Frequently Asked Questions - shared from the Town of Franklin FY 2026 Override Information page. There are 40 and a form to ask another question if it is not already listed there -> https://ma-franklin.civicplus.com/Faq.aspx?TID=41
1. How does an override work?
By passing an override, the Town can assess taxes in excess of the automatic annual 2.5% increase and any increase due to new growth. An override results in a permanent increase in the levy limit and allows the Town to fund services and programs we believe the community expects and desires.
2. How does Proposition 2 ½ limit tax increases?
Proposition 2 ½ is a state law that was enacted in 1980. It limits the total amount of property taxes that a city or town can assess each year. The “levy limit” or total tax amount a town is allowed to collect cannot increase by more than 2.5% per year, plus the impact of new growth, unless there is a vote to override this limit. Individual tax bills are impacted by changes to the relative value of residential and commercial properties and localized changes in real estate values. However, if the town had no new construction in a given year AND all of the real estate in town increased in value by exactly the same amount, say 10%, then every property tax bill would increase by 2.5% the following year. See an example below.
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| Proposition 2 ½ - FAQ - Q2 |
3. What’s the difference between an override and a debt exclusion?
While an override results in a permanent tax increase that is used to fund recurring operational expenses, debt exclusions result in a temporary tax increase to pay the debt service from bonding for a specific capital project, such as building a new school. For debt exclusions, the debt service costs are added to the levy limit for the life of the debt only (typically between 10-30 years). Thus, unlike overrides, debt exclusions do not become part of the base used to calculate future years’ levy limits.
4. What is the amount of the override?
The amount of the override is $3,862,672 and it is to fix the Town’s Structural Budget Deficit in order to provide level service, meaning the same level of service the Town is providing today.
Additional info can be found on the Town FY 2026 Override page -> https://www.franklinma.gov/1089/Fiscal-Year-2026-Override-Information
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| Frequently Asked Questions: FY 2026 Override -> Questions 1 - 4 |
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