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Home My WebLink About2011-03-30 Finance Committee PacketThe Town of Reading - FINCOM budget meeting http://www.readingrna.gov/Pages/ReadingMA_MeetingCal/SO 1689C5... ~717 r Home Residents Businesses FINC budget meeting Wednesday, March 30, 2011 at 7:00 PM Town Hall conference room Printer-Friendly Version Finance Committee >FY12 Budget: Review & Vote For Budget information: please click here >Town Meeting Warrant: Review & Vote For Warrant information: please click here Location: Town Hall conference room Goggle Search COMMON CAUSE COMMON CAUSr Town of Reading, Massachusetts 16 Lowell Street, Reading, MA 01867 Website Disclaimer Virtual Towns & Schools Website 1 of 1 9/17/20112:30 PN Finance Committee - Agenda March 30, 2011 Town Hall Conference Room 1) Finish voting the budget Line E99 Vocational Education Line U99 School Department Line V99 Town Facilities Line W99 Water Enterprise Fund Line X99 Sewer Enterprise Fund Line Y99 Storm Water Enterprise Fund 2) Complete vote on remaining warrant articles Article 5 - Amend the FYI 1 budget Article 10 - Authorize disposal of surplus Article 11 - Approve FYI 2-21 CIP Article 15 - School Committee 3-year contract Article 16 - Green Repairs debt Article 24 - Affordable Housing Trust Article 29. - Sick/Vacation Stabilization Fund 3) Meals tax update 4) Review & vote on Instructional Motion 5) Key points for FY2012 budget message 6) Approval of Minutes February 9, 2011 March 2 March 9 March 16 March 23 March 28 Next Meeting: Monday April 25 at 7pm at Reading Memorial High School Performing Arts Center (Town Meeting) if needed to review any unfinished voting or new information. NORT'HEAST ME'TROPOLIT'AN REGIONAL VOCATIONAL SCHOOL DIS'TRICT 100 HEMLOCK ROAD- WAKEFIELD, MASSACHUSETTS 01880-3597 ' (781)•246-0810 --FAX (781) 2464919 ACCREDITED BY NEW ENGLAND ASSOCIATION ` OFSCHOOLS AND COLLEGES . FOUNDEDIN1885 John X. Crowley Superintendent-Director March 28, 2011 Town Manager Peter Hecheribl6kner Town of Reading, Town Hall 16 Lowell Road Reading, MA 01867 Dear Town Manager Hechenbleiluier: cvl__J~ Northeast Metro Tech cordially ulvites•you and your vocational school committee representative to an informative briefing on our proposed FY 2012 Budget and breakfast at the Brealcheart Inn; here at Northeast-on Thursday, April 28, •2011, at 9:00 A.M. The nianageiiient'team at. Northeast has been.busy preparing our proposed FY 2012 Budget doting -the past two months, and would enjoy.hearing from you regarding your cotes fsr-osrlne~~ Crhnnl C`rn,,,,,eudg finhcoinmittee is presently- reviewing the budget documents. For your information, I am enclosing a cZia-fi of`tT e c and town assessments that we intend to include in the FY 2012 budget. Also, you are cor is y invited to the -Public Hearing on the FY 2012 Budget, scheduled for Thursday, April. 14, 2011 j 6:00.P.M., NMRVS Conference Room. The School Committee is expected to vote on the.budget'at its regularly scheduled meeting at 7:00 P.M. that evening.. We anticipate sending the,proposed budget to you for your upcoming Town Meetings and City -Council reviews. on. Friday, April 15,'-201 l . ou please R.S.V.P. your availability to meet with my management team on April 28 our earliest convenience? Thank you for your continued support of Northeast etropolitan Regional Vocational School. Best Regards, ini Crowley • uperiiiteiiderit=Director, c: Jeanne M. Feeley; District School Committee Att./ Draft-Assessments to Member Cities and Towns ss ~r o~ au~r uoa QSU~' CHELSEA MALDEN MELROSE NORTHREADING READING REVERE SAUGUS STONEHAM WAKEFIELD WINCHESTER, WINTHROP WOBURN 03/30/2011 15:04 (TOWN OF READING blelaeheur NEXT YEAR BUDGET HISTORICAL COMPARISON PROJECTION: 20121 2012 General Fund ACCOUNTS FOR: PRIOR FY3 PRIOR FY2 LAST FY1 REGIONAL SCHOOL ASSESSMENTS ACTUALS ACTUALS ACTUALS IPG 1 bgnyrpts FOR PERIOD 99 CY CY REV PROJECTION PCT ACTUALS BUDGET LEVEL 4 CHANGE 0840 REGIONAL SCHOOL ASSESSMENTS 05 EXPENSES 18405532 532130 NSVOKE 18405532 532150 MINUTEMAN TOTAL EXPENSES TOTAL REGIONAL SCHOOL ASSESS TOTAL REGIONAL SCHOOL ASSESS GRAND TOTAL -1S IgvlA 295,767.00 391,688.00 306,776.00 245,959.50 22,890..00 26,125.00 24,096.00 14,043.75 318,657.00 417,813.00 330,872.00 260,003.25 318,657.00 417,813.00 330,872.00 260,003.25 318,657.00 417,813.00 330,872.00 260,003.25 318,657.00 417,813.00 330,872.00 260,003.25 END OF REPORT - Generated-by Bob LeLacheur 327,946.00 27 5% .00 98,651.00 .0% 327,946.00 369,343.00 12.60 327,946.00 369,343.00 12.60 327,946.00 369,343.00 12.6% 327,946.00 369,343.00 12.6% Northeast Metropolitan Regional. Vocational School District Draft Assessments to Member Cities and Towns March 21, 2011 Note: All numbers subject to change NMRVS School Committee to vote on final assessments at its Public Hearing and regularly scheduled meeting on Thursday, April 14, 2011. Minimum Transportation* Equipment Educational Total Students Contributions Contributions Expenses Assessments FY 2012 Chelsea $526,669 $68,354 $0 $0 $595,023 195 15.789474% Maiden $1,326,144 $75,364 $0 $0 $1,401,508 215 17.408907% Melrose $737,263 .$21,733 $0 $0 $758,996 62 5.020243% ding $433,631 $12,619 $0 $0 36 2.914980% Reading $262,630 $8,062 $0 $0 ~ <L$27069 23 1.862348% $1,434,132 $82,024 $0 $0 $1,516,156 234 18.947368% Saugus $2,614,656 $66;951 $0 $0 $2,681,607 191 15.465587% Stoneham $726,719 $18,929 $0 $0 $745,648 54 4.372467% Wakefield $1,270,363 $34,353 $0 $0 $1,304,716 98 7.935522% Winchester $163,362 $4,557 $0 $0 $167,919 13 1.052632% Winthrop $630,592 $20,331 $0 $0 $650,923 58 4.696356% Woburn $735,043 $19,630 $0 $0 $754,673 56 4.534413% Total Assessments: $10,861,204 $432,906 $ - $ $11,294110 1235 100000000% *Preliminary, Hi, 1.26.2011 Commonwealth estimate for regional school transportation aid: $508,935. NMRVS transportation contract cost for FY 2012 is $941,841. ($941,841-508,835 = $432,906 transportation costs to be assessed per regional agreement. _ 3gvg3 3W3i43 C. / G~ s i b~ s Nr ~vyS ~N Reserve Fund levels Target Water 1,485,064 1,185,064 935,064 810,064 810,064 810,064 641,128 Sewer 792,756 792,756 792,756 792,756 717,756. 617,756 684,725 Storm Water 275,590 275,590 260,590 360,590 460,590 210,590 150k+ Enterprise Fund Budgets Assumptions for FY13-FY16: Wages 2.00% 2.00% 2.00% 2.00% 1 Expenses 8.00% 8.00% 8.00% 8.00% March 30, 2011 Approved Percent Requested Percent Estimated Percent Estimated Percent Estimated Percent Estimated Percent No. FY - 2011 Change FY - 2012 Change FY - 2013 Change FY - 2014 Change FY - 2015 Change FY - 2016 Change Storm VVater Y1 Salaries and Wages 70,076 0.00% 127,765 82.32% 130,320 2.00% 132,927 2.00% 135,585 2.00% 138,297. 2.00% Y2 Expenses 19,750 -7.34% 58,885 198.15% 63,596 8.00% 68,683 8.00% 74,178 8.00% 80,112 8.00% Y3 Debt Service 330,000 100.00% 317,000 -3.94% 634,000 100.00% Y4 Capital Outlay 288,000 44.00% 190,000 -34.03% 200,000 5.26% 150,000 -25.00% 150,000 0.00% 158,500 5.67% L )M Storm Water Fund 377,826 29.66% 376,650 -0.31% 393,916 4.56% 681,610 73.03% 676,763 -0.71% 1,010,909 49.37% Reserves (30,000) 15,000 (250,000) Net Storm Water 347,826 19.37% 376,650 8.29% 378,916 0.60% 681,610 79.88% 676,763 -0.71% 760,909 112.431/61 estimated SF house 387k/yr $40 $40 +100k res. $80 +100k res. $80 $80 Water W1 Salaries and Wages 632,349 0.00% 639,490 1.13% 652,280 2.00% 665,325 2.00% 678,632 200% 692,205 W2 Expenses 2,698,736 -1.31% 2,714,129 0.57% 2,931,259 8.00% 3,165,760 .8.00% 3,419,021 8.00% 3,692,543 W3 Debt Service 1,839,206 -2.70% 2,014,091 9.51% 1,326,051, -34.16% 1,299,286 -2.02% 1,539,901 18.52% 1,661,529 W4 Capital Outlay 263,000 -22.65% 305,000 15.97% 968,000 217.38% 895,000 -7.54% 500,000 -44.13% . 365,000 W5 Water Fund 5,433,291 .2.93% 5,672,710 4.41% 5,877,590 3.61% 6,025,371 2.51% 6,137,554 1.86% 6,411,276 Reserves (225,000) (300,000) (250,000) (125,000) Net Water Fund 5,208,291 0.70% 5,372,710 3.16% 5,627,590 4.74% 5,900,371 4.85% 6,137,554 4.02% 6,411,276 offsets for en'I fund 377,367 377,367 (386,801) (396,471) (406,383) (416,543) W99 Water Fund voted 5,055,924 5,295,343 5,490,789 5,628,900 5,731,171 5,994,734 Sewer X1 Salaries and Wages 308,147 7.64% 267,908 -13.06% 273,266 2.00%. 278,731 2.00% 284,306 2.00% 289,992 X2 Expenses 4,444,463 1.13% 4,819,780 8.44% 5,205,362 8.00% 5,621,791 8.00% 6,071,535 8.00% 6,557,257 X3 Debt Service 165,113 32.93% 162,206 -1.76% 85,800 -47,10% 76,934 -10.33% 76,934 0.00% X4 Capital Outlay 556,001 23.56% 157,000 -71.76% 130,000 -17.20% 37,000 -71.54% -100.00% X6 Sewer Fund 5,473,724 4.16% 5,406,894 -1.22% 5,694,429 5.32% 6,014,457 5.62% 6,432,775 6.96% 6,847,250 Sewer Fund voted 5,214,720 5,147,890 5,428,949 5,742,341 6,153,856 6,561,358 X99 Se W&S gross Sewer Fund 5,312,723 3.05% 5,406,894 1.77% 5,694,429 5.32% 6,014,457 5.62% 6,357,775 5.71% 6,747,250 -is for en'I fund 259,004 259,004 (265,479) (272,116) (278,919) .(285,892) 10,907,015 1 11,079,604 11,572,019 12,039,828 12,570,329 13,258,526 2.00% 8.00% 7.90% -27.00% 4.46% 2.00% 8.00% -100.00% 0.00% 6.44% WS IW&S combined net 10,521,014 1.88% 110,779,604 2.46%1 11,322,019 ! . 5.03%! 11,914,828 5.24%` 12,495,329 . 4.87%113,158,526 5.31%1 Public Works - Enterprise Funds FY12 Budget Overview The Board of Selectmen will vote on new water, sewer and storm waters rates at an upcoming hearing prior to Town Meeting. This budget assumes no use of reserves to offset the costs of running these funds. Adjustments to these budgets will be needed in the event reserves are used. The new rates will be effective with the September 2011 billing. Storm Water Enterprise Fund The Storm Water division consists of some activities conducted under the general fund budget, and some in the enterprise fund budget. As a whole, they are responsible for the construction, maintenance and repair of all catch basins and drainage systems. As established by 'Town Meeting several years ago, this Enterprise Fund conducts storm water activities that were not being done by the general fund. Federal regulations continue to bring new and expensive costs to the Town. During the past year, more than one FTE engineer has worked on these new regulations, and as was suggested a year ago, one FTE engineer has been transferred frorn the general fund into this enterprise fund. If this new work was not here, the position would have been eliminated by the general fund budget. Some drainage work previously classified as capital has been moved into the operating budget because it is considered annual general maintenance. The $40 annual charge for a single family home will not need to change to. support the FY12 budget. In FYI 1 $20,000 of reserves were used in the budget, but none are needed for FY12, leaving the reserve fund at approximately $275,000. Two large scale ($4.0 million Saugus River & $2.2 million Aberjona River) capital projects that have been in the Storm Water capital improvements plan since inception now are closer to becoming reality. If these projects commence as scheduled, the $40 charge for single family homes will climb to $80 as the first third of this work begins. This budget does not yet forecast that new federal requirements will add any additional large scale projects. The chart below summarizes the FY12 budget: Storm Water Enterprise Fund Wages $127,765(+82%) Expenses $ 58,885(+198%) Debt & Capital $190,000(-34%) Other none Gross budget -$376,650 (-0.3%) Reserves $ 0 TBA) Net budget $376,650(+5.5%) Vf~ 'i ul- 03/29/2011 14:57 (TOWN OF READING blelacheur NEXT YEAR BUDGET HISTORICAL COMPARISON PROJECTION: 20122 FY2012 Enterprise Funds ACCOUNTS FOR: PRIOR FY3 PRIOR FY2 LAST FYI STORM WATER MANAGEMENT ACTUALS ACTUALS ACTUALS Y ACTUALS Y REV BUDGET PG 1 bgnyrpts FOR PERIOD 99 PROJECTION PCT LEVEL 3 CHANGE 0428 STORM WATER MANAGEMENT 03 SALARIES 65003511 511417 LABORER 57,226.64 67,122.77 68,695.19 50,348.99 70,076.00 71,615.00 2.2% 65003511 511453 AST CV ENG .00 .00 .00 .00 .00 52,150.00 .0% 65003511 515000 OVERTIME 1,421.57 2,416.89 2,491.57 458.04 .00 2,500.00 .0% 65003511 516050 OUT OF GRA .00 143.44 699.52 1,240.80 .00 1,500.00 .0% TOTAL SALARIES 58,648.21 69,683.10 71,886.28 52,047.83 70,076.00 127,765.00 82.3% 05 EXPENSES 65005519 519700 RETIREMENT .00 2,310.00 2,412.00 847.00 847.00 885.00 4.5% 65005524 524428 DRAINMAINT .00 .00 .00 .00 .00 25,000.00 .0%. 