TOWN OF HARVARD
FINANCE COMMITTEE
Minutes
Meeting Date: February 16, 2008
Meeting Place: Town Hall
Members Present: Steve Colwell, Marie Crowley-Sobalvarro, George McKenna (Temporary
Acting Chair) Terry Mead, Bob Thurston,
Others: Tim Bragan, Town Administrator, Lorraine Leonard, Finance Director
Meeting Time: 9:00 am
Adjournment Time: 12:50pm
Discussions and Actions
l Public Commentary-none
l The minutes of the Feb.7th and Feb.12th FinCom meetings were reviewed and approved with minor modifications. Marie Crowley-Sobalvarro moved to accept the minutes. Passed ( 4-0-1 )
l Updates Recap and Calculator-- changes- local have not changed. Lorraine and Tim gave an update. Lorraine Leonard discussed health insurance quotes received during this week resulting in a $100,000 decrease from previously projected. Blended increase of plans is 6.3% but most of the Town personnel are enrolled in a plan which increased only 4.5%. Assumptions for planning will set insurance rate at 7% for the warrant book.
l Override from the Recap is now identified as $733,888 plus $102,000 for warrant articles
Warrant articles-new spending Special Education Coordinator-$65,000(55 + 10K benefits)
Library $15,500
COA $12,500
Total -New Spending $102,000
Total Override figures is $835,888
l Lorraine Leonard presented a table of Health Insurance Rate Comparisons for area communities and the percent of change between the Group Contributions of most expensive plans and least expensive plans.
l Update to the Tax Rate The increase to the average tax bill is 7.82 % if override pass at ATM. The tax rate would be 13.67/1000. This percent is down from the calculators projection of 9%. The figures on this Recap (2/16/08) ( except for the State Aid )will probably not change very much before ATM. Bob Thurston moved to accept the Recap as presented, seconded by Marie Crowley-Sobalvarro. Passed (5-0-0)
l Update on Capital Project cost estimates.
Tim gave an update of the projection and assumption used in the calculator: Increased by 2% for operating expenses,7% for insurance costs(discussion on scaling rate up in outer years from 7, 8, 9% ), State aid is flat. George McKenna suggested we use 1.5% increase in State Aid for the calculator 7.2 % for school personnel, 5.2% general government personnel.
Marie Crowley-Sobalvarro moved to accept assumptions summarized by T. Mead, Bob Thurston seconded the motion. Passed (5-0-0)
l Selectman Lucy Wallace addressed the FinCom concerning changes to Warrants and Recap. She requested a short Tri-board meeting. Chair George McKenna will allow a Tri-board discussion at this meeting.
l Capital Plan Project -cost estimates-- Lorraine Leonard has had no further information on the boiler project from Dr. Jefferson, Superintendent of Schools. Tim Bragan has not heard from Rich Nota of DPW as to the projects slated in the Capital Plan. At the ATM, the article can be written and voted on up to these amounts, but not exceeding, if the quotes do not come in on time. But if debt exclusion does not pass, this work could not be done. If the salt shed does not passed and does need immediate work , could this repair come under the Public
Buildings account? Tim Bragan stated that this account is usually contractually designated. Excluded debt goes to Town Ballot. Steve Colwell suggested to take the important, most immediate items out of the borrowing Capital plan. FinCom will table this discussion until a later date to reconsider the recommendation to fund this article as debt exclusion.
l George McKenna opened the meeting to public. Lucy Wallace suggested to hold Tri-board meeting on Saturday, Feb. 23, 2008 to clarify the structure of an override. BOS has the authority to identify the funding source of articles at a town meeting. George McKenna will schedule a Tri-board meeting for 9:00 am on Feb 23, 2008. A Public Forum for the Budget will be held at HES on Mar. 11, 2008 at 7:00 pm.
l The Capital Plan as currently presented will drive the calculator.
l Draft assignments for the Warrant book were reviewed
mily:Times New Roman;font-size:11pt;color:#000000;">Marie Crowley-Sobalvarro- State of Town
ont face="Wingdings" size="+1" color="#000000" style="font-family:Wingdings;font-size:11pt;color:#000000;">l The committee reviewed the Finance Committee Report drafted by Debbie Ricci and made modifications.
l Lorraine Leonard will post the rescheduling of the FinCom meeting of Feb 20,(Wednesday) to Feb. 19 (Tuesday) at Town Hall at 7:30 pm.
l Marie presented the draft of the State of Town to review and comment on. We will revisit this document on Tuesday at our FinCom meeting.
l Clarification: the Warrant Book is written by the FinCom, but other committees or boards could distribute information at or before the ATM stating their issues and recommendations.
l Adjourned at Bob Thurston moved to adjourn the meeting at 12:50, Marie Crowley-Sobalvarro seconded the motion. Passed (5-0-0)
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