Town of Newbury
Finance Committee Meeting
Tuesday Sep 20, 2011 at 7:00 pm, Newbury Fire Hall
Meeting Summary
Committee (alphabetical): Gene Case (Vice Chair), Bob Connors, Erica Jacobsen,
Marshal Jespersen, Frank Remley (Chair)
Ex-Officio: Tracy Blais, Town Administrator/Finance Director
1. July 12 Meeting Summary: the 7.12.2011 summary was unanimously
approved as is.
2. June (fy11) YTD Revenue and Expense Summaries:
• Revenues: FY 11 YTD collections ended $314,756 ahead of the
projections for the year.
• Expenditures: Due to strong departmental management, FY11
expenditures were $98,524 below budget for the year.
3. August (fy12) YTD Revenue and Expense Summaries (Town
Administrator)
• FY12 revenues: YTD revenue collections are ($198,556) below Jul-
Aug totals for FY11. However, since it is early in the fiscal year, and
major tax collections historically lag, this is not unusual but will be
watched carefully.
• FY12 Expenditures: YTD General Fund expenditures are 1.07 %
greater than the schedule for August YTD. However, many large, fixed
expenses, such as insurances and debt service are paid largely in
advance. Key operating department expenditures are trending at, or
below monthly budgets thus far.
4. Reserve Fund update: The reserve fund is at $60,000 for FY12. No
requests for transfer have been made thus far.
5. Sep 27 STM Warrant: Tracy Blais, town administrator began by disclosing
that the DOR has certified General Fund Free Cash for FY11 at $413,317.
These additional funds, resulting primarily from $314,646 in extra revenues
and an $118,000 operating surplus for FY11, will enable some additional
capital investment and improvements in the FY12 projected operating
budget. Thus, the proposed warrant articles for the Sep 27 STM will focus on
additions to both capital and general fund appropriations. In reviewing the
warrant, the Finance Committee voted unanimously to recommend the
following articles:
ARTICLE 1. To see if the Town will vote to adjust certain amounts voted under
Article 3 (the general budget) of the May 24, 2011 Annual Town Meeting, so that the
following accounts are now budgeted for fiscal year 2012 as follows:
Amount change
Assessors Wages $45,606 $250
Assessors Expense $49,469 ($250)
Town Clerk Wages $19,040 ($15,495)
Conservation Commission Agent Salary $59,821 $9,400
IT Services $15,000 $15,000
Public Building Expense $95,000 $5,000
Asst. to Building Commissioner -0- ($9,400)
Building Inspector Expense $6,000 $2,000
Street Lighting $45,000 $25,000
Board of Health Wages $58,159 $50
Veterans Services $21,000 $6,000
Cost of Bonding -0- ($16,351)
Long Term Debt Principal $1,838,062 $32,000
Short Term Debt Interest -0- ($10,363)
Long Term Debt Interest $265,470 ($182,439)
Medicare-Town Expense $41,416 $1,416
And add to said budget, the following new accounts and fiscal year 2012 budget amounts:
Professional and Technical Services $20,000
Public Buildings Repairs $20,000
Inspectors Vehicle Allowance $5,400;
Or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 2. To see if the Town will vote to rescind the vote under Article 12 of the
Annual Town Meeting held May 24, 2011 which authorized the establishment of an
“Inspectional Services Revolving Fund” and, instead, vote to reinsert in the fiscal year 2012
general budget the sum of $27,000 for the Inspectional Service Fees Account for the
purpose of compensating the Wiring, Plumbing and Gas Inspectors: or act in relation
thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 3. To see if the Town will vote to authorize the payment of the following
fiscal year 2011 bills, said sums to be taken from the respective departments’ expense
accounts:
Personnel Board
Massachusetts Municipal Association $30.00
Department of Public Works
Napa Auto Parts $21.06
Treasurer/Collector
Century Bank $93.53
Or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 4. To see if the Town will vote to transfer from Free Cash the sum of $
5,600.00 to the Town Clerk’s Town Code Books account for the purpose of updating the
Code of the Town of Newbury; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 5. To see if the Town will vote to transfer from Free Cash the sum of
$5,000.00 to pay for the costs incurred in Phase II of the Storm Water Management
Program; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 6. To see if the Town will vote to transfer from Free Cash the sum of
$22,016.00 to pay the Firearms Licensing fees owed to the Commonwealth of
Massachusetts; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 7. To see if the Town will vote to transfer from Free Cash the sum of
