Natick Sees Free Cash Windfall, Officials Want To Save It

NATICK, MA — Natick will get a higher-than-expected amount of free cash this fiscal year, boosting revenue by more than $4.5 million — but town administrators want to save the money for potential shortfalls in upcoming fiscal years.

Natick initially projected it would get about $2 million in free cash this fiscal year, but the total amount will be closer to $6.65 million, the state Division of Local Services revealed on Tuesday. Town Administrator Melissa Malone wants to move $6.4 million into the town operational stabilization fund for fiscal years 2022 and 2023.

Town Meeting will vote on the fiscal year 2021 budget on Saturday, and it's possible some members could move to use the money now to make up for previous budget cuts — mainly a cost-of-living increase some Natick Public Schools employees gave up earlier this year.

Spending the money now could force the town to seek a tax increase in the future, Malone said.

"The spend of this money at this time when it is not required will exacerbate and make a [tax levy] override come sooner than later," Malone said on Wednesday. "That will very much be a difficult decision given this economic situation."

Malone shared a forecast this week showing rising revenue for the town in coming fiscal years — but expenses outpacing those gains. She is projecting deficits of $1.93 and $1.86 million in fiscal years 2022 and 2023, respectively, even just assuming average increases for each department.

The Natick Finance Committee will meet on Thursday to reconsider recommendations on Town Meeting items 1, 2, 5, 7 and 19 dealing with the budget. The Board of Selectmen will meet to discuss those items on Friday evening.

Natick is also hosting two community forums on Oct. 29 and Nov. 2 to discuss the fiscal 2021 budget, and upcoming financial challenges.