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 TOWN OF OLD SAYBROOK
Board of Finance |
302 Main Street Old Saybrook, Connecticut 06475-1741
MINUTES REGULAR MEETING AUGUST 5, 2008 at 7:30 P.M. PASBESHAUKE PAVILION |
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I. CALL TO ORDER Chairman, Carl Fortuna, called the AUGUST 5, 2008 regular meeting of the Board of Finance to order at 7:35 p.m.
Attendant Members Absent Members
Carl Fortuna, Chairman George Whelen
Glenis G. Caouette Robert Finch
Lee Sparaco
David LaMay
John O’Brien
ATTENDANT STAFF: Robert Fish, Treasurer, Bill Peace, Selectman
COMMENTS FROM THE PUBLIC: Jean Castagno inquired about the HEAT program. The Chairman stated he had a conversation with a representative of HEAT and directed their request to the B of S. Contributing money to this organization would be a police directive, not a B of F issue at this point.
Pat DeMay stated her opposition to additional funding for the KHCAC and felt the money could be better spent elsewhere in Town.
MINUTES: The minutes of the July 15 meeting were taken up. Mr. O’Brien noted the discussion re: examining past years’ expenditures was not included. It was agreed that the following would be added: The Chair agreed that looking at past budget expenditures would be useful in crafting future budgets. Bill Peace felt like the Town Budget was far more scrutinized than the B of E budget. The minutes were tabled so these comments could be added.
Treasurer’s Report. Mr. Fish noted the Town finished the fiscal year ending June 30, 2008 with a surplus of about $315,000.00. John O’Brien asked why the number changed from the previous report. Mr. Fish indicated that there was an error in the assignment of certain funds that resulted in about 60k more being allocated to the surplus, despite about 20k in bounced checks.
KHCAC Resolution: The Chairman asked whether an additional appropriation of 215k would finish the job. The architect and building committed indicated it would. Lee Sparaco asked about the Center Road and CRRA funds and whether those could be included in the undesignated fund balance, because if they cannot, the fund balance is in a more dire situation. Mr. Peace indicated that in speaking with Atty. Royston, there is optimism that a tenant will be found for the Max’ Place development. Mr. Peace also indicated that Mr. Pace said the CRRA monies will likely stay with the Town. Bob Fish indicated that he is comfortable with the fund balance and the adding of this 100k shows the Town’s dedication to rebuilding the fund balance as per Moody’s request.
Mr. Peace spoke generally about the Town. He felt the Town is in a good place financially. Not building a new school several years ago, a decision that was driven by Pace/Peace, probably saved the Town tens of millions of dollars. The reval in a few years could leave the Town with an extraordinarily low mill rate. He addressed the HEAT issue by saying that the Town will not be leaving anyone out in the cold this winter. The Town will be sensitive to the needs of people in need. He reminded the B of F that the Town voted 3-1 for this Theatre. The bids came in high and the contingency was probably too low. Adding 215k will bring the contingency to 9.5%. Some of the problems in the building were not identified by the structural engineer, ie, no piles and per square foot load. The electrical service
was inadequate. He urged the B of F to appropriate the monies due to the mandate from the public and to honor the volunteers.
Lee Sparaco questioned why the B of S Resolution gives the B of S authority to modify the project in scope, either diminishing or increasing. He asked who decided on the 5% contingency and was told that decision was made by the B of S. The B of F was told that the building is currently 60-65% complete and that the 215k will get the Town a C.O. The Operating Agreement with the Trustees will go to Town meeting. Torrance Downs indicated that the Board of Trustees themselves have donated about 250k.
In response to a question by John O’Brien, Bob Fish confirmed that, including costs of demolition, the total project will be a 4.7 million dollar project. All grants are still in place and have not been jeopardized.
Lee Sparaco questioned the wording of the Resolution, indicating that the Board should appropriate monies from a designated fund, not the “surplus”, which is not a Town Fund.
Motion: To move the Resolution to Recommend an Increase in an Appropriation for the Restoration and Renovation of the Old Town Hall to the KHCAC
Moved: Carl Fortuna Second: Lee Sparaco
Discussion: John O’Brien asked if there will be monies for fuel assistance. Bill Peace assured the Board that the B of S will address this issue and that those in need will get assistance. Dave LeMay asked how it is that we decide how to spend or save a surplus. Lee Sparaco indicated that perhaps we should discuss prioritizing future projects. Mr. Fortuna indicated that there never seems to be a shortage of projects to spend money on. Mr. Sparaco added that we are in a bind with the theatre and we need to complete the project. However, he cautioned the Building Committee that he is on record as saying that he will support no additional future outlays for this project, even with change orders, and that he hopes the Committee has a grip on the project now. The B of F agreed.
In Favor: Fortuna, LeMay, Sparaco, Caouette
Opposed: O’Brien
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Treasurer’s Report (continued): Mr. Fish indicated that the Town had already collected 53% of the taxes for 08-09, which he felt was excellent. Mr. O’Brien asked re “uncommitted funds.” Mr. Fish explained these funds were off budget. Mr. O’Brien indicated he was unclear about Mr. Fish’s answer.
Comments and correspondence: The Chair read correspondence re: the appt. of Ms. Caouette to the B of F, HEAT, and the B of E Administrator’s contract, which negotiations Mr. LeMay will try to attend on behalf of the B of F.
Public Comment: There was a question re: the overrun on Founders Park. Mr. Peace replied that the numbers have not yet been reconciled.
Mr. Levy thanked the B of F for going on-line and urged the B of F to look at the last 3 year’s expenditures when crafting this year’s budget.
Pat Demay asked how the sound system for the KHCAC is a town responsibility. The answer was, it is not. But the cabling in the walls is infrastructure which the Town will be paying for as part of the appropriation for the KHCAC.
Adjournment: 9:00 pm
Respectfully Submitted,
Carl Fortuna, Jr., Chair
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