HomeMy WebLinkAbout2021-09-13 Finance Committee MinutesRECEIVED
Town of Reading TOWN CLERK
Meeting Minutes REAr'INr. MA.
20110CT-4 AM 8:35
Board - Committee - Commission - Council:
Finance Committee
Date: 2021-09-13 Time: 7:00 PM
Building: Reading Town Hall Location: Conference Room
Address: 16 Lowell Street Session: Open Session
Purpose: General Business Version: Final
Attendees: Members - Present:
Chair Ed Ross, Vice Chair Jeanne Borawski, Eric Burkhart, Geoffrey Coram
(remote), Marianne Downing, Jackie McCarthy, Joe McDonagh, Mark Zarrow
Members - Not Present:
Andrew Mclauchlan
Others Present:
Town Manager Bob LeLacheur, Town Accountant Sharon Angstrom, Police
Chief David Clark, Facilities Director Joe Huggins, Karen Herrick
Minutes Respectfully Submitted By: Jacquelyn LaVerde
Topics of Discussion:
This meeting was held in-person and remotely via Zoom.
Chair Ed Ross called the meeting to order at 7:00 pm and reviewed the evening's agenda to
review and vote on the October 181h Special Town Meeting warrant articles, review the
financial articles for the Subsequent Town Meeting in November, approve minutes, and
address some housekeeping items at the end of the meeting. He noted that he would like
to add liaison reports on all future agendas, so members can share just the finance related
items from their assignments. He also announced that the Select Board is accepting
applications for the Town Manager Screening Committee.
Review and Vote on Financial Articles for October 18 Special Town Meeting•
Town Manager Bob LeLacheur reviewed the financial articles on the Special Town Meeting
warrant.
Article 3 is for changes to the Capital Plan. The only change asks for the Capital Plan to be
amended to add $250,000 to be funded at the November Town Meeting for the sewer
station project.
Article 4 is for amendments to the operating budget. The C99 Capital Projects line item is
increased by $385,000. Changes are fully paid for by transferring other funds.
Article 5 seeks debt authorization for $1.5 million for improvements to the Police Station.
The project will be done in two parts: the first part to finish the expansion space to convert
it to an emergency center/conference room/training room, and the second part to convert
the downstairs conference room into office and conference space for the Coalition and Public
Health. Facilities Director Joe Huggins explained that construction costs have increased
dramatically in the last 18 months, and the number includes construction materials,
prevailing wage rates, furniture and fixtures to complete the spaces. Chief Clark explained
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that the Coalition occupies a small office right now, and when a Mental Health Professional
is hired, they will need a spot to sit.
Article 6 seeks debt authorization for $5 million for performance contracting. The Climate
Advisory Committee is hosting a meeting next week where Noresco will have a presentation
on projects that the Town can do to save money and energy. There was a 17% energy
savings, about $400,000 annual savings, as a result of the first phase of performance
contracting. The Committee discussed why some projects were included in the Green
Communities plan, but not included in performance contracting projects. Per Noresco, there
are other projects that can yield savings for the Town, such as solar, that do not meet the
definition for Green Communities. Replacing the boilers at the schools was included in the
Green Communities application because they need to be done, they qualify, and pricing was
guaranteed with the Green Communities application. Karen Herrick expressed concern with
potential changes in law and technology, and being tied to gas boilers for the next 20 years,
while trying to achieve net zero carbon emissions by 2030/2040. Mr. Huggins explained
that the boilers are reaching their end of life and are being replaced with more efficient and
more reliable boilers. To electrify existing buildings, and remove the need for boilers, would
be a much larger project and require a huge amount of money.
Article 7 seeks debt authorization for an additional $2.5 million for the Auburn Street water
tank replacement. The Town could borrow the funds, and use water reserve funds, or ARPA
funds to pay the debt, though the community still needs to have a discussion on how to use
the ARPA funds. Ms. McCarthy asked if an updated comparison of maintenance and
replacement costs could be done given the increase in costs, so that the decision to replace
the tank could be reassessed, as the last comparison was done in 2016. Mr. LeLacheur
noted that the Town Engineer provided a memo that said the cost of painting also increased
and replacing the tank eliminates the need to take communication equipment off every 15
years. The break even factored in future operations and maintenance. Even though the
Town does not need a tank, because it is connected to the MWRA at both ends of town, the
Fire Chief has expressed a desire for a water tank to fight fires without having to rely on
M W RA.
The Select Board needs to discuss Article 9, regarding the purchase of land off of Grove
Street, at their meeting tomorrow evening before the Finance Committee can vote on it.
Mr. Ross volunteered to provide all warrant article reports at Town Meeting.
