Minutes of the Board of Finance meeting held on Tuesday, May 16, 2011, following the 7:30 p.m. Annual Budget Meeting at the Lyme - Old Lyme Middle School Auditorium
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~Present:~~~~~~~~~ Regular Members:~Andrew Russell, Wayne Devoe, H. P. Garvin, III, Janet Sturges
Alternate Members:~ Anne Coburn
Timothy C. Griswold, Ex-Officio
Nicole Stadjuhar, Finance Director
Bonnie Reemsnyder, Selectwoman
Skip Sibley, Selectman
Absent:~~~~~~~~~~~ Regular Members:~ Christopher Kerr, David Woolley
~~~~~~~~~Alternate Members:~ David Kelsey, Judy Read
Guests: none
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Mr. Russell called the meeting to order at 8:50 p.m.~ He stated that there are two regular members that cannot be present, therefore, a motion was made by Mr. Devoe, seconded by Mr. Garvin to have Mrs. Coburn vote for Mr. Woolley in his absence. Motion carried.
Setting of the Mill Rate
Mr. Russell stated that the new mill rate will be 18.8% for FY2011-2012.
A motion was made by Mrs. Sturges, seconded by Mrs. Coburn and passed unanimously to approve the new mill rate of 18.8%. Motion carried.
Minutes of Regular Meeting of March 22, 2011
The minutes of March 22nd were reviewed. Error noted on page 2, General Government, last sentence on the $308,486 should read $308,468. Page 3, first paragraph should read, “Various adjustments recommended totaled $522,200,.” On page 4, second sentence, change the word “alleviate” to “eliminate”.
There being no further corrections noted, a motion was made by Mrs. Sturges, seconded by Mr. Devoe and passed unanimously to approve the minutes as corrected. Motion carried.
Minutes of Regular Meeting of March 29, 2011
The minutes of March 29th were reviewed.
There being no corrections noted, a motion was made by Mrs. Sturges, seconded by Mr. Devoe and passed unanimously to approve the minutes as written. Motion carried.
Minutes of Special Meeting of April 25, 2011
The minutes of April 25th special meeting were reviewed. At the bottom of page 1, last sentence, Mrs. Sturges made the motion, however, it was omitted that Mr. Woolley seconded the motion.
There being no further corrections noted, a motion was made by Mrs. Sturges, seconded by Mr. Devoe and passed unanimously to approve the minutes as modified. Motion carried.
Chart of Accounts/Financial Reports
Mrs. Stajduhar highlighted the Revenues for the month of April stating that the total property tax collections were $358,482 with all line items over budget except for the motor vehicle supplement account. The Town Clerk’s revenues were $11,278 for the month, which is 88% collected at month end. The Septage Transfer revenues were $2,840 for the month, which is 77% collected at month end. A total of $37,080 was received for the telephone access line during the month of April. In total, actual revenues collected were $381,061 less than the twelve month budget, with two months to go. During the first week of May 2011, revenues received totaled $276,840, which includes $259,594 in ECS grant funds. She explained that by June 30th, revenues are expected to be well over the budgeted
amount.
Expenditures included $1,501 paid out to fill diesel and gas tanks under Public Works Vehicle Fuel. The Old Lyme Fire Department Fire Fighter line paid $23,100 for eleven sets of turnout gear as well as $2,010 for a vehicle stabilizer charged under Extrication Equipment. The Debt Service – interest expense, paid $53,156 on long term bonds per the debt schedule. Mrs. Stajduhar stated that as of April 30th, total carryover of $267,980 was $108,804 spent, leaving $159,176 unspent.
Appointment of the Auditor
Mrs. Stajduhar stated that the current auditor is Kostin, Ruffkess & Company, LLC. at an annual fee of $25,000. The fee for FY 2012 will be $30,000, which Mrs. Stajduhar said is still a good fee.
A motion was made by Mrs. Sturges, seconded by Mr. Garvin and passed unanimously to appoint Kostin, Ruffkess & Company, LLC as the town’s auditor for FY2012. Motion carried.
