Town of Hanson - Board of Selectmen
Meeting Minutes – Hanson Town Hall
January 4, 2011 – 7:30 p.m.
Members Present: Stephen Amico, Christopher Colclough, James Egan, Donald Howard and David Soper
Members Absent:
Others Present: Rene’ J. Read, Town Administrator and Executive Assistant Meredith Marini
I 7:32 p.m.~~~~~~~Chairman Colclough called the meeting to order. Mr. Colclough lead the Pledge Allegiance. Mr. Colclough requested a moment of silence for Thomas Mill Committee member Rodney Brunsell. Mr. Colclough read the announcements and upcoming meeting schedule.
II TOWN ADMINISTRATOR’S REPORT – Snow Storm – Mr. Read commended the Highway, Fire and Police departments for their efforts during the recent snow storm. Camp Kiwanee Culvert – Mr. Read reported that the culvert replacement at Camp Kiwanee has been completed. Paving will be finalized when the weather accommodates. Indian Head Roof – Mr. Read read the following memo to the Board regarding funding for the Indian Head Roof:
MEMORANDUM
To:~~~~~ Hanson Board of Selectmen
From:~ Rene’ J. Read, Town Administrator
Date:~~ January 4, 2011
Re:~~~~~ Indian Head School Roof Replacement
CC:~~~~ Finance Committee; Ruth C. Gilbert-Whitner, Ed.D., Superintendent WHRSD; Capital Improvement Committee
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Dear Members,
As you may recall, this past fall the Town (along with the School Committee and the School Superintendent) signed off on a “Green Repair Certification Program” form to allow the Town of Hanson and the School District to become eligible to submit a Statement of Interest (SOI) for the Green Repair Program offered by the MSBA.~ The purpose of this submittal was for the replacement (and associated repairs) to the Indian Head School roof.
Last fall, the existing slate roof (consisting of approximately 28,000 square feet) was evaluated by BETA Engineering last fall and they have noted a series of problems associated with its current condition ranging from the need for restored flashing to falling (slate) tiles.~ In our discussions with the Superintendent, she characterized the situation by saying that slate roof tiles are falling off the roof on an ongoing basis and unpredictably.~ Sawhorses and yellow tape have been placed around the greatest areas of concern in an effort to keep students, staff, and visitors away from dangerous areas.~ She added that the door for handicapped accessibility to Indian Head School is located in the cordoned off area and that during the winter months, the front of building is used as a recess area; however, the current
slate tile issue makes this problematic.~ As she appropriately noted, this a dangerous situation of which all are aware that it could cause serious injuries to anyone who might be hit by falling slate tiles.~ Finally, because of the age and condition of the existing roof, leaking is also a problem.
Last month, the MSBA contacted WHRSD regarding the Statement of Interest, and following that conversation our office has discussed the project with both representatives from the MSBA and the Department of Revenue.~ The purpose of these discussions was to establish the Town’s interest in moving forward with the project, determining that the work was necessary and understanding how the project would be funded.
We have indicated our initial interest in moving forward with this project to the MSBA predicated on the Town’s ability to fund it.
An estimate to replace the roof was obtained by WHRSD which suggested that the cost of the project would be $239,000.
Based on our understanding, this year, the MSBA has funding available to reimburse 56% of the total project cost.~ Based on the cost estimate, the MSBA would pay $133,840 (56%) and the Town of Hanson would pay $105,160 (44%).~ We do not know if any funding for reimbursement from the MSBA will be available next year.
In order to move forward with the project, using MSBA funding for a portion thereof, an Owner’s Project Manager (OPM) and designer must be selected and retained for an additional cost.~ The estimated costs associated with hiring an OPM range from 3% to 5% ($11,950) of the total project costs and the fee for Designer services would be approximately 10% ($23,900) of the total project costs.~ The OPM and Designer costs are in addition to the costs of the roof replacement.~ All aspects of this project would be subject to procurement laws.
The estimated costs associated with this project are as follows:
New Roof~~~~~~~~~~~~~~~~~~~ $239,000
OPM (3% to 5%)~~~~~~~ $11,950 (5% used for this estimate)
Designer (10%)~~~~~~~~~~~ $23,900
Subtotal~~~~~~~~~~~~~~~~~~~~~~~ $35,850
Total Cost~~~~~~~~~~~~~~~~~~ $274,850
The MSBA has agreed to pay a percentage of the OPM and Designer costs associated with the project however; the specific percentage the MSBA will provide to cover the $35,850 is unclear at this point.~ The source of funding for the OPM and Designer would have be via Free Cash which would require Town Meeting approval.
