The Board of Finance held a regular meeting on Thursday, May 28, 2009 in the meeting room at Town Hall South, 3 Main Street, Newtown, CT. Chairman John Kortze called the meeting to order at 7:35 p.m.
PRESENT: John Kortze, James Gaston, Joseph Kearney, Michael Portnoy, Martin Gersten and Harry Waterbury.
ALSO PRESENT: Finance Director Robert Tait and six members of the public.
VOTER PARTICIPATION: none
COMMUNICATIONS: Mr. Kortze submitted a letter from Will Rodgers (Att. A). The letter was to Governor Rell, among others, and asks that consideration be given to State Aid and Unfunded Mandates when discussing the 2009/2010 state budget.
ACCEPTANCE OF MINTUES: Mr. Kearney corrected the minutes of 5/11/09 by saying that the Board doesn’t have enough information to know if there is a problem with Westport Resources. Upon motion made by Mr. Gersten, the minutes were unanimously accepted as amended.
Mr. Kortze reported he received a phone call from Selectman Rosenthal who was very upset with what he perceived as the the Board of Finance’s portrayal of the pension committee. Mr. Kortze stated the Board of Finance votes on the item and has a right to inquire and defended the comments and questions brought up. If there is an issue it should be discussed. Mr. Kortze was very particular to the role of the Board and Selectman Rosenthal’s fiduciary role. Mr. Kortze noted that he doesn’t believe anybody had any issue with the current arrangement but it clearly needs to be discussed and vetted.
FIRST SELECTMAN REPORT: none.
FINANCE DIRECTOR REPORT: Mr. Tait reported the Council approved the mill rate of 23.42%. A not for pay intern from the University of Rhode Island is currently looking into pension data from other towns. He is collecting data on annual client contributions, the investment assumptions, wage assumptions and contributions to payroll. He will also flow chart all the cash procedures in the departments that collect money to see what kind of improvements can be made.
UNFINISHED BUSINESS: none noted.
NEW BUSINESS:
Discussion and possible action:
1. Legislative Council Ad Hoc Maintenance Committee: Mr. Dan Amaral said the purpose of the committee is to determine if there is a duplication of services between the schools, Parks and Recreation and the Highway Department. He suggested any money left over at the end of the fiscal year be given back to the town. Ms. Jan Brookes said the committee has conducted interviews with the Board of Education, Parks & Recreation and Public Works. A tentative meeting is scheduled with Maria DeMarco and Bob Geckle. They will be looking into how information technology plays into a more cost efficient system. Ms. Pat
Llodra stated there is a lot of collaboration and cooperation between departments. There is interest in finding a system to record the real cost of work so there is a better understanding of what projects cost. There is an interest in having a purchasing agent for the town. Ms. Llodra said that Public Works Director, Fred Hurley identified information technology as the one difference that is going to impact the quality of work in terms of effectiveness and efficiency. Ms. Llodra invited someone from the Board of Finance to join the committee to ask questions that would inform them in decision making. Mr. Bob Merola said it would be important for departments to document savings from collaboration. Mr. John Torok, Jr. noted that the departments talk to each other about equipment needs because they share a lot of equipment. He believes the departments should let the public know about the cost savings measures. Supervisors and managers
spend a lot of time doing specs, bids and research; a purchasing agent could handle the bid information or work with the supervisors and relive them of the some of the burden. Ms. LeReine Frampton said that part of the perception problem is that people think we are wasting money, not realizing that some things are paid for with grants. She suggested these items be put on the town website. Mr. Gaston asked if the committee has inquired how much the Borough supplies. Ms. Llodra reported that there are standard set of questions for each group the committee meets with. The committee’s recommendations will go to the Council. Mr. Kearney noted that a purchasing agent is a necessary thing. Ms. Llodra said there are some practices that are costing the town money because there is no one agent overseeing the process. Mr. Waterbury said he believes there is a conflict to be on a committee that will be bringing recommendations to the
Board. Mr. Kearney suggested the committee periodically present to the Board. Mr. Gersten asked who makes the allocations among the various departments. We are staffing, equipping or financing several different organizations, each that has the capacity to provide the same services. Why isn’t there one maintenance department? Mr. Kortze observed that efficiencies should be analyzed but is worried about anybody playing a public relations role for what boards, commissions, town agencies and departments do. The best output of this effort would be the town as a whole, including the Board of Education. Mr. Gaston agreed to volunteer as a member of the Borough. Mr. Kortze said the committee would be put on agenda once a month. (Att. B: Maintenance Committee minutes).
2. 2010/2011 CIP Schedule: -Mr. Gersten moved to adopt the 2010/2011 CIP Schedule. A letter will be drafted to the First Selectman, the Chair of the Board of Education and the Superintendent to say the Board of Finance is trying to be accommodating. Seconded by Mr. Waterbury. All in favor.
Unfinished Business
Discussion & Possible action:
1. Pension: Mr. Kortze spoke about the questions that have been submitted in regards to the pension. Mr. Portnoy stated he had a contact he can get information from in regarding proposed legislation of municipal and government plans. Mr. Kortze suggested all questions be put on one page and given to Mr. Tait. He also wants to know what other towns ask in RFP’s. He would like to come up with a list of proposed legislation, summary of plans and other general questions.
New Business
Discussion & Possible action: (cont.)
3. Alternative retirement plan ideas: Mr. Tait explained the formulas used for the pension. The town side includes the town and the board of education and the police have a separate pension. There are two calculations and the five and ten year vesting.
ANNOUNCEMENTS: none noted.
ADJOURNMENT: Having no further business, the meeting was adjourned at 9:00 p.m.
_____________________________
Susan Marcinek, Clerk
Att A: W. Rodgers letter
Att. B: Maintenance Committee minutes
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