TOWN OF FARMINGTON
BUDGET COMMITTEE
MEETING MINUTES
Thursday - January 10, 2008
356 Main Street - Farmington, NH
Members Present: Chairman Joe Pitre, Mike Morin, Ann Titus, Gail Ellis, Brian St. Onge, Deb Cantwell, Steve Henry and Arthur Capello (arrived at 8:22 pm).
Selectmen's Rep: Paula Proulx
School Board Rep: Steve Durrance
Public Present: School Board Member Rich Cilley, SAU Finance Administrator Dan McGillicuddy, Superintendant Michelle Langa, Selectmen Joan Funk and Sheryl Olstad.
Chairman Pitre called the meeting to order at 7:00 pm and announced that tonight's meeting is a continuation from the January 9, 2008 budget committee meeting.
1. Discussion:
A. Gail commented that she is concerned about whether or not the committee will have time to vote on the school budgets. Joe replied that in speaking with DRA he was informed that the last day to vote to accept or not accept the school budget is 1/28/08 and after that if any changes need to be made will have to be done at the deliberative session.
B. Gail brought up the discussion as to whether or not the petition warrant article can be accepted or not by this committee. The article was turned in on time to Kathy Seaver but was not disclosed at the public hearing. Joe replied that he will check with DRA as to the legality of this issue. Paula Proulx motioned to have Joe Pitre call DRA to see if the budget committee can accept the petition article, 2nd Gail Ellis. Roll Call - Steve Henry (yes), Ann Titus (no), Brian St. Onge (no), Deb Cantwell (yes), Joe Pitre (yes), Paula Proulx (yes), Gail Ellis (yes), Steve Durrance (yes) and Mike Morin (yes). Motion carried. Deb questioned what this petition warrant article entails and the committee decided that they can not really discuss the details without DRA's
blessing.
2. Review of the MS-27:
A. Mike questioned why the petition article on page 4 of the MS-27 is listed by being recommended by both the school board and the budget committee but it has not by either. Ms. Langa replied this was an oversight and they will move it to the non-recommended column.
B. Paula questioned where the amount of the statewide enhanced education tax/grant is derived from that is listed on the last page of the MS-27. Dan M. replied that this number included the total for the equitable education grant and the statewide education property tax and that they come from the state.
C. Joe asked if the state funding has decreased for this year. Dan M. replied that no the taxes went down and the appropriation went up, so overall there will be an increase.
D. Paula questioned if you have a warrant article that says you are taking money out of the reserve fund doesn't it have to be carried over to the MS-27 as revenue. Michelle replied no because it can not be expended. Paula then asked if it needs to be included in line 5251 of page 5 of the MS-27. Mike M. responded no, if it passes it will be included in next years form in this line.
E. Joe asked if Article 7 or 8 are to come out of taxes and Gail responded no they are funded out of revenue.
F. Gail questioned if it would be better to have the bus money come from the undesignated fund balance instead of being raised from taxation because it might have a better chance of passing. Steve D. replied that he is not comfortable with that plan because there is no guarantee that funds will be available plus you would have to wait until the end of the fiscal year to purchase. Mike questioned why the school board didn't put the a bus in the operating budget. Rich Cilley replied that the school board discussed just that but then decided that the taxpayers would not have the chance to vote on it if they did that. Mike questioned what the date of the oldest bus in the fleet and Rich C. replied 1988-89 and that the town has not been responsible in purchasing new busses. Deb commented
there are only 4 busses that are 2000 or newer.
G. Joe asked Dan for the tax impact of the school budget. Dan replied if the school board budget passes (-$0.16), if default budget passes (-$0.28), if budget committee budget passes (-$0.50), if school board budget plus all warrants passes (+$1.13), if budget committee budget plus all warrants passes (+$0.78), if the bus warrant passes (+$0.14) and if the teacher warrant passes (+$1.14 increase).
3. Review of All School Budget Worksheets and Budgets:
A. Mike questioned the figure of warrant article 3 of $14,989,406.26 because on the MS-27 it is listed as $14,593,180.39. Ms. Langa responded "thank you for pointing that out, we will correct it." Deb commented that the number in article 3 should be the budget committee's bottome line. Dan commented that there should be a difference because the food service deficit has to be included on the MS-27 but not on the warrant though it would not make enough to make up the full difference between the two numbers, noting that he would fix it.
