THIS STORY HAS BEEN FORMATTED FOR EASY PRINTING

Communities face up to cut in state funds

By Steven Rosenberg
Globe Staff / July 9, 2009
  • Email|
  • Print|
  • Reprints|
  • |
Text size +

In Revere, the mayor has closed City Hall on Fridays. In Lowell, there are 16 fewer police officers on the street. In Somerville, four librarians have received pink slips. In Lynn City Hall, there are now 40 fewer employees.

With the state reeling from its worst economic crisis in decades, municipal leaders in northeast Massachusetts communities are sorting through the aftermath of a deep cut in state aid. Under Governor Deval Patrick’s new budget for the fiscal year, most are set to receive 29 percent less in state aid in the 2010 fiscal year budget, which began July 1.

“We sort of cobbled together a whole bunch of things,’’ Lowell City Manager Bernard Lynch said, when asked about how the city would operate with $9.16 million less in state aid this year.

Lowell, like other cities that have lost almost a third of their state aid designated for noneducational uses, made deep cuts in its city payroll. In recent months, the city saved $6 million by cutting 123 positions. In addition to losing 16 police, three firefighters, and dozens of other City Hall workers, the city sent pink slips to more than 200 school employees, half of whom are teachers.

“It’s draconian,’’ said Lynn Mayor Edward “Chip’’ Clancy Jr., describing the reduction in state aid. Clancy, who also serves as chairman of the Lynn School Committee, made deep cuts to the school district, eliminating more than 100 positions - including dozens of teachers. Also cut to help balance the budget were 40 City Hall workers.

“It’s going to take longer to get things done,’’ said Clancy, describing the cumulative effect of less state aid. “The personnel isn’t going to be there. We’re looking at a terribly difficult year. There is no money.’’

While some cities, like Somerville, were able to balance their budgets with few layoffs and by using revenue and free cash to plug the deficit, others like Revere and Methuen have instituted a pay cut for employees. Also, some communities, like Methuen have taken smaller, more symbolic steps to cut expenses. This year the city canceled its Independence Day fireworks celebration, saving $35,000.

“The net effect on the amount of services that we’re providing is substantially reduced from what it was a year ago,’’ said Revere Mayor Thomas G. Ambrosino, whose city is receiving $3.7 million less in noneducation state aid this year.

In April, the city cut nine police officers after the state announced midyear local aid cuts. Those officers will not be rehired now, said Ambrosino. In addition, to help plug the gap, another 24 vacant positions will not be filled. Also, City Hall workers are taking a 10 percent pay cut and no longer work on Fridays.

“As of this week, City Hall is officially closed every Friday,’’ said Ambrosino.

In Malden, the city used layoffs and one-time revenue to make up for a $4.5 million reduction in local aid. On June 30, the city closed its municipally owned nursing home, McFadden Manor, and laid off 57 of the facility’s employees - saving $3 million. Also, the city will save another $5.5 million this fiscal year with revenue from its trash program, and with savings accrued through 51 school layoffs and another 41 cuts - made through additional layoffs, early retirements, and not filling vacancies.

In Medford, the city is also not filling vacancies and has frozen salaries, renegotiated utility contracts, raised permit fees, cut police overtime, and reorganized some departments for efficiency.

In Chelsea, City Manager Jay Ash anticipated the shortfall and submitted a budget that calls for $3 million less than last year. Still, the city is running a $1 million deficit as it enters the new fiscal year, and Ash is meeting with unions to seek concessions.

“We need to have a solution by September as to how to close the gap. Otherwise I’m going to need to lay off 20 employees,’’ said Ash.

Ash has also cut a couple of perks associated with his job. In addition to taking a 1.5 percent raise instead of a 2.5 percent increase, he’s no longer using a city car and switched to his wife’s health insurance, moves that he says will save the city $17,000.

Other towns have looked at cutting projects and reducing workers’ hours. The Tewksbury Town Hall and Senior Center are now closed to the public on Fridays, and the town has cut the Fire Department’s budget $100,000 to make up for $1 million less in state aid this year.

Wakefield, which will receive $1.2 million less in state aid, has put off a number of repair projects. It will save $200,000 by delaying a drainage project and repairs to local schools, and will not spend $200,000 in information technology purchases.

“We’re choosing between new fire hoses and gym ceiling resurfacing. This isn’t a lot of fluff,’’ said Wakefield Town Manager Stephen Maio.

Globe correspondent Brian Benson contributed to this report. Steven Rosenberg can be reached at srosenberg@globe.com.

Biggest losers

Ten largest cuts in noneducation local aid:

MunicipalityFY2009 local aid FY 2010 local aid Reduction
Lowell$31,348,507$22,192,157$9,156,350
Lynn$27,865,544$19,726,507$8,139,037
Somerville$30,121,429$22,199,513$7,921,916
Lawrence$24,436,970$17,299,359$7,137,611
Malden$15,614,521$11,053,793$4,560,728
Medford$14,746,309$10,687,177$4,059,132
Revere$12,802,810$9,063,334$3,739,476
Haverhill$12,232,173$8,659,369$3,572,804
Chelsea$10,221,702$7,236,122$2,985,580
Peabody$8,984,119$6,360,014$2,624,105
SOURCE: State of Massachusetts