HomeMy WebLinkAbout2012-09-24 Finance Committee Packet.... 1..
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FINCOM
Monday, September 24, 2012 at 7.30 PM
Town Hall Conference Room
Printer- Friendly Version
Agenda
Consider Reserve Fund transfer for replacement of West Side Fire Station generator
DRAFT email to Town Meeting members - October Finl Forum & need for FINCOM
members
Minutes
September 10, 2012
September 12, 2012
Town of Reading, Massachusetts 16 Lowell Street, Reading, MA 01867 Website Disclaimer
Virtual Towns & Schools Website
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HEADQUARTERS
READING FIRE DEPARTMENT
Reading, Massachusetts 01867
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GREGORY J. BURNS, Chief
757 Main Street
BUS. Phone: 781- 942 -9181
STA. Phone: 781 -944 -3132
Fax: 781- 942 -9114
TO: Mr. Robert W. LeLacheur, Assistant Town Manager/Finance Director
FROM: Chief Gregory J. Burns
DATE: September 24, 2012
RE: Emergency Generator at West Side Fire Station
The emergency electrical generator is out of service at the West Side Fire Station.
Facilities has hired a vendor to make repairs. However, the vendor was not able to repair
the generator due to the age of the unit and the lack replacement parts. We are currently
waiting for the November Town Meeting to request funds to replace the generator with a
new unit.
As an interim measure, Facilities has installed a plug that would allow us to supply power
to the building using a portable generator. The unit we have is a 6,800 watt generator and
it does not have the capacity to run the entire building, only selected circuits can be
powered. With this arrangement we will only be able to power selected lights, garage
door opener, refrigerator, office computer, radio etc. Heat for the building cannot be
provided with our portable generator.
Facilities has been very responsive with this issue. They have brought in an electrical
contractor to install the temporary generator connection and to identify what circuits can
be provided with our portable generator. Facilities has also developed a plan to reduce
the time it would take to install the new generator once the funds are received. This plan
involves installing a concrete slab and completing the rough the of the gas line in advance
of the November Town Meeting.
I would like to request a transfer of funds to replace the generator from FINCOM prior to
the November Town Meeting. I have several concerns with the current situation. These
concerns include: the potential for serious injury if the temporary generator procedures
are not followed, the inability to supply enough circuits for the building to be stand -alone
(no heat), excessive noise for our neighbors (we need to locate the generator in the alley
next to the building) and the potential for a delayed response. I am also concerned that if
we wait until Town Meeting we will not see the new generator installed until January.
Facilities has estimated the purchase and installation of the generator to be $30,000.
We're Your Friends for Life U
To: Finance Committee
September 20, 2012
The emergency generator at the West Side Fire Station was installed as part of the
original building project in 1957. The existing unit powers the radios, overhead doors,
interior lighting and the plymovent vehicle exhaust system. This unit was scheduled for
replacement in the 2013 capital plan but had been moved until 2015 since it was running
with few issues. This summer the generator began to experience some issues with the
electrical components and the unit could not maintain the proper output. Repairs were
performed to rectify the issue. During August another failure occurred and due to the age
of the unit parts have become hard to find and cost prohibitive to obtain. At this point we
asked to have the replacement added to additional capital for the November 2012 Town
Meeting. As a stop gap we have wired a portable generator to provide the basics. Since
the temporary hook up is not automatic the chance of the station missing a call during an
outage is greater. Therefore we would like to expedite the repair. The new unit will run
most of the building and like the old one transfer power automatically. The new unit will
also run the heating system and the pumps making west side fire fully operational during
an outage.
The cost of the unit will be $30,000.00 installed and once ordered have a 4 week delivery
time. Our plan would be to do the following items in advance of delivery:
Gas piping - Facilities dept. staff
Rough wiring -YES electric
Concrete pad installation -DPW staff
Coring of building for conduits - Facilities dept. staff
Permitting- Facilities dept. staff
Thank you,
Joseph P. Huggins
Director of Facilities
Reading Public Schools
781- 670 -2824 direct line
781- 942 -5436 fax
(5�)
To: Reading Town Meeting members
From: Reading Finance Committee
Date: September 25, 2012
We are writing to you to ask for your assistance in filling out our membership, and to update you on some
upcoming important community-wide meetings.
