302 Main Street Old Saybrook, Connecticut 06475-1741 BOARD OF FINANCE MINUTES REGULAR MEETING MAY 2, 2017 at 7:00 P.M. FIRST FLOOR CONFERENCE ROOM TOWN HALL |
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BOF Attendant Members Absent Members
David LaMay, Chairman Tom Stevenson
Brad Thorpe, Vice Chairman John O’Brien
Barry O’Nell
Breck Lindley
Carol Rzasa
In Attendance
Carl Fortuna, First Selectman
Bob Fish, Treasurer
Dan Moran, Facilities Director
Call to order:
Mr. LaMay called the meeting to order at 7:00 P.M.
Minutes:
A motion to approve the minutes of April 18, 2017 was made by Mr. Thorpe seconded by Mr. O’Nell and was so VOTED unanimously.
Treasurer Report:
Treasurer Fish reviewed year to date expenses and revenue. He reported that all expenses are in line with year to date expectations. He noted revenue received to date is 99% of budgeted. He also noted that Legal may go over as a result of North Main St Project negotiations with the contractor. Labor may be slightly under.
Ms. Lindley asked what part of North Main was a grant. Selectman Fortuna explained, all but the soft costs which would be about $100K, spread over 2 years. He noted that the soft costs were Legal and Engineering.
Ms. Lindley asked about Main St / College Street paving. Selectman Fortuna~explained that it is an on-going project.
Mr. LaMay thanked Mr. Fish.
Finance Director Report:
Ms. Palladino, unable to attend the meeting, sent her report to the board as follows:
Budget performance through April 30, 2017
Budget Fiscal Year 2017
The general government budget for Fiscal Year (“FY”) 2017 presently stands at $ 15,654,049, up $26,341 due to FY appropriations, from the FY17 budget of $15,627,618 approved at the May 2016 budget referendum.
Budget Appropriations
To date in FY17, the following budgetary appropriations, totaling $26,431 were made
- $16,431 to recognize the budget impact of the dispatcher’s collective bargaining agreement.
- $10,000 to fund a marketing program for the Economic Development Commission
At the Town meeting held on March 6, 2017, it was voted to approve a sum not to exceed $585 thousand (including principal and interest) to purchase street lights – along with a rebate from Eversource of not less than $81 thousand. Said funds are to be taken from and paid out of, in whole or part, either the traffic and street light budget or the capital non-recurring account. The line items affected will be determined once the final funding decision, which includes the ability to borrow up to $470 thousand, has been made.
Unassigned Surplus Fund Appropriations
During FY17 appropriations against the unassigned surplus fund total $125,000:
- An appropriation of $125,000 for the Saybrook Junction Infrastructure planning project was approved at March 6, 2017 town meeting. This is a reimbursable grant.
Municipal Reserve Fund Appropriations
During FY17 appropriations against the municipal reserve fund (“MRF”) total $332,525:
- Account software system, approved at the Town meeting in August 2016 in the amount of $170,000. Of that amount $75,000 has been transferred so far this fiscal year.
- Building repairs, approved at the Town meeting in October 2016, in the amount of $138,000.
- The Municity permitting software system, approved at the Town meeting in January 2017, in the amount of $24,525.
Budgeted Capital Outlays FY17
The balance of the MRF stands at $925,107 as of April 30, 2017, please note that not all of the expenses associated with approved appropriations have been paid.
FY17 budgeted capital outlays totaled $685,000, of which $615,000 has been transferred to various reserve accounts. The difference, $70,000, was not transferred as the projects were earmarked. To date, about $61 thousand of this amount has been spent. The balance of the various reserve funds is noted below.
Municipal Reserve Fund – 200 |
FY 2017 Transfers |
Balance 4/30/2017 |
Capital Non- Recurring Budget |
$230,000 |
$510,107 |
Fire Apparatus |
155,000 |
315,000 |
Public Works |
60,000 |
100,000 |
Catastrophic Illness - 830 |
70,000 |
142,320 |
Retirement Payout – 840 |
40,000 |
20,910 |
Revaluation - 290 |
50,000 |
77,610 |
Economic Dev market plan - 322 |
10,000 |
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Total |
$615,000 |
$1,165,947 |
Capital Expenditures FY 2017 has used 81% of the budgeted amount as noted below.