$25,000.00 to pay for the cost to replace the roof on the Town Hall; or act in relation
thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 8. To see if the Town will vote to transfer from Free Cash the sum of
$6,000.00 to update the actuarial valuation as of June 30, 2009; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 9. To see if the Town will vote to transfer from Free Cash the sum of
$37,000.00 to purchase a new Police Department SUV; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 10. To see if the Town will vote to transfer from Free Cash the sum of
$50,000.00 to the Town Building Improvements Account; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 11. To see if the Town will vote to transfer from Free Cash the sum of
$30,000 to the Reserve Fund; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 12. To see if the Town will vote to transfer from Free Cash the sum of
$36,142.00 for a new Department of Public Works utility body truck; or act in relation
thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 14. To see if the Town will vote to adopt the provisions of Massachusetts
General Laws, Chapter 32B, section 20, and establish an Other Post Employment Benefits
(OPEB) Liability Trust Fund; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 15. To see if the Town will vote, pursuant to Massachusetts General Laws,
Chapter 40, section 22F, to charge for each written Municipal Lien Certificate issued by the
Collector a fee of $50.00; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
ARTICLE 16. To see if the Town will vote, pursuant to Massachusetts General Laws,
Chapter 60, section 15, to charge for each written demand issued by the Collector a fee of
$30.00 to be added to and collected as part of the tax effective as of the date of this
Vote; or act in relation thereto.
FINANCE COMMITTEE RECOMMENDS
A summary of the above financial articles appears below and is referred to as
attached..
6. Restart of Capital Planning Committee (CPC): Tracy Blais will schedule a
meeting for October to begin developing a plan and capital projection. The
CPC may be asked to spend time with the town engineer on a walk-through
of key town facilities.
7. Other:
a. Town Barn progress: work is underway to address key safety issues
that prevent current use of the Town Barn. (These issues are largely
related to safety code violations and systems repair and replacements,
which will enable temporary re-occupancy. However, some longer
term structural concerns need to be addressed as well.) Bob Connors,
whose firm has contributed much of the current remaining work,
projected completion by Nov. 1. New doors, secured by Tracy Blais
through a grant are on order and to be delivered in October. While the
repairs will enable temporary re-occupancy for this winter and the near
term, they do not address longer term structure issues.
b. Savings from refinancing plan long term debt: This has been
accomplished by the Town Administrator through Bank of America and
will save tax payers approximately $185,000 in FY12. A new debt
schedule will be requested from our bond advisors, First Southwest.
c. Sharing of ConsCom agent with Newburyport: This issue has been
killed by the Teamsters Union in Newburyport.
8. Next Meeting: Tuesday October 18, 7:00 pm, Byfield Fire Hall
ATTACHMENT
9.27.2011 STM Warrant summary
FUNDING REQUESTS FROM FREE
CASH
ARTICLE 4: Town Clerk code book
update $ 5,600
ARTICLE 5: Ph II Storm Water mgmt
prog $ 5,000
ARTICLE 6:Fire arms licensing fees $ 22,016
ARTICLE 7:Town Hall roof replacement $ 25,000
ARTICLE 8:OPEB actuarial evaluation
update $ 6,000
ARTICLE 9:New Police SUV $ 37,000
ARTICLE 10:Establish Bldg
Improvement Fund $ 50,000
ARTICLE 11:Increase in Reserve Fund $ 30,000
ARTICLE 12:New DPW truck $ 36,142
Total FC requests $ 216,758
ARTICLE 1: FY12 APPROPRIATION
CHANGES CHANGE
Assessors wages $ 250
Assessors expense $ (250)
Town Clerk wages $ (15,495)
ConsCom agent salary $ 9,400
IT services $ 15,000
Pub Bldg Expense $ 5,000
Asst. Bldg Commissioner
$
(9,400)
Bldg Insp expense $ 2,000
Street Lighting $ 25,000
BOH wages $ 50
Veterans Services $ 6,000
Cost of bonding $ (16,351)
Long Term Debt Principal $ 32,000
Short term Debt Interest $ (10,363)
Long Term Debt Interest* $ (182,439)
Medicare Town Expense $ 1,416
Professional/technical Services $ 20,000
Public Building Repairs $ 20,000
Inspectors Vehicle Allowance $ 5,400
Net change $ (92,782)
Net change without changes to
excluded debt $ 89,657
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