HomeMy WebLinkAbout2010-02-22 Board of Selectmen Minutes BOARD OF SELECTMEN MINUTES FEBRUARY 22, 2010
CALL TO ORDER: Chairman Tracy M. Watson called the meeting to order at 7:00 PM at Town Hall
Meeting Room.
PLEDGE OF ALLEGIANCE
ATTENDANCE: The following were present: Tracy M. Watson, Chairman; Daniel P. Lanen, Vice
Chairman; Rosemary Connelly Smedile, Clerk; Richard A. Nardella, Licensing Chairman;William F.
Gordon; Mark Rees, Town Manager; Ray Santilli, Assistant Town Manager.
EXECUTIVE SESSION:
William Gordon made a MOTION, seconded by Richard Nardella, to move into Executive Session to
discuss Collective Bargaining and Litigation Strategy. Roll Call vote: William Gordon yes, Richard
Nardella yes, Rosemary Smedile yes, Daniel Lanen, yes and Tracy Watson yes. Vote approved 5-0.
COMMUNICATIONS,ANNOUNCEMENTS, AND PUBLIC COMMENT:
The Town Manager added two items to the Agenda...Collective Bargaining and deleted New Business
Recognition "Just Dance"
APPROVAL OF MINUTES:
Rosemary Smedile made a MOTION, seconded by Daniel Lanen, to approve the Open Session Minutes
of February 8, 2010. Vote approved 4-0-1. Richard Nardella abstained.
Rosemary Smedile made a MOTION, seconded by William Gordon, to approve the Executive Session
Minutes of February 2, 2010 and February 8, 2010. Vote approved 3-0-2. Richard Nardella and Daniel
Lanen abstained.
FY09 Auditors Report
The Town's outside auditor Richard Sullivan was present from the firm of Powers and Sullivan to give the
Board an overview and analysis of the town's financial activities of FY09, the financial highlights as
follows:
➢ The assets of the Town of North Andover exceeded it's liabilities at the close of the most recent
fiscal year by $145.1 million (net assets).
➢ Of this amount, 4% or$5.1 million (unrestricted net assets) may be used to meet the
government's ongoing obligations to citizens and creditors.
➢ At the close of the current fiscal year, the Town's general fund reported an ending fund balance of
$1.6 million, a decrease of approximately $2 million in comparison with the prior year. Total fund
balance represents 2% of total fund expenditures.
➢ The Town's total debt (short-term and long-term combined) decreased by $4.1 million during the
current fiscal year. This was due to the net effect of$8 million from the issuance of new debt and
12.1 million in principal payments on outstanding debt.
➢ The Town implemented GASB Statement#45, which resulted in the recognition of another post
employment benefit (OPEB) liability totaling $7 million.
In the prior year the auditors recommended that policies and procedures be implemented to ensure
opportunities for strengthening internal controls and operating efficiency. Some of these have been
resolved and others have been partially resolved.
Mr. Powers commented that it was a pleasure working with the Town's financial team and thanked the
Town Accountant and Treasurer for their assistance.
Financial Advisor Report
David Eisenthal from Unibank Financial Services was present to discuss with the Board, Standard and
Poor's decision to change their outlook designation to `negative' and what steps the town could take to
prevent the possibility of the rating down-grade foreshadowed by this negative outlook.
Board of Selectmen Minutes February 22, 2010 2
The advice was to increase conservatism in budgetary practices for revenue estimation and appropriation
levels. Avoid using for ongoing expenditures and replenish when possible - $905,000 in fiscal 2010. All
Boards, management and Town Meeting must support for budgetary and reserve practices and policies
by moving toward reserves totaling 5 to 10 percent of expenditures. This will represent significant
progress.
MA Department of Revenue
The Town received a letter from the DOR recommending that the Town consider a conservative approach
with both revenues and expenditures for the FY11 budget process in an effort to avoid fiscal problems.
The Town is required to submit a balance sheet and free cash certified prior to approving the FY11 tax
rate by October 2010.
