Finance Committee Meeting Minutes
Thursday November 1, 2018
Rutland Public Library
7:00 p.m.
Present: Karen Nahrwold, Lyndon Nichols, Carol Martens, Tom Ruchala, Iain McKinlay
Absent: Brian Stidsen, Sheryl Vernon
Others: Leah Whiteman, Leroy Clark, and Sheila Dibb – Selectmen, Robert Reed – Town Administrator, Laura Paradise – Secretary
Mr. Ruchala opened the meeting at 7:02 p.m. The meeting was recorded for Channel 191 and YouTube.
Ms. Dibb stated for the record that the Board of Selectmen has a technical quorum, but no posted meeting. The Board will not be discussing any matters.
MINUTES
Ms. Nahrwold moved to accept the meeting minutes of October 25, 2018. Mr. Nichols 2nd. Vote unanimous.
Review STM Warrant Articles
The Finance Committee reviewed the draft warrant at their last meeting. A final copy of the articles placed by the Board of Selectmen on October 29th was provided. Copies have also gone to the Town Clerk for posting.
The articles pertaining to the Public Safety Building and Planning Board were discussed first as Chief Seth Knipe, Officer Matt Fenuccio, and Norm Anderson – Planning Board Chair – were in attendance.
Article 8 – to appropriate from available funds, including Free Cash, the sum of $5,200.00 for the purchase of a Heat/AC unit for the Public Safety Building.
Chief Knipe has care and custody of the Public Safety Building. The request is on behalf of Police and Fire. Officer Fenuccio was also present to discuss the request. Due to the always changing requirements of the job, there is more focus on keeping officers healthy, and dealing and coping with stress through exercise. The request is for an HVAC unit for the basement. Rutland PD had raised funds to purchase gym equipment for use in the basement. The HVAC unit would ensure longevity for the gym installation through climate control. The unit will make the gym optimal for all who use it including not just Police, but Fire and Dispatch employees. Officer Fenuccio believes it’s important to accomplish and would like to see the Town bring this to the next phase.
Mr. McKinlay asked if there is any way to tie the new unit into the whole system. An HVAC specialist evaluated the condensers on the roof, but a new unit could not be tied into the existing system. The new unit would be a Mitsubishi mini-split. It’s the cheapest alternative to setting up a whole system. There are possible rebates down the road. The life expectancy of the existing units was discussed. The current equipment is full forced hot air heat/ac, fully ducted through the building and the addition. Mr. Nichols asked about the potential impact on utilities. Chief Knipe does not expect it to be significant as the unit would be used more in the summertime.
Mr. McKinlay moved to favorably recommend Article 8. Mr. Nichols 2nd. Vote unanimous.
Article 19 – to amend the Town’s Zoning Bylaw to prohibit all non-medical marijuana establishments in the Town of Rutland.
Mr. Anderson discussed the process of drafting several articles to give voters a comprehensive option for what to do, ranging from total prohibition to allowing virtually all 8 classes of licensed marijuana establishments (LMEs). Depending on how the vote goes, there is a 7-page marijuana bylaw that may become part of the Town bylaws. That will only happen if the Town decides to allow some sort of establishment. If Town Meeting votes to prohibit all, the drafted document will be irrelevant.
Mr. Ruchala asked for a general overview of the how and why the articles are placed in the order provided. There was discussion about providing an explanation to voters beforehand, so they will be aware of all articles and their results. The Town Planner will put together information for the website and a handout for Town meeting. Mr. Anderson still feels it’s important to give a brief verbal overview.
Mr. Anderson reviewed the five articles regarding LMEs. The provisions on different articles will either allow of prohibit certain types of establishments. Article 19 would prohibit all non-medical establishments through a zoning bylaw. There was discussion about what types of establishments are included.
Article 20 – to amend the Zoning Bylaws to allow non-medical marijuana establishments with certain types of establishments permitted in certain districts in the Town of Rutland, subject to special permit and site plan review.
This article would include retail sales and all types of non-medical establishments. Both Article 19 and 20 are zoning articles and require a 2/3 vote, which should be mentioned during the explanation at the beginning of this group of articles.
Mr. Anderson stated that if Article 19 is adopted with a 2/3 vote, the motion will have to be to take no action on article 20 as the two articles are contradictory. If Article 20 passes, Article 21 would follow.