Our current membership has two openings on the nine - member committee. Please look at the Town's
website for more details on the role and responsibility of the Finance Committee at this link:
h!lp://www.readingma.gov/Pages/ReadingMA BComm/finance. Meetings are held on the second
Wednesday night of each month, and more often during the budget deliberations in March or as needed.
For further information, please contact either Chair David Greenfield (dgreenfieldp_statestreet.com) or
Assistant Town Manager/Finance Director Bob LeLacheur ( blelacheur(2ci.reading.ma.us).
On October 10`h we will be holding our annual Fall Financial Forum at 7pm at the Senior Center (49
Pleasant Street). This meeting will include Board of Selectmen, the School Committee and the Library
Trustees. In addition to the typical financial information we always discuss that will serve as background
for the FYI budget, this year we want to point out three topics: an update on the status of the Library
renovation project; an update on the Killam Elementary School renovation project; and the impacts of and
plans to address a recent vote by the School Committee to pursue Full Day Kindergarten, as well as space
needs created by other programmatic changes. A draft agenda may be found at this link:
hqp:/ /www readingma o� v /Pages /ReadingMA MeetingCaUS01967D2F- 01967E14 ?formid =161
lie)
Also please note the following broad "non - financial" community-wide upcoming meetings that you may be
interested in. All meetings will be held at the Senior Center and begin at 7:30pm:
October 16`h — Overview and public comment on draft Conservation Commission Local By -Law
Regulations which have been revised to streamline and simplify requirements especially for residential
properties.
October 23rd — Town Forest Natural Resource Inventory and Conservation Vision Public Forum.
The Town Forest Committee has been working on a plan with the help of Liz Newlands of the Mass.
Audubon Ecological Extension. This is an opportunity to hear how the plan has progressed and to have a
voice in future planning for this important town owned open space resource.
October 30`h — Open Space & Recreation Plan Public Meeting, overview of draft updated plan which is a
requirement of the State to be eligible for certain open space and recreation grants. Be part of an open
dialogue about the Town's efforts to date and plans for the future.
Date: September 10, 2012
Time: 7:30 p.m.
Place: Coolidge Multipurpose Room
Board of Selectmen Members Present
Steve Goldy, Chair
James Bonazoli
Ben Tafoya, Vice Chair
Rick Schubert
John Arena
School Committee Members Present
Karen Janowski
Hal Croft
Chuck Robinson Arrived at 7:28 p.m.
Lisa Gibbs
Chris Caruso
Rob Spadafora
Conner Traugot, Student Representative
FINCOM Members Present
David Greenfield, Chair
Barry Berman, Vice Chair
Mark Dockser
Jeanne Borawski
Hal Torman
aula Perry
Visitors
Mary Grimmer, resident
Melissa Koster, resident
Barbara Jones, Reading Chronicle
Joint Meeting
School Committee
Board of Selectmen
FINCOM
Staff Members Present
Peter Hechenbleikner, Town Manager
Bob LeLacheur, Assistant Town Manager
Sharon Angstrom, Town Accountant
Staff Members Present
John Doherty, Superintendent
Patty de Garavilla, Assistant Superintendent
Mary DeLai, Assistant Superintendent
Alison Elmer, Director of Student Services
Nadine Wandzilak, Reading Patch
Tom Ryan, Resident
Bill Brown, Resident
Mr. Goldy called the Board of Selectmen to order at 7:30 PM.
The School Committee had already been called to order as they began their meeting at 7:00 PM
Continuation of Elementary Space Study Discussion
Dr. Doherty provided an overview of the discussions the School Committee has had regarding the elementary
space study. He pointed out that programmatic changes are driving the need for space in the elementary
schools. Creation of additional full day kindergarten classrooms, special education district programming, the
maintenance of adequate class size, the growth of the RISE Preschool program and the desire for dedicated art
and music classrooms have contributed to the need for additional space. The commitment to support Fine Arts
programing, space for future programs such as science & engineering, foreign language and 21s' Century skills
are other contributing variables. Dr. Doherty provided an overview of the elementary school enrollment,
reviewing the kindergarten and preschool space needs. He shared that the need for space has been created by a
rN
Finance Committee Meeting — September 10, 2012 — page 2
combination of the desire for additional full day kindergarten and preschool classes, an increase in Special
Education In- District programs and the desire to maintain adequate class sizes and have dedicated art and music
spaces.
