Loading...
HomeMy WebLinkAbout2005-02-28 Board of Selectmen Minutes BOARD OF SELECTMEN MINUTES FEBRUARY 28, 2005 CALL TO ORDER: Rosemary Connelly Smedile called the meeting to order at 7:00 PM at Town Hall Meeting Room. ATTENDANCE: The following were present: Rosemary Smedile, Chairman; Wendy Wakeman; James Xenakis; Donald B. Stewart; Mark J.T. Caggiano; Mark Rees, Town Manager; Ray Santilli, Assistant Town Manager. EXECUTIVE SESSION: Wendy Wakeman made a MOTION, seconded by James Xenakis, to move into Executive Session to discuss Collective Bargaining. Vote approved 5-0. James Xenakis asked if the Board could add a discussion of a Personnel Matter. The Board agreed. The Board of Selectmen was individually polled and each voted to move into Executive Session. Donald Stewart yes; James Xenakis yes; Mark Caggiano yes; Wendy Wakeman yes, and Rosemary Smedile yes. Vote approved 5-0. APPROVAL OF MINUTES: Wendy Wakeman made a MOTION, seconded by James Xenakis, to approve the Minutes of January 10, 2005, Executive Minutes as written, and Open Session as written. Wendy Wakeman made a MOTION, seconded by James Xenakis, to take out of order Item VI C Review of Potential Town Meeting Articles. Vote approved 5-0. OLD BUSINESS: Review of Potential Town Meeting Articles. The following Articles were presented to the Board for a preliminary review. A. Reports of Receipts, Expenditures and Special Committees B 1. Authorization Regarding Contracts in Excess of Three Years B2. Authorization to Accept Grants of Easements B3. Authorization to Grant Easements C. Compensation of Elected Officials D. Amend General Fund Appropriation—Fiscal Year 2005 E. Amend Capital Improvement Appropriation—Fiscal Year 2005 F. Amend Water Enterprise Fund Appropriation—Fiscal Year 2005 G. Amend Sewer Enterprise Fund Appropriation—Fiscal Year 2005 H. Amend Stevens Estate Fund Appropriation—Fiscal Year 2005 I. Transfer Unexpended Special Revenue and Capital Funds J. Prior Year Unpaid Bills K. General Fund Appropriation Fiscal Year 2006 L. Capital Improvement Plan Appropriation Fiscal Year 2006 M. Water Enterprise Fund Appropriation Fiscal Year 2006 N. Sewer Enterprise Fund Appropriation Fiscal Year 2006 O. Stevens Estate at Osgood Hill Enterprise Fund Appropriation Fiscal Year 2006 P. Establishment of Revolving Funds Q. Report of the Community Preservation Committee and Appropriation From the Community Preservation Fund R. Preservation Restriction—North Parish Church Academy Road S. Amend General Bylaws of the Town of North Andover—Add Chapter 131-Standadizing the Placement and Maintenance of News racks T. Amend General Bylaws of the Town of North Andover—New Chapter 176-Water Supply Cross Control Regulations Bylaw Board of Selectmen Minutes February 28, 2005 2 U. Accept the Provisions of Massachusetts General Laws Chapter 44 Section 55C—Affordable Housing Trust V. Amend Zoning Bylaw Section 4.2—Phased Development by Adding a New Section 1—Intent and Purpose and a New Section 9—Exemptions W. Amend Section 8.8.7—Adult Use Zone—Application Information of the Zoning Bylaw X. Amend Zoning Bylaw Section 8.9 Wireless Service Facilities—Add New Section 13—Municipal Exemption Y. Roadway Acceptances— Coachman's Lane (off Great Pond Road, Concord Street(off Osgood Street) Easy Street(off Abbott Street) Highland View Avenue (Chadwick to Furber Avenue) Morningside Lane (off Winter Street) Russett Lane (off Dale Street) Z. Roadway Acquisition and Acceptance—Adams Avenue, Autran Avenue, Bunker Hill Street, Douglas Road, Glenwood Street, Martin Avenue, and Summit Street AA. Third Telecommunications Antenna at Stevens Estate at Osgood Hill BB. Amend Chapter 178 of the General Bylaws— Section 3— Wetlands Protection-Exemptions Mark Caggiano asked if the Zoning Task Force could place articles on the Warrant. Wendy Wakeman suggested submitting the Articles to Moderator Charles Salisbury for review. The Town Manager said that the Board is scheduled to vote on the final articles at their next meeting on March 14, 2005. Merrimack Condominium, 40-B. A developer, One Hundred Fourteen Trust, (Peter Hingorani, Trustee) has filed with the Zoning Board of Appeals, a 40-B application for 95 condominium home ownership units on approximately 15 acres of land on Turnpike Street, (Rte. 114). Heidi Griffin Director of Economic Development was present to answer questions from the Board and drafted a letter with the Board's comments on the 40B Application. Wendy Wakeman said that the Housing Partnership should make comments to the ZBA and review all applications. Wendy Wakeman suggested amending phrase (g) to perpetuity and maximum amount allowable. The Town Manager also suggested that some of these units should be rental properties as well as saleable units. Wendy Wakeman made a