Collective Bargaining —Police Unions
The Town Manager announced that the Board of Selectmen has ratified two Union Contracts with the
New England Police Benevolent Association, Local 2 and the International Brotherhood of Police Officers,
Local 454 Police Lieutenants. Salary Schedule was 7/1/09-0%, 7/1/10-0% and 7/1/11-2.0%. Health
insurance contribution rates to increase to 25% over a three-year period by June 30, 2012. All
employees hired before July 1, 2009 participating in the educational incentive program shall continue to
receive that payment. All employees hired after July 1, 2009 shall receive an education incentive based
upon their educational attainments Associates Degree $3,000 per year and Bachelors Degree 6,000 per
year.
The Board thanked the Police Department for their dedication to the Town of North Andover and working
with the Town through difficult financial times.
Public Comment
Donald Stewart 52 Prospect Street a member of the Commission on Disabilities spoke about parking
problems located on Rte. 125 at the Choice Fitness Gym and the newly opened Cedar Crest Restaurant.
He suggested that the Board look into opening a paper street behind the gym that would provide about 40
more parking spaces for patrons of both of these businesses.
Steve Tryder 386 Chestnut Street commented that the Planning Board was not posting their meeting
agendas on the Town's website. Residents are not being notified about important issues that would be
discussed at their meetings. Mr. Tryder requested that all board agendas be posted at least one day prior
to the meeting.
The Town Manager said that beginning July 1, 2010 state law requires that all meeting agendas be
posted.
New Business Recognition
A Certificate of Appreciation was presented to Merrimack Valley Martial Arts Academy for locating their
business in North Andover.
CONSENT ITEMS:
Timothy Roberts "Reeling in a Dream" Foundation
Rosemary Smedile made a MOTION, seconded by William Gordon, to approve the request by the
Timothy Roberts Foundation to hold a fishing derby on Lake Cochichewick on Saturday, June 5, 2010
from 7:00 a.m. to 4:00 p.m. and a Wiffle Ball Tourney for Tim/Rocking for Roberts' event on Saturday,
August 7, 2010 at the Middle School Field fields. Vote approved 5-0.
LICENSING:
Rosemary Smedile made a MOTION, seconded by William Gordon to move into Licensing. Vote
approved 5-0.
Violation Public Hearing —Millennium Eatery, Inc. Beijing Restaurant
Chairman Nardella announced that the public hearing was opened.
Board of Selectmen Minutes February 22, 2010 3
Clerk Smedile read the letter of February 9, 2010 notifying the manager on record Wen Jing Huang and
manager of operations Victor Ng of the public hearing and possible violations on dates July 16, 2009,
August 13, 2009 and February 6, 2010.
The Town Clerk gave the oath to three police officers William Brush, Jason Wedge and Eric Sewade and
testimonies were given regarding above incidents.
The Commissioners had a discussion with the restaurant managers about all the incidents and what was
requested by the Licensing Commission on December 21, 2009 and their last appearance on January 25,
2010, in a letter dated Feb. 1, 2010, giving the Restaurant's owner and manager time to submit
information and bring the establishment up-to-date with required security plan and employee training.
The restaurant managers'Wen Jing Huang and Victor Ng were asked to answer the Board's questions
and to bring forth any new or added information in their defense about the incident on February 6, 2010
and their security plan and employee training TIP certifications.
Mr. Ng said that he did not serve intoxicated people on February 6, 2010 and he sent a letter on February
11, 2010 with some of the requested updated information.
The Board said that simple requests were ignored by restaurant management and the restaurant was not
in compliance with the law. The incident that happened on February 6, 2010 might have been avoided if
the management had been in compliance with the licensing laws.
Tracy Watson made a MOTION, seconded by William Gordon, to close the public hearing. Vote
approved 5-0.
The Board had a discussion whether a violation had occurred on February 6, 2010.