65005527 527301 EQUIP RENT .00 .00 .00 .00 7,803.00 7,000.00 -10.3% 65005530 530000 OUT PRFSVC 4,595.00 4,964.14 .00 1,863.00 10,200.00 10,000.00 -2.0% 65005530 530110 LEGAL COUN .00 202.50 .00 .00 .00 .00 .0% 65005554 554000 CLOTHING 440.86 374.68 800.00 800.00 900.00 1,000:00 11.1% 65005574 574000 HEALTH INS .00 .00 .00 .00 .00 15,000.00 .0% TOTAL EXPENSES 5,035.86 7,851.32 3,212.00 3,510.00 19,750.00 58,885.00 198.2% 08 CAPITAL EXPENDITURES 65008585 585000 ADDTNL EQU 95,890.08 .00 126,488.36 151,818.00 173,000.00 .00 -100.0% 65008588 588412 DRNGE IMPR .00 .00 .00 .00 55,000.00 150,000.00 172.7% 65008588 588421 MAPPING DE .00 50,000.00 .00 .00 .00 40,000.00 .0% 65008588 588425 DRAINAGE 14,780.96 13,910.00 31,418.21 4,209.34 60,000.00 .00 -100.0% 65008588 588430 SAUG RIV D .00 150,000.00 .00 .00 .00 .00 .0% TOTAL CAPITAL EXPENDITURES 110,671.04 213,910.00 157,906.57 156',027.34 288,000.00 190,000.00 -34.0% TOTAL STORM WATER MANAGEMENT 174,355.11 291,444.42 233,004.85 211,585.17 377,826.00 376;650.00 -.3% TOTAL STORM WATER MANAGEMENT 174,355.11 291,444.42 233,004.85 211,585.17 377,826.00 376,650.00 -.3% GRAND TOTAL 174,355.11 291,444.42 233,004.85 211,585.17 377,826.00 376,650.00 -.3% END OF REPORT - Generated by Bob LeLacheur ~ U0 Town of Reading, MA Approved Requested Projected 31291201115:50 FY-2011 FY-2012 FY-2013 FY-2014 FY-2015 FY-2016 FY-2017 FY-2018 FY-2019 FY-2020 FY-2021 TOTAL Existing debt in green, new debt in yellow FY12-21 Storm Water CAPITAL 438,000 190,000 200,000 150,000 150,000 158,500 106,000 100,000 100,000 100,000 100,000 1,348,500 General Drainage Cash 60,000 move to 0 era Gng Budget Drainage improve (Project specific) Cash 55,000 150,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 950,000 MS4 Permit - Consult & Lab Testing Cash 0, 0 50,000 50,000 50,000 190,000 Saugus River Improvement (1) 2.Omil Debt Debt Debt Debt Debt Debt Debt Debt Debt Saugus River Improvement(II) 2.0 mil Debt Debt Debt Debt Debt Debt . Debt - Aberjona River Design cash 150,000 150,000 Aberjona River Improvement 2.2mil Debt Debt Debt Debt Debt - Sweeper Elgin Pelican (request Art. 5) Cash 150, 00 - Truck: Int. #15 Cash 173,000 - TAKEUCHI Excavator (1985) Cash 58,500 58,500 3-f I' Water Enterprise Fund This fund is comprised of Water Supply and Water Distribution, and from a budget standpoint there is a section of shared overhead costs called Water Operations. Supply is responsible for the administrative management, operation, maintenance and security of the drinking water supply in accordance with all Federal, State and local regulations. This division also provides technical support. Distribution is responsible for maintaining and operating the municipal water distribution system in accordance to industry standards and all applicable regulations. In addition, this division oversees water meter installation, repair and meter reading. The budget for Water Operations is up 7.6% for FY12, or an increase of $192,147. An interest free loan for work on a water main at Haverhill-Franklin-Wakefield was recently approved by Town Meeting. The timing of this to begin in FY12 was one year sooner than would be ideal from a financial standpoint - but the attractive interest-flee loan from the MWRA was not guaranteed to be in place one year from now. Advancing this project forward by one year alone explains $228,500 of the increase in Operations. MWRA water rates are only projected to be up about 2% for FYI 2. The gross water budget is up 4.4%. However there are other factors that affect the water rates, including the use of reserves to offset the costs, as well as the expected volume of usage. In FYI 1, $225,000 in reserves offset costs. If usage is unchanged and no reserves are used this year that would suggest an 8.9% increase in rates: Operations Supply Distribution Wages $87,741 .$551,749 (-0.6%) (+1.4%) Expenses $316,427 $1,832,585 $187,750 (+5.9%) (-0.0%) (-1.5%) Debt & Capital $2,014,091. $30,000 $275,000 (+9.5%) (+100%) (+4.6%) Other $377,367 (0%) TOTAL $2,707,885 $1,950,326 $1,014,499 +7.6% +1.6%) +1.7%) FYll FY12 Change Gross budget $5,433,291 $5,672,710 +4.4% Reserves ($225,000) $0 TBA Net budget $5,208,291 $5,672,710 +8.9% -3 -7-7l 3 b1 ~o}c~ A ~gx► ` 1 2~1) 00 lr a 3~ 3 ~9 03/29/2011 15:55 TOWN OF READING PG 3 I blelacheur ( NEXT YEAR BUDGET HISTORICAL COMPARISON bgnyrpts PROJECTION: 20122 FY2012 Enterprise Funds FOR PERIOD 99, ACCOUNTS FOR: PRIOR FY3 PRIOR FY2 LAST FY1 CY CY REV PROJECTION PCT WATER ACTUALS ACTUALS ACTUALS ACTUALS BUDGET LEVEL 3 CHANGE 0450 WATER - OPE RATIONS 05 EXPENSES 61005519 519000 MEDICARE 5,425.00 6,000.00 7,000.00 .00 7,000.00 7,500.00 7.10 61005519 519700 RETIREMENT 89,093.00 16,413.00 17,075.00 26,724.00 26,724.00 27,927.00 4.5% 61005529 529433 HAZ WST DI 15,346.18 6,419.00 7,771.40 5,563.00 10,000.00 10,000.00 .0% 61005530 530105 PRINTING .00 361.13 .00 .00 .00 .00 .0% 61005530 530110 LEGAL COUN 15,000.00 11,159.10 121.50 .00 16,000.00 10,000.00 -37.5% 61005530 530480 PRIMACEY A 5,828.03 5,451.82 5,530.87 5,551.27 5,531.00 5,500.00 61005530 530491 SVC WKFLD 5,546.76 5,567.09 7,601.06 3,957.17 7,140.00 7,000.0.0 -2.0- 61005531 531000 PRDEV TRN 4,044.25 2,992.00 2,674.00 1,770.00 3,000.00 2,500.00 -16.7% 61005574 574000 HEALTH INS 170,952.00 165,000.00 102,645.48 104,848.18 149,500.00 165,000.00 10.40 61005574 574010 PROP/CASUA .00 31,580.00 20,460.00 23,017.00 44,000.00 45,000.00 2.3%. 61005574 574500 DEDUCT/CLM 1,499.00 .00 .00 .00 .00 .00 .0% 61005574 574550 WC INSURNC 63,581.00 20,332.00 15,905.00 15,411.00 30,000.00 36,000.00 20.0% TOTAL EXPENSES 376,315.22 271,275.14 186,784.31 186,841.62 298,895.00 316,427.00 5.9% 07 DEBT SERVIC E 61007530 530705 DEBTCOSTS 63,049.00 1,412.92 .00 .00 .00 .00 .0% 61007591 591000 DEBT PRINC 756,000.00 1,225,000.00 1,375,000.00 620,000.00 1,375,000.00 1,598,500.00 16.3% 61007591 592000 LTDEBTINT 420,291.00 557,170.00 514,352.50 247,712.50 464,206.00 415,591.00 -10.5% TOTAL DEBT SERVI CE 1,239,340.00 1,783,582.92 1,889,352.50 867,712.50 1,839,206.00 2,014,091.00 9.516 TOTAL WATER - OP ERATIONS 1,615,655.22 2,054,858.06 2,076,136.81 1,054,554.12 2,138,101.00 2,330,518.00 9.0% 0451 WATER - DISTRIBUTION 03 SALARIES 6101351 1 511401 SUPERVISOR 34,253.64 36,820.52 38,826.34 27,074.31 38,831.00 39,609.00 2.0% . 61013511 511403 FOREMAN 54,578.36 58,065.32 58,677.28 43,782.96 58,372.00 59,837.00 2.5% 61013511 511405 WRKNG FRMN 72,465.32 51,989.48 89,073.54 98,921.76 104,907.00 110,842.00 5.7% 61013511 511409 EQUIP OPER 136,820.74 146,249.46 117,118.54 89,526.88 148,531.00 141,149.00 -5.0% 61013511 511413 SKLLD LA13R 45,128.02 82,244.85 78,502.24 50,512.78 83,995.00 79,672.00 -5.1% 61013511 511417 LABORER 64,423.70 32,280.48 34,104.96 24,932.32 33,032.00 33,032.00 .0% 61013511 511471 CLERK(S) 15,905.34 16,876.29 17,308.15 11,979.44 17,260.00 17,598.00 2.0% 61013511 511481 SNOW REMOV -4,197.56 -7,709.63 .00 .00 -6,500.00 -6,500.00 .0% 61013511 515000 OVERTIME 121,650.05 71,065.11 62,495.18 33,556.18 38,355.00 50,000.00 30.4% 61013511 516050 OUT OF GRA 1,055.82 1,394.34 1,894.10 3,745.12 1,882.00 3,000.00 59.4% 61013511 516060 ONCALL PRM 8,130.00 10,270.46 9,760.00 8,052.00 8,818.00 8,818.00 .0% 61013511 516080 LONGEVITY 7,100.00 7,337.50 6,625.00 6,825.00 7,500.00 7,500.00 .0% 61013512 512000 WAGES TEMP 8,281.64 8,831.12 .6,552.33 2,837.58 9,126.00 7,192.00 -21.2% TOTAL SALARIES 56S,59S.07 515,715.30 520,937.66 401,746.33 544,109.00 551,749.00 1.4% 05 EXPENSES 61015521 521301 ELECTRICIT 8,892.71 10,910.59 9,678.95 7,711.67 10,200.00 11,000.00 7.8-. 3/29/2011 15:55 blelacheur PROJECTION: 20122 ACCOUNTS FOR: WATER --J j t.~[ r- (TOWN OF READING NEXT YEAR BUDGET FY2012 Enterprise Funds PRIOR FY3 ACTUALS v =rt , 1- HISTORICAL COMPARISON PRIOR FY2. LAST FYI ACTUALS ACTUALS Y ACTUALS Y REV BUDGET PG 4 bgnyrpts FOR PERIOD 99 PROJECTION PCT LEVEL 3 CHANGE 61015521 521303 NATRL GAS 352.10 483.79 353.50 236.50 410.00 500.00 22.0%. 61015521 521392 WRLS PHONE .00 3,035.87 2,902.39 2,033.16 .00 .00 .0% 61015530 530110 LEGAL COUN 1,728.00 .00 .00 .00 .00 .00 .0% 61015530 530420 PLCE DTAIL 10,857.84 10,271.64 9,583.69 10,033.41 10,700.00 15,000.00 40.2% 61015530 530470 WTR SYSTEM 7,780.28 1,141.11 5,516.96 306.94 15,230.00 10,000.00 -34.3% 61015530 530472 MAIN PIPE/ 9,990.00 10,720.00 9,706.52 760.00 12,200.00 10,000.00 -18.0% 61015530 530474 SVC PIPE/M .00 45,325.19 60,933.11 47,651.18 49,750.00 50,000.00 .5% 61015530 530478 CROSS CONN 4,960.00 5,040.00 4,900.00 1,800.00 8,400.00 8,000.00 -4.80 61015531 531000 PRDEV TRN .00 398.00 .00 .00 .00 .00 .0% .61015536 536000 LIC SFTWR .00 7,800.00 6,236.15 5,000.00 10,000.00 10,000.00 .0% 61015540 540470 WD GEN SUP 19,055.09 21,488.07 24,736.81 21,821.87 26,775.00 27,000.00 .8% 61015540 540472 MAIN PIPE 29,088.61 28,633.78 24,406.91 14,532.75 33,180.00 33,000.00 -.5% 61015540 540474 SVC METERS 41,268.12 .00 151.00 380.00 7,625.00 7,000.00 -8.2% 61015554 554000 UNFM/CLTH 1,029.98 8,825.21 3,949.21 3,149.97 5,500.00 5,500.00 .0% 61015578 578100 LICENSES 794.00 315.00 864.00 347.00 714.00 750.00 5.0% TOTAL EXPENSES 135,796.73 154,388.25 163,919.20 115,764.45 190,684.00 187,750.00 -1.5% 08 CAPITAL EXPENDITURES 61018584 584410 BOBCATLOAD .00 .00 00 44,044.20 45,000.00 .00 -100.0% 61018584 584411 VAN #2 .00 .00 .00 37,933.61 38,000.00 .00 -100.0% 61018585 58 5000 ADDTNL EQU 116,761.69 .00 6,769.88 .00 .00 275,000.00 .0% 61018585 , 585451 METRINSTAL .00 63,225.75 206,774.00 170,435.55 180,000.00 .00 -100.0% 61018588 588450 SYSTEMS .00 .00 57,595.86 .00 .00 .00 .0% TOTAL CAPITAL EXPENDITURES 116,761.69 63,225.75 271,139.74 252,413.36 263,000.00 275,000.00 4.6% TOTAL WATER - DISTRIBUTION 818,153.49 733,329.30. 