Dr. Doherty cleared up misconceptions regarding the RISE preschool program. It is an integrated preschool
program that services students starting at age 3. The preschool must maintain a 51 % -49% ratio with a class size
of 15. The enrollment is constantly changing during the course of the year as children requiring services turn 3
years old. If Reading did not have an integrated preschool the district would have to outplace students to fulfill
their special education needs.
Mr. Greenfield called the Finance Committee to order at 7:45 p.m.
Dr. Doherty turned to the decision to offer full day kindergarten to all students and the implementation of the
process. He reminded the boards that this is an educational decision. It is in the best interest of the children.
He provided information on the benefits of full day kindergarten for all students both academically and
social/emotionally. The Superintendent also is cognizant of the impact full day kindergarten will have on the
budget.
Ms. DeLai reviewed the financial impact of free full day kindergarten. There would be an increase in the
Chapter 70 funding for 320 free full day kindergarten students and the cost of implementing full day
kindergarten for all would include the addition of teachers and para- educators and 4 classrooms.
Mr. Greenfield asked for Chapter 70 funding clarification. Ms. DeLai indicated that the town would not see the
increase in funding until FYI 5. She added that there were funds available from all -day kindergarten that would
help bridge the gap in that first transition year, but that the additional budgetary impact for the first year could
be approximately $625K.
Mrs. Perry asked about second year cost. Ms. DeLai said the staffing cost would remain the same but there
would need to be an increase in the operating budget to cover the offset.
Mr. Bonazoli asked about kindergarten enrollment. Dr. Doherty said there has been a steady increase in the
enrollment for full day kindergarten. He also said that we see enrollment increases entering grade 1 from
children that are coming from other settings.
Mr. Arena asked if the assumption that 95% of eligible kindergarten students attend Reading Public Schools.
The answer was yes.
Ms. DeLai reviewed the space needs. Assuming RISE was not using their current spaces, an additional 10 to 12
classrooms would be needed for the program. She stated that in determining whether to lease or buy modular
classrooms, there appears to be a "break even" point of approximately three years. If the town plans to use the
modulars for three years or more, buying them makes more financial sense. If the town plans for use them for
less than three years, renting them might be the better option. Dr. Doherty interjected that we are hoping to offer
a five full day preschool option with before and after care.
Mr. Berman asked about staff increases at the RISE Preschool. Ms. DeLai said it would depend on enrollment.
Mr. Bonazoli asked what the highest RISE tuition is. The highest tuition is 4 full days at $630 /month. He
asked if we needed to offer tuition based preschool. If we did not offer an integrated preschool the district
would have to outplace students for services.
10
Finance Committee Meeting — September 10 2012 —page 3
Ms. DeLai reviewed the MSBA funding scenario. MSBA has not funded a PreK -K building in the past. The
MSBA has worked with school districts to expand existing facilities for PreK -K. The District would need to
file a statement of interest stating the problem. Core educational space would be the only reimbursable areas.
Each request is reviewed on a case by case basis. She shared information on the North Andover preschool
center and discussed the cost of constructing a new school to replace Killam. The cost for this project would be
approximately $21 - $23 million. She then shared information on the cost of a modular building to be used for
PreK -K. The cost for the building only would be $9 - $11 million. The cost of leasing of modular classrooms
would be $15,000 /year and an additional $20,000 - $30,000 for site preparation per modular. The district could
gain 2 additional classrooms and feels permanent modular construction is preferable to leasing.
Ms. DeLai presented information of Full Day Kindergarten Competitive Grant Funding. One grant opportunity
would be for transitioning to full day which would be $10,000 per half day classrooms and the other is Quality
Full Day K grant which would award $10,000 per full day classroom.