As noted above, the Town would owe a portion of the total project cost - 44% or approximately $105,160.~ To fund the Town’s portion would require either a capital or a debt exclusion ballot vote.
If the Board wishes to move forward with this project, several factors come in to play.
An article would need to be placed on the warrant for consideration by the voters at Town Meeting.~ Should the voters at Town Meeting vote to approve the warrant article for this project, a question would be placed on the ballot for the voter’s consideration.~ If the voters were to approve the ballot question, the project could proceed utilizing the funding arrangements described above.
Conversely, if an article were to be placed on the warrant for consideration by the voters at Town Meeting or a question were placed on the ballot for the voter’s consideration and either measure was not approved, the Town will be required to pay a portion of the OPM and Designer costs.~ As previously noted, the total estimate for these costs is $35,850.
It is important to understand that this is not a risk-free proposal since the MSBA will still require the Town to pay its portion of the OPM and Designer costs whether they approve the project or not.
The Town will be receiving a check in the amount of $628,090.56 from WHRSD as a result of a bond calling through the MSBA.~ These funds may only be used to reduce the tax rate.~ In FY12, the taxpayers in Hanson will see a reduced rate since the $628,090.56 will be used to directly reduce the tax levy.~~ If approved by the MSBA, the Indian Head roof project would cost the Town approximately $239,000 which would have to be funded through a capital or debt exclusion.~ We would have to fund the full amount as we would pay the costs up front and be reimbursed by the SBA at a later date.
Thus, if the tax rate is reduced by $628,090.56, and if a project totaling $239,000 should increase the tax rate, the taxpayers would still experience a relief in their FY12 tax bills since the difference between the two figures is $389,090.56, all of which would be applied to directly reduce the tax levy.
Before committing to anything in our conversations with the MSBA, I indicated that this issue needed to be discussed and acted upon at the Board of Selectmen’s level.~ We agreed that once the Board had rendered a decision this evening, I would inform them of the Town’s position by Wednesday, January 5, 2011.
Our mutual understanding of the Town of Hanson’s position is as follows:
1.)~~~~~~~ The Town of Hanson is very interested in advancing this project since the work is certainly needed;
2.)~~~~~~~ We are equally interested in utilizing the MSBA’s as a funding source;
3.)~~~~~~~ The Town has contacted the Department of Revenue to examine the various funding mechanics associated with this project;
4.)~~~~~~~ A Special Town Meeting and subsequent ballot question would be required to fund the project;
5.)~~~~~~~ A discussion of these ideas would occur with the Board of Selectmen for their review and action at the meeting of January 4, 2011, and a decision would be rendered at that time;
6.)~~~~~~~ I will inform the MSBA of the Board’s decision on Wednesday, January 5, 2011.
The case for pursuing this project now, and asking the voters to fund this project this year as opposed to waiting, is as follows:
1.)~~~~~~~ The Town of Hanson and the WHRSD are acutely aware of the need and it should be addressed:
2.)~~~~~~~ We understand that there is a greater chance of the MSBA funds being available this year;
3.)~~~~~~~ The Town’s tax rate situation is more favorable this year thereby reducing the impact on taxpayers.
The case against pursuing this project at this time is as follows:
1.)~~~~~~~ If the OPM and designer costs were not approved at Town Meeting we would have a deficit that:
A.)~~~~~~ Would hold up the Tax Rate approval and result in a potential cash flow crisis;
B.)~~~~~~ Will add to the FY11 deficit in that it will appear as a deficit to be raised on the Tax Rate and our budget will not be balanced.~ Since we would not know the outcome until after Town Meeting, to fix the issue we would have to hold an Emergency Town Meeting;
C.)~~~~~~ It will reduce Free Cash.
2.)~~~~~~~ If the MSBA approves the project and we have a deadline for starting the project (i.e. within FY11), we could be faced with an issue if there is a timing issue on borrowing (debt exclusion).~ At this point, we are uncertain of the timing and would need to be absolutely certain when the appropriation would become official.
Mr. Amico feels that the roof needs to be replaced as it will impact the infrastructure of the building.
