Finance Committee Minutes
Town of Bellingham – Municipal Center
Monday, March 22, 2010
1. FinCom Present: Carol Dill, Roland Lavallee, Joseph Collamati, Raymond Szczepan, Henri Masson, Gary Maynard, Toni Picariello
2. FinCom Absent: N/A
3. Meeting called to order: 7:15 p.m.
4. RESERVE FUND TRANSFER
Marilyn Mathieu presented the request. Amount requested is $25,000. This amount is for Labor Counsel. There is an "on-going disciplinary matter re: a Police Officer. She is holding a bill for $12,000. Hearings to be held on this matter next week and should amount to $10,000".
Raymond Szczepan/Henri Masson motion to transfer $25,000 from the Reserve Fund to the Board of Selectmen Expense Account. VOTE: 7/0.
Marilyn Mathieu mentioned that the state is cutting aid to Towns by 4%. The Town is projected to receive a decrease of $339,235 for Chapter 70 (School) and a decrease of $59,800 from UGGA (Unrestricted General Government Aid). The Town is on a holding pattern and waiting to see what the insurance premiums will be.
5. ARTICLE 19 - NON-RESIDENTS-BOARDS/COMMISSIONS/COMMITTEES/AGENCIES
(By Petition: Toni Picariello)
Toni Picariello presented this Article. The purpose of the Article is that she does not believe non-voters or people who live outside of Bellingham should serve on any appointed Town board. It is not fair to the residents of the Town to have non-residents making decisions on spending money and making decisions on what residents can do with their property/land. There are four nonresidents serving on Board. They live in Woonsocket, RI; Blackstone, Medway and Milford.
Joseph Collamati mentioned that he was against this article because in Wrentham they could not find a person to serve on their Insurance Committee and he would have served, but their bylaws would not permit a nonresident to serve.
Toni Picariello mentioned that if these nonresidents are not register voters in Bellingham, they cannot vote at Town Meeting, so they should not be allowed to vote on spending funds or decide what a property owner can do with their property.
Raymond Szczepan/Henri Masson motion to recommend this Article. VOTE: 5/1/1 (Joseph Collamati voted against the Article; Toni Picariello abstained since she is the petitioner of the Article)
6. ARTICLE 28 - ACCEPTANCE OF GEMMUR LANE AND DENAULT DRIVE.
(By Petition: Scott Rhodes)
Scott Rhodes appeared. These two streets were originally on the list that was submitted by the Department of Public Works for the 2009 Annual Town Meeting Article to accept public ways. Below are the recommendations or comments of:
Police Dept.: Chief Daigle
"We had a staff meeting today and Sgt. Rolls told me he checked out these streets and everything looked good."
Department of Public Works:
"Article 28 – Recommended by the DPW – the final item (water main loop) has been completed"
ConCom: "The Conservation Commission hopes to respond to the FinCom's request to comment on certain Articles proposed for the Annual Town Meeting. Because of a potential violation of Open Meeting Law, I would like to suggest that we comment only after our meeting of Wed. March 24th."
Tax Collector regarding bonds the Town is holding: "Planning Board voted to release $30,000.00 of the remaining bond for this project. According to your records, the bond being held is in the amount of $37,709.23. The remaining $7,709.93 will be held until the deed for the street has been delivered to the Town and the street and easement have been accepted." (per Planning Board letter, dated 12/15/2009).
Raymond Szczepan/Joseph Collamati motion to recommend this Article with the consideration of the ConCom's recommendation when we receive it. VOTE: 7/0.
7. BOARD OF HEALTH
Article 13 - Appropriation of Funds-Sewage Disposal Systems, Fuel Storage Tanks & Deleading Dwellings.
Guy Fleuette and Vincent Forte appeared. Amount requested is $300,000.
To reiterate:
This Article allows the Town to offer a loan to homeowners in order to repair their residential failing septic system through the Department of Environmental (“DEP”) Revolving Fund. This is only for existing septic systems. A homeowner with a problem must get 3 bids for the job, apply for the loan and if they receive the loan, will need to pay it back at 2% interest. There is a 20 year repayment period where the Town puts a lien on the property for the amount. Repayments are made to the DEP and the Town keeps the 2% interest.
This program helps homeowners with the cost of replacing their septic system, which can cost up to $30,000.
Roland Lavallee/Henri Masson motion to authorize borrowing up-to-$300,000 for repairs to septic systems. VOTE: 6/0/1 (Toni Picariello was not in the meeting during this Article).
510 - Board of Health Salaries and Expenses
There was a question regarding the line item for uniforms in the amount of $300. This figure is for the Health Agent's overalls, per the Bellingham Professional Association, which he is a member of.
Joseph Collamati/Roland Lavallee motion to recommend the Board of Health Budget as listed below. Funding to be determined. VOTE: 7/0
Misc. |
$637 |
Appointed Board |
$3,000 |
Salaries |
$92,797 |
Expenses |
$11,424 |
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$107,858 |
8. BOARD OF SELECTMEN ANNUAL ARTICLES
Article 5 - Conveyances and Easements.
This article authorizes the Board of Selectmen to accept and/or purchase conveyances or easement for town projects. The amount requested is $1.00.