Article 21 – to vote to accept the provisions of G.L. c.64N, § 3 to allow a 3% local tax on the sale or transfer of marijuana or marijuana products by a marijuana retailer operating within the Town of Rutland.
Article 22 – to amend the Zoning Bylaws to prohibit retail sales of non-medical marijuana and to allow all other types of non-medical marijuana establishments, with certain types of establishments permitted in certain districts in the Town of Rutland, subject to special permit and site plan review.
If Articles 19 or 20 pass, the motion for Article 22 would have to be no action. There was discussion about the order of the articles. Mr. Ruchala asked what the other non-retail LMEs include. Mr. Anderson stated it would include cultivation, independent testing, research, and transporting among others.
Mr. Reed asked if Article 20 passes whether Articles 22 and 23 would be passed over. Mr. Anderson stated they would.
Mr. Ruchala asked if there would be a taxable portion to Article 22 with retail prohibited. Mr. Anderson stated there would not other than at the State level most likely.
Article 23 – to amend the Town’s General Bylaws to prohibit all non-medical marijuana establishments in the Town of Rutland.
This article serves as a “catch-all” if none of the other bylaws pass, which could be a possibility due to the need to reach a 2/3 vote. As a General Bylaw article, Article 23 would only require a majority vote which has a better chance of passing. If none of the articles pass, the Town would be wide open to any establishments once the moratorium expires on December 31st.
Article 23 is essentially the same as Article 19 with a different vote requirement. Town Counsel expressed some reservations about listing Article 23 first of the five because of concerns that down the road a general bylaw could possibly be contested in court. Nothing of the sort has happened yet, but Legal has concerns. A general bylaw is not as strong as a zoning bylaw.
The Finance Committee discussed how to go about giving their recommendations on all five articles. The Committee makes recommendations, it’s up to the citizens to make the decisions.
Mr. Anderson discussed that the Planning Board generally gives a recommendation on zoning bylaws, but they may opt not to do so on these articles to avoid giving the impression to voters that the Planning Board favors either prohibiting or allowing. The Planning Board feels the articles have been crafted to serve a purpose and have been fully reviewed by legal counsel and are worthy of voting.
Ms. Martens asked if a rudimentary map of zones could be provided as a handout to voters.
There was discussion of whether there is a requirement for the Planning Board to give a recommendation whether by Town Bylaw or charge as written by the State.
There was discussion about the bylaws being finalized by the time the warrant is posted. Ms. Nahrwold feels they should be available as soon as possible for voters to review ahead of time as this is a controversial issue.
Ms. Nahrwold asked if the Police Chief has given an opinion. Mr. Anderson stated the Chief expressed concern with retail sales. Chief Monaco was not too concerned about needing additional staff. There would only be room for one retail establishment because of how many liquor licenses are in Town. Mr. McKinlay stated there could potentially be additional liquor licenses in the future that could change that.
Ms. Martens moved to favorably recommend Article 19. Mr. Nichols 2nd. Motion passed 3-2.
There was discussion about whether the Finance Committee must recommend on all articles as they are contradictory bylaws. Mr. Nichols stated the recommendations could be amended on the floor as long as the Finance Committee has a quorum present. Ms. Dibb recommended an if/then recommendation. If Article 19 fails, the Committee could recommend favorably on Article 20 to avoid the Town going without any regulation; if Article 19 passes, they could amend their recommendation to no action on Article 20.
Mr. Nichols moved to favorably recommend Article 20. Ms. Nahrwold 2nd. Motion passed 3-2.
Mr. McKinlay moved to favorably recommend Article 21. Ms. Martens 2nd. It was clarified that the 3% figure is state law. Vote unanimous.
Mr. McKinlay moved to favorably recommend Article 22. Ms. Martens 2nd. Vote unanimous.
Mr. Nichols moved to favorably recommend Article 23. Ms. Nahrwold 2nd. Vote unanimous.
Article 16 – to see if the Town will vote to accept as public ways the following streets and/or portions thereof, as laid out by the Board of Selectmen... (Grizzly Drive, Clealand Circle, Horizon Drive, Arrowhead Way).
