Mayor asks Peabody departments for 5% budget cuts

Finance Committee · Meeting of March 26, 2026

Peabody's mayor asked every department for a 5 percent budget reduction. He briefed the Finance Committee, sitting as a Committee of the Whole, on the FY27 outlook. He said health insurance will add $6.2 million, up 11.1 percent after a 14.9 percent jump last year.

Excess levy capacity has fallen to about $8 million from roughly $18 million. The Essex Tech assessment rose $1.27 million and retirement costs $611,000. A tentative agreement with the Peabody Public Employees Coalition should trim the health insurance hit.

Water and sewer rates could climb 10 to 20 percent because drought has forced MWRA purchases. Councillor Daigle said she opposes public safety cuts. Councillors asked for debt service and org chart documents ahead of another meeting planned for late April or early May.

In the full story:

• The Full Story
• Other cost drivers the mayor listed
• Why It Matters
• Key Motions & Votes
• Source
• Peabody's community access TV: Finance Committee meeting, March 26, 2026
• The complete report: 801 words

Source: the Finance Committee meeting of March 26, 2026, reported from the official video recording and transcript.

Checked against the record: before publication this article was automatically compared with the meeting transcript.