955,996.60 769,924.14 997,793.00 1,014,499.00 1.7% 0452 WATER - SUPPLY / TREATMENT 03 SALARIES 61023511 511461 61023511 511481 61023511 515000 TOTAL SALARIES 05 EXPENSES 61025521 521301 61025521 521308 61025521 521309 61025521 521390 61025524 524471 61025530 530000 61025530 530457 61025540 540000 61025540 540455 61025540 540499 61025563 563400 SUPERVISOR 78,383.52 83,798.33 84,062.88 58,618.56 84,048.00 83,741.00 -.4% SNOW R.MVL -600.64 -232.14 .00 .00 -500.00 -500.00 .0% OVERTIME 31,564.27 3,403.18 5,586.11 4,267.58 4,692.00 4,500.00 -4.1% 109,347.15 86,969.37 89,648.99 62,886.14 88,240.00 87,741.00 -.6% ELECTRICIT 22,108.08 13,910.65 24,721.78 18,512.75 20,000.00 21,000.00 FUEL OIL 20,593.29 .00 .00 2,077.62 6,000.00 3,000.00 -50.0% SWR/STM WA 604.85 439.95 127.90 161.04 470.00 500.00 6.4% TELEPHONE 2,340.79 2,098.93 2,291.25 1,060.59 3,280'.00 3,000.00 -8.5% MWRA VALVE .00 .00 .00 .00 .00 10,000.00 .0% OUT PRFSVC 72,288.81 7,360.51 12,155.56 1,358.00 10,200.00 10,000.00 -2.0% WELLS 5,017.15 .00 .00 1,377.76- .00 .00 .0% DEPT SUPP 3,424.13 1,806.96 5,242.16 875.53 7,000.00 6,000.00 -14.3% WELLS 00 8,384.92 13,486.93 3,763.00 57,962.00 20,000.00 -65.5% WTR EMERGN .00 .00 25,200.50 .00 .00 .00 .0% MWRA 1,536,924.41 1,636,165.00 1,737,501.00 1,381,502.40 1,726,878.00 1,759,085.00 1.9% 03/29/2011 15:55 blelaeheur PROJECTION: 20122 ACCOUNTS FOR: WATER (TOWN OF READING NEXT YEAR BUDGET HISTORICAL COMPARISON FY2012 Enterprise Funds PRIOR FY3 PRIOR FY2 LAST FYI ACTUALS ACTUALS ACTUALS Y ACTUALS Y REV BUDGET PG 5 bgnyrpts FOR PERIOD 99 PROJECTION PCT LEVEL 3 CHANGE 61025563 563410 RESIDUALS 55,324.00 .00 .00 .00 .00 .00 .0% TOTAL EXPENSES 1,718,625.51 1,670,166.92 1,820,727.08 1,410,688.69 1,831,790.00 1,832,585.00 .0% 08 CAPITAL EXP ENDITURES 61028583 583000 PLANT .00 .00 .00 .00 .00 30,000.00 .0% 85 585452 610285 BOOSTER TE .00 36,000.00 .00 .00 .00 .00 Oo , 61028585 585453 EMERG ENGI .00 35,000.00 .00 .00 .00 .00 Oo 61028588 588455 WELLS 75,000.00 .00 .00 .00 .00 .00 .0% TOTAL CAPITAL EX PENDITURES 75,000.00 71,000.00 .00 .00 .00 30,000.00 .Oo TOTAL WATER - SU PPLY / TREAT 1,902,972.66 1,828,136.29 1,910,376.07 1,473,574.83 1,920,030.00 1.6% TOTAL WATER 4,336,781.37 4,616,323.65 4,942,509.48 3,298,053.09 5,055,924.00 5,295,343.00 4.70 GRAND TOTAL 8,663,473.95 9,020,751.89 9,914,788.05 7,005,730.96 10,270,644.28 10,441-1,233.00 1.70 END OF REPORT - Generated by Bob LeLacheur Sewer Enterprise Fund The Sewer division is responsible for maintaining and operating the municipal main sewer systems in' accordance with all applicable state, federal and MWRA regulations for the collection and discharge of wastewater. The specific functions are: maintenance and repair of 100 miles of sewer mains and 12 pumping stations; respond to customer complaints for sewer backups and drainage problems. The chart below summarizes the FY12 proposed budget: Sewer Enterprise Fund Wages $ 267,908(-13.1%) Expenses $4,560,776 +9.0%) Debt & Capital $ 319,206 (-56%) Other $ 259,004 (0%) Gross budget $5,406,894(-1.2%) Reserves $ 0 (TBA) Net budget $5,406,894(+1.8%) Note that there is very low debt projected for this fund. At present the fund uses MWRA loans, but these are offered for three to five years at a time. If past patterns repeat, about $165,000 in annual debt should be projected forward for every year, but at present that cannot be guaranteed. k4o~SO Jj Wage costs in the current year were overstated, as seen by the year-to-date figure well below a 60% expended rate. The MWRA sewer rate is projected to increase by 6.2%, and some annual maintenance costs ($100,000 inflow & infiltration and $40,000 sewer station and manhole repairs) have been moved from capital to the operating budget. Aside from these factors, the remaining expense budget declined slightly from FYI 1. r ri m fr ~f f .S 1 vi xS.w ~vjiA 03/29/2011 15:55 TOWN OF READING PG 1 blelacheur NEXT YEAR BUDGET HISTORICAL COMPARISON bgnyrpts PROJECTION: 20122 FY2012 Enterprise Funds FOR PERIOD 99 ACCOUNTS FOR: PRIOR FY3 PRIOR FY2 LAST FY1 CY CY REV PROJECTION PCT SEWER ACTUALS ACTUALS ACTUALS ACTUALS BUDGET LEVEL 3 CHANGE 0440 SEWER - OPERATIONS 03 SALARIES 62003511 511401 SUPERVISOR 34,253.64 36,820.53 38,826.38 27,074.33 36,831.00 39,609.00 2.0% 62003511 511405 WRKNG FRMN 49,812.50 52,756.60 55,887.19 38,284.29 53,954.00 53,239.00 -1.3% 62003511 511409 EQUIP OP 48,384.06 50,964.18 51,907.68 39,179.36 51,908.00 51,-908.00 .0% 62003511 511413 SKLLD LABR 38,068.30 67,217.19 37,375.53 3,500.21 40,987.00 .00 -100.0% 62003511 511417 LABORER 37,770.97 3,272.96 57,800.14 38,753.43 62,862.00 66,062.00 5.11 62003511 511471 CLERK(S) 15,905.34 16,876.53 17,308.47 11,979.76 17,260.00 17,598.00 2.0% 62003511 511481 SNOW RMVL -2,516.52 -4,648.33 .00 .00 -2,500.00 -2,500.00 .0% 62003511 515000 OVERTIME 36,336.88 22,318.13 20,856.34 11,191.57 39,644.00 35,000.00 -11.7% 62003511 516050 OUT OF GRA 213.68 358.24 23.76 1,506.96 209.00 2,000.00 856.9% 62003511 516060 ONCALL PRM 1,628.00 2,390.00 2,644.00 1,464.00 2,942.00 2,942.00 .0% 62003511 516080 LONGEVITY 2,050.00 2,050.00 3,125.00 1,950.00 2,050.00 2,050.00 .0% TOTAL SALARIES 261,906.85 250,376.03 285,754.49 174,883.91 308,147.00 267,908.00 -13.1%' 05 EXPENSES 62005519 519000 MEDICARE 603.00 700.00 1,000.00 .00 1,000.00 1,075.00 7.5% 62005519 519700 RETIREMENT 20,566.00 14,512.00 14,876.00 22,273.00 22,273.00 23,275.00 4.5% 62005521 521301 ELECTRICIT 25,155.27 29,451.57 28,536.59 18,689.02 32,250.00 33,000.00 2.3% 62005524 524469 STATIONREP .00 .00 .00 .00 .00 30,000.00 .0% 62005524 524474 MANHOLE .00 .00 .00 .00 .00 10,000.00 .0% 620055241 524475 I&I REIMB .00 .00 500.00 800.00 .00 .00 .0% 62005524 524476 I&IPREVENT .00 .00 .00 .00 .00 100,000.00 .0% 62005529 529433 HAZ WST DI .00 9,206.43 8,429.33 .00 10,000.00 10,000.00 .0% 62005530 530000 PURCH SVC 00 15,701.31 19,793.05 10,008.13 16,650.00 16,650.00 .0% 62005530 530105 PRINTING .00 361.12 .00 .00 .00 .00 .0% 62005530 530110 LGL COUNSL 2,000.00 229.50 .00 .00 2,500.00 2,500.00 .0% 62005530 530420 PLCE DTAIL 1,957.00 1,846.64 1,844.98 6,737.17 2,250.00 5,000.00 122.2% 62005530 530490 CNTSVCPUMP 7,476.38. 12,607.08 18,895.01 5,174.63 15,725.00 15,000.00 -4.6% 62005530 530491 OTHCOMMSVC 16,107.68 .00 .00 .00 .00 .00 .0% 62005530 530492 SYS INSPEC 15,793.45 1,735.83 14,750.00 1,761.58 16,950.00 16,000.00 -5.6% 62005531 531000 PRDEV TRN .00 .00 .00 .00 510.00 500.00 -2.0% 62005536 536000 LIC SFTWR .00 7,000.00 1,000.00 .00 10,000.00 10,000.00 .0% 62005540 540490 PMPSTASUPP 1,909.97 2,864.54 12,532.04 4,381.58 7,100.00 7,000.00 -1.4% 62005540 540493 DIST SYS 1,788.37 2,277.82 3,930.78 3,038.66 8,200.00 8,000.00 -2.416 62005540 540495 CHEMICALS .00 2,550.00 3,355.96 3,339.48 13,300.00 12,000.00 -9.8% 62005554 554000 UNFM/CLOTH 928.94 3,414.06 2,844.91 1,484.98 2,200.00 2,200.00 .0% 62005563 563400 MWRA 3,410,216.70 3,555,143.00 3,B44,457.00 3,137,665.60 3,921,051.00 4,164,476.00 6.2% 62005574 574000 HEALTHINS 67,574.00 60,500.00 58,067.08 48,523.59 87,500.00 75,000.00 -14.3% 62005574 574010 P&C INSUR .00 663.00 627.00 726.00 1,000.00 1,100.00 10.0% 62005574 574500 DEDUCT/CLM 10,000.00 .00 8,415.00 .00 .00 .00 .0% 62005574 574550 WC INSURNC 11,496.00 8,250.00 10,181.00 10,368.00 15,0.00.00 18,000.00 20.0% 62005578 578100 LICENSES 185.00 60.00 60.00 135.00 .00 .00 .0% TOTAL EXPENSES 3,593,757.7.6 3,729,073.90 4,054,095.73 3,275,106.42 4,185,459.00 4,560,776.00 9.0% 07 DEBT SERVICE i' .r 4r~ v" i? -it 03/29/2011 15:55 TOWN OF READING I PG 2 blelacheur ( NEXT YEAR BUDGET HISTORICAL COMPARISON bgnyrpts PROJECTION: 20122 FY2012 Enterprise Funds FOR PERIOD 99 ACCOUNTS FOR: PRIOR FY3 PRIOR FY2 LAST FY1 CY CY REV PROJECTION PCT SEWER ACTUALS ACTUALS ACTUALS ACTUALS BUDGET LEVEL 3 CHANGE 62007591 591000 LT DBT PRI 83,677.00 167543.00 167,543.00 41,800.00 160,800.00 160,800.00 .0% 62007591 592000 LTDEBTINT .00 10,687.50 7,406.25 77,906.25 4,313.00 1,406.00 -67.4% 62007593 593000 ST DET INT 5,951.94 .00 .00 .00 .00 .00 .0% TOTAL DEBT SERVI CE 89,628.94 178,230.50 174,949.25 119,706.25 165,113.00 162,206.00 -1.8% 08 CAPITAL EXP ENDITURES 62008585 585000 ADDTNL_EQU 104,201.90 .00 122,156.00 .00 .00 82,000.00 .0% 62008585 585451 METRINSTAL .00 .00 143,618.48 .00. 180,000.00 .00 -100.0% 62008588 588411 CALIF RD S .00 .00 .00 58,481.29 246,001.28 .00 -100.0°% 62008588 588505 INFLOW/INF 277,197.13 67,.579.57 140,422.41 79,500.00 100,000.00 75,000.00 -25.0%'' 62008588 588510 SEW ST REH .00 .00 30,000.00 .00 30,000.00 .00 -100.0% 62008588 588512 SEW ST STU .00 .00 10,000.00 .00 .00 .00 .0% 62008588 588541 GLEN ROAD .00 169,168.24 11,282.21 .00 .00 .00 .0% 62008588 588542 W GROVE ST .00 10,000.00 .00 .00 .00 .00 .0% TOTAL CAPITAL EX PENDITURES 381,399.03 246,747.81 457,479.10 137,981.29 556,001.28 157,000.00 -71.8% TOTAL SEWER - OP ERATIONS 4,326',692.58 4,404,428.24 4,972,278.57 3,707,677.87 5,214,720.28 5 -1.3% TOTAL SEWER 4,326,692.58 4,404,428.24 4,972,278.57 3,707,677.87 5,214,720.28 147,890.00 -1.3% S 03/30/2011 15:08 (TOWN OF READING PG 2 blelacheur YEAR-TO-DATE BUDGET REPORT glytdbud FOR 2011 13 ACCOUNTS FOR: 0401 DPW-TRASH SNOW STREET LIGHTING ORIGINAL APPROP TRANS/ADJSMTS REVISED BUDGET YTD EXPENDED ENCUMBRANCE/REQ AVAILABLE BUDGET % USED TOTAL OTHER FINANCING USES 0.00 500,000.00 500,000.00 0.00 0.00 500,0.00.00 .0% TOTAL SNOW / ICE CONTROL 525,000.00 500,000.00 1,025,000.00 1,000,543.99 25,869.18 13.17 -1,4 100.10 0424 STREET LIGHTING ^ O5 EXPENSES 14245-521 521300 TRLGT ELEC 15,400.00 0.00 15,400.00 7,166.85 0.00 8,233.15 46.5% 14245521 5213D1 STLGT ELEC 226,100.00 0.00 226,100.00 154,455.09 0.00 71,644.91 68.3% TOTAL EXPENSES 241,500.00 0.00 41,500.00 161,621.94 0.00 79,878.06 66.9% TOTAL STREET LIGHTING 241,500.00 0.00 241,5 00 161,621.94 0.00 .79,878.06 66.9% 0433 WASTE COLLECTION & DISPOSAL OS EXPENSES 14335529 529430 GB COLLECT 672,748.00 0.00 672,748.00 445,989.10 224,409.13 2,349.77 99.7% 14335529 529431 GB DISPOSE 633,116.00 0.00 633,116.00 292,976.72 140,000.00 200,139.28 68.40 14335529 529432 CURB RECYC 208,346.00 0.00 208,346.00 125,632.15 63,324.22 19,389.63 90.7% 14335529 529435 MISC RECYC 28,560.00 0.00 28,560.00 37,192.96 0.00 -9,532.96 133.4%* 14335530 530OB6 MONITORING 18,000.00 0.00 18,000.00 2,063.00 0. 15,937.00 11.5% TOTAL EXPENSES 1,560,770.00 0.00 1,560,770.00 903,853.93 428,633.35 228,282.72 85.4% TOTAL WASTE COLLECTION & DIS POSAL 1,560,770.00 0.00 1,560,770.00 903,853.93 428,633.35 228,282. 2 85.4%. 