HomeMy WebLinkAbout2012-03-28 Finance Committee MinutesFinance Committee Meeting tt E C E I V E D
March 28, 2012 I O W N CLERK
-. iDING. f i ,r ss.
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 AM &* Bpry 1 11man,
FinCom members Marie Ferrari, Mark Dockser, Paula Perry, Harold Torman, and Jeanne
Borawski, Town Manager Peter Hechenbleikner, Assistant Town Manager/Finance Director Bob
LeLacheur, Office Manager Paula Schena, Superintendent of Schools John Doherty, Mary Delai,
Community Services Director Jean Delios, School Committee Chairman Chuck Robinson,
Selectman John Arena, Public Works Director Jeff Zager, and Public Works Business
Administrator Jane Kinsella.
Debt Refinancing and Capital Update
Mr. LeLacheur noted that with the refinancing we saved $502,000 inside the levy and $3,861,000
outside the levy. The impact is about $50,000 left for the budget.
FY13 Budget Discussion
Mr. LeLacheur noted that the School Committee voted $62,000 more than what is available.
Ms. Perry noted that the Library is requesting an additional $4000 for software and licenses. Mr.
Berman asked if there is a priority list for additional items and Mr. Dockser indicated snow and ice.
Mr. LeLacheur noted that all of the departments have wish lists, but are not asking because they
were told to build their budget at 2 %. He also noted that the Library has a fund with $100,000
available for items such as those.
Mr. Berman asked what the $62,000 school deficit was for and Mr. Robinson indicated the School
Committee approved the Superintendent's budget which has an increase in guidance of 2.9 %.
Ms. Borawski indicated she is comfortable with the school budget but asked if the revenues do not
improve by FY15 if user fees will be increased. Mr. Robinson indicated the athletic fees were
increased 3% two years ago.
Mr. Arena asked about the $62,000 deficit and Mr. Robinson indicated the Financial Forum
guidance was to build the budget at 2% but what they really need is 2.9% so that is what the School
Committee voted.
The consensus of the Committee was to support the School Department budget as voted because it
was a well thought out budget.
Fincom Vote FY13 Budget
A motion by Dockser seconded by Perry to approve the School Department FY13 budget of
$37,053,287 was approved by a vote of 7 -0 -0.
A motion by Berman seconded by Torman to approve line G91 Town Administration Wages
in the amount of $217,279 was approved by a vote of 7 -0 -0.
A motion by Torman seconded by Berman to approve line G92 Town Administration
Expenses in the amount of $491,350 was approved by a vote of 7 -0 -0.
Finance Committee Minutes — March 28, 2012 — page 2
A motion by Ferrari seconded by Dockser to approve line H91 Accounting Wages in the
amount of $159,709 was approved by a vote of 7 -0 -0.
A motion by Ferrari seconded by Berman to approve line H92 Accounting Expenses in the
amount of $1,100 was approved by a vote of 7 -0 -0.
A motion by Berman seconded by Borawski to approve line I91 Finance Wages in the amount
of $1,108,433 was approved by a vote of 7 -0 -0.
A motion by Perry seconded by Torman to approve line I92 Finance Expenses in the amount
of $511,350 was approved by a vote of 7 -0 -0.
A motion by Berman seconded by Dockser to approve line J92 Fincom Reserves in the
amount of $150,000 was approved by a vote of 7 -0 -0.
A motion by Perry seconded by Torman to approve line K91 Community Services Wages in
the amount of $729,282 was approved by a vote of 7 -0 -0.
A motion by Perry seconded by Berman to approve line K92 Community Services Expenses in
the amount of $415,050 was approved by a vote of 7 -0 -0.
A motion by Ferrari seconded by Berman to approve line L91 Library Wages in the amount
of $1,007,579 was approved by a vote of 7 -0 -0.
Mr. LeLacheur noted that the first two items in the Library wish list belongs in the Library budget.
The other items belong in the technology budget because we are trying to centralize technology.
The Library has $100,000 in state aid to use on expenses and they have full control of the money.
Berman moved and Torman seconded to approve line L92 Library expenses in the amount of
$283,000. A motion by Perry seconded by Dockser to increase that amount by adding $2790
failed by a vote of 3 -4 -0 with Greenfield, Borawski, Ferrari and Torman voting against. The
main motion was approved by a vote of 7 -0 -0.
A motion by Perry seconded by Dockser to approve line M91 Public Works wages in the
amount of $2,348,947 was approved by a vote of 7 -0 -0.
A motion by Torman seconded by Ferrari to approve line M92 Public Works expenses in the
amount of $805,400 was approved by a vote of 7 -0 -0.
