Division of Local Services

Municipal Databank/Local Aid Section

Underrides

Proposition 2½ allows a community to reduce its levy limit by passing an underride.  When an underride is passed, the levy limit for the year is calculated by subtracting the amount of the underride.  The underride results in a permanent decrease in the levy limit of a community because it reduces the base upon which levy limits are calculated for future years.

A majority vote of a community's selectmen, or town or city council (with the mayor's approval if required by law) allows an underride question to be placed on the ballot.  An underride question may also be placed on the ballot by the residents using a local initiative procedure, if one is provided by law.  Underride questions must state a dollar amount and requires a majority vote by the electorate.

For more information on levy limits, override, underride, capital and debt exclusions.  Please view the links under key terms.

Massachusetts Department of Revenue Jeff Bennett