Peabody Finance Committee Advances $200 Trash Fee and Water Rate Hikes

PEABODY — June 2, 2026 — Peabody Finance Committee votes 4-1 to advance a $200 annual residential trash fee to the full City Council. Mayor Edward Betancourt, citing a $6.2 million health insurance cost increase and a $648,000 spike in prevailing-wage payments to trash hauler Republic Services, told the panel the fee — frozen for five years and covering structures of four units or fewer — is needed to push the city's Proposition 2 and one-half ceiling back from two years to five. The full council then voted 8-2 to draft and advertise the ordinance. On water and sewer rates, Finance Director Mike Gingras showed MWRA water purchases climbing to $3.4 million in FY27, and the council voted 8-2 to advertise an 8% rate increase and 8-2 to bake in a 5% increase for FY28; a proposal to eliminate the existing 10% early-payment discount was rejected 6-4 by the full council. Finance Committee member Councilor Ann Manning-Martin, the lone no vote on the trash fee, argued that "a fee is a tax and this is a prop two and a half override" and that residents deserved to see documented budget cuts before any new levy.