Author: Bureau of Accounts Boston Regional Office Staff
As you prepare the tax rate submission for FY2027, the DLS Bureau of Accounts Boston Regional Office Staff want to provide helpful guidance to our colleagues in local government specific to Enterprise A-2 form submissions.
If the community estimates revenue greater than the prior-year actual amount received, you need to complete the enterprise fund user charge template. The template can be found on Gateway’s Tax Rate landing page under "downloadable templates."
The document can be edited to add lines or edit descriptions to align with the fee structure of the Enterprise Fund. Increases to user charges require either a rate increase or increase in usage. For a rate increase, it should be voted prior to the beginning of the fiscal year and must be voted no later than the setting of the tax rate. A good example of what we look for in the documentation is the old rate, new rate effective date of the vote and collections to date. For increases in usage (documented new users over and above the prior year), additional information should be provided such as new subdivisions, a new large commercial user in the community, etc.
Also, if the Enterprise Fund A-2 form is reflecting a general fund subsidy, support must be uploaded into Gateway showing that the subsidy amount was known and voted along with the Enterprise Fund budget. It is a local decision whether an Enterprise Fund will have a planned subsidy or expect the enterprise operation to support its costs solely on revenues generated. A copy of the vote showing the subsidy should be uploaded into Gateway upon submission of the enterprise form. You need a subsidy if the Enterprise Fund is not self-supporting and enterprise revenues cannot cover all enterprise expenditures.
Lastly, Enterprise Funds capture indirect costs that are normally budgeted in the General Fund. These are shared costs such as health insurance, pension, debt and shared employee costs. To do so, the community should have a documented indirect cost policy that is followed annually.
Please contact your field representative with any questions on completing form A-2 ahead of submitting your next tax rate recap. Proactive communication and a completed submission will avoid delays with tax rate approval especially during our peak season times. In addition, view the Trends in Enterprise Funds dashboard for helpful multi-year data for each municipality that utilizes enterprise funds. Local officials should contact their Bureau of Accounts field representative for further guidance as needed.
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Editor: Dan Bertrand
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| Date published: | September 3, 2026 |
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