1 f t A rs ~ asst 1~ff 03/30/2011 15:08 (TOWN OF READING IPG 1 blelaeheur YEAR-TO-DATE BUDGET REPORT glytdbud FOR 2011 13 ACCOUNTS FOR: 0401 DPW-TRASH SNOW STREET LIGHTING ORIGINAL APPROP TRANS/ADJSMTS REVISED BUDGET YTD EXPENDED ENCUMBRANCE/REQ AVAILABLE BUDGET % USED 0423 SNOW / ICE CONTROL 03 SALARIES 14233511 511000 WAGES PERM 11,971.00 0.00 11,971.00 11,031.01 0.00 939.99 92.1% 14233511 515000 OVERTIME 61,812.00 0.00 61,812.00 - 197,024.50 0.00 -135,212.50 318.7%* TOTAL SALARIES 73,783.00 0.00 73,783.00 208,055.51 0.00 -134,272.51 282.0% 05 EXPENSES 14235530 530415 PLOW/MAUL 169,517.00 0.00 169,517.00 376,188.25 0.00 -206,671.25 221.90* 14235530 530420 PLC DETAIL 8,000.00 0.00 8,000.00 14,282.82 0.00 -6,282.82 178.5%* 14235540 540000 SUPP/EQUIP 248,700.00 0.00 248,700.00 223,858.29 25,869.18 -1,027.47 100.4%* 14235540 540425 SAND 0.00 0.00 0.00 0.00 0.00 0.00 .0% 14235540 540430 SALT 0.00 0.00 0.00 101,501.70 0.00 -101,501.70 100.0%* 14235540 540435 CACL 0.00 0.00 Q.00 0.00 0.00 0.00 .0% 14235548 548999 GASOLINE 25,000.00 0.00 25,000.00 68,478.42 0.00 -43,478.42 273.9s* 14235578 578020 MEALS 0.00 0.00 0.00 8,179.00 0.00 -8,179.00 100.00* TOTAL EXPENSES 451,217.00 0.00 451,217.00 792,488.48 25,869.18 -367,140.66 181.4% 09 OTHER FINANCING USES 14239599 598000 NONEXPEND 0.00 500,000.00 500,000.00 0.00 0.00 500,000.00 .0-. Bylaw Committee Report: No Report ARTICTo see if the Town will vote to amend one or more of the votes taken undeof the Warrant of the Annual Town Meeting of April 26, 2010 as amended of the warrant of the Subsequent Town Meeting of November 10, 2010; and to see what sum the Town will vote to appropriate by borrowing or transfer from available funds, or otherwise, as the result of any such amended votes for the operation of the Town and its government, or take any other action with respect thereto. Finance Committee Background: The following budget amendments are proposed for the FY 2011 budget: General Fund - Wages and Expenses Account Line Description Decrease Increase E99 Vocational Education (Minuteman) $27,000 G92 Town Admin Expenses (Legal $10k; $40,000 P&C Insurance $30k) K91 Community Services Wages $10,000 (sick/vacation buyback) K92 Community Services Expenses $23,000 (animal disposal $3k; Veteran's benefits $20k) 0~ M93 Public Works: Snow & Ice $588;686 M95 Public Works: Rubbish $125,000 N91 Public Safety (Fire) Wages $100,000 U99 School department (energy) $250,000 Subtotals $415,000 $660,000 Net from Operating Transfers and F kk o0 unds (Free Cash) Available From Town Sick/Vacation $10,000 Stabilization Fund ) 2 2011 Annual Town Meeting Report on the Warrant 5 Enterprise Funds - Wanes and Expenses Account Line Description Decrease Increase Y99 Storm Water - Street Sweeper (capital) $142,000 Y99 Storm Water Jet/VAC Truck (capital) $21,000 General Drainage (capital) $55,000 Project specific Drainage (capital) $40,000 Equipment Rental (expenses) $ 1,000 Subtotals $117,000 $142,000 Net Transfer From Storm Water $25,000 Reserves (3/29 balance $275,590) Finance Committee Report: Bylaw Committee Report: No Report ke ti tr RTICLE 6 To see if the Town will vote to authorize the payment during Fiscal Y r 2011 of bills remaining unpaid for previous fiscal years for goods and services actually ren red to the Town, or take any other action with respect thereto. Board of Selectmen Background: \ There are no known prior year's bills and, therefore, it is likely that this Article will be indefiNtely postponed. Finance Comn No report Bylaw Committee Report: No ARTICLE 7 To see what sum the wn will vote to appropriate by borrowing, whether in anticipation of reimbursement from a State under Chapter 44, Section 6, Massachusetts General Laws, or pursuant to any o r enabling authority or from the tax levy, or transfer from available funds, or otherwise, for h' way projects in accordance with Chapter 90, Massachusetts General Laws, or take any other tion with respect thereto. Board of Selectmen Background: The purpose of this Article is to make Chapter funds for road improvements available to the Town. The Article authorizes expenditures upo receipt of the grant. The FY 2012 Chapter 90 allocation is anticipated to be $593,943. is amount 2011 Annual Town Meeting Report on the Warrant 6 eminent domain damages and for the construction of said ways, or take an other action with respect thereto. Board of Selectmen Background: The purpose of this Article is to accept tze e report of 'the Board of Selectmen upon the laying out of Pondview Lane; and to authq the Board of Selectman to accept Pondview Lane as a public way. The construction f Pondview Lane is completed and all subdivision requirements have been met. Theeveloper. has maintained fee ownership of the road and therefore, the estimated be rment cost for acceptance of the roadway is $1.00 per property owner, or $10. A ASHLEY RAr-I i Lor7 xar LOJ 9 [ •,i m -ma ~w \ l0 ~ ~ 1 [Or ; LOr 5 ittee Resort: No Report TOWN OF READING NASSACHUSEFTS OEPMTdENT OF PUBLIC WORKS STREET ACCEPTANCE PLAN PONDVIEW LANE I t RTICLE 10 To see if the Town will vote to authorize the Board of Selectmen to ll, or exch nge, or dispose of upon such terms and conditions as they may determine, OUS7 s of Town tangible property, or take any other action with respect thereto. van Board of Selectmen Background: Following is a list of surplus vehicles that are scheduled to be disposed of in FY 2012: ➢ Taurus (1999) - Police 2011 Annual Town Meeting Report on the Warrant 10 ➢ Crown Victoria (2007) - Police ➢ Ford Pickup (1989) - DPW/Parks 136k miles ➢ Ford Explorer (2000) - DPW/Engineering 108k miles ➢ Ford F350 Pickup (1997) - DPW/Water 74k miles ➢ Ford F350 Pickup (2006) - DPW/Sewer 90k miles ➢ Ford F250 Pickup (2001) - DPW/Sewer 105k miles ➢ Elgin Pelican (John Deere) Sweeper (2005) - DPW Stormwater 2658 hours run Town Meeting members may be interested in how we disposed of tangible personal property that was authorized last year. Last year we disposed of the following vehicles: ➢ Ford/Horton ambulance (2000) $4,000 trade-in allowance (Fire ambulance) ➢ Ford Expedition (1998) $1,000 trade-in allowance (Police Ford Expedition) ➢ Ford Econoline Van (1996) $1,000 trade-in allowance (Police Ford Expedition) ➢ Ford E250 Cargo Van (2001) 500 trade-in allowance ➢ Melrose Bobcat Front End Loader (1987) $1,500 trade-in allowance ➢ Warco Motor Grader (1952) - still available! ➢ International dump truck (1990) $2,500 trade-in allowance ➢ Int'I dump truck w/ catch basin cleaner (1998) $15,000 trade-in allowance Finance Committee Report: Bylaw Committee Report: No Report (6yy 11 To see if the Town will vote to approve the FY 2012 - FY 2021 Capital s Program as provided for in Section 7-7 of the Reading Home Rule Charter, or ther action withrespect thereto. Board of Selectmen Background: Please see the Blue Pages in the Appendix of this Warrant Report for the FY 2012 - FY 2021 Capital improvements Program. Finance Committee Report: Bylaw Committee Report: No Report ARTICLE 12 To see if the Town will vote to approve the preliminary design for the renovation and ex sion of the Reading Public Library design as shown on the architectural schematics included the background materials, or take any other action with. respect thereto. Library Board of Trustees Background: The Fall To Meeting authorized the Library Trustees to apply for a state construction grant through th Massachusetts Board of Library Commissioners to upgrade and make more efficient use o ace to serve the needs of a growing patronage. Much has changed in library services ove he past 27 years. Since its relocation to the Highland School site in 1984, the Reading blic Library has seen the introduction of computers, DVDs, and numerous other media form Interlibrary loan requests have grown exponentially, and the meeting room has been in cons demand. The community's use of the library has doubled in immeasurable ways and skyrock d in many others. The library 2011 Annual Town Meeting Report on the Warrant 11 FY12 Capital Requests Funded Dept. Request Estimate Reason Town Fac. Security system: DPW $ 85,000 Gate, card access, cameras Town Fac. Fire Alarm: Town Hall $ 40,000 Addressable Fire Alarm panel Town Fac. Windows & doors: Senior Ctr $ 25,000 exterior doors Town Fac. Carpet/flooring: Town Hall $ 20,000 Annex/Berger/Town Mgr Town Fac. HVAC/energy mgmt: Police $ 20,000 5-ton dispatch unit Town Fac. Other: Town Hall $ 12,000 Front steps/rebuild piers Town Fac: Windows & doors: West Side Fire $ 10,000 door replacements Town Fac. Windows & doors: DPW $ 10,000 2 overhead doors School Fac. Electrical: Birch Meadow $ 25,000 PA system School Fac. Electrical: Killam $ 25,000 PA system School Fac. Other: RMHS $ 25,000 Add power to motorize bleachers School Fac. Windows & doors: Joshua Eaton $ 24,000 replace 3 circle top windows in cafeteria School Fac. Carpet/flooring: Coolidge $ 24,000 replace 2 rooms of tile with moisture issues Fire Air Bottles $ 14,000 Safety DPW Roads (local share) $ 400,000 Previous over-ride/accelerated pace DPW Skim Coat/Crack Seal $ 50,000 Previous over-ride/accelerated pace DPW Playground $ 45,000 Annual playground (Joshua Eaton) DPW Chevy pickup (1989) $ 37,000 Parks dept. DPW Survey#1 Ford Explorer(2000) $ 32,000 Engineers DPW Curb/sidewalk $ 25,000 Pedestrian safety $ 948,000 Gl C7. C3 cy CS, C tG I'll c, ►2 G)17 C-/Y 1v\ !1 N) t ~1 C~ ~1~f J i -I M\4 066 Town of Reading, MA FY-2011 FY-2012 FY-2013 FY-2014 FY-2015 FY-2016 FY-2017 FY-2018 FY-2019 FY-2020 FY-2021 FY12-21 Projected use of Sale ofR/EFund 300,000 300,000 250,000 200,000 150,000 100,000 50,000 - - - 1,050,000 Net Available Revenue annual % 2.12% 2.50% 250% 2.50% 2.5001o 2.50% 2.50% 2.50% 5% NAR policy - debt & capital 3,540,577 3,533,287 3,608,358 3,698,567 3,791,031 3,885,807 3,982,952 4,082,526 4,184,589 4,289,204 4,396,434 39,452,755 Debt Schedule- Net Included Debt 2,897,776 2,807,632 2,397,364 2,166,172 2,464,084 2,251,042 2,137,738 2,008,697 1,319,708 951,283 896,745 19,400,465 Allowance for energy savings 317,869 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 3,000,000 Available to fund Capital 960,670 1,025,655 1,510,994 1,832,395 1,626,947 1,934,765 2,145,214 2,373,829 3,164,881 3,637,921 3,799,689 23,052,290 Dedicated funds to roads (425,000) (450,000) (500,000) (550,000) (600,000) (650,000) (700,000) (750,000) (800,000) (850,000) (900,000) (6,750,000) Allocate to other requests 535,670 575,655 1,010,994 1,282,395 1,026,947 1,284,765 1,445,214 1,623,829 2,364,881 2,787,921 2,899,689 16,302,290 Schools - Equipment - - 120,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 920,000 Buildings - Schools (non Energy) 1,020,000 49,000 105,000 127,000 471,000 526,000 130,000 39,000 1,504,000 685,000 - 3,636,000 Buildings - Schools (Energy) 1,000,000 74,000 12,000 12,000 - 42,000 158,000 - 15,000 25,000 26,000 364,000 Buildings - Town (non Energy) - 157,000 120,000 50,000 30,000 327,000 469,000 202,000 280,000 - - 1,635,000 Buildings -Municipal (Energy) - 65,000 120,000 - - 20,000 20,000 15,000 - - - 240,000 Public Safety - Fire 255,000 14,000 36,000 155,000 69,000 654,000 316,500 90,600 150,000 849,000 339,000 2,673,100 Public Safety- Police - - - 35,000 211,000 10,000 - - 35,000 - 291,000 PublicWorks - Equipment 115,000 69,000 284,300 189,800 293,100 275,100 672,100 752,400 522,600 728,500 96,200 3,883,100 Public Works - Parks & Cemetery 45,000 45,000 75,000 778,000 295,000 200,600 545,000 730,600 1,450,800 767,000 45,000 4,932,000 Public Works - Roads 558,000 475,000 525,000 575,000 625,000 675,000 750,000 800,000 850,000 900,000 950,000 7,125,000 TOTAL CAPITAL 2,993,000 - 48,000 1,397,300 2,021,800 2,094,100 2,829,700 3,160,600 2,729,600 4,907,400 4,054,500 1,556,200 25,699,200 Dedicated to Roads (previous over-ride) 425,000 450,000 500,000 550,000 600,000 650,000 700,000 750,000 800,000 850,000 900,000 6,750,000 Capital Requests above road portion 2,568,000 498,000 897,300 1,471,800 1,494,100 2,179,700 2,460,600 1,979,600 4,107,400 3,204,500 656,200 18,949,200 Capital Funding to allocate 568,000 575,655 1,010,994 1,282,395 1,026,947 1,284,765 1,445,214 1,623,829 2,364,881 2,787,921 2,899,689 16,302,290 Annual Surplus (Deficit) (2,000,000) 77,655 113,694 (189,405) (467,153) (894,935) (1,015,386) (355,771) (1,742,519) (416,579) 2,243,489 Cumulative