Roland Lavallee/Raymond Szczepan motion to recommend this Article. Funding of $1.00 from taxation. VOTE: 7/0
Article 6 - Purchase of Surplus Equipment
This article authorizes the BOS to purchase surplus equipment. The $1.00 requested is to keep the account open.
Roland Lavallee/Raymond Szczepan motion to recommend this Article. Funding of $1.00 from taxation. VOTE: 7/0
Article 7 - Town Property Auction.
This article authorizes the BOS to sell, by auction, real estate taken by non-payment of taxes and other town property, such as vehicles, etc. The last time there was an auction was in 1993. The Collector is compiling a list of property now.
Roland Lavallee/Raymond Szczepan motion to recommend this Article. VOTE: 7/0
9. Review CFO's Spreadsheet on Capital Planning
Discuss ARTICLE 10 - CAPITAL OUTLAY List (over $50,000) and ARTICLE 11 - NON-CAPITAL OUTLAY List (under $50,000)
As of this date, there is no capital over $50,000 on the warrant. Marilyn Mathieu said the Town will wait until we know how much "free cash" we will have, if any, and capital over $50,000 will be considered at the Fall Town Meeting.
Capital under $50,000 is listed as follows:
Assessors - Revaluation |
$45,000.00 |
Funding: Overlay Surplus |
School Technology |
$556.29 |
Funding: USSL Fund |
School-ADA Upgrade (Keough Door) |
$8,828.00 |
Funding: ??? |
|
$54,384.29 |
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The Committee decided that the School Department would be asked to come in to explain the ADA Upgrade. It is known that the Commission on Disability has requested this.
A vote will be taken on these at a later date.
10. GENERAL DISCUSSION
A. Review spreadsheet from CFO (Town Meeting Article Funding)
As of tonight's meeting, the spreadsheet is not complete.
B. Misc. correspondence and emails.
1) While Roland Lavallee was reviewing the Department of Public Works budget, and could not calculate what employees are paid, since their salaries are split between Water Enterprise, Sewer Enterprise and Department of Public Works, he has asked Marilyn Mathieu and Donald DiMartino for a spreadsheet showing the names of employees, their position, salary and what account(s) the money comes from.
2) Marilyn Mathieu emailed an explanation regarding Proposition 2 1/2 vs. Debt Exclusion.
1. Proposition 2 1/2 Override- This is a permanent increase in the LEVY LIMIT for a town
Let's say that we vote a Prop 2 1/2 Override for Fiscal 2011 in the amount of $1Million....this means that we will raise $1 million more than last year for Fiscal 2011 and each and every year going forward....in addition to the normal 2 1/2 allowable increase....
Fiscal 2010 Levy Limit $29,000,000.00
Normal 2 1/2 Allowable increase $ 725,000.00
New Growth $ 25,000.00
Proposition 2 1/2 Override $ 1,000,000.00
_______________________
New Levy Limit Fy 2011 $30,750,000.00
Very Important: YOU CANNOT EXCEED YOUR LEVY CEILING.....however, the Levy Ceiling for Bellingham is $55,000,000.00......
This means that each taxpayer will see an increase based on the FY 2010 Levy, the Normal 2 1/2 Allowable Increase and the Proposition 2 1/2 Override......new growth is only billed to the people who have experienced growth....not increases or decreases due to market influences but true growth....sheds, porches, major remodeling....etc. plus the normal 2 1/2 allowable increases and the Proposition 2 1/2 Override
An override is permanent......unless someone proposes an "underride"..... Again, an override is permanent......
2. DEBT EXCLUSION - Is voted for a specific item that will be supported by borrowing.....only town meeting can vote borrowing...it only lives for the life of the debt AND it allows us to raise the amount of the Principal and Interest OVER AND ABOVE Proposition 2 1/2.......Just so you are aware- we have 2 Sewer Issues from the 1990's that were voted as Debt Exclusions.....these are still being paid from the debt budget.....also, there was a school issue and the library that were voted as Proposition 2 1/2 Debt Exclusions back in the 1980's.......those have been paid off
For example- the law allows us to borrow for 5 years for a Fire Truck- if the Fire Truck were voted by the voters as a Debt Excluded Issue, it would only last the life of the debt- 5 years
And the amount of a debt exclusion years must match the debt schedule that dictates payment
CAPITAL EXCLUSION -Is voted for a specific item that will be purchased within a year or two.....
For example- let's say that we are going to buy an Ambulance that costs $250,000.00 and town meeting has decided that is will be a Capital Exclusion..and it's a successful ballot question...It means that the levy would increase by $250,000.00 to allow us to buy the Ambulance....it's only for the ONE YEAR (AND SOMETIMES TWO) AND it allows us to raise the amount of the capital payment OVER AND ABOVE THE CONSTRAINTS OF PROPOSITION 2 & 1/2 but it means that it's only temporary...until the capital item is paid for
3) We received the Blackstone Valley Tech budget.
4) Raymond Szczepan passed out the "Revised FYII Budget Proposal" for the School.
Adjourned: Raymond Szczepan/Henri Masson motion to adjourn. VOTE: 7/0. 8:15 p.m.
(Accepted April 5, 2010)
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