Work Session
March 30, 2009
Present were Councilors Evans, Cayer, Goudreau, Remillard, Lafleur, McCue, Poulin, Donovan and Mayor Bertrand (6:50 p.m.)
Others present included Patrick MacQueen, Pamela Laflamme, Linda Lafleur, Jim Wagner, Al McClain, Bill Andreas, Bill Gabler, Jon Edwards, Blandine Shallow, Angela Martin Giroux, Andre Caron, Kevin Coulombe, Kevin Lacasse, Senator John Gallus, Denise Jensen; School Board Members: Mitch Couture, Brian Leclerc, Nicole Plourde, Martha Laflamme, Superintendent John Moulis, Asst Superintendent Marion Huntley, Corinne Cascadden, media and public
In the absence of Mayor Bertrand, Councilor Evans motioned to have Councilor Lafleur chair the meeting; Councilor McCue seconded and the motion carried.
Mayor Pro-tem Lafleur called the meeting to order at 6:30 p.m.
Mental Health Court Proposal
Mr. MacQueen reported that Jim Michalik had asked to be on the agenda to talk about a grant the area may be eligible for. He could not make the meeting and the discussion will be rescheduled to a later date.
Senator Gallus and State Representatives
Mayor Pro-tem Lafleur welcomed Senator Gallus. Mr. MacQueen noted that Council members wanted to speak to the Senator and Representatives about what is being represented in Concord. Councilor Poulin added that Mayor Bertrand spoke to Governor Lynch about the Council’s opposition to Laidlaw and the Governor noted that he was not getting the same information from the Representatives. Senator Gallus indicated that he and the Representatives received a copy of the letter sent to Governor Lynch. He added that he has no authority over what is happening in the Legislature.
Councilor Goudreau reiterated the situation and established that the delegation should be supporting the views of the Council. Senator Gallus commented that he is involved with three different counties and he wants to focus on jobs and increasing the tax base. He stated that he is not opposed to Laidlaw. His District encompasses everything north of Waterville Valley. He has supported a casino because of the jobs that it would bring.
Senator Gallus emphasized the need for loggers to have an end place for their product. He said that he could not imagine that the wood basket has shrunk to the point of there not being enough wood to support the project. The forest is not in danger as long as we continue to use renewable forest practices.
Councilor McCue expressed doubt that Laidlaw can do the project. He stated another big concern for him is the downshifting of cost to cities and towns. Senator Gallus explained that in a few weeks, the budget will get to the Senate and he and other Senators want to avoid downshifting and think a balanced budget can be accomplished in other ways.
Mayor Bertrand entered the meeting at this time, 6:50 p.m. Councilor Lafleur commented that there is little funding coming to the North Country and he questioned whether that will remain the same. The southern part of the Conway project is ongoing and the northern portion is delayed. Senator Gallus reported that there is minimal money available.
Councilor Goudreau questioned the Governor’s position on gambling stating that gaming would get us revenue and jobs. If Massachusetts gets it first, NH will suffer greatly. Senator Gallus acknowledged that if the Governor were to support the gambling bill, there would be a better chance of having it pass. With regard to the gaming bill, Senator Gallus said that he is not as confident as nine months ago; the bill is due to come off the table next Wednesday.
Councilor Donovan expressed his fear that the economy is not in a recession but that there is a breakdown of the system. It is frustrating that government is choking out the private sector. He went on to say that he hopes Concord will uphold the wishes of the governing body. Senator Gallus reasoned that he hears both sides and a city wide referendum on biomass in the downtown would measure support in the community.
Councilor McCue asked the Senator to comment on the ATV bill that would have allowed ATV traffic through the city on state highways. The bill did not get through the House and cannot be revived for two years. Representative Ingersoll had the bill on the consent calendar; Judith Spang pulled it off the consent calendar and managed to have it voted down.
Councilor Evans mentioned labor bills and their ability to increase costs for the city; he encouraged the Senator to vote against them. Mayor Bertrand thanked Senator Gallus for coming. The Senator left the meeting at 7:15 p.m.
Clean Power EDA Grant Requests
Mr. MacQueen reported that two applications for EDA funding were included in the packet. Clean Power is attempting to fund a new intersection on Unity Street to connect to Shelby Street, through the Economic Development Administration. They need a letter of support from the City to apply. The request for funding could be amended at any time to include adding a water line, district heating pipe and/or adding a sewer line. Mr. MacQueen recommended that the Council authorize a letter of support.
He then stated that the second project is the installation of wastewater treatment and reuse equipment to clean the treatment plant’s effluent sufficiently to allow its use in Clean Power’s plant. Mr. MacQueen recommended a letter of support noting that the matching funds shown to come from the city would be reimbursed by Clean Power for up to $460,000.
