The Hanover Finance Committee (HFC) is an appointed Town Committee composed of Hanover residents and is charged with reviewing the Town’s financial matters and providing guidance to Town officials, the Hanover School Board (HSB) and Town residents.

During a public meeting on Feb. 5, 2026, HFC voted unanimously to support the proposed FY27 Hanover School Budget of $16,956,054 (Article 5), and the collective bargaining agreement between the Hanover School Board and the Hanover-Dresden Service Staff AFSCME, Local #1348 (Article 4).

The Hanover District’s total expenditures (not including Article 4) is projected to be
$17,041,029, a 2.89% increase over FY26. This includes two separately voted warrant
articles consisting of Board and Treasurer stipends [$9,975], and Bridgman Funds
[$75,000], which also has offsetting revenue of $75,000 so it’s tax assessment neutral.
The warrant article for the Service Staff Agreement (Article 4) would add an additional
$28,179 to the Hanover School District’s expenses in FY27.

When all Hanover warrant articles are combined with all the warrant articles proposed
for the Dresden District and the state education tax, the total tax rate for both districts is projected to be $9.09 per $1,000 of property value, a $0.63 or 7.4% increase over the 2025-2026 rate.

The proposed increase in FY27 expenditures results primarily from increases of $833,634 (5.72%) associated with the direct operating program offered to students in grades K-5 at the Ray School. This increase is primarily due to a 25.8% increase in healthcare premiums for teachers and support staff, and an 18% increase for all nonunion and service staff. The effect of these budgetary increases was somewhat ameliorated by a projected reduction in next year’s special education costs and the Board’s decision not to add to the Building Maintenance Reserve Fund in FY27 based on the Board’s judgment that there are adequate reserves, together saving $356,000 over FY26.

The HFC has conveyed to the SAU 70 leadership and the relevant school boards its conviction that structural changes to reduce future budgetary increases must be considered; compensation, benefit structure and staffing levels must be carefully
examined. The HFC urges the districts to begin budget deliberations earlier in the fiscal
year and to engage in multi-year budgeting; this will permit deeper deliberation
regarding ways to continue to deliver the exceptional education Hanover is known for
while containing cost increases.

Looking forward, federal and state funding for schools is in a period of flux and it is unclear if past funding levels will be sustained. Healthcare and personnel costs will continue to drive expenses. These headwinds highlight the need for serious consideration of structural changes that could help to contain costs over the long term.

The HFC is committed to working cooperatively with the districts and town to consider
operational expenses, capital planning and the overall cumulative tax effects on the taxpayers from school and town budgets.

The HFC commends the efforts of administrators, faculty and staff in our district’s pursuit of educational excellence.

HFC Members are Antonia Barry, John Dolan, Rich Greger, Greg Snyder, Peter Solberg,
Tara Velozo (Hanover School Board) and Carey Callaghan (Hanover Selectboard).