HomeMy WebLinkAbout2021-06-23 Finance Committee Minutes O q� TOWN
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Board - Committee - Commission - Council:
Finance Committee
Date: 2021-06-23 Time: 7:00 PM
Building: Reading Public Library Location: Community Room
Address: 64 Middlesex Avenue Session: Open Session
Purpose: Open Session Version: Draft
Attendees: Members - Present:
Chair Ed Ross, Vice Chair Dan Dewar, Jeanne Borawski, Marianne
McLaughlin-Downing, Joseph McDonagh, Mark Zarrow
Members - Not Present:
Eric Burkhart, Andrew Mclauchlan
Others Present:
Town Accountant Sharon Angstrom, Christopher Haley, Geoffrey Comm,
Jacqueline McCarthy
Minutes Respectfully Submitted By: Jacquelyn LaVerde
Topics of Discussion:
Chair Ed Ross called the meeting to order at 7:02 pm. He recapped the Finance Committee
Appointment Committee meeting last week and welcomed newly appointed member Joe
McDonagh, and new appointees effective July 1a', Jackie McCarthy and Geoffrey Comm.
Though Vice Chair Dan Dewar was not reappointed, Mr. Ross thanked him for his passion
and commitment in his time on the Committee. Mr. Ross stated that there a points about
the appointment process that could be better from a communication standpoint, and at the
next opportunity, he will reengage with the other members of the Appointment Committee.
Liaison Discussion:
Mr. Ross stated that he would like to reintroduce Liaison Reports at future meetings to help
the Committee stay informed.
Ms. Borawski shared a summary of the Audit Committee meeting held last week. The Town
had a completely clean audit and the auditor had a glowing review of the Town's financials
and management. There are upcoming GASB changes that the Finance Director is aware of,
and has already put processes in place.
Town Accountant Sharon Angstrom noted that the Audit Committee had a discussion around
pension and OPEB liability. The pension liability pay-off date might need to be pushed off
until 2031 with the schedule that the Retirement Board just accepted today, as the PERAC
dropped 1h point to 7%. Every two years the assumptions are reviewed from prior
assumptions and actual results to help make the decision for the next time around, which
makes it difficult to predict and subject the table to changes.
Ms. Borawski praised the relationship between the Audit Committee and the auditors. Ms.
Angstrom suggested that the Finance Committee assign a liaison to the Retirement Board.
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Mr. Ross announced that liaison assignments will be on the agenda at the next meeting,
where the Committee can discuss liaison appointments and a cadence for reporting back to
the Committee.
Reserve Fund Transfer Reauest:
Town Accountant Sharon Angstrom presented the request to transfer $135,000 from the
Finance Committee Reserve Fund as follows:
• $50,000 for Legal Expenses
• $75,000 for Essex North Vocational School
• $10,000 for Wood End Playground Improvement
Town Counsel is behind in billing, so the actual amount needed is unknown at this time.
The requested $50,000 is a conservative estimate. If more is needed, a reserve fund
transfer can be approved until July 15th. Any amount not spent will go back to Free Cash.
There was $60,000 budgeted for Essex North Vocational School, but they never billed for
the second installment, and the budget ended up being $75,000 short.
There was $15,000 budgeted for the Wood End playground, which has been sufficient for
similar projects in the past. However, quotes received were for $24,000.
On a motion by Ms. Borawski and seconded by Mr. Dewar, the Finance Committee
voted 6-0-0 to approve the transfer request of$135,000 from the Finance
Committee Reserve Fund to the accounts as presented.
Future Meeting Schedule:
The Committee discussed future meeting dates and agreed on:
• Wednesday, July 14th (If needed for any last-minute FY21 transfers)
• Wednesday, August 1P
• Wednesday, September 29h'
Minutes for Approval:
Ms. Downing noted corrections to the spelling of members' last names.
On a motion by Ms. Downing, and seconded by Ms. Borawski, the Finance
Committee voted 6-0-0 to approve the meeting minutes of April 22, 2021 as
amended.
On a motion by Mr. Dewar, and seconded by Ms. Downing, the Finance Committee
voted 6-0-0 to adjourn at 7:45 pm.
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