On a motion by Ms. Borawski, and seconded by Mr. Burkhart, the Finance
Committee voted 8-0-0 to approve Article 3 as written.
Roll call vote: Geoffrey Coram -Yes, Jackie McCarthy -Yes, Joe McDonagh -Yes, Eric
Burkhart -Yes, Mark Zarrow-Yes, Marianne Downing -Yes, Jeanne Borawski-Yes, Ed
Ross -Yes.
On a motion by Ms. Borawski, and seconded by Ms. Downing, the Finance
Committee voted 8-0-0 to approve Article 4 as written.
Roll call vote: Geoffrey Coram -Yes, Jackie McCarthy -Yes, Joe McDonagh -Yes, Eric
Burkhart -Yes, Mark Zarrow-Yes, Marianne Downing -Yes, Jeanne Borawski-Yes, Ed
Ross -Yes.
On a motion by Ms. Borawski, and seconded by Mr. Zarrow, the Finance Committee
voted 8-0-0 to approve Article 5 as written.
Roll call vote: Geoffrey Coram -Yes, Jackie McCarthy -Yes, Joe McDonagh -Yes, Eric
Burkhart -Yes, Mark Zarrow-Yes, Marianne Downing -Yes, Jeanne Borawski-Yes, Ed
Ross -Yes.
On a motion by Ms. Borawski, and seconded by Mr. Zarrow, the Finance Committee
voted 8-0-0 to approve Article 6 as written.
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Roll call vote: Geoffrey Coram -Yes, Jackie McCarthy -Yes, Joe McDonagh -Yes, Eric
Burkhart -Yes, Mark Zarrow-Yes, Marianne Downing -Yes, Jeanne Borawski-Yes, Ed
Ross -Yes.
Ms. Borawski made a motion to approve Article 7 as written, which was seconded by Ms.
Downing.
On a motion by Ms. Borawski, and seconded by Mr. Burkhart, the Finance
Committee voted 7-1-0 to amend Article 7 to indicate that $2.5 million is to be
debt, but explain the flexibility to pay that debt with other funding sources, such
as ARPA funds or water reserve funds, in the future.
Roll call vote: Geoffrey Coram -Yes, Jackie McCarthy -No, Joe McDonagh -Yes, Eric
Burkhart -Yes, Mark Zarrow-Yes, Marianne Downing -Yes, Jeanne Borawski-Yes, Ed
Ross -Yes.
Having been a motion made by Ms. Borawski and seconded by Ms. Downing, the
Finance Committee voted 7-1-0 to approve Article 7 as amended.
Roll call vote: Geoffrey Coram -Yes, Jackie McCarthy -No, Joe McDonagh -Yes, Eric
Burkhart -Yes, Mark Zarrow-Yes, Marianne Downing -Yes, Jeanne Borawski-Yes, Ed
Ross -Yes.
Review Financial Articles for November Subsequent Town Meeting,
Mr. LeLacheur quickly previewed the articles on the November Subsequent Town Meeting
warrant. There are articles for amendments to the Capital Plan and the Operating Budget.
However, there may not be any other changes needed following the October Special Town
Meeting. There will be an article added for prior years bills, and articles for a zoning bylaw,
and a petition bylaw. There is an article to authorize the borrowing of the Northeast
MetroTech Vocational School to build a new school. There will likely be a presentation on
the school at the September 30th meeting.
Upcoming meetings include the Special Town Meeting on Monday, October 18th, Financial
Forum II on Wednesday, October 20th, and a second night for Special Town Meeting if
needed on Thursday, October 21't.
Minutes:
On a motion by Ms. Borawski, and seconded by Mr. Zarrow, the Finance Committee
voted 8-0-0 to approve the meeting minutes of August 31, 2021.
Roll call vote: Geoffrey Coram -Yes, Jackie McCarthy -Yes, Joe McDonagh -Yes, Eric
Burkhart -Yes, Mark Zarrow-Yes, Marianne Downing -Yes, Jeanne Borawski-Yes, Ed
Ross -Yes.
Last Minute Reminders:
Ms. Borawski suggested adding a discussion to the September 30th meeting agenda about
how the decisions about ARPA funds will be made, and who will make them.
On a motion by Ms. Borawski, and seconded by Ms. Downing, the Finance
Committee voted 8-0-0 to adjourn at 8:51 pm.
Roll call vote: Geoffrey Coram -Yes, Jackie McCarthy -Yes, Joe McDonagh -Yes, Eric
Burkhart -Yes, Mark Zarrow-Yes, Marianne Downing -Yes, Jeanne Borawski-Yes, Ed
Ross -Yes.
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