Tracy Watson made a MOTION, seconded by Rosemary Smedile, that the Licensing Commission found
that on February 6, 2010, an individual was served alcohol on the premises while intoxicated in violation
of M.G.L. Chapter 138, § 69—"No alcoholic beverages shall be sold or delivered on any premises
licensed under this chapter to an intoxicated person. Vote approved 5-0.
Rosemary Smedile made a MOTION, seconded by Tracy Watson, that the Licensing Commission
suspend the alcohol license 10 days in total the first for five (5) days Wednesday through Sunday
commencing on March 17, 18, 19, 20, 21, 2010; the second for five (5) days Wednesday through Sunday
commencing on March 31, April 1, 2, 3, 4, 2010. Vote approved 5-0.
Chairman Nardella requested that Lt. Paul Gallagher go out on Wednesday and insure that the restaurant
management is in compliance with the security plan and that all back up tapes and videos of parking lot
are in place and working. If this is not working, the police will order an immediate incident report and
bring them back on another incident. Chairman Nardella said use the North Andover police as a resource
they are here to help you.
Town Manager was directed to send a letter noting the events of this evening and the dates stipulated for
the violation and contact Lt. Gallagher to contact Mr. Ng and check on security plan and TIP certifications.
Mr. Ng is to give TIP certifications to Lt. Gallagher.
Chairman announced that the matter was completed and asked for a motion out of licensing.
William Gordon made a MOTION, seconded by Daniel Lanen, to move out of Licensing. Vote approved
5-0.
OLD BUSINESS:
Town Manager's Recommended FY11 General Operating Budget
The Town Manager is in the process of setting up a meeting with the Budget Communication Group that
consists of two members of each of the following boards: Board of Selectmen, School Committee and
Finance Committee, the Superintendent of Schools and the Town Manager to discuss the Fiscal Year
2011 Budget.
Board of Selectmen Minutes February 22, 2010 4
There was a discussion about the twenty seventh payrolls due to the uneven nature of the calendar. It is
recommended that salaried employees (both non-union and union employees) have their annual base
salary divided by 27 pay periods rather than 26. The result would be that employees would receive less
in their bi-weekly pay check, but would still be paid their annual salary. Hourly employees would continue
to be paid based on the actual number of hours worked.
There was a difference of opinion regarding this 27 pay period, but selectmen said they would have to
take a look at the options before making a decision.
Review/Vote of Articles to be placed on Warrant
The Town Manager requested the board vote to place Articles A—T on the warrant except for Article Q
Capital Improvement Plan Appropriation Fiscal Year 2011.
Rosemary Smedile made a MOTION, seconded by Richard Nardella, to place the following Articles on the
Warrant: Vote approved 5-0.
Article A. Reports of Special Committees;
Article B. Reports of Receipts and Expenditures;
Article C. Authorization of the Town Manager of Superintendent of Schools Regarding Contracts in
Excess of Three Years;
Article D. Authorization to Accept Grants of Easements;
Article E. Authorization to Grant Easements;
Article F. Compensation of Elected Officials;
Article G. Amend General Fund Appropriation for Fiscal Year 2010;
Article H. Amend Water Enterprise Fund Appropriation for Fiscal Year 2010;
Article I. Amend Sewer Enterprise Fund Appropriation for Fiscal Year 2010;
Article J. Amend Stevens Estate at Osgood Hill Enterprise Fund Appropriation for Fiscal Year
2010;
Article K. Prior Years Unpaid Bills;
Article L. Amend Capital Improvement Plan Appropriation from Prior Years;
Article M. General Fund Appropriation Fiscal Year 2011;
Article N. Water Enterprise Fund Appropriation Fiscal Year 2011;
Article O. Sewer Enterprise Fund Appropriation Fiscal Year 2011;
Article P. Stevens Estate at Osgood Hill Enterprise Fund Appropriation Fiscal Year 2011;
Article R. Establishment of Revolving Funds;
Article S. Report of the Community Preservation Committee and Appropriation from the
Community Preservation Fund;
Article T. Continuation of MGL Chap. 59 Sec. 5K Senior Work Program Funding to $18,000
The Town Manager also recommended placing the following non monetary articles on the warrant:
Richard Nardella made a MOTION, seconded by Rosemary Smedile, to place Articles C, D, H, I, J, K, L
on the warrant. Vote approved 5-0.