MOTION, seconded by Mark Caggiano, to authorize the Town Manager to send the letter on behalf of the Board of Selectmen. Vote approved 5-0. Stevens Estate Lease Proposal. The Board had previously reviewed various management structures to administer and maintain the Stevens Estate, one of which was to enter into a long-term lease with an organization that operates the facility and provides necessary capital improvements. Advice from bond counsel and the town's financial advisor is to establish an escrow account in the amount of approximately $1.5 million dollars to address the tax-exempt status of the original borrowing. Before moving forward with drafting the RFP for a long- term lease, the question arises as to who would provide the funding for the escrow account, the Town through a taxable refinancing bond, or the potential operator through a lump sum payment, or by agreeing to pay for the debt service associated with the refinancing bond. There are three options on how the Town handles the defeasance: The private party makes a lump-sum payment of$1.7 million for the defeasance of the debt at the closing of the leasing transaction; the Town to issue refunding bonds, but require the other party to pay the entire debt service on those refunding bonds; or the Town could require that the private party make a lump-sum payment covering the present value (PV) loss generated by the refunding, this amount would be approximately$165,000. Board of Selectmen Minutes February 28, 2005 3 The Town Manager asked the Board to consider these options. Mark Caggiano asked what if the Town enters into a Management agreement. The Town Manager said that the difference between the lease and the management structure is that a private company would bring in private equity to restore the buildings and to benefit from tax credits. A management agreement would just run the facility but the Town would still be responsible for its upkeep. Fee Review: Zoning Board of Appeals Fees and Permits. The Zoning Board of Appeals has recently completed a review of their fee structure and is making recommendations to revise them to make sure that the costs associated with providing the fee adequately covers a service. The Board has been asked to review the fees and permits and conducts a public hearing on this matter prior to making a final decision. James Xenakis said that he would not support an increase in fees for a service if it were put into the General Account Fund. The Town has to justify an increase in a fee because this is what it costs to provide the service. If the money is divvied up two-thirds to the schools and one-third to municipal, then the Town is not realizing the gain but a loss. It should be setup as a revolving fund. If the ZBA is generating that kind of money then the ZBA should be able to spend it on providing that service for the people who are using it. Xenakis objection is that if a $1,000 is accepted in fees and $600 of that is given to the school department and only$400 is going to the municipal department. Where is the justification. Wendy Wakeman said that the Town Manager should hold a public hearing for setting fees at a future time. Ellen Mclntrye Chairman of the ZBA suggested that a portion of the fees collected go towards Educational Seminars for ZBA board members. NEW BUSINESS: FY06 Operating Budget. The Town Manager Mark Rees presented his recommended FY06 General Fund Operating Budget. Rees said the process of estimating FY06 revenues was greatly improved by the work of the recently established revenue and fixed cost committee. In FY06, given that operating revenues are not projected to increase sufficiently to offset the use of reserves in FY05 and fixed costs are projected to increase by 7.5%, it will be again necessary in FY06 to use reserve funds to balance the budget and mitigate service reductions. As such, it is recommended that all of the Town's FY04 certified free cash be used to balance the FY06 budget and that $400,000 from the anticipated return of funds from NESWC upon its dissolution also be used as well. The allocation to the School Department is $30,403,729 and to municipal departments of$15,580,918. Compared to FY05, these allocations are basically level funded. The following is a list of major impacts on departmental budgets: 1. Funding to restore a full-time position in the Treasurer/Collectors office will not be available. 2. Replacement computer equipment will not be funded in the MIS department. 3. The Police Department would not have sufficient funds to provide for two person coverage 24 hours a day in the emergency dispatch center. In addition, only two out of the necessary five police cruisers would be replaced. 