Dr. Doherty provided information received from a recent kindergarten survey sent to families via Edline and
reviewed the short term and long term options. If nothing is done to resolve the space dilemma we will
continue to implement the Superintendent's option and dealing with increased class sizes.
Town Manager Peter Hechenbleikner then reviewed the steps /factors for decision making implementation of
full day kindergarten. Included are the School Committee's decision to implement FDK for all, the
establishment of a School Building Committee, modifications to the Capital Plan and a multiyear plan to the
operating budget.
He went on to review the general steps and which board actions would be needed. He reviewed a decentralized
scenario, which involves additional classroom space at each building and then a centralized scenario which
would involve a separate PreK -K structure. The centralized scenario would take longer and he cautioned that
we would have to be sure to include all needs in the cost estimates.
Mr. Hechenbleikner estimates total capital costs in the $1 M range. He cautioned the group that the Library and
Killam projects are looming. He also reminded the group that there is $400,000 in the FY13 capital plan for
modular classrooms.
Mr. Greenfield voiced concerns about the irresponsible US Congress and looming tough financial decisions that
will be required. Cuts are likely to put more pressure on State budgets to fill the voids and in turn on local
budgets. Financial markets are going to force Congress to make difficult decisions at the same time Reading
would be committing to expanding programs.
Mr. Arena asked if the Chapter 70 funds were an all or nothing. The answer was yes.
Melissa Koster, resident, asked if the decision to offer FDK to all is final. Dr. Doherty said that the School
Committee has authorized the administration to develop a strategy for implementation but no timeline is in
place.
Mr. Hechenbleikner said there is a lot of information and the decision needs to be looked at thoroughly. He
feels it is a community decision and does not feel that implementation in the fall .of 2013 is feasible.
Mr. Goldy asked about the funding. Mr. Hechenbleikner indicated there are a couple of sources through free
cash and possibly the stabilization fund.
LVA
Finance Committee Meeting — September 10, 2012 — page 4
Mr. Schubert asked when the high school bonds will be paid in full and then asked if there was any wiggle room
in the enrollment numbers. There are no signs of significant growth at this point. The district is using the
moderate growth numbers.
Mrs. Janowski asked about the creation of a School Building Committee. Mr. Hechenbleikner feels this is the
direction to go. There are many decisions to be made and we can't jump right in without looking at all of the
data.
Mr. Robinson agreed that a School Building Committee should be formed but the decision to implement FDK
should not be tied into that.
Mr. Hechenbleikner agreed that the decision is ultimately the School Committees but would like full
information before making any decisions.
Mary Grimmer, resident & Owner -Little Treasures School, feels these decisions are hurting small businesses in
town. She does not think FDK and RISE should be considered together. She feels there are many quality and
qualified preschools in town that can provide special education services required by law. She agrees that FDK is
great for the community.
Mrs. Janowski thanked Mrs. Grimmer for her input.
Dr. Doherty pointed out that whatever decisions are made we will need additional space for the 2013 -14 school
year.
Mr. Schubert cautioned that due to the complexity of the problem enough information should be gathered and
communicated to the community. He does not want to be put in a position that the community does not support
whichever direction is taken.
Ms. Perry feels there are some good resources for space in town. The Superintendent agreed and said that he
and the administration were investigating space options in town.
Mr. Berman is in favor FDK but feels that we need to look at every option available. We need to take our time
determining the direction we should go as a community.
Mr. Hechenbleikner feels we need to investigate both a FDK solution and an Early Childhood Center solution.
There is $400,000 in the FY 13 capital plan for modular classrooms.
The discussion turned to the creation of a School Building Committee. The town had a successful model in the
past.
The Town Manager indicated a warrant article would need to be created for the Fall Warrant. He thinks the
Committee should be established following similar criteria as a normal committee with a purpose and 3 year
terms.
Mr. Croft shared a website (nea.org) that had information on the benefit of full day kindergarten.
Mrs. Gibbs felt that both options (full day kindergarten for all and PREK -K Center) should be explored.
Mr. Robinson feels it is important to move quickly getting the information to the community.
Finance Committee Meeting— September 10, 2012 — page 5
Mr. Greenfield reiterated his budgetary concerns. Mr. Dockser would like to look at as many options as
possible.
