In a first, Medford seeks a Proposition 2 1/2 override to fund schools, roads and a new fire station

Members of "All Medford," a group campaigning against the override, held a standout on Oct. 19 at the rotary at Winthrop and High streets.

MEDFORD — This city on the Mystic River, home to Tufts University, a strong commercial tax base, and stable home values, is one of the few Massachusetts communities that has never asked its residents to vote for a tax hike since Proposition 2½, the state’s tax cap law, was approved by voters in 1980.

That will change on Tuesday, when voters in the city of about 60,000 will be asked to decide three ballot questions. Two seek to raise a combined $7.5 million to prevent teacher layoffs, repair public school buildings, and clear a backlog of neglected roads and sidewalks. A third question asks voters to approve a temporary tax increase to build a new fire headquarters.

If approved, the override would add $446 per year to the annual tax bill of a single-family home with the average assessed value, $769,000, according to city estimates.

In the run up to Election Day, dueling groups have held town hall discussions and fundraisers, gathered to wave signs at heavily trafficked rotaries, and campaigned for their cause at public meetings and on social media.

Supporters, like “Invest in Medford” and “Our Revolution,” say it is time to face fiscal reality, support students, and “empower Medford to make crucial investments.”

Medford School Committee Vice Chair Jenny Graham, right, Mayor Breanna Lungo-Koehn, center, and City Councilor Anna Callahan, left, attended an Oct. 21 meeting organized by "Invest in Medford," a group supporting the override, at the public library. Matthew J. Lee/Globe Staff

Opponents, such as “All Medford,” argue affordability and distrust, and say the city is flush with $34.5 million in so-called “free cash” that could be used to balance the budget.

One resident brought his concerns to the City Council meeting on Tuesday.

“A lot of taxpayers are having trouble paying bills with all this inflation in the past four years,” Andrew Castignetti said. “I have one question for all of you, city councilors, ‘Do you have any ideas to lower our real estate tax at all? I am listening.”

No one answered.

Public officials had more answers during an Oct. 21 meeting at the public library organized by “Invest in Medford.”

“If you were following the school budget over the course of the last year, you know that we faced some very difficult decisions,” Jenny Graham, vice chair of the school committee. “That’s a nice way to say we laid off human beings who work in our schools.”

Yet one group that could benefit from the override stands in stark opposition, the city’s fire union. Long at odds with Mayor Breanna Lungo-Koehn, firefighters say they have had little to no input on plans for the new station.

“We want to make sure that the product that we’re getting ... is actually fitting this department,” said Danielle Marcellino, president of Medford Firefighters Local 1032, who stood with other “Vote No” supporters outside the library on the meeting night.

Proposition 2 1/2 limits the amount of money a community can raise through property taxes to 2.5 percent over the prior fiscal year. Since it was enacted, 302 of the state’s 351 cities and towns have held override votes, according to the state Department of Revenue.

Nearly 100 such votes have taken place in the past 18 months, with mixed results, according to a recent Globe review of data. Voters in Braintree, for example, approved an $8 million override, its first ever, to close a budget gap. Melrose, which approved an override in 2019, rejected a $7.7 million request in June.

How did Medford reach this historic juncture?

There are many factors, most notably high inflation after the pandemic. Rising contractual labor costs, long-term pension obligations, along with conservative budget planning, are other prime factors, officials say.

“It’s been decades in the making, as far as scraping by and figuring out how to balance a budget, year over year,” Lungo-Koehn said in an interview. “We can’t go on like this. We just can’t.”

But one longtime city councilor isn’t convinced higher taxes are necessary. At least not without a more thorough explanation of the city’s finances.

“Everything was done in a bubble,” George Scarpelli, a 16-year member, said in an interview. “What we’re seeing right now is this being pushed through without any true understanding of how this hurts people.”

Lungo-Koehn, herself a former longtime councilor, deflected criticism about the process.

“It was fully transparent,” she said.

Medford Mayor Breanna Lungo-Koehn explained the issues during an Oct. 21 public meeting at the public library organized by "Invest in Medford," a group working to pass the override.Matthew J. Lee/Globe Staff

In June 2023, Lungo-Koehn formed a five-person financial task force composed of herself; City Council President Isaac “Zac” Bears; Graham, the City Council vice chair; City Council Vice President Kit Collins; and Chief of Staff Nina Nazarian.

They met over the course of a year. Their meetings were not public, and minutes of their meetings have not been disclosed. Last June, via press release, the task force announced the override proposals.

Scarpelli said the decision to propose the override was done behind closed doors and sprung on the public in June by Lungo-Koehn and the financial task force. He was the sole councilor to vote against putting the override on the ballot.

“Let’s balance the budget with free cash and then work properly through the process,” Scarpelli said. “If we truly need an override, and the process is done properly and transparently, I feel that it wouldn’t divide our community.”

Lungo-Koehn said that Medford’s need for an override has been long brewing, and that this year’s $218 million budget process — with cuts of between $3.5 and $4.5 million and a remaining shortfall of nearly $2 million — exacerbated the necessity.

The average single-family tax bill in Medford is $6,551, compared to the statewide average of $7,399, according to state data. Nonprofits, such as Tufts, do not pay taxes but do make payment-in-lieu of taxes to the city, according to the budget.

Medford has never put forth a Proposition 2 1/2 override since the state's tax cap law was approved in 1980. Some residents have asked why it is now necessary. Matthew J. Lee/Globe Staff

One ballot question asks for $3.5 million — $3 million for teacher salaries, technology needs, and school maintenance costs. The remaining $500,000 would pay for a permanent crew of three from the Department of Public Works to repair the city’s roads and sidewalks.

If approved, the measure would prevent as many as 45 teachers from being laid off, city officials say.

A second question asks for $4 million to support and expand arts and vocational programming in Medford Public Schools.

The third question asks for a temporary tax increase to build a new fire headquarters on Main Street. The tax increase would last only until the bonds, the amount of which is not included in the question, to finance the new station are paid off.

“It was time to put these questions before the taxpayers to see if they want us to keep dealing with inflation the way that we have been — with cuts,” Lungo-Koehn said.

Medford also has $34.2 million in free cash, which is the amount of money left over from previous years that typically gets earmarked for one-time emergency costs. But nearly half of it has been allocated to crucial stabilization funds for emergencies, capital improvements, and water and sewer, and other work, Lungo-Koehn said.

Using free cash to balance a budget is foolhardy, she said.

“It’s unsustainable, it’s against best practices, and it will only delay inflation problems,” she said.

Still, some believe the city has money to tap.

"All Medford," a group opposing the override on the Nov. 5 ballot, has held several stand outs to make their case.

About 15 people holding signs calling for “no tax overrides” protested outside the library meeting hosted by All Medford and other supporters.

“We’re just against it,” said Steven Cinella,52, citing lack of transparency,

Richard Orlando, 74, of Medford, listed similar concerns and criticisms.

“Let’s look at it with a deeper dive,” Orlando said. “It wasn’t transparent for months.”

“It’ll affect the renters as well,” he added. “Property owners, if the taxes go up, they generally pass that on to their renters.”

Residents listened to a presentation during the Oct. 21 meeting at the public library organized by "Invest in Medford," a pro-override group. Matthew J. Lee/Globe Staff