HomeMy WebLinkAboutFCMeetingMinutes_08.19.04 Town of North Andover
Finance Committee Minutes
August 19, 2004
ATTENDANCE:
Finance Committee: Jack Watkins, Chair; Keith Mitchell, Vice Chair; Mike Batsimm;
Steve Dawe; B Fink; Mark Nichols; Paula Porten; and Paul
Stewart.
CALL TO ORDER: The Chair called the meeting to order at 6:30 p.m.
MINUTES:
Juane 17, 2004: There was a discussion about the minutes of June 17. Paula re-
wrote the minutes to incorporate some previously suggested
changes. Paul suggested some further changes regarding the
Hopkinton bill, and then Paula MOVED to accept the minutes as
amended. Mark SECONDED the motion. The vote was
unanimous.
NEW BUSINESS:
Welcome: Jack welcomed the Finance Committee to the newly renovated
Town Hall and Finance Committee Conference Room. He further
stated that he was proud of the Committee, that the FinCom had
specific stated goals the previous summer and had worked hard to
accomplish them. In the process, the Committee became a credible
entity in the town. Jack offered thanks to all on the Committee for
their efforts.
Subcommittee—
Benefits: Paula reported that she had researched the issue of paying benefits
to Town employees, but that no information was available. Paul
noted that the Selectmen had the authority to decide whether or not
employees were eligible for benefits. Jack added that the benefits
differ between different pension plans. He also suggested that the
FinCom put together a paper laying out the various alternatives and
present it to the Board of Selectmen for them to act on it.
Subcommittee—
CIP: B reported that she and Steve had one meeting to discuss the
Capital Plan, but that no other action has been taken.
Subcommittee—
Solid Waste/
Recycling: Keith reported that he met with DPW Director Bill Hmurciak
about Solid Waste. Jack sent a letter to Tina Klein, Bill Hmurciak,
and Town Manager Mark Rees regarding a personal trip Jack made
to Prince Edward Island, where he observed a much more
August 19, 2004
Page I of 1
C:4indowslTEMP lfincom minutes 09 23 2004.doe
enlightened recycling policy in action. Mark Nichols noted that
-� there is a sign in Waltham saying "Recycling saves the Town $----
" Paula asked if it is now not allowed to leave boxes with
recycling. Jack stated that he would make a formal inquiry as to
the status of the Town's recycling efforts.
Calendar: Jack stated that there would be no fall Town Meeting because the
Board of Selectmen voted not to bring a Proposition 2 1/2 Override
to the ballot. He also noted that the Police Station had become $2
million more expensive. In light of this, Jack asked if the FinCom
could just meet monthly. There appeared to be general agreement
to this point.
Paula asked if we should still have a FinCom forum. Jack believes
that we should, especially now that we have time to prepare, with
no real time crunch. He said that he would meet with Selectmen
Chair Smedile to try to get the Board's support for a Forum. The
goal of the Forum will be to eliminate budgetary misconceptions.
The Forum will be scheduled to occur in mid-October.
Police Station: At the July 26 Board of Selectmen meeting, a memo was presented
that was prepared by Finance Director Joyce Hanlon detailing
costs and Police Station Funding, showing a cost of approximately
$8.5 million.
CIP: At this point,the Committee began to have a more general
discussion about the CIP budget. Steve said that he and B met
regarding CIP, and they noted how items are sort of in and sort of
not in the CIP budget, due to numerous changes. Paula noted that
there was a disparity of the Police Station cost included in the CIP
budget ($6.5 million) and what was presented to the Selectmen
($8.5 million). Jack noted that he had met with Manager Rees and
Finance Director Hanlon to voice the FinCom's concern with the
CTP. Manager Rees disagreed with our assessment, and noted that
Joyce's research contradicts our concerns. It was then noted by
members that Director Hanlon was not in attendance, and it was
asked/suggested that she be a more regular participant. In
particular, it was noted that Joyce's predecessor was an attendee of
nearly every meeting. Keith also asked that she bring any financial
events to our attention. Jack will ask Manager Rees for some
information on financial policies, and try to find out what other
towns do.
It was also discussed whether the FinCom should assume the role
of the Capital Budget Committee. Keith gave some history of how
the old Committee worked. Paul believes that informally, the
FinCom is already filling that role.
August 19, 2004
Page 2 of 2
C:4indowslMfPlfincom minutes 09 23 2004.doc
Steve opined that the Town doesn't prepare for items that are 2-3-4
-� years down the road—so is there any worth to a five-year CIP
budget? Steve further asked Jack to bring the question to Manager
Rees and Finance Director Hanlon—what is the town doing in the
CIP for next year?
B stated that she had asked Town Accountant Lyne Savage for a
breakdown of furnishings and computer expenditures for the new
High School, and further noted that the bonding period to pay
down the obligation will outlive these fixed assets. It was B's
opinion that we should pay cash for more short-term items_
Tax Levy Error: It was noted that the Mass. Department of Revenue is not giving
the Town any leeway in repaying the overpayment of taxes back to
the residents. Because of this, we will have to repay an additional
$168,000 in FY '05.
General Finance: Paul asked if we could get financial reports every month. He noted
that at the end of the year and for the first few months of the new
year, we get nothing.
Steve stated that the town is skeptical about the constant overrides
being proposed. From there, a general discussion ensued about a
Public Safety building in the triangle at the top of the High School
by Prescott Street. In the past, this project was undermined due to
some missed communications during a transition period between
two former Town Managers.
Jack noted that creative financing would be needed in order to
solve the current problems. He further stated that Selectmen
Caggiano and Xenakis are to liaise with the Police Station Building
Committee, and that the FinCom had been asked for two
representatives. Jack nominated himself and Keith as the Chair
and Vice-Chair of the FinCom,to represent the Committee in this
endeavor. There were no objections. Steve asked the liaisons to
keep in mind the relationship between the Police Station and other
capital items, particularly the Fire Station.
NEXT MEETING: The next meeting is scheduled for Thursday, September 23`d at
6:30 p.m. in the Town Hall.
.ADJOURNMENT: There being no further business, Keith MOVED to adjourn the
meeting. Mark SECONDED the motion. The vote was
unanimous.
Michael Batsimm, Secretary
August 19, 2004
Page 3 of 3
C:4indowsl=Plfincom minutes 09 23 2004.doc