Ms. DeLai shared information on the make -up of a School Building Committee from the MSBA website.
Dr. Doherty once again reviewed the reasons we are in a space crunch — programmatic changes and the
district's ability to retain special education students in district by creating appropriate programs.
Mr. LeLacheur reminded the group that the warrant closes on the 25h and feels a broadly stated article to
establish the School Building Committee will be adequate.
Mr. Greenfield moved, seconded by Mr. Dockser, to adiourn at 8:35 p.m. The motion carried 6 -0.
Respectfully Submitted
Secretary
NOTE: The minutes reflect the order as stated in the posted meeting agenda not the order they occurred
during the meeting.
C�
Finance Committee Meeting
September 12, 2012
The meeting convened at 7:30 p.m. in the Town Hall Conference Room, 16 Lowell Street,
Reading, Massachusetts. Present were Chairman David Greenfield, Vice Chairman Barry
Berman, FINCOM members Jeanne Borawski, Mark Dockser and Hal Torman; Karen Herrick
arrived 7:50pm. Member absent was Paula Perry. Also present were Town Manager Peter
Hechenbleikner, Assistant Town Manager/Finance Director Bob LeLacheur, Fire Chief Greg
Burns, Police Chief Jim Cormier and Police Business Administrator Andrew Scribner. Appraiser
Victor Santaniello joined the meeting at 8:15pm.
Mr. Greenfield called the meeting to order.
Fire Department
Chief Burns presented an overview of the services offered by the Fire Department, including
Advanced Life Support and Emergency Management. Mr. Torman asked how reimbursement
grants (eg. FEMA or MEMA) flowed back to the Town? Mr. LeLacheur replied that when the
funds come back in the same fiscal year as the original expenses, it is applied as an offset to
those costs. However the reimbursement process can take several months and therefore funds
usually flow back to cash reserves.
Mr. Greenfield asked in non -ALS communities what the process was. Chief Burns replied that
usually those locations contract with a private provider. That unit would then join the local fire
department at a scene, for example. Reading started ALS in 2003, and sometimes gives and
receives mutual ALS aid. He described that there are four groups of firefighters that cover the
24/7 shifts. Each group is staffed with 11 FF, and a 45h FF is available to cover for injuries.
Staffing from a group is used 3 in each of two fire engines; 2 in the ladder truck; and 2 in the
ambulance. He added that Reading's ladder truck was returned today and the warranty would
likely cover the damage from an engine fire, and he again thanked the City of Boston and the
Boston Fire Department for the loan of a ladder truck for several weeks.
Chief Burns reviewed OT figures from his department, and compared it to over a dozen other
communities that Reading typically uses for other comparisons. Mr. Greenfield asked if other
Fire departments combine full time employees with volunteers. Chief Burns said that presents a
problem in attracting, training and retaining quality employees. Ms. Herrick joined the meeting.
Chief Burns stated that the department returned about $27,000 in wages that were surplus in the
FY 12 budget — after the two additional transfers he had requested earlier in the spring. He
described how he used six specific months of OT data that spanned high and low time -off
periods during the past year in order to determine the causes of OT. He added that with the new
software system added last spring (identical to that used by the Police department) future OT
discussions and comparisons would be much easier. The leading cause was time -off benefits,
especially due to long -term injuries. Mr. Berman asked about Stoneham that showed as having
an insurance policy for injuries. Chief Burns explained that policy paid $1,000 per week if a
firefighter were injured on duty. Mr. Hechenbleikner stated that the town had looked at such
disability policies in the past, but in the long run the premiums would be expected to exceed the
l l�
benefits. Chief Burns explained to FINCOM that hiring another `floater' FF to be available to fill
in for injuries would reduce OT, but he could not state that the salary cost could be paid for by
OT savings. The 45h FF was a clear savings in his analysis done a few years ago. Mr. Berman
reminded FINCOM that hiring an extra FF would not be wasted funding even if OT savings did
not pay the full cost. Ms. Herrick asked if OT was a way of doing business. Chief Burns
described that FF average regular hours were 42 /week. Mr. Berman noted that even while calls
for service were increasing, ambulance revenues had declined. Chief Burns explained this was
due to lower reimbursement rates, especially at the federal level and due to MA Health. The
Town had forecast this decline during the annual revenue forecast process for a few years. Mr.
