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HomeMy WebLinkAbout1994-02-24 Finance Committee Minutes Finance Committee Meeting February 24, 1994 The meeting convened at 7:30 p.m. in the conference room, at 16 Lowell Street, Reading, MA. Present were Chairman Richard Coco; Vice Chairman Fred Van Magness; FinCom members Jim Keigley, Bill Murphy, Steve Blewitt, Carol Grimm, Nate White. Member Gerry MacDonald arrived late. Also present were Town Manager Peter Hechenbleikner; Superintendent of Schools Dr. Munnelly; School Committee Chairperson Robin D'Antona; School Committee Members Matt Cummings, George Shannon, Tom Stohlman, Tim Twoomey, Susan Cavicchi and Maria Silvaggi from the Chronicle. Richard Coco indicated that the School Committee and school administration will be meeting with the Town Manager, and The Budget Committee next week regarding their FY95 budget. They are moving in the right direction in order to come to terms with the differences in preparing their budget in comparison to the Municipal budget. i Several members of the Finance Committee were concerned about spending time this evening reviewing the school's budget considering there may be changes made next week. The Town Manager assured the committee that there will not be any drastic changes to the budget it will mostly deal with prioritizing. The School Committee's proposed budget is about $400,000 above the 12/15/93 guidelines. Richard Coco commented that the school committee has been reviewing their budget since December 15, 1993 and that the process of rectifying differences should have been occuring throughout past two months, instead of the last minute. Jim Keigley stated that it is history now and let's just move forward and proceed and if there are changes, there are changes and we will deal with them at that time. On motion by Fred Van Magness seconded by Steve Blewitt the committee voted to approve the February 17, 1994 Minutes as amended. The motion was approved with a vote of 7-0-0. i Finance Committee Meeting February 24, 1994 Page #2 The Finance Committee reviewed the projected revenues for FY95 as presented by the Town Manager. There is no change in income from property tax and there is still $500,000 in unlevied tax. At this time there is $33,709,499 total revenues anticipated. There may be an increase, as much as $231 ,000, with lottery receipts, new growth and abatement surplus, but at this time it is not secure. Dr. Munnelly opened the school committee budget discussion by asking FinCom to be patient in giving the school committee another week to work with the boards and for making adjustments in preparing and presenting their final budget. Things have been changing and we've had to stop and start the process and the state keeps coming through with new information. A request was made regarding employee raises. The schools didn't have any raises in FY92 and FY93, but in FY94 there was a 3.6% increase and in FY95 3.6 or 3.7%. As for the town, FY92 and FY93 was 0%, FY94 2.5% and FY95 one bargining unit has settled at 4.5%. The School Committee has no intent to race and play catch up with the past FY88 and FY89 budgets, but there are major needs that have to be addressed. They took a cut with the thoughts of it lasting 1 year and it lasted 4 years. Some of the issues that need to be addressed are painting, textbooks and staff improvement. Fred Van Magness commented that he understands, but we have a time limit also, and a full calender, and with the school budget upside down it's not making it easier on us. Town Manager Peter Hechenbleikner left the meeting at 8:30 p.m. Gerry MacDonald arrived at the meeting at 8:40 p.m. Questions arose as to how many Metco students there are in the Reading School System. Dr. Munnelly stated that there are 90 students at this time. He also stated that the town receives approximately $110,000 free r Finance Committee Meeting ' February 24, 1994 Page #3 money for having the Metco program. Fred Van Magness questioned the comparisons of additional teachers to the Metco students; is it beneficial to the town to have additional students to increase the enrollment and the need for more teachers? The meeting adjorned for a 5 minute recess at 8:45 p.m. The meeting reconvened at 8:50 p.m. There was an extensive review of a majority of the FY95 School Budget. Questions arose regarding administration salaries, labor counsel, supplies, athletics and enrollments. One topic questioned by FinCom was Sick Leave BuyBack, which entitles a teacher compensation when they retire, if they do not use 100 days of sick leave throughout their employment. There will be 4 teachers leaving in FY95. The school committee is requesting 4 additional teachers due to the increase of enrollments. Bill Murphy requested a list of items that were underspent in the schools FY93 budget. Richard Coco asked the School Committee to have a completed budget package for the next scheduled meeting on March 3, 1994 at 7:30 p.m. The February 28, 1994 meeting will review the Human and General Service budgets. On motion by Jim Keigley seconded by Gerry MacDonald the committee voted to adjorn at 10:25 p.m. with a vote of 8-0-0. Respectfully submitted, (W 'Lisa Zannij Secretary