Monterey, MA - Select Board Meeting Minutes 1/25/10

Also in attendance for parts of the meeting: Laurily Epstein for the Monterey News, Anne Marie Enoch (Tax Collector), Kevin Fox of Melanson, Heath and Co., Richard Tryon, John Willey, Pat Mielke (Treasurer), Linda Thorpe (Town Clerk) and Monica Webb

1. The Board interviewed John Willey for the full time police officer position that’s open. John is full time academy trained and has experience working for the Lenox Police Department. The Board discussed with John the types of situations that a small town community like ours encounters.

a. Kevin noted that what the goal of an audit is; to make sure that the town’s financial statements are free of material misstatement.

b. He noted that we have good reserves (well above the DOR recommended amounts). We are also well under our levy limit.

i. The mechanism used to compensate the Building Inspector for additional work beyond the scope of his normal duties was not the proper approach; it should’ve been a reserve fund transfer or went to a special town meeting vote. A revolving fund can be set up for any future cases like this.

ii. Tax title interest calculated incorrectly; this instance was simply a clerical error made in the Treasurer’s Office. The result of the miscalculation resulted in an overpayment by the taxpayer and consequently a refund due of approximately $2,000. Pat noted that a number was transposed during the calculations and a reserve fund transfer will correct the problem. The audit determined that this seemed to be an isolated error and not a systemic problem.

iii. Overlay balances: The Assessor’s does not have an up to date running balance of the Town’s overlay accounts (allowance for abatements and exemptions) and as a result, the balance in the general ledger cannot be independently verified. It’s been recommended that they start maintaining a spreadsheet on their overlay. B. Gauthier confirmed that the Assessor’s Office has taken this recommendation and started an overlay log.

v. Septic loan program; balance on balance sheet is not really representative of what is owed to the town, the adjustment being made will reflect this on future ledgers.

vi. Cash transfers to stabilization fund and various other trust funds were not physically moved to the correct account at year end and they recommended this be done. Doing this will provide assurance that interest income is properly earned and credited to the appropriate fund.

vii. The audit determined that the Town Clerk’s office should set up an agency account for fish and game monies owed to the Commonwealth. Linda noted that they tried this after the last audit and it didn’t work as well due to warrant time lags as what’s currently being done.

viii. A receipts policy & procedures should be instituted and put in writing. Kevin will supply Barbara with a sample. This would affect any department that takes in cash. The auditor’s feel that the lack of formal policies and procedures increases the risk of errors or irregularities going undetected.

ix. Tax Collector’s office is not physically secure. The audit revealed a lack of security and they recommend the Town consider more options to adequately secure the office. The Tax Collector does not feel this is an issue at this time.

x. Data processing: passwords should be updated and changed regularly and backups should be stored offsite.

xi. HR: employee handbook/personnel policies haven’t been updated since 1993 and it isn’t always distributed to the employees. It should be updated to include all current state and federal laws and employees should sign receipt stating they’ve received a copy.

xii. Kevin noted that Monterey will be held to the Governmental Accounting Standards Board (GASB) Statement 45 beginning in FY10. The Statement addresses post-employment benefits including medical, dental, vision and other health related benefits provided to terminated or retired employees. This statement will require employers to obtain an actuarial valuation and to disclose certain information relating to the funding progress of the plan. P. Mielke is working on getting quotes on these services.

2. The following appointments were made to the Wilson McLaughlin House Committee for a one year term expiring January 25, 2011 at the request of the Friends of WMH: Ruth Green and Mary Makuc.

a. Agricultural Commission: he’d like to volunteer to fill one of the vacancies on the Commission. Richard thought that Steve Pullen might also be interested in filling the other vacancy. Laurily noted that Bettina Schwartz a new local farmer is also interested in joining the commission.

a. Broadband update. There is a meeting on Feb. 6^th that they’d like to have at least one Select Board member attend. S. Jenssen will be attending this meeting.

5. A motion was made to appoint Richard Tryon to a 2 year term on the Agricultural Commission effective 1/25/10. The motion was seconded and unanimously approved.

6. It was noted that the Master Garbologist has made some staffing changes at the Transfer Station. W. Burkhart stated that he visited the Transfer Station over the weekend and met the new attendant and everything was running fine.