Cart | $200/year ($50/qtr) | $100/year ($25/qtr) | | Option B (Small Pair) | One 35-Gallon Cart | One 35-Gallon Cart | $200/year ($50/qtr) | $100/year ($25/qtr) |

• Additional Cart Charges: Any additional cart requested, regardless of size, is a $75 charge. Collection Charge: $300 for 65-gal trash/recycle & $200 for 35-gal trash/recycle.
• Senior Citizen Discount (65+): Standard Tier: $150/yr. 35-gal Trash + (35 or 65-gal recycle): $100/yr.

Michael Hale stated the above.

Slide: Collection Day Rules - Set-Out Time: Place carts on the curb no later than 7:00 AM on your scheduled collection day. Carts may be set out the evening prior. - Lid Fully Closed: All trash must fit inside the official cart with the lid completely shut. Overflow trash placed outside or on top will not be collected. - Proper Spacing: Position carts at least 3 feet apart and clear of parked cars, mailboxes, and trees so the automated mechanical arm can operate safely.

Slide: Single-Stream Recycling - Mandatory Recycling: All residents must separate recyclables to avoid additional incinerator fees for the City. - Accepted Materials: Paper, cardboard, metal cans, glass bottles, and rigid plastic containers (#1–#7). - Strictly Prohibited: Plastic grocery bags, styrofoam, bubble wrap, paper towels, and food-stained items. - No Bagging: Place recyclables loose inside your recycling cart. Do not bundle in plastic bags. All recycling must fit in the cart. Recycling left outside the cart will not be collected.

Michael Hale stated the above.

Slide: Program Rollout Timeline - August 31: Deadline for Size Down (Option A/B), Senior Discount, and Opt-Out applications. - September 9: Casella begins citywide cart delivery to residential properties. - September 30: Final day for Purple Bag collection and legacy bulk stickers. - October 1: Automated cart collection officially begins citywide!

Slide: Bulk & Appliance Pickup - Direct Scheduling: Starting October 1, 2026, residents can schedule bulk and appliance collections directly with Casella at 1-800-CASELLA. - Appliance Pickups: Pickups for major household appliances (washers, dryers, dishwashers) occur monthly on designated days by Casella. - DPW Scrap Metal Days: Monthly drop-off events at the DPW yard for metal items consisting of at least 80% metal.

Michael Hale stated the above.

Slide: Special & Hazardous Waste - Household Hazardous Waste Day: Held annually at DPW. - Latex Paint Disposal: Dry out latex paint with kitty litter or Speedy Dry; dispose of dry cans in standard trash. - Rechargeable Batteries: Bring lithium-ion, nickel-cadmium, and power tool batteries to DPW or drop-off centers. - Leaves: Seven weeks worth of collection in brown paper bags - three weeks in spring and four weeks in the fall. - Christmas Tree Collection: One week in January.

Slide: Questions & Resources — We are here to assist residents with the program transition. - Department of Public Works (DPW) - Online Forms: www.gloucester-ma.gov/trashforms - Casella Customer Support: 800-CASELLA - DPW Office Phone: (978) 325-5600

Michael Hale stated the above.

Councilor Gross asked if the budgeted amount for the trash contract included the $1 million for the trash barrels. There was not a clear answer regarding this question.

Councilor Gross stated it should be clearly communicated that the new trash pickup would be starting midweek on a Thursday.

Councilor Gross asked if a resident would be able to purchase a single barrel for either recycling or trash. Michael Hale stated that they could, but they would have to pay the full yearly fee, which included both trash and recycling.

Councilor Page asked for clarification regarding the cost of the trash contract, where the estimated tipping fee cost was coming from. Michael Hale stated that there was historic data that shows the amount of solid waste and recyclable goods the City generates. He stated that the estimated total cost for the trash contract for FY27 to be $4.6 million.

Councilor Page asked for clarification regarding the revenue streams that would fund the trash contract. Michael Hale stated that it would be heavily subsidized by the City. He stated that there was not a projection yet for what the user fees would generate for revenue as applications were still being processed. He stated a rough estimate could be $2.5 million. CAO, Kelly Dolan stated that historically half of the trash contract had been subsidized by the General Fund, and the current estimate would continue that trend for the current fiscal year. She stated that in following fiscal years that subsidization may need to decrease.

Councilor Memhard stated that the trash contract ideally would be funded by an enterprise fund and operate outside of the budget.

Councilor Gross asked if the cost of the trash barrels was amortized. General Counsel, Suzanne Egan stated they were but if additional barrels were needed those would be separately charged to the City. Auditor, Kenny Costa stated that the cost was taken from the General Fund in FY27 so it was not amortized.