Surplus (Deficit) (189,405) (656,558) (1,551,493) (2,566,879) (2,922,650) (4,665,169) (5,081,748) (2,838,259) School Buildings • 49,000 105,000 127,000 471,000 526,000 130,000 39,000 1,504,000 685,000 3,636,000 Town Buildings 157,000 120,000 50,000 30,000 327,000 469,000 202,000 280,000 - 1,635,000 Energy 139,000 132,000 12,000 - 62,000 178,000 15,000 15,000 25,000 26,000 604,000 Facilities Capital 345,000 357,000 189,000 501,000 915,000 777,000 256,000 1,799,000 710,000 26,000 5,875,000 Facilities Debt 1,968,457 1,579,376 1,890,017 2,194,906 2,092,833 1,984,853 1,861,177 1,319,708 951,283 896,745 16,739,354 Facilities Tot. 2,313,457 1,936,376 2,079,017 2,695,906 3,007,833 2,761,853 2,117,177 3,118,708 1,661,283 922,745 22,614,354 Recreation 45,000 75,000 778,000 295,000 200,600 545,000 730,600 1,450,800 767,000 45,000 4,932,000 Equipment 83,000 340,300 379,800 398,100 939,100 988,600 843,000 707,600 1,577,500 435,200 6,692,200 Roads 475,000 525,000 575,000 625,000 675,000 750,000 800,000 850,000 900,000 950,000 7,125,000 Technology - 100,000 100,000 275,000 100,000 100,000 100,000 100,000 100,000 100,000 1,075,000 Other Capital 603,000 1,040,300 1,832,800 1,593,100 1,914,700 2,383,600 2,473,600 3,108,400 3,344,500 1,530,200 19,824,200 Other Debt 839,175 817,988 276,155 269,178 158,209 152,885 147,520 - - 2,661,109 Other Total 1,442,175 1,858,288 2,108,955 1,862,278 2,072,909 2,536,485 2,621,120 3,108,400 3,344,500 1,530,200 22,485,309 State is cutting back on the free flu vaccine to be distributed to cities a towns, and the Town therefore needs to purchase an extra 800 doses at an esti ted cost of $8000. The necessary amounts used for clinic vaccine, supplies and stpff salaries related to the clinics each year directly from the revolving fund is therefore aproximately $35,000. Library Materials Replacement Fund, - During th course of a year, the Library recovers funds from patrons who have lost or Oz(maged books or other materials. Previously, those funds went into the Town's G nieral Fund and at the end of the year went into Free Cash. Once this Revolving F d was adopted (beginning in FY 2010), those funds recovered from patrons for lost r damaged materials were available directly to the Library for expenditure to pur ase replacement materials and processing supplies. Through March 10, 2011, theamount recovered was $7,874.40. Mattera Cabin Operating Fund The log cabin on the Mattera conservation land was purchased a couple of years a .The Town has developed a program of improvements to the cabin, and is working programming its use. Some of the use is anticipated to be revenue generating, and i is anticipated that over time the site would generate enough funding to pay the ope ting costs of the cabin - primarily utilities. This Article would allow those revenues o be used directly for the operating expenses of the cabin. Report ARTj;3;0B, To see if the Town will vote pursuant to Massachusetts General Laws Section 12 to authorize the School Committee to enter into a contract or contracts including all extensions renewals and options for school bus transportation for a period greater than three years but not exceeding 5 years upon such terms and conditions determined by the School Committee, or take any other action with respect thereto. School Committee Background: The current three-year contract for. Student Transportation Services between the Reading School Committee and North Suburban Transportation expires on June 30, 2011. The School Department has issued Invitations to Bid for a subsequent contract pursuant to Chapter 30B.. While historically, the contract for transportation services has been for a three year period, recent evidence from other district procurements suggests that vendors may be willing to offer lower rates in return for a longer term contract. To explore that option, the Invitation to Bid was structured to provide an Alternative Bid for a three year contract with the option to extend for two additional one year periods. Should responses for this Alternative Bid result in lower rates, the School Committee would like the authority to exercise this option and enter into a longer term agreement. The contract would be structured such that the additional two one-year renewals would be optional and would be exercised at the discretion of the School Department rather than by mutual agreement or at the discretion of the vendor. Finance Committee Report: . Bylaw Committee Report: No Report. 2011 Annual Town Meeting Report on the Warrant 17 ARTICLE 16 To see if the Town will vote to supplement debt authorized under Article 9 of th 2010 Subsequent Town Meeting for the so called "Green Repair" program a see what sum the Town will raise by borrowing or transfer from available funds, or otherwise, and appropriate for the. purpose of making improvements including but not limited to repairing and/or replacing roofs and/or windows at the Killam School and/or Birch Meadow School, including the costs of consulting services, audits, plans, documents, cost estimates; bidding services, and all related expenses incidental. thereto and necessary in connection therewith, said sum to be expended by and under the direction of the School Committee and/or the Superintendent of Schools; and to see if the Town will authorize the School Committee, Board of Selectmen, Superintendent of Schools, Town Manager, or any other agency of the Town, to apply for a grant from the Massachusetts School Building Authority or any other source of funding, to be used to defray the cost of all, or any part of such improvements; and to authorize the School Committee and/or the Superintendent of Schools and/or the Town Manager, to enter into any and all contracts and agreements as may be necessary to carry out.the purposes of this Article, or take any other action with respect thereto. School Committee Background: Under Article 9 of the November 8, 2010 Subsequent Town Meeting, Town Meeting voted to authorize debt in an amount not to exceed $2,000,000 for the purpose of replacing the roof at the Killam Elementary School and windows at the Killam and Birch Meadow Elementary Schools as part of the Massachusetts School Building Authority's "Green Repair" program. The funding amount was based on the best available information and known site conditions at each building. With the necessary approvals from MSBA in place, the School Department entered into an agreement with an Owner's Project Manager and Architect to develop a preliminary schematic design and project scope and budget for submission to the MSBA. The preliminary cost estimate places the total project cost at $2,900,000. The additional costs include an upgrade to the existing roofing system from an EPDM to a PVC roofing; hazardous materials abatement costs; and other unanticipated site and market conditions. As a result of the greater than anticipated project cost and additional work that would be required if we proceed with the original project scope at Killam (including handicap accessibility upgrades), the scope of work is now being limited to replacement of the Killam roof and the windows at Birch Meadow only. We would, however, recommend installing the PVC rather than the EPDM roofing system at Killam which has a longer life and comes with an additional warranty period of ten years. To do so requires an increase to the original authorization in the amount of $250,000. The not to exceed amount would now be $2,250,000 with 47.21 % of that cost being eligible for MSBA reimbursement. If approved, this, Article may add a small additional expense to the projected FY12 Debt Service budget that is presented in Article 29. The exact amount of new debt service should be known in time for a budget adjustment - if needed - at the November 2011 Town Meeting. Finance Committee Report: Bylaw Committee Report: No Report 2011 Annual Town Meeting Report on the Warrant 18 Bylaw Committee Report: The Byla ommittee recommends the subject matter of this article by a vote of 4-0-0. Economic Develo me Committee Report: The EDC recommends to the Board of Selectmen suppo f Article 23, by a vote of 5-0-0. ARTICLE 24 To see if the Town will vote to approve an Affordable Housing Trust Fund Allocatio Plan pursuant to Chapter 140 of the Acts of 2001 entitled "AN ACT UTHORI G THE TOWN OF READING TO ESTABLISH AN AFFORDABLE HOUSING TRU FUND", or take any other action with respect thereto. Board of Selectmen Background: Chapter 140 of the Acts of 2001 authorized the Town of Reading to Establish an Affordable Housing Trust Fund. This legislation was done as a Home Rule Petition by the Town. The legislation provides in part "The Town of Reading may establish a separate fund to be known as the Affordable Housing Trust Fund for the purpose of creating or preserving affordable housing by the Town of Reading, the Reading Housing Authority or a housing trust, community development corporation or similar entity created under the laws of the commonwealth for the purpose of creating, maintaining or operating affordable housing." Among the state purposes is to: "develop new or rehabilitate existing dwelling units for purchase or rental by low and moderate income housing purchasers or tenants;", According to the legislation, "Expenditures shall follow an allocation plan submitted by the Board of Selectmen annually to Town Meeting at the Annual Town Meeting, and approved by Town Meeting." "[a]II expenditures from the fund, shall be in accordance with the allocation plan an approved by a majority vote of the full combined memberships of the Board of Selectmen and the Reading Housing Authority." The purpose of this legislation is to provide a framework for the Town to expend funds on affordable housing. The current balance in the Affordable housing Trust Fund is $458,017.68 which has been accumulated over the years as funds secured for the purpose by the CPDC, and funds deposited in at least one instance when an existing affordable unit was no longer able to be kept affordable after efforts were made to do so. There have been no expenditures to date from this fund, although there have been several attempts at using these funds - in one instance to subsidize a Reading housing Authority project. As part of the Oaktree development (the former Atlantic site) a total of 20% of the units will be affordable units, or 11 units of the total of 56 units in the development. The Town has negotiated to provide up to $400,000 from the Affordable Housing Trust fund to subsidize the development of those 11 affordable units. All of the affordable units will be affordable in perpetuity. As an aside, all of the 56 units will count on the Town's inventory of affordable housing units because the units will be developed as rental units. Finance Committee Report: No. Report Bylaw Committee Report: No Report 2011 Annual Town Meeting Report on the Warrant 35 Town of Reading 16 Lowell Street Reading, MA 01867-2683 JEAN DELIOS Community Services Director / Town Planner Phone: (781) 942-6612 Fax: (781) 942-9071 jdelios@ci.reading.ma.us MEMORANDUM To: Peter I. Hechenbleikner, Town Manager Robert LeLacheur, Finance