HomeMy WebLinkAboutFCMeetingMinutes_02.11.10
TOWN OF NORTH ANDOVER
FINANCE COMMITTEE
Meeting Minutes
Meeting Date: February 2010
11
Meeting Location: Meeting Called to order:
Town Hall, First Floor6:31 PM
Conference Room
I. FinCom Members in Attendance
Mark Rodgers-MR, Chairman Ramsey Bahrawy-RB
X X
Peter Besen-PB, Vice Chairman Bonnie Wilkinson-BW
X X
Ben Osgood-BO Carlos Bielicki-CB
X X
Jean Sullivan-JS Thom Dugan-TD
X X
Alan LeBovidge-AL Herb Cunha-HC, Minutes
X X
Non FinCom Members in Attendance
OTHERS: Mark Rees, MRees-Town Mgr.
Note: All FINCOM votes are subject to change upon receipt of new information.
II. Previous Minutes Approved
DATE: 4 Feb 2010 Approved, Unanimous
III. New Business
A. Snow and Ice Bill Vote (Lynn Savage)
AGENDA ITEM:
Discussion -MRees: He represented Lynn. FINCOM is to vote to authorize payment of bills. He
addressed the Municipal Budget, and spoke of carrying deficit into next year. He is
leaning to set up an internal reserve. He suggested that FINCOM authorize Town to
pay bills versus doing a weekly review. This is the only account that does not require
going to Town Meeting. It indicates a buildup to $1M that he is still working on.
-Vote Taken: PB made a motion to authorize the Town Accountant to pay bills
for snow and ice in excess of the budgeted amount for FY10.
BO: second. Discussion: MRees speaks to DPW weekly about expenditures,
School Budget does not pay for snow and ice, comes out of Municipal Budget.
Vote: Yes, unanimous
B. FY11 Budget Presentation (Mark Rees)
AGENDA ITEM:
Discussion:
-MRees: The BOS Budget Policy Statement includes revenues and expense
budgeting. The Revenue and Fixed Cost Committee have reviewed budget. State
aid was reduced in 2009, 2010 and expected to be reduced for 2011. 2010 there was
$1.2M increases in municipal revenue versus operating expenses, in 2009 it was
$2.4M. Debt Services was within 5%. It will take 5-year budget cycles to return to
the 1/3 Municipal and 2/3 School ratios. Annual Town Meeting is 11 Mar
Discussion included reference to Essex Retirement Board, Retirement, Health Care,
Vehicle Excise Tax, School Foundation Budget, Andover Facility Manager, Quinn
Bill and Municipal Positions,
MRees: Stated that Executive Director and Chairman are the same person. Assets in
the Retirement System are planned to be transferred to State System in hopes of
getting better returns. The Governor is looking for new average of equal to greater
than 5 years for pension calculation. Last year there was a surplus in the Health
Care trust fund, draw down amount Town Appropriated to the fund. ($900k to
balance the budget, $900k in the Stabilization Fund). Health Insurance trust Fund
dropped 4-5% in FY2009. Regarding co-pays; in discussion with unions, 10% to
25% has been requested; want to take savings to fund their raises. This year will put
in $2.2M, is a 31% increase. He stated that putting into Stabilization Fund is worth
considering. Vehicle excise tax proceeds-80% comes in during February. His
budget is conservative, doesnÈt assume State Aid, expense avoids lay offs, reduced
OT, etc. and minimum manning for Fire Department. The School Foundation
Budget is set by the State. We spend above the level. Foundation Budget TBA on 9
March. He is leaning to Option B, where both the School and Municipal would
receive savings.
-MR: the Andover Facility Manager will visit FINCOM 22 Feb.
-MRees: Quinn Bill is being negotiated with the Police union. He will consolidate
OT with breakouts. BOS has copy of the Budget and has 30 days to review then it
goes to FINCOM at which time Departments can be called in to FINCOM.
Action Item: TD will provide a format for a position list, with columns such as
FTE levels, salaries, etc. He will send to MR and MRees. Entries can then be
made. Due 25 Feb.
-MR: The school budget is due to FINCOM next week in the preferred format.
C. CIP Review Schedule
AGENDA ITEM:
Discussion: -MR: Bi-weekly meetings will begin in March.
Action Item:
MR: Prepare schedules for CIP Articles and voting as required and
Department visitations to FINCOM, due next meeting.
D. Contracts in Warrant Articles
AGENDA ITEM:
Discussion: -PB: Raised discussion about most towns vote on their contracts (funding only) in the
Warrant as an Article. FINCOM is to vote on cost articles. State Law indicates Town
to have vote taken on contract funding. We donÈt have visibility to collective
bargaining cost. A change to by-law should be proposed to submit such an article for
the Town meeting.
Action Item:
MR: Schedule a Warrant Article on contracts for a vote, 18 Feb.
III. Old Business/Non-Agenda Items
NON-AGENDA ITEM:
Discussion:
IV. Next Meetings
Thursday, 18 Feb 2010 Town Hall, 6:30 PM
V. Adjournment
Motion: AL Unanimous
Seconded: RB Time: 8:43 PM
C=Complete
ACTION ITEMS
ITEM # ACTION ITEM INDIVID. COMPL. STATUS
DATE
1 Send out financial assumptions model, update with MR 19 Nov C
actuals, 2009 model
2 Contact Art. and Wellesley for their financial modelsMR 19 Nov
3 Check on website for financial forecasting documents PB 19 Nov
4 Contact M. Rees to invite Andover Facility Manager to MR 19 Nov C
come to North Andover
5 Email Rick Nardella, BOS, about vacant Bradstreet MR 19 Nov C
School for planned action
6 MR/TD 7 Jan C
Revise forecast and CIP in analysis
7 MR 7 Jan C
Bring binder with budget for BW to review
8 Convert minutes and Agenda to PDF format and sent MR/HC 11 Jan HC to format-C
to Peter for posting.
9 Email a request to Matthew Killen and Sch Comm. to MR 4 Feb C
requote the IT proposal with alternative equipment and
also look for the same products at different vendors
with the intent of lowing the price of the project.
10 Provide a format for a position list, with columns such TD 25 Feb
as FTE levels, salaries, etc. He will send to MR and
MRees. Entries can then be made.
11 Prepare schedules for CIP Articles/voting A/R and MR 18 Feb C
Department visitations to FINCOM.
12 Schedule a Warrant Article on contracts for a vote. MR 18 Feb C