Councilor Grow asked for clarification on how the $300 fee was determined. Michael Hale stated that there were conflicting datasets for the number of units in the City, and the DPW had estimated it to be 13,000. He stated a typical family under the current contract spent roughly $208 a year, and the City was trying to not cause a shock due to a large increase in costs.

Councilor Grow stated that there could be an increase in the second year of the contract once the final figures for the senior discount and those who opted out were determined.

Councilor Grow asked if there were a number of multifamily houses that only had one unit occupied. Michael Hale stated that would be difficult for the City to determine, and it would need to be reconciled. He stated the way to manage it was that if there was a unit in a multifamily, whether it was occupied or not, then there would be a trash fee assessed. He stated there were unique circumstances where a property was vacant that were being considered, such as fire damage or the owner being in a nursing home.

Councilor Page asked if the trash fees could be based on users and not units. Michael Hale stated that municipalities used a unit count as that was what was recorded legally and what there was data on.

Councilor Page stated that the trash fees being assessed by unit was a judgment call, and the City should not legislate to the weakest link.

Kelly Dolan stated that units were being used as a metric because a unit was recorded in a legal document and they could not move. She stated a user could be transient and move.

Councilor Gross stated that when the former CFO noted that Ward 2 would be more effected, he did not take into account Ward 2 had a higher concentration of multifamily buildings, which had a single utility bill for all units in a building.

Councilor Grow asked if a unit is empty then was there a minimum water and sewer bill assessed each quarter. Michael Hale stated that was the case if the unit had a separate meter.

Councilor Page stated that users should be able to determine what their usage was and ask for the number of barrels they would need regardless of the number of units in a building.

Councilor Gross asked if the current years contract had been prorated. Kenny Costa stated it was.

Councilor Page asked if the 5% escalator included the tipping fees. Michael Hale stated that it did.

Councilor Page asked if the City would be charged less if there was less trash generated than estimated. Michael Hale stated that the tipping fee was assessed each month based on the tonnage of trash generated, and the tipping fee per ton would increase 5% each year.

Councilor Grow requested that once the data on senior discounts and opt outs was finalized it be shared with the City Council in March.

Councilor Grow asked if residents could size down their service at a later date. Michael Hale stated that in three months size down requests could be made, but the exact time frame had not been determined.

Councilor Gross asked if streets that currently do not have service would be added to trash routes. Michael Hale stated that the field manager for Casella would be making determinations individually.

Councilor Page asked if statistics for the users of the trash program could be provided. Michael Hale stated that once a tentative list was generated, it could be shared once it was completed.

COMMITTEE RECOMMENDATION: On a motion by Councilor Memhard, seconded by Councilor Page, the Budget & Finance Committee voted, 3 in favor, 0 opposed, to recommend that the City Council approve the proposed trash & recycling program fee schedule beginning October 1, 2026, as presented in the memo dated August 18, 2026 as incorporated hereto presented by the Director of Public Works and approved by the Mayor.

8. CC#2026-019 (Gross): Amend the City Clerk Fee Schedule to ADD "Door-to-door sales permit, $100"

Summary of Discussion: There was a brief discussion regarding the impetus for the new ordinance.

An informal vote was taken on the matter, but no committee recommendation was made. This matter will be voted on as a full motion at the September 8, 2026 City Council meeting.

9. Memorandum from the City Auditor regarding accounts having expenditures which exceed their authorization & Auditor's Report and other related business

Summary of Discussion: Auditor, Kenny Costa stated that the Formula Grant that was approved at this meeting would dramatically decrease the current deficit. He stated that there were four new accounts in deficit, with a $7,000 increase. He stated that these deficits would be cured by grant funding.

Councilor Memhard asked if there were any updates on the search for a new Treasurer/Collector. Kelly Dolan stated that two interviews were scheduled for the following week.

Councilor Memhard asked if the responsibilities of the previous CFO were being divided. Kelly Dolan stated that there would be another position created, which would be a budget analyst position, but the creation of that position was not finalized yet.

Councilor Memhard asked if former CFO Conor MacCorkle was providing consulting services. Kelly Dolan stated that he was providing up to eight hours a week of consulting.

Councilor Page asked if a new Police Chief had been found. Kelly Dolan stated that the search was ongoing but applicants were currently being assessed.

No motion offered.

MOTION: On a motion by Councilor Memhard, seconded by Councilor Page, the Budget & Finance Committee voted, 3 in favor, 0 opposed, to adjourn at 6:41 p.m.

Submitted by: Lynds Jones, Legislative Aide.

Documents submitted at the meeting: Presentation by Michael Hale.

Matters appearing on the agenda that are to be continued: None.

Meeting Recording: https://www.gloucester-ma.gov/1097/Past-Remote-Public-Meetings