Mr. Read pointed out that appropriations must be approved by Town Meeting and it is a timing issue. There is a risk and DOR ramifications if the money is spent and the project is rejected by Town Meeting. The MSBA requires a project manager and a designer. Mr. Soper preferred to wait until the funding is in place. By consensus the Board instructed Mr. Read to inform MSBA the project would have to wait as there is no funding at this point.
III NEW BUSINESS
Vote Ambulance Billing Policy – Mr. Rene’ provided the Board with a final draft the Ambulance Billing policy.
MOTION by Amico, second by Egan to accept the ambulance billing policy as submitted. Voted 4 – 1 (Soper)
Vote Conservation Fees – Chairman Colclough requested that Conservation Commission submit justification for the increase in fees and a comparative analysis from other communities. He asked that the Conservation Chairman, Agent and Building Commission attend that next meeting to discuss the fees.
Open May Annual & Special Town Meeting Warrants
MOTION by Amico, second by Egan to open the May Annual and Special Town meeting warrants. Voted 5 - 0
Vote Designee to the MMA Annual Meeting – Chairman Colclough announced that he
would not be attending the Annual MMA meeting. -Mr. Amico offered to be the Town’s designee.
MOTION by Egan, second by Soper to appoint Stephen Amico as the Town’s designee at the Annual MMA Meeting. Voted 5 - 0
Vote Snow Emergency ~ Ch. 44, Sec. 31D – Mr. Read read a letter dated December 30, 2010 from the Highway Surveyor requesting the Board vote to declare a snow emergency:
Dear Mr. Colclough, Chairman:
The town of Hanson Highway Department Snow Account has been expended, therefore, I am requesting the Board of Selectmen and the Finance committee declare a SNOW EMERGENCY as stated in Chapter 44, section 31D of the Massachusetts General Laws.
This SNOW EMERGENCY is needed not only for future sanding and plowing but to restock salt and sand for snow and ice removal.
Thank you in advance for your cooperation
Respectfully,
Richard A. Harris
Highway Surveyor
MOTION by Howard, second by Egan to declare a Snow Emergency pursuant to Chapter 44,
Section 31D. Voted 5 - 0
Vote to place unexpired terms of Planning Board and Cemetery Commissioners on May Ballot The Town Clerk has requested that the Board vote to include the Planning Board and Cemetery Commission positions on the May 21, 2011 general election ballot.
MOTION by Howard, second by Amico, that the Town Clerk place on the May 21, 2011 Town Election Ballot the three year term of Planning Board created by the resignation of Joan DiLillo and the two year term of Cemetery Commission created by the resignation of Sandra Harris. Voted 5 - 0
IV LICENSE RENEWALS
Specialty Auto 204 Liberty Street ~ Class II License
Auto Express 169 Franklin Street ~ Class II License
MOTION by Amico, second by Egan to approve the Class II license for Specialty Auto.
Voted 5 - 0
MOTION by Amico, second by Egan to approve the Class II license for Auto Express.
Voted 5 - 0
V ONE DAY LIQUOR LICENSES - Camp Kiwanee
Joseph Yakavonis, Hanson Sat., Jan. 8th 6:00 p.m. to 11:00 p.m. Party
MOTION by Amico, second by Egan to approve the one day liquor license as submitted. Voted 5 - 0
VI OLD/UNFINISHED BUSINESS – None heard
VII APPROVE MINUTES
December 7, 2010
December 14, 2010
MOTION by Amico second by Egan to approve the minutes of December 7, 2010. Voted 5 - 0
MOTION by Amico second by Howard to approve the minutes of December 14, 2010 as printed.
Voted 4 – 0 – 1 (Colclough)
VIII COMMITTEE REPORTS – Energy – Mr. Howard reported both December meetings were postponed. He should have a report at the next Selectmen’s meeting.
IX EXECUTIVE SESSION – Chairman Colclough announced that the Board would be going into Executive Session to discuss strategies regarding contract negotiations with non-union personnel and litigation where discussion in open session will have a detrimental effort on the litigation. The Board will reconvene in open session only to adjourn. Moved by Egan, second by Amico. Roll Call Howard Aye, Amico Aye, Colclough Aye, Egan Aye and Soper Aye.
Voted 5 – 0.
8:15 p.m. Brief Recess
9:00 p.m. Returned to open session
X ADJOURNMENT
MOTION by Howard, second by Egan to adjourn. Voted 5 - 0
Respectfully submitted,
Meredith Marini,
Executive Assistant
Approved and Voted 5 - 0
January 25, 2011
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