LC Maintenance and Schools Facilities Committee
Interview with Bob Geckle, Chairman of the Fairfiled Hills Authority, and Maria DeMarco, president of DeMarco Management Corporation:
June 15, 2009 at 9 AM
LC Members present: Dan Amaral, Jan Brookes, Pat Llodra
Board of Finance: Jim Gaston
Guests: LeReine Frampton, Robert Merola
One member of the press
The ordinance that established the Fairfield Hills Authority was adopted by the Newtown Planning and Zoning Commission on March 17, 2005. The ordinance established an eight member authority appointed by the First Selectman whose job is to manage, in accordance with the master plan, the FFHs property that is not designated for use by the Town of Newtown. The authority is responsible for maintenance of the property, including mothballing and demolition of buildings as needed, construction of shared parking areas and infrastructure improvements, and general security. The authority is also responsible for marketing buildings purposed for private or joint public/private use.
PowerPoint Presentation on the Fairfield Hills Website
When the town of Newtown took ownership of the Fairfield Hills campus, DeMarco Management Corporation (DMC) was already managing the property; the BOS continued that arrangement. The Fairfield Hills campus is a privately managed publicly owned property.
The FFHs Authority reports to the Board of Selectmen.
Maria DeMarco explained that in 2003 the state of CT brought in DMC to replace Tunxis Management. At that point the state still owned the FFHs property, but the Town of Newtown planned to take ownership. For that reason the state didn’t spend much money maintaining the campus even though there were multiple serious maintenance problems. At the time, the town had some offices, such as the Board of Education (BOE), at the campus. The transition from state to town ownership took about two years. During this period, DMC worked with both the state and town. When the town took ownership, then First Selectman, Herb Rosenthal, asked DMC to stay on. DMC manages 75 other properties, including some that are state owned.
The DMC advises the FFHs Authority whose members have the final say. DMC acts as the gatekeeper for the property. If community groups want to schedule events at FFHs, they must contact DMC. For example, volunteer fire companies frequently schedule training at FFHs. The Relay for Life and Rooster Relay recently were held there.
The DMC fee for administering the day to day operation of FFHs is $2,000 a month plus the cost of DMC operating expenses including office staff, office expenses, insurance, etc. The total is about $50,000 a year, or approximately ten per cent of the operating budget. DMC’s fee has been the same since the company began managing FFHs, and no inflation escalators have occurred. In fact, the FFHs Authority asked Ms. DeMarco to take a five per cent cut next year in keeping with its five per cent budget reduction. Ms. DeMarco doesn’t add on a management fee for any direct bills. DMC charges others $150 an hour, but has kept its management fee for FFHs at $35 an hour. DMC pays the companies it hires. There are no taxes on DMC services.
The FFH’s Authority has one part-time secretary who is shared with the Economic Development Commission, and is paid by the town.
The total operating budget for FFHs for 2008-2009 was $515,000. The budget for 2009-2010 will be $490,700. Of that amount, $65,000 is for consulting and legal fees. The balance, $450,000, is to maintain the property. The majority of this amount, 70 per cent, is for maintenance of the grounds.
DMC contracts with Prestige Landscaping to mow the grass. DMC and Park and Rec combine their landscaping bids to get a lower price. Security for the campus is contracted to U.S. Security. These companies contract directly with DMC, not the town. This means that if a company is fired, DMC does it. Workers are paid an hourly rate by their company. Every worker submits a timesheet and those are double-checked against pay checks.
There are three full-time security guards and one floater. Unlike police officers who drive through the campus but don’t get out of their vehicles, campus security guards walk the grounds. They talk to people about making sure their dogs are on a leash and check for building break-ins. DMC pays $17 an hour for their services. This provides a better quality of service at a lower price than the Newtown Police can offer. However, security guards call the Newtown police if an arrest has to be made. The biggest security problem at the campus is break-ins. DMC and the Authority’s long-term goal is to eliminate the need for a security staff by bringing life to the campus.
DMC hired two part-time maintenance workers who are paid an hourly wage. In addition to other projects, these men helped build the Emergency Operations Center (EOC).
Maria DeMarco and Mr. Halstead, Newtown’s fire Marshall, agreed on a building to house the EOC, completed an overlay to make sure the center fit with the rest of the overall plan, and then got Authority and BOS approval for it. They visited EOC buildings in other towns. When it opens is August, the EOC will be the headquarters of all town emergency operations: it will be tied to the state management emergency operations. Housed in the old FFHs chiller building, the EOC has a meeting room, a radio room which will provide communications backup in the event of an emergency, an operations center, a video conferencing room, a room that houses the IT backup system for every computer in Newtown, and a garage that will house a fire truck and a trailer equipped with 150 cots, blankets and pillows, and 2700
prepackaged meals. Bill Halstead obtained the grants used to fund the EOC total cost of $343,000. Of that amount, $195,000 was from a LOCIP grant. Another state grant of $15,000 paid for the generator. A third grant of $100,500 came from the Department of Homeland Security. The remainder was in kind funding as stipulated by the conditions of the grants. The only town funds used were for the driveway at the EOC building. Although specialty items like the boiler were contracted out, the design and construction of the EOC was done in-house. Ms. DeMarco stated that when it is completed, Newtown’s EOC will be among the most advanced in the state.