Mr. Anderson stated the Planning Board finally has a report from Quinn Engineering stating all deficiencies have been satisfied and the subdivision is built within reasonable compliance of the plan. Mr. Anderson believes Gary Kellaher, DPW, is satisfied with his requests as well. They have informed the contractor of one remaining item – the cost of the final engineering reviews. The Planning Board received the invoice today. It must be paid to a zero balance, to which Blair Builders has agreed. Ms. Nahrwold expressed concerns about accepting a road that hasn’t been fully paid on. Mr. Anderson stated if the money is not received by Town Meeting the Planning Board will not recommend accepting the road.
The acceptance includes the bridge. The State will not declare the bridge acceptable until the Town owns it. Mr. Anderson has a statement from a MassDOT engineering firm that the bridge has been constructed in a safe manner and is adequate to its purpose.
Chief Knipe stated the list of concerns from the Fire Department was addressed and all items were satisfied.
Mr. McKinlay moved to favorably recommend Article 16. Mr. Nichols 2nd. Motion passed 4-1.
Article 17 – to vote to accept a portion of Glenwood Place as a public way, as laid out by the Board of the Selectmen...
Article 17 will require a 2/3 vote as it is not a subdivision.
The Fire Department has accepted, and the Board of Selectmen has laid out the ways.
Planning Board only has minimal involvement as it is not a subdivision. There was a petition from the developer to the Board of Selectmen. The builder had a misconception about the existing end of the public way.
There was discussion about what would happen if voters don’t pass Articles 16 and 17. Mr. Anderson hasn’t seen it happen before. He expects if the Town doesn’t vote to accept, the builder would walk away and not take care of the roads. The builder would likely win in court.
Ms. Dibb stated laying the road wasn’t an easy process. There was a lot of discussion back and forth. A significant amount of work was done on improving that section of the road. A resident came in to the last Board meeting with concerns about what had been going on with the road originally. From the Board’s perspective there is no reason not to accept.
Mr. McKinlay moved to favorably recommend. Mr. Ruchala 2nd. Motion defeated 2 aye – 3 nay. Unfavorable recommendation.
Article 18 – to amend the Town of Rutland General Bylaws by adding a new section titled “STORMWATER MANAGEMENT”.
The Bylaw Subcommittee had reviewed a stormwater bylaw about a year ago. It was passed back to the Planning Board and sent to the Town Administrator to go to legal review. As Mr. Anderson understands, the reply from KP Law was that what was written didn’t match the purpose. The bylaw never made the warrant. Mr. Kellaher feels the article is important for compliance with the new MS4 guidelines. This version of the bylaw was provided by Weston and Sampson Engineering. The Bylaw Subcommittee has not had a chance to carefully review it. Mr. Anderson does not know the full ramifications but believes there could be issues if it’s not adopted.
Ms. Dibb discussed the history of the previous stormwater bylaw, which should’ve been adopted when the Town adopted stormwater regulations. The Board of Selectmen placed the current bylaw article under duress of meeting deadlines.
There is no requirement for a public hearing on general bylaws. KP Law is currently reviewing this version and their recommendation should be received prior to Town Meeting.
Ms. Martens moved to favorably recommend Article 18. Mr. McKinlay 2nd. Vote unanimous.
There was discussion about the cost to bring the Town into compliance with stormwater regulations. There is some hope of federal money coming back in.
There was discussion about the Finance Committee posting a meeting to attend the Board of Selectmen meeting during which articles are placed on the warrant in the future. An item will be added to the next agenda for discussion.
Articles 1, 2, & 3 – to appropriate a sum of money from Free Cash to the Town’s OPEB, Stabilization Fund, and Capital Stabilization Fund, respectively.
The policy is to appropriate 5% of total Free Cash to each. Based on Free Cash numbers, $31,229 would be appropriated to each account.
Mr. Nichols moved to favorably recommend Article 1. Ms. Nahrwold 2nd. Vote unanimous.
Mr. Nichols moved to favorably recommend Article 2. Ms. Nahrwold 2nd. Vote unanimous.
Mr. Nichols moved to favorably recommend Article 3. Ms. Nahrwold 2nd. Vote unanimous.
Article 4A – to appropriate from available funds, including Free Cash, such sums of money as may be necessary to restore all or a portion of the amounts reduced by the May 12, 2018 Annual Town Meeting under Article 8 to amounts less than that recommended for the expenses of Municipal Departments for the fiscal year beginning July 1, 2018.