Mayor Bertrand confirmed that the deadline is Wednesday and they need support from the City to submit the applications.
Councilor Donovan moved to draft a letter of support; Councilor Poulin seconded and the motion carried.
School Board Discussion
Mayor Bertrand noted that questions were raised about the School Board’s deadline of April 15 for pink slips. Council members wanted to be sure that the schools were prepared if cuts need to be made to the school budget.
Mitch Couture addressed the Council and indicated that the Board is prepared should there be further cuts. Seven positions would be lost if the schools are level funded to last year’s amount. He noted that the State will be increasing school funding by $1.1 million and the schools did not ask for all of it.
Councilor Goudreau acknowledged that personnel expenses are the largest share of the school budget. As presented, the school budget would raise taxes and he wanted an explanation of the increase.
Mr. MacQueen agreed that schools receive a lot of revenue for education; however the fact remains that the city is picking up a portion that is paid by taxes. The money received from the State is to offset property taxes in communities that are not property rich. Revenues are a nice discussion but the question is how much more is a department spending this year than last year.
Councilor McCue established that out of a $16 million budget, $10 million is salaries, $3 million is benefits. He hoped that within the remaining $3 million the schools could find the other $600,000 so that jobs would not be lost and taxes would not have to increase. He asked if there is an idea of how much surplus the schools will have. Ms. Huntley relayed that she does not anticipate a deficit but she does not have a definitive number yet.
Councilor McCue commented that he would hate to see other city employees losing their jobs. Mr. Couture asserted that it will happen if the schools are level funded. The Board has closed a school resulting in $316,000 worth of cuts and there are two positions already cut.
Councilor Remillard clarified that the schools are eliminating two positions and if they are level funded there are an additional five positions to be cut. Mr. Couture added that there is a janitor that will not be replaced and that is not part of the seven.
Mayor Bertrand proposed that the Council receive a memo from the school board explaining the change in personnel from this year to next year. Mr. Couture cautioned that he does not want to publicly identify the employees of the school department who may be cut. Mayor Bertrand clarified that Council is trying to get a feel for how many personnel will be affected.
School Board members and school staff left the meeting at this time.
Community Services Budget
Community Services Director Laura Viger could not attend this evening due to illness. She prepared a memo asking for the full amount of her budget request stating that it is a bare bones budget. Mr. MacQueen stated that the Health Department, more than any other department’s expenses are offset by Medicare revenue. Cutting the Health Department budget does not have an impact on property tax.
A memo was also prepared for the Recreation Department asking for the full amount of the budget request.
Welfare
Angela Martin Giroux commented on the State Welfare laws noting that if the department runs out of funding State law indicates that additional funds have to be appropriated. She works to have other agencies assist with helping clients. There has been more money in the fuel assistance program this year and that has helped to keep requests down. Ms. Giroux stressed that she works to meet the law without causing taxpayers undue stress and burden.
Mr. MacQueen attributed the maintenance of the welfare budget to the skill of the welfare director. Mayor Bertrand and Councilors also recognized the work of the welfare director. Ms. Giroux emphasized that those who come to the welfare office for assistance have to contribute to their own well being as well.
Councilor Remillard clarified that if a welfare client owns a home, a lien is placed on the property in the amount of the assistance given.
Library
Denise Jensen explained that the library is at a bare minimum as far as staffing. She gave a handout that shows the services of the library and reports on the increased use of the library by Berlin citizens and others. Ms. Jensen went on to say that budget cuts were taken in books, as well as subscriptions and magazines. There are safety inspections that cannot be compromised; however some maintenance contracts and supplies are being cut to meet the 7.5% reduction.
Ms. Jensen emphasized that the Library is .39 of the entire city budget. Councilor Donovan was surprised at the significant increase in the use of the library. Ms. Jensen commented that the economy plays a role in that people in need can take out books and movies and use the Internet for free. Councilor McCue asked for an explanation of the on call per diem line item. Ms. Jensen indicated that the library is minimally staffed and if someone calls in sick or coverage is needed for vacations; an on-call person is called in.
Ms. Jensen confirmed that the Library can accept donations of subscriptions and publications from the public.
With regard to the Health Department, Councilor Lafleur asked about AV Home Care and how that works with the Health Department budget? Mr. MacQueen responded that the Health Department hires them to do some of the services; however he did not have any additional information.
Stimulus Funding Update
Mr. MacQueen reported that most of the transportation money went to the State. The City applied for East Milan Road sewer improvements, Route 110 sewer upgrade and storm drain updates near the IGA. Of 239 municipalities in the State, 205 submitted projects and it is expected that the top 30 will be funded. The closest the City came in was 42nd
Mr. MacQueen added that DES has stimulus money as well and the City has applied for several properties. Some are ready to go and shovel ready.
