Montpelier Budget Cuts Bring Increase to 7.92% Over Last Year

January 20, 2026
Councilors Adrienne Gil, left, and Cary Brown, City Clerk John Odum, Mayor Jack McCullough, Acting City Manager Chris Lumbra, and councilors Ben Doyle and Pelin Kohn listen to a speaker during their Jan. 14 city council meeting. ORCA screenshot.

Pending a final public hearing, the city council set Montpelier’s municipal budget at around $20 million, with $13,287,636 to be raised by taxes. This brings the tax rate increase to 7.92% over last year’s tax rate compared with the 11% increase in the budget presented by Acting City Manager Kelly Murphy on Dec. 11, 2025.

This new amount to be raised by taxes came after the city council made further cuts from the budget they approved on Jan. 7. The cuts, about $163,000, came from both subtracting and adding from the budget; $100,000 was taken from the Waverly Stairs project, $103,122 from the paving line, and $50,000 in economic development; however, the administrative position for the city manager’s office was restored, but the salary reduced from $75,000 to around $52,000. The next and final public budget hearing will be Jan. 21.

Department of Public Works Director Kurt Motyka said the city could make a paving expense reduction, but not eliminate the paving projects if the work is done with in-house staffers. And since councilors restored a Department of Public Works position in the FY27 budget, more in-house street work will be possible, Motyka said.

Following the budget and warning portion of the meeting, former Finance Director Sarah LaCroix told councilors this would be her last city meeting.

“I think this has been a great budget season in terms of the fact that we all came together. I think the staff worked really hard. We are all on the same team going for the same goals. (and) I am grateful this is the last budget season I will be a part of for the city. But collaborating and working together has been a nice change,” LaCroix said.

Mayor Jack McCullough responded, saying, “Thanks Sarah. You have been so great.”

City Manager Contract Approved

The city council approved a contract for new Montpelier City Manager Kelly McNicholas Kury but will not make it public until she has a chance to review it. City councilors went into executive session on Jan. 14 to review new contract language they received earlier that day. Mayor Jack McCullough said they need to incorporate the new contract language and address comments made by members of the council. Once the changes are made, “we want to sit down with our lawyers and put it in public so people can see it before we act on it,” McCullough said. He anticipates the final contract will be approved on Jan. 21. McNicholas Kury is scheduled to officially step into the role on Feb. 17.

Council Approves $8 Million Infrastructure Bond 

City councilors unanimously approved an $8 million infrastructure bond to take care of some of Montpelier’s water and sewer problems. That money will pay for work on Pump Station No. 1, sewer lines on Berlin Street, and sewer lines from Clarendon Street to Bailey Avenue. It will also pay for work on water lines on Barre Street, lower State Street, and North Street.

Council Green Lights Town Meeting Day Warning

Town Meeting Day is just around the corner, on Tuesday, March 3, and Montpelier City Clerk John Odum will be ready with the warning. A Town Meeting Day warning is the list of items voters have to approve for the upcoming year, such as approving budgets and electing town officials. 

The first item will be “Article 1: To elect one Council Member each from districts one, two, and three for 2-year terms, one commissioner for the Green Mount Cemetery for a term of 5 years, and one parks commissioner for a term of 5 years.”

This year, the seats now filled by city councilors Adrienne Gil (District 1), Sal Alfano (District 2), and Cary Brown (District 3) are up for election. Of those, only Adrienne Gil is listed on the city’s website as having submitted a petition to be a candidate on the ballot, but Sal Alfano has announced he plans on re-seeking his seat. And that doesn’t mean Cary Brown won’t follow suit. Petitions to run for city office must be received in the clerk’s office by 5 p.m. on Jan. 26. In addition to city councilors, Jason Kass is listed as a candidate for cemetery commission, and Mark Gwinn is listed as candidate for mayor. Current mayor Jack McCullough announced earlier this month that he will not be running for re-election.

Article 2 asks voters to appropriate money for the payment and debts of current expenses of the city of Montpelier. That figure was $13,287,636 on Jan. 14, but could change during the final public budget hearing scheduled for Jan. 21.

Letters to the Editor

Have something to say about this? Submit a letter to the editor!

Send a news tip

Do you know of something going on we should cover? Let us know about it.

Submit an event

Organizing an event? Submit it to our ever-growing calendar.

Latest from City News

Sign In

Register

Reset Password

Please enter your username or email address, you will receive a link to create a new password via email.

Go toTop

Don't Miss