Director/Assistant Town Manager From: Jean J. Delios, Community Services Director/Town Planner Date: March 30, 2011 Re: Oaktree Development - Affordable Housing Trust Fund (AHTF) I am writing to provide additional background regarding the request from Oaktree Development for $400,000 from the Town of Reading's Affordable Housing Trust Fund (AHTF). The funds will be used to support the development of_ affordable housing. An affordable housing restriction will be required that must be approved by the State Department of Housing and Community Development (DHCD). This request is based on the stated need for the funds to carry out the project and will require a joint agreement between Oaktree, the. Board of Selectmen, and the Housing Authority. As part of the due diligence related to this request, we have been working with Oaktree reviewing pro-formas to clarify the finances of this project including the need for our help through the AHTF. The process is on-going and we have asked for additional information to clarify what has been provided to date. In addition to analyzing the pro-forma, we have indicated to Oaktree that we would be drafting a set of legal documents with conditions in order to satisfy our requirements. The discussion has included protecting the Town's investment of funds by use of the following which would be recorded at the Registry of Deeds: Deferred Payment Loan (DPL) Agreement - this is commonly used in affordable housing projects where the funds are provided as a grant, but with conditions that could trigger repayment of all or some of the funds. For example, if the project were sold as a permitted project to another developer then the terms of the DPL could require repayment in full. ® Promissory Note - another legal document that assures compliance with stated terms Mortgage - just like a bank would place a mortgage on a house, we would do so here. By taking these steps the Town of Reading will be protected and a viable redevelopment project will be. supported. The redevelopment of the former Atlantic. Supermarket, 30 Haven Street, is an important project that will be an anchor to both Haven Street and High Street. It will increase foot traffic throughout the downtown and promote Smart Growth. With just under 100,000 square feet of new construction including approximately 20,000 square feet of retail with 57 units of residential above (11 of-which will be affordable) this project is consistent with the Master Plan, Housing Plan, and Economic Development efforts. As a rental project under the 40R zoning, the Town of Reading will get credit for all 57 units in its affordable housing inventory maintained by the State. Even if the development were to change to condominiums, the Town would still be credited with 11 affordable units. I hope that this helps to clarify the approach to this request. Please feel free to call on me if I can assist further. LeLacheur, Bob From: Frederick Van Magness [vanmagness@verizon.net] Sent: Monday, March 28, 2011.10:07 PM To: Finance Subject: Town Warrant Hi Bob, Saw tonights interesting discussion on Art. 24...Affordable Housing Trust Fund and the allocation of some $400,000 to Oaktree. One thought ...not sure if it has ben explored, but one concern expressed is that the developer may move to go to Condo's at a later date and affordable housing looses the 56 units and goes to 11. Is there an opportunity to get language in the agreement that says that if there is a conversion to Condo, the town gets a repayment of $10,000 at the sale.of each unit as a Condo ...or-some other figure. Would give people a better feeling that the use of funds is not eroded if there is some future action that hurts our affordable housing stock. Just a thought no need to get back to me. Fred ~a ARTICLE 27 To see if the Town will vote to sell at public auction Lot 9-~othrop Road) of the Board of Assessors' Map, said auction to be held on or before cember 31, 2011, or take any other action with respect thereto. /e By Petition Background: Pursuant to M.G.L. c.40, §§3 and 15, th Selectmen may be authorized to convey or sell municipal property, but they canno be compelled to do so. Moreover, in conveying or selling municipal property, Town Cou sel recommends that a title search be conducted to confirm ownership in the Town anpossibly, to ascertain if the property is under the jurisdiction of a body other than the Bo rd of Selectmen a situation that for example, may require compliance with §15A (conveya a from one municipal department to another). The title reference provided for this parcel goes at the Registry of Deeds. More importantly, the Department property. further than the records available online ssors records indicate that this is Water Finance Committee Report: No Report Bylaw Committee Report: No ARTICLE 28 To seei"f the Town will vote to determine how much money the Town will appropriate by borrowAg, or from the tax levy, or transfer from available funds, or otherwise, for the operation of the Town and its government for Fiscal Year 2012- beginning July 1, 2011, or take any~ther action with respect thereto. Finance Committee ickground: Please see the yellow pages in the Appendix of. this Warrant.Report for e FY 2012 Bud- et. No Report Economic Development Committee Report: The EDC recommends to the BOS support of the Town Manger's FY2012 proposed budget as it pertains to the Community Services line item, by a vote of 5-0-0. ARTICLE 2 To see if the Town will vote to appropriate funds from the tax levy, or transfer fr m available funds or otherwise to the Employee Sick Leave Buy-back and Leave Buyback Stabilization Fund, or take any other action with respect thereto. Board of Selectmen Background: The 2009 Annual Town Meeting voted to establish a stabilization fund for Town employee sick-leave and/or vacation leave buy-back. This was done because the 2011 Annual Town Meeting Report on the Warrant 37 Town Departments could not accurately forecast 18 months in advance what employees might leave their employment and be eligible for these payments. In most cases, the various Town wage budgets as voted by Town Meeting did not have the capacity to support these unpredictable payments, unless a.position remained unfilled for a sufficient period of time. In FY11 we have had several circumstances that required these payments and in most cases we were able to fund the costs through unused wages because a position was unfilled. In Article 5 of this Town Meeting we are requesting a transfer out of $10,000 for a department that does not have sufficient funds to cover an FY11 obligation. If this transfer under Article 5 is approved, the remaining balance of the fund would be approximately $5,400. Article 29 seeks to add $25,000 from free cash to supplement this amount, to be used in future years by vote of Town Meeting as needed. The potential for Sick Leave buy-back is diminishing as changes in Personnel Policies and collective bargaining agreements work towards eventual elimination of this benefit. For example, as part of the bargaining process in 2010, all Sick Leave Buy-back for Police Patrol Officers and Police Superior Officers was eliminated - currently and prospectively. All other Town non-union and most other Town unions have given up sick leave buy-back prospectively from a variety of dates. Many non-union employees have never been eligible for this benefit. Vacation leave buy-back is already severely limited by limits on vacation leave carryover, and is the smaller amount of the buy-back leave. Finance Committee Report: Bylaw Committee Report: No Report ARTICLE To see if the Town will vote, pursuant to Section 2-6 of the Reading Home Rule arter, to declare the seats of certain Town Meeting Members to be vacant and remove certain escribed persons from their position as Town Meeting Members for failure to- take the oath of ice within 30 days following the notice of election or for failure to attend one half or more o e Town Meeting sessions during the previous year, or take any other action with respect the to: Precinct 2 Lizab Ann Malinski Gerard cDonald John B. S livan Kim Marie livan Richard J. Nlo e Robert R. Morel Brooks E. Rice Joseph T. Connearne r. Wei E. Lam George A. Snow Precinct 3 David A. Craven Anthony D'Arezzo 2011 Annual Town Meeting Report on the Warrant 38 Page 1 of 1 LeLacheur, Bob From: LeLacheur, Bob Sent: Wednesday, March 30, 2011 11:08 AM To: Hechenbleikner, Peter; Delios, Jean; LaPointe, Gail Subject: update on meals tax The next payment for this year on 3/31 will be about $72,000, covering Dec-Jan-Feb. I don't know the seasonality of that industry, but this is double the monthly pace of the Oct-Nov number we saw from the first payment. We've projected $150,000 for the full FY12 in the budget. Thanks, Bob Bob LeLacheur Assistant Town Manager/Finance Director Town of Reading 16 Lowell Street Reading, MA 01867 (P) 781-942-6636 (F) 781-942-9037 Please note new Town Hall Hours: Monday, Wednesday and Thursday: 7:30 a.m - 5:30 p.m. Tuesday: 7:30 a.m. - 7:00 p.m. Friday: CLOSED web www.readingma.gov email finance@ci.readin_g.m_a.us Please let us know how we are doing - fill out our brief customer service survey at http://readingma- surve .virtualtownhall.net/survey/sid/887434dd9e2l3Ob7/ 3/30/2011 Instructional Motion from Finance Committee for Annual Town Meeting 2011 DRAFT Move that Town Meeting instruct the Board of Selectmen, Town Manager, and School Committee/District to explore the following revenue enhancement ideas recommended by Reading citizens at the Financial Forum held on September 15, 2010 and report back to FinCom with specific actions taken (organizations consulted, timelines), comments on feasibility of opportunity and follow up tasks to achieve additional revenue. Status updates should be provided at each monthly meeting of the FinCom beginning in June until such time as the ideas are either implemented or FinCom and the responsible Board/Manager votes to take other action on them. 1. Town Manager: a. Additional cell tower opportunities b. Advertising/Billboards (including electronic billboards) c. Expanded rental of space/increased rental fees 2. School Committee/District: a. Expanded rental of existing space b. Naming rights for buildings and other property 3. Board of Selectmen a. Increase parking fees at Depot b. Sponsoring of town trees, benches, lights, etc. c. Sale -of Town land (Oakland Road) Submitted by the Finance Committee Background: The Finance Committee sponsored a series of Financial Forums last fall to encourage citizens to bring forth their ideas on revenue enhancement as well as cost reductions. At the September 15, 2010 session, approximately 50 citizens and board members attended, offered their revenue enhancement ideas and then attendees voted their priorities. More than 25 ideas were generated and received votes. Each of the items listed above was among the top voted items (7+ votes for each). Many of the cost reduction opportunities identified at the October 27, 2010 Financial Forum have been incorporated into the FY2011 budget proposal. It is the goal of this motion to have the Boards, Town Manager and