Town Meeting:Proposition 2½ and Overrides

The statute MGL Chap. 59, Sec. 21C, commonly known as Proposition 2½, states that the tax levy cannot exceed the maximum levy limit for the preceding fiscal year, as determined by the State Commissioner of Revenue, by more than 2.5%. Exceptions are for property added to the tax rolls and property which has had an increase in its assessed valuation over the prior year's valuation, other than as part of a general revaluation.

The Selectmen have the sole power, by a majority vote, to call for an override vote. The vote may be called before or after Town Meeting. It should be noted that even though a Town Meeting may vote funds contingent on an override, if the Selectmen do not vote to hold the override vote, then the appropriations in the articles revert to the non-contingency values.

TODO: Link to Dept. of Local Services Primer on Proposition 2½. Better explanation of "new growth" and debt exclusions.