from the current Handbook for Selectmen:

Legal Authority
The board of selectmen’s formal, legal responsibilities are scattered throughout hundreds of state
statutes as well as in a given town’s bylaws, home rule charter and special laws (special acts) enacted
by the Legislature for that particular town. Boards of selectmen have general supervision over all
matters that are not specifically delegated by law, or by vote of the town, to another officer or board.
While the specific role of selectmen is broad, it varies from town to town. Generally, boards of
selectmen have at least several important responsibilities under state law:
• The power to prepare the town meeting warrant
• The power to make appointments to town boards and offices
• The power to employ professional administrative staff and town counsel
• The power to sign warrants for the payment of all town bills
• The authority to grant licenses and permits
(These responsibilities of selectmen are covered in detail in chapters 3, 4, 5 and 11.)

The selectmen should:
• Participate in the budget process by developing budget guidelines, reviewing budgets and
evaluating proposals for the expenditure of funds
• Participate in broad policy development on issues that will have a major impact on town
finances (e.g., a major expenditure such as a new school, authorization of debt, use of the
stabilization fund)
• Ensure the development of a capital improvement program
• Monitor financial performance
The selectmen also have certain statutory authority for financial matters, including:
• Signing bonds or notes when the town issues debt
• Signing the warrants for payment of bills
• Classifying property by use, for taxation purposes
• Setting water and sewer rates and other fees, unless this authority is assigned by bylaw to
another board or official
• Placing a Proposition 2½ override or debt exclusion vote on the ballot

Finance Committee (or Advisory or Warrant Committee)
The finance committee—or, in some towns, the advisory or warrant committee—is a town’s official
fiscal watchdog. Its primary, statutory responsibility is to advise and make recommendations to town
meeting on the budget and other areas of finance. One of the finance committee’s most important
functions involves making transfers from the town’s reserve fund (a contingency fund normally
created as part of annual budget appropriations) to other line items in the budget for extraordinary
or unforeseen occurrences.While the finance committee plays a vital role, it is within the executive authority of the selectmen, and/or their appointees, to prepare the town’s budget. The selectmen have ultimate responsibility to the residents for this service. The finance committee’s responsibility is to review the budget submitted to them and to make recommendations regarding the budget to the town’s legislative body: the town meeting.

Town Accountant
The town accountant is responsible for maintaining the town’s financial records, including the
statement of revenues and expenditures, balance sheet, and any other records required by law or
regulation. The town accountant reviews each proposed expenditure to ensure that money has been
lawfully appropriated for that expenditure. The town accountant prepares warrants for payment (a
list of bills compiled for signature by the board of selectmen or town manager or administrator) and
may withhold payment of an item if the expense is illegal, not an approved appropriation, or would
cause an appropriation to be exceeded.

posted by Jeff Bennett