A motion by Berman seconded by Perry to approve line M93 Public Works Snow and Ice in
the amount of $600,00 was approved by a vote of 7 -0 -0.
Mark Dockser asked how we know the right amount for snow and ice and Mr. LeLacheur indicated
we go by an average. This is a more realistic amount.
Finance Committee Minutes — March 28, 2012 — page 3
A motion by Perry seconded by Dockser to approve line M94 Public Works Street Lights in
the amount of $200,000 was approved by a vote of 7 -0 -0.
A motion by Perry seconded by Dockser to approve line M95 Public Works Rubbish in the
amount of $1,500,000 was approved by a vote of 7 -0 -0.
A motion by Dockser seconded by Berman to approve line N91 Public Safety Wages in the
amount of $8,092,552 was approved by a vote of 7 -0 -0.
A motion by Perry seconded by Torman to approve line N92 Public Safety Expenses in the
amount of $377,925 was approved by a vote of 7 -0 -0.
Benefits — Mr. LeLacheur indicated there were no changes since the presentation and it includes a
$420,000 to fund OPEB.
A motion by Ferrari seconded by Torman to approve line B99 Benefits in the amount of
$13,329,635 was approved by a vote of 7 -0 -0.
Debt — Mr. LeLacheur noted that the refinance savings has no affect on the operating budget.
A motion by Torman seconded by Berman to approve line D99 Debt Service in the amount of
$4,539,575 was approved by a vote of 7 -0 -0.
Capital — Mr. LeLacheur noted that some items have changed. We have added $58,000 for fire
station floor repairs; $63,000 for curb and sidewalks and monies for 40R. Mr. LeLacheur also
noted that the amount of capital going into the schools is much less due to green repairs.
A motion by Greenfield seconded by Dockser to approve line C99 Capital in the amount o f
$1,937,700 was approved by a vote of 7 -0 -0.
A motion by Ferrari seconded by Torman to approve line E99 Vocational Education in the
amount of $325,000 was approved by a vote of 7 -0 -0.
A motion by Dockser seconded by Berman to approve line W99 Water Enterprise Fund in the
amount of $5,417,954 was approved by a vote of 7 -0 -0.
A motion by Greenfield seconded by Borawski to approve line X99 Sewer Enterprise Fund in
the amount of $5,508,348 was approved by a vote of 7 -0 -0.
A motion by Perry seconded by Dockser to approve line Y99 Storm Water Enterprise Fund in
the amount of $388,312 was approved by a vote of 7 -0 -0.
Article 4 — Mr. LeLacheur noted that Article 4 has been amended to include the monies for the
sidewalks and fire station floor.
Finance Committee Minutes — March 28, 2012 —page 4
A motion by Ferrari seconded by Perry to reconsider Article 4 of the 2012 Annual Town
Meeting was approved by a vote of 7 -0 -0. A motion by Berman seconded by Torman to
accept Article 4 as amended was approved by a vote of 7 -0 -0.
Article 6 — Mr. LeLacheur noted that changes include pension assessment of $13,000 in benefits
and $1500 for overlap for new librarian. He noted that money has been moved back and forth, but
no free cash is being used.
A motion by Greenfield seconded by Ferrari to reconsider Article 6 of the 2012 Annual Town
Meeting was approved by a vote of 7 -0 -0. A motion by Perry seconded by Berman to accept
Article 6 as amended was approved by a vote of 7 -0 -0.
Article 7 — A motion by Berman seconded by Torman to recommend Article 7 of the 2012
Annual Town Meeting was approved by a vote of 7 -0 -0.
Article 9 — Mr. LeLacheur noted that a Harley Davidson has been added and surplus soil /stone from
the Compost Center have also been added to the list.
A motion by Greenfield seconded by Ferrari to reconsider Article 9 of the 2012 Annual Town
Meeting was approved by a vote of 7 -0 -0. A motion by Berman seconded by Perry to
recommend Article 9 as amended was approved by a vote of 7 -0 -0.
Article 14 — We don't have the exact amount yet for the Chapter 90 funds, but will fill in the
amount once we know it.
A motion by Dockser seconded by Berman to recommend Article 14 of the 2012 Annual Town
Meeting in the amount of $600,000 pending finalization by the legislation was approved by a
vote of 7 -0 -0.
Article 19 — Mr. Hechenbleikner noted that the Board of Selectmen voted to set aside $5000 or 2%
for regionalization of administration of the affordable housing.
Approval of Minutes
A motion by Ferrari seconded by Borawski to approve the minutes of March 14, 2012 was
approved by a vote of 7 -0 -0.
A motion by Torman seconded by Ferrari to adiourn the meeting at 9:55 p.m. was approved
by a vote of 7 -0 -0.
Respectfully submitted,
Secretary