Other
HHS/Courthouse
Mr. MacQueen explained that Berlin Falls Realty is planning to tear down and rebuild the Fraser administration building to house Health and Human Services and the courthouse. Al McClain is the developer and he is here this evening.
The land surrounding the administration building has been subdivided into three sections. Part of the plan was to have the back piece of property transferred to CAP. At the time of closing CAP’s attorney determined that they should not acquire the property until the railroad grants them an easement over the land. The developer needs to close on the property in order to have HHS in the new building by December of this year. One solution to the problem would be to have the city hold the property. Mr. MacQueen went on to say that we know the property has hazardous waste; however a covenant not to sue by the State Attorney General’s Office has been issued in the past. Peter Rothe of the AG’s office assured the City Manager that the State would transfer the covenant not to sue to the city. Mr. MacQueen recommended that the Council authorize holding the land to save the time schedule of this project. The City would then accept a quit claim deed for this property.
Councilor Lafleur confirmed that we would not get the covenant not to sue before the closing. Councilor Donovan indicated that he is not in favor of CAP taking on any more land than they already have. If there is going to be trail development on this property, the City needs to have control of property.
Councilor Goudreau voiced his surprise that this is being brought up at the last minute. He asked what happens if they don’t close? Mr. McClain replied that every delay jeopardizes the project. Mayor Bertrand asked how long CAP has been involved and Mr. McClain stated that the attorney was not engaged until last week.
Councilor McCue asked how long the city would own this parcel. Mr. Wagner responded that it would be until mid to late April when the land would be transferred to CAP. Councilor Goudreau said that he is in favor of the project but not in favor of supporting a land transfer until the letter from the State is in hand. Councilor Donovan stated that there is risk associated with economic development and the Council has to be willing to take the risk.
Mr. Wagner responded to Councilor McCue’s question about whether the railroad plans to use the spur on the property by saying that it will depend on future use of the property.
Councilor Donovan moved to accept a quit claim deed for the back property (Map 129; Lot 49.02) of the administration building site; Councilor Evans seconded and the motion carried.
Street Name
Ms. Laflamme explained that the Fish Hatchery is leased by the State from the National Forest; however the property is in Berlin. There are three houses on the property used by fish hatchery staff. In the last few weeks, a new staffer has been trying to get a telephone account and cannot without a valid address for the property. Fish Hatchery staff chose Brook Trout Way; 911 and the Post Office have approved of the name. The City Council has the final authority to give the private way a name.
Councilor Lafleur moved to accept the name Brook Trout Way; Councilor Poulin seconded and the motion carried. Councilor Donovan opposed.
New England Family Housing Introduction
Andre Caron reported that through a public/private partnership, the City and New England Family Housing will be applying for $6 million. Thursday, the Governor will be coming to Berlin to walk through areas that will receive grant funding. Because Berlin has tight clusters of areas that are in dire need of housing assistant, it is ideal for this funding.
Kevin Lacasse noted that he is from Berlin and he has been doing this kind of work in the Claremont area. The grant fund was open to anyone in the state and he applied to do rehabilitative construction in some of Berlin’s dense neighborhoods.
To meet the conditions of the Neighborhood Stabilization Grant, Mr. Lacasse explained that he will have to hold the properties for 20 years. Properties will be bought with private capital and all will be on the tax rolls. Councilor Donovan asked what mechanism will cause the rents to rise in value. Mr. Lacasse replied that it is a matter of supply and demand and tearing down excess housing will move the process forward.
Mr. Lacasse went on to say that he hears that there are no suitable apartments in Berlin to rent. He hopes to bring up the standards so that Berlin is prepared for another influx of people coming in.
Councilor Remillard agreed that if the company brings quality housing, they will get the income. She asked who will maintain the properties on a daily basis. Mr. Lacasse noted that he has a management company, full time maintenance and leasing staff in Claremont. Kevin Coulombe is a partner in his business and he resides in Berlin. Maintenance staff will be hired locally.
Councilor Donovan confirmed that materials will be bought locally. Ms. Martin-Giroux asked if the grant will put HUD rent restrictions on the housing created and Mr. Lacasse indicated that they will not be limited on what rent to charge. The housing created will need to be energy efficient which, in turn will lower heating costs as well water and sewer bills.
Mr. Lacasse stated that he has already purchased 632 Champlain as well as 183 Grafton Street. Because the properties in the targeted areas are close together, there is an economy of scale to the plowing, mowing and other maintenance. Mr. Lacasse concluded by saying that he is eager to be a part of bringing Berlin back.
With no further business on the agenda, Councilor Poulin moved to adjourn; Councilor McCue seconded and the motion carried. The meeting ended at 9:45 p.m.
Respectfully Submitted,
Susan Tremblay
Administrative Assistant
| 
