MELROSE — On Wednesday, February 26, Mayor Jen Grigoraitis addressed the members and guests of the Melrose Chamber of Commerce during the Chamber’s annual breakfast and general meeting at Rising Eagle Publick House.
Here are the mayor’s remarks:
“Good morning, everyone. Thank you for inviting me to join you for another annual Melrose Chamber of Commerce breakfast. I’m so grateful to the amazing Stephanie Nelson for spearheading this event as always and appreciative of the whole team here at Rising Eagle.
“The City of Melrose is the second-largest employer in our community trailing only Melrose- Wakefield Hospital and so I see City Hall’s engagement with the Chamber of Commerce as particularly important and relevant. Our employees are your customers and patrons, especially the many public employees who also live in the community. Our success and failure are closely tied.
“When I joined most of you for this event last year, I was new to the job of mayor. I talked about the ways that City Hall works with our local business sector to promote growth and prosperity for our community and quality options for our residents. I talked about the signature annual events co-led by the Chamber and the City. And I talked about the City’s continued commitment to supporting the success of the businesses that choose to open and operate here whether they’re a multigenerational community staple or a brand-new establishment.
“In the last year, we’ve made important progress on infrastructure and maintenance priorities that we’ve heard are important to Melrose businesses particularly in our downtown commercial corridor. With your gracious accommodation last fall, the City trimmed Main Street trees for the first time in five years, a long overdue safety issue and replaced the tree lights for an aesthetic improvement.
“In response to downtown merchants’ feedback about trash and litter in the area, we were able to employ the terrific James Kavanagh to manage our downtown trash receptacles. Thank you in particular to Chris Cinella and the whole team at Edward Jones Investment for creating a warm and welcoming “home base” for James’ work this year.
“In the last year, the City has supported highly successful events alongside the Chamber including the Summer Stroll, Victorian Fair, downtown Trick or Treat and Home for the Holidays with an investment of $28,000 in DPW, Police and Fire overtime. These hallmark events become more expensive year over year, but we know how important they are to the Melrose community and we thank you all for your generosity and support in making them happen.
“Just yesterday, DPW installed a rapid-flashing crosswalk beacon at the busy Main Street crossing between Starbucks and CVS, an important improvement a long time in the making.
“But we’ve also faced setbacks in the last year. In June, my administration sought a Proposition 2 1⁄2 override to address rapidly rising fixed costs which continue to outpace our City’s revenue growth. This proposal, however, was rejected by the voters and City initiatives and capacity have contracted accordingly since last summer. One of the positions lost as a result of that election was our economic development director, leaving us without a dedicated City employee to engage with our business, arts and culture communities.
“It hasn’t been easy to continue delivering the high-quality services and responsiveness that our community expects in light of these budgetary realities. We’ll utilize the remaining federal funds available from the American Rescue Plan Act to support Chamber events, but we’re constantly monitoring our balance books to make sure we stay on track. For example, you may not know that DPW’s snowstorm operations cost the City $15,000 an hour. That’s one of many reasons that we thank you for keeping your sidewalks clear during and after storms and for sharing any snow and ice feedback and concerns with DPW. We’re working hard to work smart within our budget confines.
“You’ve probably noticed the impact of overtime reductions among our fire, police and public works departments. With reduced staffing at City Hall and other departments, perhaps it’s taken you longer to get an answer or resolve a regulatory matter. And particularly if you live in town, you probably know a Melrose Public Schools employee who was laid off this school year or one of the approximately 60 dedicated non-union City employees who are being paid exactly the same salary as last year, no performance bonuses, longevity increases or even cost of living adjustments. This is what it looks like to live within Proposition 2 1⁄2’s limits, but the belt is as tight as it can get without more losses. We expect a hard budget cycle for Fiscal Year 2026 with significant service reductions, fee increases and employee layoffs across every part of City government.
“These cuts will affect our business community, too. As I said before, the City is the second largest employer in Melrose and our 800 employees are your lunchtime rushes, after-work shopping trips and weeknight salon and barbershop appointments. I do not take these impacts lightly.
“The fact is that our current revenue forecasts fall about $6.1 million short of the funds needed for level services next year. There’s simply no way to close a gap that large without employee layoffs. And that’s without accounting for the still-unknown impact of massive funding cuts and freezes being implemented as we speak by the federal government.
“After we get through the FY 26 budget process, I anticipate that in November my administration will once again seek a Proposition 2 1⁄2 override on the municipal election ballot. The original intent of Proposition 2 1⁄2 was not to throttle the budget capacity of cities and towns, but to make sure that voters can weigh in when it’s necessary and appropriate to raise additional revenue for community needs. In this spirit, I’ve directed a new Financial Task Force comprised of city and school budget officers and elected officials to collaboratively develop the right question or questions for an override, so that the community can choose if and how to raise funds for our needs. I urge all of you as important stakeholders and valuable community members to get engaged in the months ahead as these conversations continue.
“We can pursue big ideas for the City’s future goals like economic development, cultural initiatives, conservation and recreation but we must first secure the City’s present.
“Despite the challenging budget headwinds, we’re still committed to the Melrose business community. We’re excited about the continued growth of commerce and hospitality including recent establishments like FUMI Hibachi and Planted Organics Cafe. We’ve seen innovative partnerships and creative uses of space like Nirvana Brazilian Jiu Jitsu setting up a facility at the First Unitarian Church of Melrose. Big Fin Poke and Bangkok Bar Shi have recently been approved for a liquor license and we have multiple parties interested in what is the third and remaining retail liquor license in the City. People want to do business here and we welcome them with open arms.
“The development project at the former Caruso’s location is also creatively funded, a public- private partnership ensuring that this central site can be developed to its full potential. And thanks to our strong relationships with the Healey-Driscoll administration and our state legislators, Rep. Lipper-Garabedian and Senator Lewis, I secured additional state funding to make this happen. Although the property has changed hands, we now have a well-known and respected local property and business owner preparing plans to renovate and expand the commercial space at this site.
“We’re excited to work closely with the Chamber of Commerce on the City’s 175th birthday celebrations. I know that I sometimes have a reputation for not being very fun, but this event is going to be a great opportunity to honor and thank our extraordinary, volunteer-powered community. Particularly given all the ways that Chamber members serve Melrose as volunteers, municipal board members and so much more, we hope that you’ll join us to celebrate and we welcome your sponsorship proposals!
“Thank you all for the opportunity to join you this morning. Thank you for all that you do for Melrose,” Mayor Grigoraitis concluded.