Arthur Capello arrived at 8:22pm.
B. Deb stated that on the proposed tax rate impact sheet the curriculum and school board lines do not equal what is on the budget sheets. Dan replied that the curriculum total should be $115,506.32 because line 10-2210-3201 (contract services) has not been zeroed yet.
C. Arthur stated that line 10-2210-2400 (staff development) of VVCS should not have been cut because it is contractual. Dan M. replied that he misread the minutes and he will fix it.
D. Mike Morin motioned to review warrant article 4 for acceptance, 2nd Arthur Capello. Discussion followed in which Steve H. commented that in the past few meetings he has deciphered that the budget committee would like to see these large ticket items (buses and nature's classroom) in the operating budget. Arthur replied that he doesn't think one could make such a broad assumption and that the committee would look at them on a case-by-case basis. Motion withdrawn.
4. Review Warrant Articles:
A. Mike Morin motioned to recommend warrant article 4, 2nd Arthur Capello. Roll Call - Steve Henry (yes), Ann Titus (yes), Brian St. Onge (yes), Deb Cantwell (yes), Joe Pitre (yes), Paula Proulx (yes), Gail Ellis (no), Steve Durrance (yes), Arthur Capello (yes) and Mike Morin (yes). Motion carried.
B. Arthur Capello motioned to recommend warrant article 6, 2nd Ann Titus. Roll Call - Steve Henry (yes), Ann Titus (yes), Brian St. Onge (no), Deb Cantwell (yes), Joe Pitre (yes), Paula Proulx (yes), Gail Ellis (yes), Steve Durrance (no), Arthur Capello (yes) and Mike Morin (yes). Motion carried.
C. Steve H. questioned warrant article 12, noting that it does not specify which article they are talking about. The board discussed that only the wording can be changed to make it clearer at the deliberative session but that there can not be an increase in monetary value. Mike M. noted that warrant articles 11,12, and 13 need to be cited as petition.
D. It was noted that the committee could not vote on warrant article 3 because the bottom line would be changing because of the $7000 error found in the VVCS budget line. Dan M. stated that the new total which does not include the teacher's salary warrant is $14,996,406.12, $13,807,400.39 is the sub-total for the budget committee's appropriations for the MS-27, $193,690 is the total for the warrant articles the budget committee recommended and the total appropriations recommended is $2,152,050.19.
E. Dan stated that while the committee was working he was fixing some of the numbers to reflect the budget committee's comments and votes and have the final numbers for the MS-27, they are:
sub-total 1 = $13,807,400.39
sub-total 2 = $268,690.00
total appropriations recommended = $14,076,090.39
estimated revenues/credit = $5,047,020.20
tax/grant = $6,866,020.00
total to be raised by taxation = $2,152,050.19
Dan also stated that the tax rate with these numbers will be (current rate is $7.12);
with budget committee budget = $5.84
with school board budget = $6.18
with default budget = $6.05
with school board budget and warrants = $7.46
with budget committee budget and warrants = $7.13
Arthur questioned what valuation DRA will use to set the tax rate? Dan replied that he is using 518,570. There was discussion as to whether this number is correct and it was suggested to check with DRA for the correct valuation. The budget committee requested a corrected MS-27 with a new projected tax impact sheet for the 1/23/08 meeting.
5. Other:
A. Deb stated that she will not be present for the January 16, 2008 meeting.
B. Arthur commented that due to multiple conflicts with the meeting on the 22nd maybe the committee should cancel the meeting and just meet on 1/23/08, the committee was in agreement. No meeting 1/22/08, but there is one on 1/23/08.
C. Brian asked Joe to call DRA and get an actual valuation figure and Joe replied that he would.
D. Arthur requested that the SAU mail out all the new information to the committee no later than 1/16/08 so they have time to review it and Ms. Langa replied it would not be a problem.
Steve Durrance motioned to adjourn, 2nd Ann Titus. Motion passed with all in favor.
Chairman Pitre adjourned the meeting at 9:40 pm.
Respectfully Submitted,
Brandy Sanger
Recording Secretary
_________________________
Ann Titus, Budget Committee Secretary
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