Schools actively pursue these opportunities and report back to the Finance Committee with specific comments regarding the opportunity as well as the impact according to evaluation criteria listed below that was developed by the Finance Committee. With a monthly follow up on each item, it is our goal to keep these items front and center to help bring additional funds to the town. The Finance Committee will report back to Fall Town Meeting with progress made on each of these items. (Categorized list of revenue opportunities from Financial Forum is attached.) Finance Committee FY2012 Budget Message Outline - Draft FY2012 Primary budget drivers: • Large proportion on budget for shared/accommodated costs which increase by more than 2.5% • Large than anticipated Health Insurance increases • Decreasing State Aid • Phase out of Federal stimulus funds • Large portion of Free Cash used to balance budget is not sustainable FY2012 Budget mitigation / positive results: • Renegotiated rubbish/recycling resulting in significant savings (with increased services) • Meals tax providing additional revenue • Energy Contracting project resulting in conservation had contributed to o significant energy savings o reductions in facilities management o elimination of future capital expenditures • Move to regionalization in FY2012 budget for future efficiencies • Control of Special Education spending and return of special education students to district FY2012 Finance Committee actions: • Community participatory Financial Forum brainstorming sessions o Revenue Opportunities o Expense Reductions • Expanded financial documentation on FinCom website • Increased communication on budget process and calendar • Focus on summary level presentations to provide high level overview of budget N OFF? Finance Committee Meeting March 28, 2011 ~9. INC0R4 0R, Conference Room, Reading Municipal Light Department The meeting convened at 7:00 PM in the Conference Room at RMLD. FINCOM Members Present: Chair Marsie West, Vice, Chair David Greenfield, Hal Torman, Marls Dockser, Bryan Walsh, Kevin Leyne, Francis Fardy, Barry Berman and Paula Perry. Members Absent: None. Also Present: Town Manager Peter Hechenbleikner, Assistant Town Manager/Finance Director Bob LeLacheur, Town Accountant Gail LaPointe, Police Chief Jim Cormier, Fire Chief Greg Burns, DPW Director Jeff Zager, Library Director Ruth Urell, Community Services Director/ Town Planner Jean Delios, Board of Selectmen Chair James Bonazoli and Steve Goldy, Council on Aging Chairman Steve Oston, Conservation Commission Chair Bill Hecht, Town Meeting member John Arena, Kara Deyermenjian from Reading Patch, Melissa Russell from the Reading Advocate, and recording secretary Abby McCabe. There being a quorum the FINCOM meeting was called to order at 7:07 PM. The FINCOM Chair, Ms. West, gave a brief summary of the past few budget meetings over the last several weeks. The FINCOM has heard presentations and alternative budget proposals from the Conservation Commission, Board of Assessors, and the Board of Library Trustees. The Board of Assessors requested that the seasonal appraiser position be funded because it is not currently in the Town Manager's FY 12 budget. There is also a $103,000 gap between the School Committee's approved budget and the Town Managers budget. The Finance Director/Assistant Town Manager, Mr. LeLacheur, noted that the Trails Committee has also asked for $1,500 for maintaining Reading's trails. FY12 Budget: Review Mr. LeLacheur explained that the Town still does not know the final figures for next year's State Aid but staff has begun to discuss budget priorities if the legislature comes back with more money then Reading has currently budgeted for in:FY12. Staff priorities if the Town received an.additional $150,000 in State. Aid would be $6,500 into the Finance Department expenses to purchase technology supplies and parts; $6,500 to increase the Community Services clerical position from 0.8 FTE to 1.0 FTE; $4,000 into Community Services Expenses for animal disposal cost and professional development costs; $30,000 into Public Works expenses to buy equipment and materials to patch potholes in the cold weather and $103,000 to the School Department budget. If the Town were to receive an additional $150,000 from the State, staff would recommend $75,000 to the vocational school accommodated expenses and $75,000 for DPW fuel expenses. The School Committee requested that the school department budget line items be tabled to Wednesday's meeting when the School Committee is able to attend because there is a meeting conflict tonight. FINCOM agreed to hold the vote on the school and enterprise budgets until Wednesday's meeting. FINCOM had a discussion about the staff budget priorities described by Mr. LeLacheur. Several questions focused on the $30,000 for the public works expenses. The DPW Director explained that the equipment to patch the pot holes is $25,000 and $5,000 would be for the materials and tools. FINCOM discussed the $75,000 for the vocations schools. The Town Manager explained that this figure covers three potential new students at Minuteman Vocational school.. The Town, will not know the exact student enrollment at Minuteman until the start of the school year in the fall. Mr. LeLacheur explained that they recently learned that three students were given permission from the Superintendant to attend the vocational school but there is 1 still an application process and it is not known if they will actually attend at this point in time. In response to a question about State aid Mr. LeLacheur said that Reading's budget is very conservative and State aid is not likely to come in less than what has been budgeted. Mr. Fardy asked if the Seasonal Appraiser position would be shared with another community. Mr. Hechenbleikner said that was not likely especially by July 1st. The Committee discussed increasing the 0.8 Community Services Clerk position to 1.0 and how to increase the three administrator positions to 20 hours per week since this budget includes a reduction to the Conservation Administrator, Health Administrator and Elder Services Administrator position. Increasing the three positions to 20 hours a week would make the positions eligible for health insurance benefits. The Committee also discussed the $28,000 request from the Library Board of Trustees. The $28,000 request will help the library meet the State requirements to be accredited. The Committee was told that the costs to maintain Saturday hours at the library would be approximately $18,800. Mr. Berman asked if the Library revolving fund could be expanded to accept the Library room rental fees directly instead of the fees going into the General Fund. Library room rental fees were just over $600 last year. Room rental fees were discussed and it was the consensus of FINCOM that these rates, should be raised for the library as well as other, public buildings. The State does have a waiver process available to community library's facing budget shortfalls that may jeopardize the accreditation. The Town Manager noted that over 100 libraries were granted the waiver last year and were generally granted..in communities where the library's budget was not directly targeted for budget cuts. FY12 Budget Votes: 7 Mr. Greenfield, the line B99 Benefits by a vote of 9-0-0. No further discussion by the Committ Mr. Greenfield, seconded C99 Capital by a vote of 9-0-0. There was a brief discussion about the capital budget for FY13 and FY14. On . a motion by Mr. Berman, seconded by Mr. Walsh, FINCOM voted to recommend $6,063,446 in line D99 Debt by a vote of 9-0-0. No further discussion. FINCOM decided not to vote on the vocational education budget line E99 until Wednesday when the School Superintendent would be present for further discussion. On a motion by Mr. Levne, seconded by Ms. Perry, FINCOM recommended $212,611 in line G91 for Town Administration Wages by a vote of 9-0-0. No further discussion. On a expensesbv a vote of 9-0-0. No further discussion. On a motion by Mr. Walsh, seconded by Mr. Dockser, FINCOM recommended $156,779 in line H91 for Accounting Wages by a vote of 9-0-0. No further discussion. On a motion by Mr. Torman, seconded by Ms. Perry, FINCOM recommended $1,300 in line H92 for Accounting Expenses by a vote of 9-0-0. No further discussion. Mr. LeLacheur reminded FINCOM about the Board of Assessor's request for $23,000 for the seasonal appraiser position, which was not included in the budget. On a motion made by Mr. Dockser, seconded by Mr. Greenfield, FINCOM recommended $1,089,226 in line 191 forYinance Wages by a vote of 9-0-0. No further discussion. 2 On a motion by Mr. Levne, seconded by Mr. Walsh, FINCOM recommended $451,700 in line 192 for Finance Expenses by a vote of 9-0-0. No further discussion. A motion was made by Mr. Greenfield, seconded by Mr. Walsh, to approve $150,000 in line J92 for FINCOM Reserves. Mr. Berman made an amendment to the motion to reduce line J92 by $18,000, seconded by Mr. Dockser, to put towards the Library to maintain Saturday hours. Mr. Dockser made an amendment to the amended motion, seconded by Mr. Fardy, to reduce FINCOM Reserves line J92 by an additional $6,521 to put towards the Community Services Wages in line K91. Discussion: The Committee discussed the funding for staffing levels for the Library and Community Services departments. Mr. Greenfield and Mr. Torman were not in favor of taking money from FINCOM's free cash funds to put towards the library at this time. Mr. Walsh was supportive of the library hours but not increasing the Community Services increase. Ms. West suggested the funds could be taken from the DPW trash removal line item to support these items because the Town may see a decrease in this budget item with the recent implementation of the new recycling program. The Committee was supportive of this suggestion and both Mr. Berman and Mr. Dockser withdrew the motion to reduce the FINCOM Reserve line J92 by $18,000. The Library Director answered questions from the Committee about volunteers, total staffing levels and the library hours. The Committee requested that the Library; access the current staffing model for potential efficiencies or wider use of volunteers in the future. Mr. Hechenbleikner responded to questions about the Community Services positions and how they would be staffed if the position were not benefited. The Town Manager explained that the Town is required by State law to. offer health insurance to employees working 20 hours per week. He did not expect part time positions to become a trend at Town Hall. Mr. Dockser and Mr. Fardy withdrew the motion to decrease the FINCOM Reserves line J92 by $6,521. FINCOM recommended $150,000 in line J92 for FINCOM Reserves by a vote of 9-0-0. seconded by Mr. Walsh. On'a motion by, Mr. Berman,. seconded by Mr. Dockser, the motion was amended to reduce line M95 by $18,000. An additional amendment was made by Mr. Dockser and seconded by Ms. Perry to reduce line M95 by an additional $6,521. FINCOIVI voted 8-1-0 (Mr. Greenfield opposed) to recommend the first amendment ($18,000 reduction). FINCOM voted 5-4-0 (Ms. West, Mr. Greenfield, Mr. Torman and Mr. Berman opposed) to recommend the second amendment ($6,521 reduction). FINCOM recommended an amended amount of $1,472,159 in line M95 for Public Works Street Rubbish by a On a motion by Mr. Greenfield, seconded by Mr. Dockser FINCOM recommended $767,480 in line K91 for Community Services Wanes of the FY12 budget by a vote of 7-2-0. No further discussion. On a motion by Mr. Fardv, seconded by Mr. Berman, FINCOM recommended $237,499 in line K9: No further discussion. On a motion by Mr. Fardv, seconded by Ms. Perry, FINCOM recommended $987,717 in line L91 for Library wages by a vote of 9-0-0. No further discussion. On a motion by Mr. Levne, seconded by Mr. Torman, FINCOM recommended $253,813 in line L92 for Library Expenses by a vote of 9-0-0. No further discussion. On a motion by Mr. Berman, seconded by Mr. Walsh, FINCOM recommended $2,289,710 in line M91for Public Works Wages by a vote of 9-0-0. No further discussion. 