City Council votes to dismiss four debt exclusion initiatives totaling $57 million in new, proposed property taxes

Councillor-at-Large Colón Hayes and Ward 4 Councillor O’Malley sponsored five debt exclusion requests for $91 million in all

By Steve Freker

The Malden City Council on Tuesday night voted down four out of five requests for ballot questions — in a future special election — asking voters to approve debt exclusions that added up to $91 million in additional property taxes. A fifth request, for a $36 million debt exclusion — and ballot question — to pay the assessed City of Malden bill for the construction of the new Northeast Vocational High School, was referred for discussion at the next City Council Finance Committee meeting.

All five debt exclusion and subsequent order requests to be placed as a ballot question in as yet-unscheduled future special election were cosponsored by Councillor-at-Large Karen Colón Hayes and Ward 4 Councillor Ryan O’Malley. One, the request regarding the Northeast Vocational funding, was also cosponsored by Ward 6 Councillor Stephen Winslow.

The debt exclusion requests were unrelated and unaffiliated to the process which is now ongoing regarding a request for a $5.4 million Proposition 2 1/2 override. The override sum would specifically help close a structural budget deficit of $8.4 million for the existing FY26 budget year, which runs to June 30, 2026. Discussions have been going on for just over a month in the Council’s Finance Committee and between councillors and city officials, including Mayor Gary Christenson’s administrative team, regarding the override initiative.

The City Council has not taken a vote on whether or not to place a Proposition 2 1/2 override on a ballot question to voters in a special election, and it is in the course of a process where the public is to be informed prior to a vote. Included in the process was an informational meeting held Wednesday evening this week at City Hall (after Advocate press deadline). Full details and information on the override proposal are also included on the city’s website at cityofmalden.org.

The difference between an override request is that an override may or may not be for a specific budgetary reason. In Malden’s case it is for a reason, a structural budget deficit, though the funds coming in through the $5.4 million — which would amount to about $329 in a one-time assessment for the average Malden homeowner/property tax payer — would come in as unrestricted use.

According to an online report, a city budget debt exclusion is a temporary increase in property taxes to finance a specific, major capital project, like a new school (Northeast Vocational) or other specific use. It is a way to pay for a project over a number of years without permanently raising the city’s overall tax levy beyond the limits set by laws like Massachusetts’ Proposition 2 1/2.

On the docket at Tuesday’s meeting were five debt exclusion/ballot question requests proposed by Councillors Colón Hayes and O’Malley, totaling $91 million in potential new property tax assessments for Malden residents and business owners, spread out from 10 to 30 years. They included:

—A debt exclusion ballot question be included: Shall the City of Malden be allowed to temporarily assess an additional $36,000,000 in real estate and personal property taxes through a debt/expenditure exclusion, for the specific purpose of paying for the construction of the Northeast Metropolitan Regional Vocational Technical School, for which the monies will be used for the fiscal years beginning July 1, 2026 through June 30, 2052?

A yes vote would support a temporary increase in real estate and personal property taxes beginning with fiscal year 2027 (07/01/2026 to 06/30/2027) until fiscal year 2052 (07/01/2051 to 06/30/2052). A no vote would make no change to the current tax structure.

The Council voted 10-1 in favor of having this proposal sent to the Council’s Finance Committee for further discussion, with several Councillors citing these were funds the city was already legally bound to spend, but there could possibly be a different way to fund this expense. Ten Councillors — Peg Crowe, Ward 1, Paul Condon, Ward 2, Council President Amanda Linehan, Ward 3, Ryan O’Malley, Ward 4, Ari Taylor, Ward 5, Stephen Winslow, Ward 6, Chris Simonelli, Ward 7, Craig Spadafora, at-Large, Carey McDonald, at-Large, and Karen Colón Hayes, at-Large — voted in favor of sending this paper to the Finance Committee. Ward 8 Councillor Jadeane Sica voted against the motion.

—A debt exclusion ballot question be included: Shall the City of Malden be allowed to temporarily assess an additional $10,000,000 in real estate and personal property taxes through a debt/expenditure exclusion, for the specific purpose of paying for the construction associated with lead pipe removal, water, sewer, and storm drain system capital improvements, for which the monies will be used for the fiscal years beginning July 1, 2026 through June 30, 2037?

A yes vote would support a temporary increase in real estate and personal property taxes beginning with fiscal year 2027 (07/01/2026 to 06/30/2027) until fiscal year 2036 (07/01/2036 to 06/30/2037). A no vote would make no change to the current tax structure.

The Council voted 10-1 against this proposal. Ten Councillors — Crowe, Condon, Linehan, Taylor, Winslow, Simonelli, Spadafora, McDonald and Hayes — voted “No.” Ward 4’s O’Malley voted “Yes” in favor.

—A debt exclusion ballot question be included: Shall the City of Malden be allowed to temporarily assess an additional $10,000,000 in real estate and personal property taxes through a debt/expenditure exclusion, for the specific purpose of paying for the construction associated with de-leading Roosevelt Park to a full 3 foot depth and for the restoration of a natural grass field and drainage system, for which the monies will be used for the fiscal years beginning July 1, 2026 through June 30, 2037?

A yes vote would support a temporary increase in real estate and personal property taxes beginning with fiscal year 2027 (07/01/2026 to 06/30/2027) until fiscal year 2036 (07/01/2036 to 06/30/2037). A no vote would make no change to the current tax structure.

The Council voted 10-1 against this proposal, dismissing it. Ten Councillors — Crowe, Condon, Linehan, Taylor, Winslow, Simonelli, Spadafora, McDonald and Hayes — voted “No.” Ward 4’s O’Malley voted “Yes” in favor.

—Debt exclusion ballot question be included: Shall the City of Malden be allowed to temporarily assess an additional $10,000,000 in real estate and personal property taxes through a debt/expenditure exclusion, for the specific purpose of paying for the construction associated with the outfit of an art center at the old Malden District Courthouse on Summer Street, for which the monies will be used for the fiscal years beginning July 1, 2026 through June 30, 2037?

A yes vote would support a temporary increase in real estate and personal property taxes beginning with fiscal year 2027 (07/01/2026 to 06/30/2027) until fiscal year 2036 (07/01/2036 to 06/30/2037). A no vote would make no change to the current tax structure.

The Council voted 10-1 against this proposal, dismissing it. Ten Councillors — Crowe, Condon, Linehan, Taylor, Winslow, Simonelli, Spadafora, McDonald and Hayes — voted “No.” Ward 4’s O’Malley voted “Yes” in favor.

—Debt exclusion ballot question be included: Shall the City of Malden be allowed to temporarily assess an additional $25,000,000 in real estate and personal property taxes through a debt/expenditure exclusion, for the specific purpose of paying for the construction associated with an eastside fire station, for which the monies will be used for the fiscal years beginning July 1, 2026 through June 30, 2052?

A yes vote would support a temporary increase in real estate and personal property taxes beginning with fiscal year 2027 (07/01/2026 to 06/30/2027) until fiscal year 2052 (07/01/2051 to 06/30/2052). A no vote would make no change to the current tax structure.

The Council voted 10-1 against this proposal, dismissing it. Ten Councillors — Crowe, Condon, Linehan, Taylor, Winslow, Simonelli, Spadafora, McDonald and Hayes — voted “No.” Ward 4’s O’Malley voted “Yes” in favor.