Watertown Finance Committee Meeting | July 21, 2025

The City of Watertown Finance Committee met on July 21, 2025, to discuss several procurement and budget-related matters. Key procurement discussions included the hiring and contract terms for a new city attorney, where the committee approved offering the candidate a step five pay grade with an additional week of vacation, exceeding the original budgeted step three. The committee also approved a collateral assignment of Tax Increment Financing (TIFF) for Lumen Terrace LLC, ensuring no additional financial obligations for the city. A significant update was provided on the 2025 private lead service line replacement project, highlighting upcoming contracts with Five Star Energy and the need for multiple financial assistance agreements requiring city council approval. The project involves a $2.863 million loan with principal forgiveness and a revenue pledge, with detailed financial structuring explained by the finance director. The committee reviewed the general fund income statement through June 2025 and discussed budget strategies for 2026, including options to use fund balance to manage expenditures while adhering to expenditure restraint policies. The committee emphasized the importance of reviewing city personnel and programming to identify potential savings to fund pay increases and other priorities. Finally, the committee discussed standardizing public comment opportunities across city committees to enhance transparency and citizen engagement. No formal motions were made regarding the 2026 budget direction, but the committee expressed interest in further personnel and program evaluations.