3 On a Motion by Mr. Torman, seconded by Mr. Fardy, FINCOM recommended $731,930 in line M92 for Public Works Expenses by a vote of 9-0-0. No further discussion. On a motion by Ms. Perry, seconded by Mr. Fardy, FINCOM recommended $565,000 in line M93 for Public Works Snow & Ice by a vote of 9-0-0. FINCOM discussed the history of how much has been budgeted for snow and ice in the past and how often the Town is under or over budget. In the last decade there have only been two years when there was a surplus in this budget item. Ms. West pointed out a possible disincentive to increase the budget because the state may direct funds back to communities based on the amount over budget their snow & ice accounts are this year. On a motion by Mr. Fardy, seconded by Mr. Leyne, FINCOM recommended $253,575 in line M94 for Public Works Street Lights by a vote of 9-0-0. No further discussion. for Public Safety Wages by a vote of 9-0-0. No further discussion. 7.595.269 in line N91 On a motion by Mr. Greenfield, seconded by Mr. Berman, FINCOM recommended $366,014 in line N92 for Public Safety Expenses by a vote of 9-0-0. No further discussion. Town Meeting Warrant & Votes: Article 8: The Town Manager explained that this article would authorize the Board of Selectmen to acquire temporary and permanent easements necessary to construct the Safe Routes to School Infrastructure Project (SRTS). The project will improve pedestrian and bicycle access around schools. FINCOM discussed curbing, snow shoveling and the easements. The valuations of this property are still pending. On a motion by Mr. Walsh, seconded by Mr. Torman, FINC'OM voted 0-0-8 on Article 8 (Mr. Greenfield not voting). If more information is available. before Town Meeting, FINCOM will re-vote this Article. Mr. Walsh volunteered to write the Town Meeting report. Article 9: Article 9 is for Town Meeting to accept Pondview Lane as a public way. The Town Manager said all work has been completed and informed the FINCOM-where this was located. In terms of funds, there may be ten payments of $1 each. On a motion by Mr. Torman, seconded by Mr. Fardy, FINCOM voted to recommend Article 9 as written by a vote of 9-0-0. Mr. Greenfield to prepare the report. Article 13: This article would authorize the Board of Selectmen to enter into a lease agreement for the Burbank Ice Arena indoor skating rink. The Town Manager further explained the history of the Burbank Ice Arena and its benefits to the Town. On a motion by Mr. Greenfield, seconded by Mr. Berman, FINCOM voted to recommend Article 9 as written by a vote of 9-0-0. Mr. Berman to prepare the report. Article 14: The Town Manager explained that this article addresses the revolving funds for Town Departments and briefly reviewed the background for each fund which includes Conservation Consulting, Inspections, Health Clinic, Library Materials Replacement, and the Mattera Cabin operating revolving funds. The Town Manager explained that the funds listed are the maximum expenditures allowed. On a motion by Mr. Torman, seconded by Mr. Walsh, FINCOM voted to recommend Article 14 as written by a vote of 9-0-0. Mr. Torman to prepare the report. 4 Article 24: Article 24 authorizes expenditure of the Affordable Housing Trust Fund. The Affordable Housing Trust Fund currently has a balance of $458,017 and the Town has negotiated providing up to $400,000 to Oaktree Development for their project at 30 Haven Street that would include 11 affordable units. The Committee asked several questions about the purpose of the Fund and how it has been used in the past. Members of FINCOM expressed concern about providing funding to the development of 30 Haven. The Town Manager explained that the Housing Authority and the Selectmen are the Trustees for this Fund but they do not vote until after Town Meeting and noted that they are currently reviewing the Oaktree financial information to validate the request. Mr. Berman asked if there were other options the Town could provide to Oaktree other than using a majority of this Fund. It was the consensus of FINCOM to continue this discussion until Wednesday's meeting. Mr. Greenfield requested that any additional financial information be presented to the Committee. Article 17: Ms. LaPointe explained that the State law has changed that has allowed Reading to increase the annual allowance for widow(er)s of disability retirees to increase to $9,000 from $7,000. This arulual allowance has stayed at $7,000 since 1996. The Reading Contributory Retirement Board voted unanimously to accept this supplemental annual allowance. This would be in the FY13 budget and not the FY12 since it is an annual payment. On a motion by Berman, seconded by Mr. Walsh, FINCOM voted to recommend Article 17 as written by a vote of 9-0-0. Mr. Dockser toprepare the report. Article 4: Article 4 is to amend the FY11-FY20 Capital Improvements Program (CIP). Mr. Le.Lacheur explained that this Article is included in every Town Meeting Warrant. The amendments'include the library renovations project, funding and the cemetery garage design study. Projects must be stated in the CIP and approved by Town Meeting in order for the projects to be implemented. On a motion by Mr. Greenfield, seconded by Mr. Torman, FINCOM voted to recommend Article 4 as written by a vote of 9-0-0. Article 7: Article 7 authorizes expenditures of the Chapter 90 funds for road improvements. Ms. LaPointe explained that the State requires a Town Meeting vote to spend the Chapter 90 funds. On a motion by Mr. Walsh, seconded by Mr. Berman, FINCOM voted to recommend Article 7 as written by a vote of 9-0-0. Mr. Leyne to prepare the report. On a motion by Mr. Levee, seconded by Mr. Fardy, FINCOM voted 9-0-0 to adjourn at 10:27 PM. Respectfully submitted, Recording Secretary 5 Association of Town Finance Committees One Winthrop Square, Boston, MA 02110 617-426-7272. www.mma.org join us for a workshop this spring. The ATFC is offering 3 FREE educational sessions.in May. Thursday, May 5 Amherst Town Hall, Town Hall Room Budgeting 101 Good budgeting is fundamental to successful local government, particularly during tough economic . times. This workshop will cover the basic revenue and spending building blocks of municipal finance, including budget timelines and key events. Speakers: Sandy Pooler, Amherst Pinance Director and Al Tosti, ATFC Treasurer and Arlington Finance Committee Chair 5:00 p.m. Check-In, Sandwiches and Beverages 5:30 -7:00 p.m. Presentation, Q&A Tuesday, May 17 MMA Office, Boston State House Round-Up This will be an overview of the current legislative and budget happenings and how they affect municipal budgets. Robertson and other legislative staff will also answer specific questions you have. Speaker: John Robertson, MMA Deputy Legislative Director 11:30 a.m. Check-In, Sandwiches and Beverages 12:00.-1:00 p.m. Presentation, Q&A Thursday, May 26 Ipswich Town Hall, Selectmen's Meeting Room A Primer on Early Retirement and Pension Expenses This session will be an overview of the costs/management of early retirement and pension expenses and the impact on municipal budgets. Speaker: Dan Sherman, Actuary and Consultant at Buck Consulting and chair of the Wakefield Finance Committee 5:00 P.M. Check-In, Sandwiches and Beverages 5:30 -7:00 p.m. Presentation, Q&A Registration: Please register me for May 5, Amherst _May 17, Boston ' _May 26, Ipswich Name and Title: Name and Title: Community: Email (a confirmation notice will be sent): Return form to MMA at 617-695-1314 or by email to dcosta@mrna.ore Directions to both meetings are on the reverse side and at www.mma.org Ipswich Town Hall 25 Green Street, Ipswich, MA Take 1795 north and continue on 1-95 at the split with Rt. 128. Go to Exit 50. Take Rt.' 1 north through Topsfield to Ipswich Road (clearly marked). Right on Ipswich Road to the center of town (about 5 miles). Ipswich Road becomes Topsfield Road after crossing into Ipswich and becomes Market Street in Ipswich center. At the intersection of Market and. Central Streets, go straight up the steep hill past the Library and turn right on Green Street. Second option: From 1-95 north, take Rt. 128 at the split. Follow Rt. 128 north to Exit 20A. Take Rt. 1 A north to the center of Ipswich. Go right at the intersection of Central and Market Streets, up the steep hill to Green Street. Right on Green St. to Town Hall. This route usually.has more traffic than 1-95/Route 1. MMA Office One Winthrop Square, Boston, 2"d Floor r By Public transportation ® Commuter rail trains into North Station. You may take the Orange Line from North Station to the Downtown Crossing stop. ® The MBTA Orange Line to Downtown Crossing stop (3-5 minute walk). ® The MBTA Red Line to Downtown Crossing stop (3-5. minute walk). ® Commuter rail trains into South Station (5-7 minute walk). Walking from public transportation From Summer Street, take either Otis Street or Devonshire Street. One Winthrop Square is one block down. Amherst Town Hall 4 Boltwood Avenue, Amherst, Town Hall Room From the West: MA Pike (1-90) E towards Boston 35 miles; Exit 4,1-91, N toward Holyoke 14.5 miles; Exit 19 merge onto MA 9E/Bridge St/State Route 9E 6.1 miles. Turn Left at S. Pleasant Street, first right onto. Spring Street and 1 left onto Boltwood Avenue. Town Hall is on your right, corner of Main and Boltwood Avenue. From the East: Route 2 to Route 202 S /Daniel Shays Highway 12.5 miles; Turn Right on Amherst Road 4.2 miles; Continue onto West Pelham Road 1.2 miles, continue onto Main Street; Turn left onto Boltwood Avenue. Town Hall is on your left. From the North: Take 1-91 S to Exit 24 for US-5/MA-10 toward Whately/Deerfield. Turn Left at MA- 116 S/Sunderland Road; turn left at MA-116 S/MA-9E/Russell Street; turn left at S. Pleasant Street, First Right onto Spring Street, First left onto Boltwood Ave. Town Hall is on the corner of Boltwood and Main Street. From the South: Take 1-91 N towards US-20 W/W Springfield/Westfield. Follow directions from the . West, exit 19. There are many 2-hour meters on the streets surrounding town hall. There are also 2 parking garages near town hall. Do not park in the marked town permitted parking spots.