$84,000 was reduced to fully fund the school budget. Mr. Reed provided a spreadsheet of what would be restored and how much would be left in Free Cash.
Mr. Nichols moved to favorably recommend. Ms. Martens 2nd. Vote unanimous.
Article 4B – to appropriate from available funds, including Free Cash, such sums of money as may be necessary to add to the amounts approved under Article 8 of the May 12, 2018 Annual Town Meeting to defray the expenses of Municipal Departments for the fiscal year beginning July 1, 2018.
The Board chose to include the items not under discussion at Annual Town Meeting as a separate article to avoid muddying the waters. Article 4B includes items that have come up since the Annual Town Meeting – two executive searches, adjustments to the salary line items for negotiation flexibility, the sergeants’ contract, and DPW buildings to facilitate a possible Dispatch move.
The total amount for Article 4B is approximately $58,313. The Free Cash balance if all items are approved would be $133,267. $150,000 was also set aside by former Town Administrator Margaret Nartowicz into Free Cash for FY20.
There was discussion about the funds for the building accounts in anticipation of Dispatch relocating. The shuffling of municipal departments would be a Town matter only. State 911 would pay for renovations wherever Dispatch goes. The hope is that bringing on more towns to Regional Dispatch would lower the shared cost.
Mr. Reed stated the Town should be spending that money anyway to renovate Town buildings, even if departments are not going to be moving.
The Town Administrator salary was $110,000 before reduction and would ideally be brought up to $125,000.
Ms. Martens moved to favorably recommend. Mr. McKinlay 2nd. Motion passed 3-0. Two abstentions.
There was discussion about grouping all items together in Article 4B. People may agree with the additions to salary, but not to the buildings. Ms. Dibb stated there could be amendments on the floor. Ms. Nahrwold is worried about transparency.
Article 5 – to appropriate from available funds, including Free Cash, the sum of $69,000.00 to purchase and equip a Holder Tractor for the Highway Department.
Mr. Nichols moved to favorably recommend. Ms. Martens 2nd. Vote unanimous.
Article 6 – to appropriate from available funds, including Free Cash, the sum of $15,000.00 to fund legal and land court fees necessary for the foreclosure of 17 parcels currently in tax title, or such other number of parcels as may be in tax title from time to time.
Ms. Martens moved to favorably recommend. Mr. Nichols 2nd. Vote unanimous.
Article 7 – to appropriate from available funds, including Free Cash, the sum of $9,725.00 to replace fencing at the Memorial Playground.
Ms. Martens moved to favorably recommend. Mr. McKinlay 2nd. Motion passed 4-1.
Mr. Nichols expressed concerns over the previous fence being abused over the years and wondered what would prevent the same from happening. Ms. Martens believes it’s intended to be a heavier duty fence. Ms. Dibb stated the previous fence didn’t have a bottom brace. The new fence will be a higher grade of coated steel. She spoke with Dispatch and Police about having better cameras up in the Spring. The current cameras overlook the back of the Public Safety Building. A better camera would be able to scan the back area, including the field and pool.
Article 9 – to appropriate from available funds, including Free Cash, the sum of $5,000.00 to upgrade the Town’s website.
Mr. Nichols moved to favorably recommend. Ms. Martens 2nd. Vote unanimous.
Article 10 – to appropriate from available funds, including Free Cash, the sum of $879.00 for the purchase of a fax/scanner/printer for the Library.
Mr. Nichols moved to favorably recommend. Ms. Martens 2nd. Vote unanimous.
Article 11 – to appropriate from available funds, including Free Cash, the sum of $500.00 to bind and preserve Town Meeting warrants and minutes, Town Reports and Street Lists.
Mr. Nichols moved to favorably recommend. Ms. Martens 2nd. Vote unanimous.
Article 12 – to appropriate a sum of money from Water Enterprise Fund Retained Earnings for the purposes listed on the warrant.
The total cost of proposed items from Water Free Cash would be approximately $175,000. Certified Water Free Cash is $918,510.
Well investigation and water testing at the Heights property is included based on anecdotal discussion of a well on the property. Ms. Dibb stated the Town is halfway there with the water moratorium & looking for options on a secondary water source. This item would include flow test and water quality testing.