Article C. Update Second hand dealer's bylaw
Article D. Update Fortune teller bylaw
Article H. Amend Chiefs of Police and Fire Assessment Center bylaw
Article I. Fire Department Contract Award
Article J. Acceptance of Chapter 479 of the Acts of 2008
Article K. Amend Town bylaw chapter 28, Sec 5C to allow Housing Authority Trust Fund to see
property
Article L. Petition State Legislature to change the structure of the ERRB
Selectmen recommended posting the specific articles that will be discussed on the March 1, 2010
meeting on the Town's website.
Board of Selectmen Minutes February 22, 2010 5
Fire Chief Recruitment Update
Assistant Town Manager Ray Santilli said he received seven proposals from Assessment Centers in
response to the RFQ. Prices differ based on the number of candidates. It is recommended that the
contract be awarded to MMA Consulting Group, Inc. in the amount of$2,750 for one candidate.
Selectman Smedile said that fact there is only one candidate and he has already gone through the
assessment process not too long ago and is a current employee and is the only candidate she proposed
the following motion.
Rosemary Smedile made a MOTION, seconded by Daniel Lanen, to setup an interview with the
candidate, Town Manager and Board of Selectmen and at that time decide whether or not to offer him the
position. Vote approved 4-1. William Gordon opposed
Selectmen had a discussion regarding the time-line of the Assessment Process. That going through this
again is just burning money when the candidate was assessed two years ago. The by-law will be
amended for the upcoming Town Warrant with specific changes to a time-line.
NEW BUSINESS:
Essex Regional Retirement Board — Proposed Legislation
The Town Manager keeping the Board appraise of the activities of the Essex Regional Retirement Board.
The member communities are attempting to work with the Legislature to change the structure of the
Board that the Executive Director could not serve as chairman or a voting member of the Board. The
draft legislation would have a representative from a Town Manager or Chief Administrative Officer of the
member communities serve on the board of directors. The Manager asked the Board of Selectmen to
endorse this legislation to move forward with this.
The Town Manager said that Senator Tarr is very concerned about this situation. There was a caucus of
representatives that represent the North Shore and Merrimack Valley. A letter is being sent to Attorney
General Martha Coakley asking for an investigation in recent actions of the board and its chairman.
Richard Nardella made a MOTION, seconded by Rosemary Smedile, to endorse the proposed legislation
of changes for the Essex Regional Retirement Board. Vote approved 5-.0
Richard Nardella instructed the Town Manager to ensure that North Andover's portion of legal bills
forwarded by the Essex Regional Retirement Board that specifically pertain to refusing requests for public
information, defending violations of the open meeting law and defending improper actions related to the
election of Executive Director Timothy Bassett, be currently withheld pending detailed backup information
to such bills and a subsequent affirmative vote of the North Andover BOS directing the Town Accountant
to pay such previously deducted costs.
TOWN MANAGER'S REPORT:
Per the attached message from the state, the Town was successful in receiving a $103,846 grant for
installing additional solar panels at the high school. Congratulations to Curt Bellavance, Bruce Thibodeau
and members of the Sustainability Committee who submitted the grant application.
The Town Manager announced that the Town will be offering group dental insurance to its employees
(100% paid by the employees). Assistant Town Manager Ray Santilli coordinated a series of meetings
with the town's insurance advisory committee and representatives from various dental insurance
companies and selected Delta Dental as the program most advantageous to our employees.
ADJOURNMENT:
William Gordon made a MOTION, seconded by Richard Nardella, to adjourn the meeting at 10:20 p.m.
Vote approved 5-0.
Adele J. Johnson
Administrative Secretary
Rosemary Connelly Smedile, Clerk of the Board