Town of Newbury
Finance Committee Meeting
Wednesday, Jan. 18, 2012 7:15 a.m., Town Hall
Meeting Summary
Committee (alphabetical): Gene Case (Vice Chair), Bob Connors, Larry Guay, Erica Jacobsen,
Marshal Jespersen, Frank Remley (Chair), Frank Wetenkamp
Ex-Officio: Tracy Blais, Town Administrator/Finance Director
1. Dec 20 Meeting Summary: Unanimously adopted without change
2. Dec YTD Revenue and Expense Summaries:
• Revenues: Overall they continue to track as expected considering that
January RE and February auto excise tax bills have not been mailed as of
12/31. The TA commented that a renewed effort will be made to ensure
Farm vehicle plates are up to date. There is some lag in Licenses and
Permits which prompts measures to ensure that Transfer Station stickers
are properly renewed. Users need to be apprised of new enforcement
methods.
• Expenses: All department expenses, except police and Library are
tracking within budget targets, year-to-date. Library costs are 2.71%
above budget, which is normal due to early payments for material, while
wages are below budget due to staff reductions. Also, a new Library
Director has yet to be hired. Police wages and expenses are a combined
1.44% above budget as of Dec 31.
• Revolving Funds: A report on revolving fund balances as of 12/31/11
was included. There are no outstanding issues concerning collections or
expenditures to date.
3. Reserve Fund update: The Town Administrator had no new requests for reserve
fund transfer.
4. FY 13 Budget process and schedule: The Town Administrator reviewed her
proposed calendar and process for FY13 budget preparation. A budget submission to
the FinCom will be conveyed on March 6, and presented at its Mar. 20 meeting. The
deadline for Warrant articles is scheduled for Mar 30. This schedule coincides with
the completion of the Final TRSD budget, including projected FY 13 assessments
submission to towns on March 15. The TA commented that, as of now, she is not
confident that the Town won’t face another budget shortage for FY13.
There was discussion regarding the impact of current FY12 operating budget
cutbacks, and the potential need for even greater cutbacks in FY13. It was also
discussed that a greater awareness of residents was needed regarding the effect
this is having on erosion of services, which is not always immediately apparent.
5. Capital Planning Committee update: Bob Connors reviewed the progress and
plans of the CPC. An initial manual is complete, reviewed and complimented by the
Finance Committee. A priority list of capital improvements is being compiled, and a
capital facilities management role has been approved and funded from reserves. The
Personnel Board will take this under advisement for providing guidance on the role,
job requirements, and compensation alternatives. CPC next steps include
development of spending needs for FY13 and future years. There were suggestions to
revise two debt policies in Exhibit III: (i) to not specify a specific amounts for
general fund revenues to be used for capital, or even to refer to “reserves” and not the
GF; and (ii) to qualify reference to a fixed, 10% percentage of overall expenditures
for debt service as a goal and not a firm requirement.
6. TRSD Regional Agreement: potential issues to be submitted to TRSD regarding
revision of the Triton Regional Agreement were reviewed . After discussion, the
following was concluded:
• “Hosting costs”: The Finance Committee is not convinced that a request to
include sharing of Newbury’s “hosting” or public safety service costs in the
Annual TRSD budget will be successful; more specifics are needed before
this can be proposed for inclusion in the TRA;
• Resource officer costs: This is not for inclusion in the TRA, but TRSD
should be asked to formally request specific coverage, by school for Newbury
resource officer services; costs should be shared under the TRSD annual
budget; due to budget cutbacks, the continued ad hoc provision by Newbury
without consideration of cost sharing will be increasingly difficult given
current staff shortage in the Newbury Police Dept.;
• Elementary school capital costs: The TRA should include definition of each
Town’s responsibility vs. TRSD responsibility, for capital maintenance and
improvements of local elementary schools;
• Use of DESE foundation enrollment: Specify the use of DESE enrollment
for each town and TRSD overall;
• Five-year rolling average: consider possible use of a five year rolling
average for “above minimum” enrollment (but using the DESE model);
• Budget Calendar: Specify the date for annual budget submissions to towns.
7. Other:
a. Future meeting times and venue: It was agreed to conduct FinCom meetings
on the Third Tuesday of each month, at 7 pm, using the Library or other
facilities as available.
8. Next Meeting: Tuesday Feb. 21, 7:00 pm, Town Library
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