Ms. Martens moved to favorably recommend. Mr. Nichols 2nd. Motion passed.
Mr. McKinlay expressed concerns about the items not being broken out and requested a breakdown with exact numbers for the next meeting.
Article 13 – to transfer the sum of $16,436.62 from the amount appropriated under Article 15 of the May 6, 2017 Annual Town meeting and the sum of $30,017.74 from Article 7 of the May 5, 2015 Special Town Meeting for the purpose of paying bills of a prior fiscal year.
FY2018 DCR - $43,340.09 and FY2018 MWRA - $4,114.27.
The DCR 4th quarter bill was underestimated on the annual budget, but the bill was received after the Annual Town Meeting.
The money was in other articles for other items and it being transferred to close out the accounts. Article 15 was an I&I study. Mr. Kellaher recommended Article 7, with which the Town Accountant agreed. Ms. Dibb stated it was for a big repair project which was finished, though the leftover funds weren’t certified until recently.
Mr. Ruchala requested backup on the two Articles.
Mr. McKinlay moved to favorably recommend. Mr. Nichols 2nd. Vote unanimous.
Mr. Ruchala asked if it needs a 9/10 vote to pass. It does not because it moves money article to article. 9/10 vote is only needed if there is not enough money left at the end of the year.
Article 14 – to authorize the Board of Selectmen to negotiate and enter into a Tax Agreement or Agreements for payment in lieu of taxes (“PILOT”) pursuant to the provisions of G.L. c.59, §38H(b) and G.L. c.164, §1, and any other enabling authority, on such terms and conditions and for such term, up to in excess of 20 years, as may be negotiated by the Board of Selectmen, for personal and/or real property associated with solar renewable energy generation facilities to be installed and operated on the following: [Town-owned property located on Wheeler Rd; public property under the control of RDIC on Maple Ave].
Mr. Reed stated an earlier draft had been separated into two articles, but legal saw no reason they could not be combined.
Mr. Nichols moved to favorably recommend. Mr. McKinlay 2nd. Vote unanimous.
There was discussion about the terms “up to or in excess of 20 years.”
Article 15 – to authorize the Board of Selectmen to lease for recreation purposes approximately eight (8) acres of land located at 65 Glenwood Road […] for a term of 10 years with an additional 10-year term with authorization of Town Meeting.
There was discussion about the structure of the agreement. Ms. Dibb stated it would be similar to Marsh Field with the non-profit taking on the responsibility of maintaining the parcel. The non-profit (Rutland Youth Soccer) would be required to have insurance and would be liable if someone hurt themselves. Any structures put up on the property would have to be approved. DPW would have to approve that the parking lot is done properly and Building Inspections would be involved in assuring ADA compliance.
The parcel is currently part of the Glenwood School parcel. The Agricultural Commission has leased it to be hayed for a small amount. A parking lot and soccer field would be beneficial at no cost to the Town.
Rutland Youth Soccer is open to allowing the school to use the parking lot for school functions. The Town would not be responsible for plowing. It likely wouldn’t be available in the winter unless Soccer or the school plow.
Mr. Nichols moved to favorably recommend. Ms. Martens 2nd. Vote unanimous.
WRSD FY20 Budget Roundtable
There was discussion about the status of the letter drafted by Peter Lukes. Ms. Dibb stated they’re aware other communities are unhappy with leaving the percentage on the letter.
Mr. Ruchala will attend the roundtable discussion and Mr. McKinlay will try to.
There was discussion about scheduling the next Finance Committee meeting. Mr. Ruchala is out of town from November 15th through November 20th. The next meeting will be held on November 15th, with Town Meeting on Monday November 19th. There has been no update on Ms. Vernon’s resignation and in the absence of the Chair and Vice Chair, the Secretary shall lead the meetings. Ms. Nahrwold will lead at the Special Town Meeting.
A meeting will be posted for 30 minutes prior to the start of Special Town meeting. There was discussion of the Finance Committee achieving a quorum.
Mr. Nichols moved to adjourn. Mr. McKinlay 2nd. Vote unanimous.
The meeting adjourned at 9:17 p.m.
Respectfully submitted,
____________________________ Laura Paradise, Secretary
Approved on: ________________
____________________________ Tom Ruchala, Chairman
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