Church Corner – posts and chains
Mr. Griswold stated that the purchase and installation of 30 granite posts and chain on the Church Corner Town Green will cost $9,950. This is the last phase of the Church Corner project. In addition, a final resolution of the dispute with Rowley/Hendriks over the fee balance of $17,800 has been negotiated with a final payment of $3,000, along with mutual releases. The following Sources and Uses of funds will finance the remaining items:
Sources:
Board of Finance Appropriation on 15 Jul 2010 $17,700
Carryover – P/W Engineering 3,300
FY 2011 P/W Engineering 5,000
Total 26,000
Uses:
American Industries – Retainage 7,996
Settlement – Rowley Hendriks 3,000
Purch & Installation of 30 Posts & Chain 9,950
Available for As Built Survey (not yet done) 5,054
Total $26,000
A motion was made by Mr. Garvin, seconded by Mrs. Coburn to approve $12,950 for resolving the Rowley Hendriks dispute and for purchase and installation of posts and chains for Church Corner. Mrs. Sturges abstained from the vote. Motion carried.
CT Riverway Trail
Mr. Griswold stated that in August 2008, the Economic Development Commission presented a detailed proposal for a CT Riverway Trail study at a cost of $45,900. The Town applied for an 80% grant ($36,720) which required an approval from the Town to fund 20%, or $9,180. At the August 18, 2008 meeting, the Board of Finance voted unanimously to appropriate $9,180 from the Town’s surplus to be added to the Parks and Recreation Contract Services. This amount was not posted nor carried over and, during the budget preparation for FY 2012, both income and Capital (Gen. Govt.) included $36,700 for the study. An error was made to not include the Town’s 20% match for $9,180 on the expense side. Depending on the timing of the expenditure, the Board of Finance may have to appropriate the $9,180 during
FY 2012 or add it to the FY 2013 budget.
No vote is necessary at this time but Mr. Griswold wanted to keep the Board apprised of the developments.
Sound View Signage
Mr. Griswold stated that the Sound View Committee has developed three groups of signage for Sound View consisting of four beach rules signs, three road rules signs and two gate signs at a total cost of $4,415. After discussion with Chairman Pappalardo, the recommendation is to have five beach rules signs (one for White Sand Beach), no road rules signs and two gate signs. While we do not have a revised price, Mr. Griswold recommended an appropriation of $4,000 be made. If approved, the signs could be in place by the beginning of the summer. Mr. Griswold commented that the $4,000 could be added to the Public Works Sign line.
A motion was made by Mr. Garvin, seconded by Mrs. Sturges to appropriate $4,000 to the Public Works Signs line. Motion carried.
Municipal Services Agreement (MSA) – CRRA or Covanta
Mr. Griswold stated that the Town’s MSA with CRRA, governing refuse disposal services for the Town for transportation from Essex to Hartford, will soon expire. At a recent meeting, two proposals were presented. CRRA’s proposal had five options, or tiers, providing different terms and conditions. CRRA will offer member towns these options beginning in FY13 with tipping fees as low as $61 per ton ($8 less than the current disposal fee of $69). The second proposal, Covanta, offers a ten year term for $59.95 for the first two years of the contract with no minimum or maximum tonnage requirements. After the first two years, Covanta would adjust the price based on a CPI index with a 1% floor and a 4% ceiling each year. Covanta hopes to use a bulky waste transfer station in Deep
River as a refuse transfer station, but local and state permits are required. If the Deep River site did not receive the required permits, Covanta said it would “make the Town whole” by having the Town transport the refuse to either Wallingford or Preston. Traveling such distances would add significant expense and might not allow the route schedule to be met. Mr. Griswold stated that the Board of Selectmen voted earlier today to recommend the CRRA proposal at the Tier 1 level (not to exceed $61 a ton) to the Board of Finance and to a Special Town meeting.
A motion was then made by Mr. Devoe, seconded by Mr. Garvin to recommend the CRRA Tier 1 proposal to a Special Town Meeting. Motion carried.
Old Business
Nothing to report.
New Business
Nothing to report.
Selectman’s Report
Nothing to report.
Mr. Russell stated that the next Board of Finance meeting is scheduled for Tuesday, June 21, 2011 at 7:30 p.m. in the Town Hall Meeting Hall.
A motion was then made by Mrs. Sturges, seconded by Mr. Devoe and passed unanimously to adjourn the meeting at 9:50 p.m.
Respectfully Submitted,
Michele Hayes-Finn
Secretary
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