4. In the Public Works, funding to provide for a full time engineer position that was eliminated in prior years will not be possible as well as a third mechanic's position critical to maintaining the town's aging vehicle fleet including police cruisers. 5. Youth Services, restoring a part-time out reach worker to full time status, as was the case previously will not be possible. 6. The Steven's Library request for additional staffing and materials could not be met, however, sufficient funds necessary to qualify for state aid are recommended. In the past two years, the Library was successful in its application for a waiver in order to receive state aid, however, the state has never granted a waiver for three years in a row. In addition to losing state aid, the library would no longer be able to participate in the interlibrary loan program. Board of Selectmen Minutes February 28, 2005 4 More serious budget reductions were avoided because of reductions in the solid waste disposal costs. Due to the new disposal contract with Wheelabrator and the close out of the NESWC contract, it is anticipated that disposal costs can be reduced approximately by $400,000 over last year. The Town Manager acknowledged the Town Accountant Lyne Savage and Assistant Town Manager Ray Santilli for their work and dedication in assembling the budget document. This recommended FY06 general fund operating budget is the beginning of discussion and deliberation by Town officials and residents on the Town's budget that will culminate at the Annual Town Meeting. The Town Manager requested that the Board of Selectmen vote to approve the FY06 General Operating Budget at their next scheduled meeting on March 14, 2005. Comprehensive Waste Water Management Plan. The Board had requested additional information concerning one of the projects when reviewing the recommended capital budget for the sewer enterprise fund. William Hmurciak Public Works Director and Dennis Bedrosian of the Water Department provided additional information for funding a Comprehensive Waste Water Management Plan, including a reduction in the cost of the plan, which was $300,000 to $220,000 and alternative funding solutions such as using surplus balances in various previously authorized sewer projects, which collectively can provide the funds needed to prepare the Comprehensive Waste Water Management Plan. The Massachusetts Department of Environmental Protection has issued a guide for preparing the CWMP. Through their review and approval process, the DEP demands conformance with its guidance document. The purpose of the CWMP is to provide the Town with a practical program to meet needs and implement solutions for wastewater disposal. Hmurciak said that this plan would provide the Town with a Master Plan on where sewer lines need to be installed for future growth and when to do this. It also would provide a financing plan that would involve the stakeholders and having a policy in place that places, that burden of the cost with the people who would benefit by it. The DPW gets calls from several homeowners that have failing septic systems that are paying between $35,000 and $60,000 for a new systems. These people would be willing to pay for sewer connections. Wendy Wakeman said that she is not convinced that this is a goal she promotes. Wakeman said that the Town already knows areas in town that need sewer installations to develop growth such as Osgood Street on Rte. 125 Mark Caggiano said this $220,000 money has been drawn from already appropriated funds and the users are not going to have to pay the brunt of the bill, because funds will come back to the town charged through a betterment. Having the sewer expansion done in a sensible smart way is beneficial. This Board or the Town does not have the expertise to do a plan like this. That is why we need a professional to come up with a master plan and he supports the plan. Wendy Wakeman made a MOTION, seconded by Donald Stewart, to send the Manager's recommended FY06 Budget to the Finance Committee with the exception of deleting the $300,000 for the Comprehensive Wastewater Management Plan. Vote approved 3-2. James Xenakis and Mark Caggiano opposed. Board of Selectmen Minutes February 28, 2005 5 TOWN MANAGER'S REPORT: The Federal Emergency Agency notified the Town that disaster assistance is available as a result of the January 22-23, 2005 Blizzard. While the exact amount of aid has not yet been determined, the town would receive 75% of eligible costs associated with addressing that storm. Fire Fighters Matthew J. Lacolla and Graham B. Rowe recently graduated from recruit training at the Massachusetts Fire Academy. ADJOURNMENT: James Xenakis made a MOTION, seconded by Mark Caggiano, to adjourn the meeting at 9:45 PM. Vote approved 5-0. Adele J. Johnson Administrative Secretary Wendy D. Wakeman, Clerk of the Board