DMC submits its monthly bill to the FFH’s Authority. Monthly expenditures are part of the Authority’s minutes. Financial reporting occurs at every Authority meeting. Mr. Geckle noted that although the new municipal office building isn’t the Authority’s responsibility, the financial report includes everything that occurs on the campus.
When the new municipal office building opens, DMC will eventually be able to tie into the town-wide fiber optic system, although at present there is no specific time frame for that to occur.
DMC will take over the management of the new municipal office building when it opens in September. Ms. DeMarco noted that when more entities are on the campus, the maintenance level will be higher for buildings and grounds. Next winter the PWD will plow the roads at FFHs and Park and Rec will do the sidewalks. She stated that the town needs to view FFHs as an asset that has to be maintained at a certain level. Ms. DeMarco would like to be included in the First Selectman’s monthly meeting with all town department heads.
Materials are purchased following state and town guidelines except in the case of emergencies like the sewer back up. Everything is bid out; all bids go through Bob Tait. Ms. DeMarco added that while DMC may not always accept the lowest price, it always gets the best value.
DMC will be coordinating the move of town and school offices from Kendro, Town Hall South and the Edmund Town hall to the new municipal office building. She commented that with the exception of those at Kendro who will have to move when the lease is up, other departments won’t have to all move at the same time. She also noted that the town must provide the resources to accomplish the move efficiently.
Ms. Demarco and Mr. Geckle stated that the town departments that DMC interfaces with most frequently are the PWD, P & R, the Police Department, and the Director of Finance, Bob Tait. In addition, Mr. Geckle meets with the BOS. He also talks to the town attorney at least once a week. Both Ms. DeMarco and Mr. Geckle talk with both present and potential leasers. They explained that contact with the BOE is minimal. That could change if an educational program is housed at FFHs in the future. Mr. Geckle spends about 15 hours a week on Authority business as a volunteer, although during some weeks that number is higher.
Ms. DeMarco explained that with the move to the new municipal office building, DMC will become a facilities management company, rather than a manger of properties. This means that DMC will oversee the custodians, product warrantees, and create and implement a system of preventative maintenance.
Money for projects at FFHs comes from a variety of sources. For example, funds to construct the central green at FFHs were provided from a STEAP grant of $300,000 from the state and a $25,000 donation from the Rotary Club. Actual completion of projects is also accomplished through a mix and match of town and contracted workers. The curbing and electrical elements of the project were bid; however the flagpole and benches are a gift from Rotary.
Grant money comes with conditions. One is that the money will be used for a specific purpose. Another is that workers will be paid the prevailing wage. However, donated funds don’t carry wage restrictions.
Mr. Geckle said that the initial bond of more than 23 million dollars included rebuilding the high school field and updates and repairs to the Edmund Town Hall. Of that amount, $20, 500, 000 was for the purchase of the FFHs campus, remediation of existing buildings, and construction of the new municipal office building. He added that not much from that initial bond will be left by the end of the present calendar year. However, he announced that $250,000 from the state originally designated for the Tech Park will be transferred to the FFHs Authority. Mr. Geckle commented that he is very happy with the worked done by O & G in constructing the ball field and municipal office building at FFHs.
Ms. DeMarco stated that this summer the police will have an officer on bike patrol at FFHs who will remind people of the leash law and to clean up their dog’s poops. She would like to make the trails dog friendly by encouraging animal groups to educate their members and the public about the laws. Ms. Demarco also indicated an interest in having groups adopt sections of the trail.
Once the new municipal office building opens, Ms. DeMarco will increase her time at FFHs from two to three days. One of the maintenance workers will also increase his hours to 30 a week.
Points for Future Discussion
1. Mr. Gaston asked that the List of Capital Expenditures and the monthly financial statements be sent to the Board of Finance.
2. Mrs. Llodra would like the maintenance contract for FFHs sent out to bid with a one year renewal. She also suggested that a cost analysis of the work currently performed by DMC be compared with that of having a town employee do the work.
3. Ms. DeMarco suggested that the town develop a strong procurement organization especially to purchase energy.
4. Ms. DeMarco also suggested that the town establish a policy that collaboration among town departments is essential, and that FFHs must be included as part of the town.
5. Bob Merola wants a management style and culture that allows for work to be done in a timely and cost efficient way. However, guidelines need to be created to make sure this always happens.
6. At what point will the town need one maintenance department to prioritize and organize work?
Jan Brookes for the Committee
| 
