HomeMy WebLinkAbout1989-10-12 Finance Committee Minutes MINUTES OF Tee
R E A D I N G F I N A N C E C O M M I T T E E
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This meeting of the Reading Finance Committee was held at the Pearl
Street School and was called to order by Chairman gill Burditt at
7:30 PN on October 12, 1989.
Members Present: Bill Burditt, Chairman
Liz Greene, Vice Chairman
Nick Agneta
Dick Coco (arrived late)
Don Allen
Gerry MacDonald (arrived late)
Nate White
Also Present: Richard Foley, Town Accountant
Beth Klepeis, Town Treasurer
Nils Nordberg, Assessors Office
Yano Tine, Assessors Office
Maria Silvaggi, Reporter, CHRONICLE
I. BUSINESS
A. Transfer from Reserve Fund/Assessors Non-Personal Expenses
a Nils Nordberg addressed the Committee in explanation of the need
for a Reserve Fund Transfer. Mr. Nordberg announced that Bill Locke
had resigned from the Board of Assessors. This leaves only one
Board Manager with experience in revaluation hearings.
a In order to complete the hearings in a timely fashion, the Board
feels that outside, experienced consultants should be contacted to
assist in conducting the hearings. (The Board being the Board of
Assessors). It is extremely important, according to Mr. Nordberg,
to have the hearings completed with dispatch.
a By having the work done properly, Mr. Nordberg suggests that a
savings can be realized in reducing abatements and consequent
payments from the overlay.
a Mr. Nordberg spoke in recommendation of a transfer of $16,000 to
be made from the Reserve Fund into the account of "Assessors Non-
Personal Expenses".
a Mr. Nordberg spoke in recommendation of a transfer of $2,114.00
from the Reserve Fund into the account of "Interest on Property Tax
Abatements".
a Mr. Nordberg announced that Yano Tine is now Division Head.
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s Questions and answers were exchanged by Committee members and the
members representing Board of Assessors.
o Liz Greene questioned impact of estimate on just 5 days a week,
eliminating Saturdays.
Motion: Liz Greene moved to approve the Reserve Fund
transfer of $16,000 to Assessors Won-Personal
Expenses Account.
Don Allen seconded this motion.
Motion: Don Allen moved to amend the amount to $12,000
from the Reserve Fund to Assessors Won-Personal
Expenses Account.
Nick Agneta seconded this motion.
Vote: 5 - O - 0 approved (Mr. Coco and Mr. MacDonald absent)
Motion: Nate white moved to approve the Reserve Fund
transfer of $2,114 to the Interest on .Property Tax
Abatements Account.
Gerry MacDonald seconded this motion.
Vote: 6 - 0 - O approved (Mr. MacDonald present at this vote)
a Members of the Board of Assessors adjourned from this meting at 8:15 PM.
B. COMMUNICATIONS
s Bill Burditt- received notification in the mail that a room tax is
now available for hotels, motels and bed and breakfasts.
a Departmental Payable bills were cited by Chairman Burditt for sig-
nature of Finance Committee.
a Millman and Robertson (actuarial study plan) had a fee of $5118.51.
This document was signed by members of the Committee for payment.
a Peat, Marwick, Main and Company (audits) had a fee of $12,000.
This document was signed by members of the Committee for payment.
a Richard Foley, Town Accountant announced that the Three-Year Cycle
is now at an end for Audit Services. (chairman and vice-chairman of
Finance Committee are members of the Audit Committee).
• Mr. Foley presented suggested fees for next Three-Year Cycle.
• Fees: $37,000, $38,500, $40,000.
• Don Allen would like to see some more competitive prices come in.
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• Nate White was in agreement with Doo Allen in requesting competitive
pricing before making a decision for the peace of mind of the Finance
Committee, who are representatives of the Community.
C. PRESENTATION
A. Summary of Pension Reform Bill, Chapter 697
• Beth Klepeis took the floor in explanation of this bill to the
Committee Members. Beth is Reading's Town Treasurer.
• Beth cited a great many local option possibilities in this bill.
This must be accepted by the time Town Meeting meets. (All the
major Boards in the Tow are addressed, i.e., Municipal Light
Board, Water/Sever Department, All Town Employees,other than teachers).
• Tow employees do not participate in Social Security. This fact
was brought up by Tow Accountant to remind Fincom.
a Explanations were given by Ns Klepeis in the following areas of
regard and concern:
• Supplemental Dependent's Allowance
• Service Period for Ordinary Disability
• Contributions After Age 70
• Removal of the $30,000 Salary Cap
• Fitness and Well Program Option
• Mr. Foley received the Actuarial Study this day, but must send back for
corrections .
• Here, Don Allen contributed to the pro and con discussion.
D. ARTICLE 3/AMENDING CAPITAL IMPROVEMENT PROGRAM
• Bill Burditt make the announcement that Superintendent Munnally of
the School Department would like to speak before the Finance Committee
before the 23rd.
• Bill distributed Revenues and Expenses sheets at this time to the
Committee to peruse.
• In Bill's literature, he had taken figures for FY 91 Revenues and-came
up with the fact that all Free Cash is consumed. Figures were broken down
in projections without override — then projections with override.
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• Bill made some facts more known to the Committee. One noted fact
mentioned was that in order to keep all Personnel now held by the
Town, the Community could be facing a 21. million override. General
override then gets into tax base.
• Nate White claims that someone needs to take a definite stand in the
situation - override or no override .
a Override/no-override discussions followed the presentation of pro-
jections offered by Chairman Bill Burditt. .
• Bill made mention of the fact that the date of January 29, 1990 is
the date the budget shall be presented to the Finance Committee.
(This is six weeks before Town Meeting, April 9, 1990).
a All Committee members agreed that the budget season approaching
will be intense and most Community dwellers do not really compre-
hend what is necessary to balance-cut. This will not be as intense
a budget year as was last year if the Finance Committee and Board
of Selectmen inform the Community, the Voters ahead of time what
they should expect.
II. ADJOURNMENT
m This meeting of the Finance Committee was adjourned at 10:05 P.M.
J
ally subm' d,
/Finne Cary,
ING FINANCE COMMITTEE
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