HomeMy WebLinkAbout2018-09-26 Finance Committee Minutes Town of Reading
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eoard - Committee-Commission - Council: 2111 OCT I I AM 10: 37
Finance Committee
Date: 2018-09-26 Time: 7:30 PM
Building: Reading Town Hall Location: Conference Room
Address: 16 Lowell Street Session:
Purpose: General Business Version:
Attendees: Members - Present:
Chair Eric Burkhart, Vice-Chair Mark Dockser, Daniel Dewar, Paula Perry,
Shawn Brandt, Anne Landry
Members - Not Present: -
Marc Moll, Paul McNeice, Karen Herrick
Others Present:
Town Manager Bob LeLacheur, Select Board Member Barry Berman,
Administrative Assistant Brendan Sweeney
Minutes Respectfully Submitted By: Brendan Sweeney
Topics of Discussion:
Chair Eric Burkhart called the meeting to order at 7:30 PM.
Mr. Burkhart briefly laid out the agenda for the evening, Identifying planning for October's
Financial Forum as the key objective. Town Manager Bob LeLacheur went through the
tentative schedule for that meeting, which will include an update on the closing out of the
previous fiscal year, a free cash and reserve fund update, revenue projections for FY19, an
examination of the town's accommodated costs, updates on public safety staffing levels,
and a debt &capital discussion. Mr. Dockser recommended that a status update on the
allocation of funds from the recent operational override be presented.
Mr. LeLacheur then brought forth a memo that was discussed at the last Select Board
meeting, which outlined 5 prominent capital projects for the town to tackle in the near
future (School and Town Building Security, Elementary School Space Study, Community
Center, Recreation/Athletic Repairs and Needs, and a new Department of Public Works
Facility). It was mentioned by the committee that an analysis of how funding from the
recent operational override plays into capital spending should be presented.
Mr. Berman mentioned that it may be prudent to explain the concept of free cash at the
forum, given the recent override, so that all citizens are on the same page as town officials.
Ms. Perry outlined the Importance of explaining the "buffer" concept.
Additionally, Mr. LeLacheur suggested that the Financial Forum may be a good time for the
conversation on funding for the Stabilization Fund. Mr. Dockser wondered if FINCOM should
have a definitive stance beforehand, and Mr. Burkhart recommended that the topic be
tabled until FINCOM has had a chance to discuss it at a regular meeting.
Going into further detail on the five potential capital projects, Mr. LeLacheur explained that
a more definitive plan will be put forth at November Town Meeting. Mr. LeLacheur clarified
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some of the funding numbers, but cautioned that the forecasting process can be complex
due to the difficulty in predicting the level of state funding.
In diving into detail on a few of the projects, Mr. LeLacheur noted that money was being
moved from the Permanent Building Committee to the School Committee to kick-start the
process, which is otherwise behind in comparison to the other four projects. The
Community Center will need to be addressed due to space constraints at the current
Pleasant Street Center, and this project may be an area where the Town can get creative
and address multiple needs, such as a youth center or town function hall. Ms. Perry
recommended that the town look at partnering with community organizations to address
space needs as well. The turf field replacements are a high priority project due to the
potentially unsafe conditions that patch-work replacements can cause, as well as the
damage that harsh weather conditions have caused recently.
In response to Ms. Landry's question, Mr. LeLacheur outlined that 5% of the operational
override has been worked into debt & capital planning, and that the town goes into the
planning process in advance of immediate need to avoid acquiring too much simultaneous
debt service obligations.
Mr. LeLacheur noted the capital plan numbers included in the FINCOM packet, and
highlighted further specifics regarding those projects. Mr. Dockser added as well that the
recent High School and Library projects will be coming off the books soon. Mr. LeLacheur
mentioned how new growth in town could work favorably towards these numbers also. Mr.
LeLacheur stressed how important a collective approach from the town will be in order to
avoid a mentality of competing interests, and Mr. Berman highlighted how important it will
be for all of the boards and committees to collaborate going forward in order to ensure this.
Mr. LeLacheur then went into detail about the FEMA grant that the fire department was just
awarded, which will help fund staffing levels in the department over a three year period.
This was an area addressed by the override, however, and thus presents a scenario where
extra funding exists (a good problem to have). Multiple ideas were Floated on how to move
forward, with moving the funding to another program such as RCASA, and returning the
money to the taxpayers suggested. Mr. LeLacheur explained the Intricacies of how such a
maneuver by the town would affect the tax levy, and he mentioned that he would speak to
the Assessor and then get back to the committee.
When discussing final suggestions on the coming Financial Forum, Mr. Dockser noted how
important It Is that citizens show up so that they can remain informed and up-to-date on
the Issues affecting the town.
On a motion by Mr. Dockser, seconded by Ms. Perry. the meeting minutes from
Auaust a 2018 were approved by a vote of 6-0-0.
On a motion by Mr. Dockser. seconded by Ms. Landry. the Finance Committee
voted 6-0-0 to adiourn the meeting at 8:59 I.M.
Chair Burkhart adjourned the meeting at 6:59 PM.
Respectfully submitted,
Secretary
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