Boston City Council reviews $4.8 billion FY2026 budget amid federal uncertainty

BOSTON — April 17, 2025 — Boston City Council hears $4.8 billion FY2026 budget with pension costs up $45 million and net state education aid negative. Council Committee on Ways and Means Chair Brian Worrell convened the April 17 hearing, where Chief Financial Officer Ashley Groffenberger and Budget Management Director Jim Williamson presented Mayor Michelle Wu's recommended operating budget, which grows 4.4 percent on an adjusted basis. Property taxes, projected to rise $143 million and represent just over 70 percent of general fund revenue, anchor the plan. Fixed costs account for more than half of total budget growth, with pension contributions rising $45 million or 10.7 percent and debt service up $34 million or 12.2 percent as the city targets full pension funding by 2028. Councilor Gabriela Coletta Zapata flagged that the charter school assessment — exceeding $290 million — has pushed net state education aid to negative $13 million. Groffenberger warned that while the city's budget is relatively insulated from short-term volatility, more than $300 million in annual federal grants supporting education, housing, and public safety represents the administration's sharpest area of concern.