Department Amount Budgeted Amount Used
Fire Department $35,000 $0
Police Department $94,000 $93,810
IT – Town $25,000 $4,843
Public Works $315,000 $278,879
Total $469,000 $377,532
Authorized Transfers – none
Fiscal Year 17 Budget Performance
Through April 30, 2017, ten months or 83% of the budget equates to $13,045,041. Actual expenditures, which are running at 79.4%, are tracking slightly behind budget expectations. Actual expenditures through April 30, 2017 for general government equate to $12,434,519 behind the ten month, straight lined budget figures by $610,522. The budget lines that have expenditures in excess of 88% are attached. All budget overages are explained by timing differences or seasonal activities.
Fiscal Year 2016 vs. Fiscal Year 2015
The general government budget for FY16 was $15,258,527, or $385,522 less than FY17. When comparing the first ten months of FY 16 to FY17, the current fiscal year’s budget is performing slightly better at 79.4%, versus 82.2% compared to this time last year.
Discussion and possible action: Based on the recommendation of the board of selectmen, to recommend to town meeting $40,000 dollars for the painting and repair of the youth & family services building, said funds to be appropriated from the capital non-recurring fund:
Selectman Fortuna reported on Y&FS building project regarding Mr. Thorpe’s question during the previous meeting. Mr. Moran explained that it would be roughly $77K dollars to repair / remove siding and replace with primed siding and would still need to be painted. He also explained that there were many items that would also need to be repaired.
Mr. Thorpe asked whether or not vinyl siding has been considered. Mr. O’Nell questioned whether vinyl siding could be used as it is a historic building.
A motion by Mr. O’Nell to table Y&FS painting decision until more is known, was seconded by Mr. Thorpe and was so VOTED unanimously.~
Mr. LaMay thanked Mr. Fortuna.
Selectman Report:
Selectman Fortuna reported that Larry Hayden has been selling old equipment (phones, scanner, etc) and has realized about $1,100 dollars.
With regard to the North Main Project, the second low bidder is Mizzy Construction from Plainville. They met for scope review. Mr. Fortuna noted that traffic will be disrupted during the summer months. The project should take between 30 and 120 days.
With regard to Main Street Parking, which was the old Police Department site, low bidders will be in for a scope review. ~There should be a decision within a week.
Selectman Fortuna reported that Siemens International is the low bidder for the street light project. He will bring details on payback to a future meeting.
He reported on the Spyglass study / report on phone, cable, internet, and cell phones. A potential annual savings of $10- 12K dollars was found. It was discovered that taxes that were charged, should not have been. A refund will be received. Chief Spera will also contact Spyglass for a similar study.
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Selectman Fortuna explained Tax Investment Financing which can benefit districts within towns. He noted that he will send information to the board for discussion at a future meeting. Ms. Rzasa asked who decides which districts would be considered.
The Pension Board approved 401a Plan effective July 1, 2017. They are working on two more contract proposals.
Selectman Fortuna noted the Referendum - Noon-8:00PM on May 9th at the High School.
Mr. LaMay thanked Mr. Fortuna.
Public Comment:
Mr. Goduti reported that North Cove would be dredged in the Fall. ~The State created a Port Authority and the money was secured through the State and the Corp of Engineers. Chairman LaMay asked where the dredged material would be moved. Mr. Goduti explained that it would be moved to New Haven. Ms. Rzasa asked how long the project would take to which Mr. Goduti responded all winter. ~Mr Goduti further stated that he is very optimistic about and thankful for the project being done. Mr. Thorpe asked how deep will the dredge go. Mr. Goduti explained between 6 and 11 feet
Mr. LaMay thanked everyone for coming.
A motion to adjourn was made at 7:55 p.m. by Mr. Thorpe, seconded by Mr. O’Nell and was so VOTED unanimously.
This meeting in its entirety was video taped and can be viewed on Town Website YouTube.
Submitted,
Gerri Lewis, Clerk
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