Torman asked about using third party billing, and Chief Burns said this was on his to -do list as
he has gathered RFQs from other communities.
Police Department
Chief Cormier directed FINCOM to page 10 of tonight's packet to a chart that showed Reading
versus those same dozen or so similar communities. By any measure, the OT in Police is
comparatively low, indicating that the department is efficient. A discussion ensued about specific
communities and their OT policies. Chief Cormier referenced a chart that depicted 5,000 OT
hours per year for the past several years. For a staff of 39 that worked out to be about 128 hours
each. He said when there is staff turnover a wage surplus often will help cover some OT
expenses. He noted that of the $25k transfer request requested last spring about $15k turned out
to be surplus and was returned to cash reserves at year end. He also noted the significant long-
term concessions gained through collective bargaining in reducing time off benefits, including
both vacation and sick time available, and how that would put downward pressure on OT. Mr.
Greenfield asked about moving employees' schedules around, and Chief Cormier said he was not
allowed to engage in a practice known as `bouncing' from week to week. However he is able to
make a schedule change for a long -term injury. Mr. Berman asked if other Police departments
use bouncing, and Chief Cormier stated he was not aware of an agency that did that any more.
Mr. Hechenbleikner updated FINCOM on the recent exam where nearly 400 candidates applied
for an opening in the department, and contrasted the hiring process with that under civil service.
In response to a question Chief Cormier stressed that education was the top criteria in the hiring
process. He finished his review of OT and Ms. Herrick asked why Lynnfield was not included.
Both Chiefs agreed it was a much smaller community and not comparable to Reading.
Assessing
Appraiser Victor Santaniello described his background in Chelsea, Melrose and Wakefield to
FINCOM. Currently he is shared between Wakefield and Reading. His background includes
using Patriot software for over ten years — the new system that Reading is installing. He
described his approach to budgeting and handed out a worksheet for FYI to FYI 7. He prefers
to spend funds evenly as often as possible in order to avoid large expenses in a given year.
Mr. Greenfield asked if the Wakefield Board of Assessors (BOA) were elected or appointed. Mr.
Santaniello replied that issue came up two years ago in a Town meeting and the BOA remains
elected. He reports to the Town Administrator on a day -to -day basis but to the BOA on matters
pertaining to assessing. Mr. Hechenbleikner reminded FINCOM the Reading/Wakefield
agreement was an 18 -month trial period which would last through next year's revaluation. If the
arrangement was successful, then Town Meeting in each community would be asked to
formalize it under laws specific to the regionalizing the assessing function.
Mr. Greenfield said he met with state officials to discuss the Reading assessing function, and his
conclusion was that the BOA should be appointed by the Board of Selectmen because they
would be able to staff the BOA with the proper balance of financial expertise. This is in contrast
to the current voting process. He stated that he does not vote for Assessor because he does not
understand the qualifications of candidates relative to the needs of the BOA. Mr. Berman said
clearly there have been communication issues in the past. He sees the larger problem as the
BOA's ability to appoint and direct staff that should be working in harmony with other Town
staff. He said it doesn't matter as much how the BOA members are selected.
Mr. Hechenbleikner asked Mr. Santaniello for an update, and the reply was high praise of Pat
Sullivan and the rest of the office. The inspections are going along well and nearly complete, and
the conversion to Patriot is effectively complete. Mr. Hechenbleikner mentioned the scheduled
October tax classification preview and November hearing and said that FINCOM should have a
couple of members attend.
Liaison Assignments
Mr. LeLacheur reviewed the FINCOM assignments and an overview of the purpose of the
liaison role. FINCOM asked to change a couple of the assignments. Mr. Greenfield reminded
everyone that the Committee was currently short by two members and if anyone had suggestions
to please pass them along.
October Financial Forum
Mr. Dockser asked that all reserve funds, revolving funds and enterprise funds be added to the
discussion of the general fund. FINCOM agreed to email Town Meeting about the upcoming
October Financial Forum, as well as the two openings on FINCOM. Mr. LeLacheur will prepare
the correspondence.
On a motion by Mr. Torman seconded by Mr. Dockser, FINCOM approved the minutes of
August 8, 2012 by a vote of 5 -0 -1 ( Dockser abstaining).
On motion by Mr. Greenfield seconded by Mr. Torman the Finance Committee voted to
adiourn it's meeting at 10:15 p.m. by a vote of 6 -0 -0.
Respectfully submitted,
Secretary
E
Department of Assessing — Budgetary Projections for Valuation Services
Expenses
FY 13
..
FY 14 R
FY 15
FY 16
FY 17 R
Appraisal Svs
$
5,000
$
5,000.
$
5,000
$
5,000
$
5,000
Professional Devp
$
1,500
$
1,500
$
1,500
$
1,500
$
1,500
Publications
$
2,000
$
2,000
$
2,000
$
2,000
$
2,000
Mileage
$
1,250
$
1,250
$
1,250
$
1,250
$
1,250
RE Reval Services
$
-
$
32,500
$
-
$
-
$
32,500
RE Data Recollection
$
92,000
$
-
$
-
$
-
$
-
PP FOL Review and Listing
$
6,500
$
6,500
$
6,500
$
6,500
$
6,500
r(lolw
Department of Assessing — Budgetary Projections for Valuation Services
The cost estimates listed below for the next 5 fiscal years represent a smart spending plan for the
assessing department that, if adhered to, will serve to maximize the utility of each and every
dollar spent on assessing services. This is the plan that I adapted in Melrose and Wakefield to
great success and I do expect similar results for Reading as well.
I'm sure that no one is happy that we are going to spend $92,000 in FY 2013 for Data Collection
services to measure and list approximately 3500 parcels which is necessary to complete a major
requirement of our FY 2014 Triennial Certification however; I do not see where the Town will
ever have to spend money like that again.
The Plan:
The central component to the plan is to have a mix of departmental staff and vendors complete
all necessary projects.
Real Estate Revaluation Services: As you can see, I projected a cost of $32,500 every three
years to have Patriot Properties complete our revaluation. Having them complete all the
necessary state paperwork gives us a clear path to a timely certification. It's similar to buying an
insurance policy since they are the most up to date on the ever - changing state recertification
requirements and communicate regularly with DOR staff and field reps. Their knowledge and
expertise is well- received by the DOR and yields very timely results.
Personal Property Services: The estimated cost for this'service is $6,500 per year. For that
price, Real Estate Research Consultants, Inc. reviews all Forms of Lists provided to the
Assessors by local business owners and tax representatives. They also physically inspect
approximately 100 accounts yearly and list all new accounts. When completed, their expertise
generally results in greater new growth than assessing staff alone can book usually making
several times more than our cost of their services.
Tradeoff:
By having vendors complete these tasks in their respective areas of expertise we are assured of
meeting and exceeding the prevailing DOR requirements for future certifications as well as
maximizing efforts related to new growth. Moreover, it frees assessing staff to implement and
execute an effective data recollection effort in an ongoing and coordinated manner so that we
will never have to dedicate future funds for this project. Also, both vendors will offer assistance
and guidance as needed to resolve valuation issues.
".1;I
G
Finance Committee: Request for Reserve Fund Transfer
To: FINCOM
From: Bob LeLacheur, Assistant Town Manager/Finance Director
Date: September 24, 2012
It is respectfully requested that transfers in the amount of $30,000 be made
from the Reserve Fund to the account shown below which is an unforeseen
or extraordinary expense:
a) Town Facilities capital /West Side Fire Station $30,000 for new
generator (03948582 - 582025 Energy Mgmt).
Current FINCOM Reserve Fund balance: $150,000
Resulting balance if all items approved: $120,000
Town Manager Recommendation: Approve,) Disapprove
Date: Town Manager §igna re:
By a vote of the FINCOM at a meeting held on September 24, 2012 the
transfer(s) for the above purpose(s) in the amount of $30,000 was:
Approved Denied by a vote of:
Finance Committee
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