HomeMy WebLinkAbout2002-05-28 Board of Selectmen Minutes Board of Selectmen Meeting
May 28, 2002
The meeting convened at 7:35 p.m. in the Selectmen's Meeting Room, 16 Lowell Street,
Reading, Massachusetts. Present were Chairman George Hines, Vice Chairman Camille
Anthony, Secretary Matthew Cummings, Selectmen Gail Wood and Richard Schubert,
Town Manager Peter Hechenbleikner, RMLB Chairman William Hughes, Secretary
Allan Ames, Members Robert Soli, Andrew Herlihy, Philip Pacino, RMLD Acting
Manager Vincent Cameron, CAB Member Roger Lessard, North Reading Selectman Joe
Veno, Lynnfield CAB Member Arthur Carakatsane.
Discussion/Action Items
Meet with the RMLD re: Review RMLD Governance Study - Chairman George Hines
welcomed the RMLD people at the meeting. The Town Manager reviewed a draft policy
establishing an Advisory Committee on the Governance of the Reading Municipal Light
Department. Chairman George Hines noted that this is a draft for discussion purposes,
and the Board hoped to have dialogue on this matter this evening.
RMLB Chairman William Hughes noted that he had met with Chairman George Hines to
establish a dialogue. He is upset and perplexed. He thought that the Advisory
Committee was going to be five people from the Board of Selectmen and five people
from the RMLD. He asked where the authority is given to establish such a committee.
Chairman George Hines noted that the Board of Selectmen is permitted to establish such
committees by the Reading Home Rule Charter.
Bill Hughes felt that it would have been "professional" for George Hines to call. He
would like all persons attending to have the opportunity to speak. Mr. Hughes noted that
the Reading Municipal Light Department is the largest single municipal utility in New
England. It has the requirements to serve customers in four communities. The Board
of Commissioners is voted in by Reading voters. They are required to act in the best
interests of the rate payers. The employees who created the problems are gone and
policies are being examined.
The objection is to the word "investigate" in the proposed policy— is it just to be changed
to review (the word investigate does not appear in the policies.) He feels the Light
Department needs a General Manager now. The new General Manager will have a
contract but will not have the loopholes that existed in the past contract. The Light Board
Members feel that they were betrayed by the previous General Manager.
Vice Chairman Camille Anthony asked how the culture got established at the Light
Department. She feels that you just can't blame the General Manager. How do we make
sure that this does not happen again. If someone had not blown the whistle, the problems
that were exposed would still be going on today.
Board of Selectmen Meeting=May 28, 2002—Page 2
Bill Hughes noted that the General Manager was challenged on issues but blockaded
access to information.
Chairman George Hines noted that the Advisory Committee would have no
predetermined outcome—they are looking for an objective analysis.
Bill Hughes noted that if we cannot.accomplish all of this now, the Light Board needs to
solicit for General Manager. They will go forward with it as soon as possible.
Chairman George Hines noted that if they are going to proceed in this manner, he would
advocate for a search committee of people other than the Light Board members.
Selectman Matthew Cummings asked why the Board of Selectmen is proposing to go this
route (he was not at the meeting when this was discussed). He asked if the 20-year
agreement would be impacted. The existing 20-year agreement expires in the year 2020.
Light Board Member Robert Soli noted that it is important to understand that this is not
about individuals. He felt that governance relationships at times should be re-evaluated.
At the very least, this process will be educational. There will be an opportunity to review
options.
Bill Hughes claimed that the Commissioners are"chipping away at the iron wall."
Light Board Member Phil Pacino noted that the culture at the Light Department delivers
the lowest rates in the Commonwealth. The previous General Manager hired a lot of
good people. There are some good things about the way the Light Department does
business. With all the allegations of misconduct, he only heard from one person.
Chairman George Hines noted that both the Board of Selectmen and the Task Force have
emphasized that they have a great deal of respect for the employees of the Municipal
Light Department, and that the Board will be looking for the best model of governance
for the Light Department.
Phil Pacino noted that he has heard a lot of talk about the General Manager's contract.
The Board felt that the Light Department should get into other business which would be
beneficial to the rate payers and to the Department. He feels that we need to move
forward to hire a General Manager. There are no other four Town utilities in the country.
The governance study may adversely affect the hiring process.
Light Board Member Allan Ames noted that the culture issues were policy decisions that
were made including Case 85-121 and deregulation. The Department delivers a good
product. This is a unique situation where the majority of the customers are outside of the
Town that owns the Department. This makes it a business not a department of the Town.
He has talked with six auditors and they have noted that if management wants to "run
amuck," there is nothing the Board can do about it. He asked the Board of Selectmen to
move cautiously with this process.
Board of Selectmen Meeting—May 28 2002 —Page 3
Selectman Richard Schubert noted that he thinks it is important to look at options and
understand the impact of options of governments. If changes do occur, it needs to be for
the benefit to the Town, the Board and the customers.
Vice Chairman Camille Anthony noted that when we talk about other communities, we
talk to them about responsiveness to them as customers. Wouldn't other towns feel better
that they are being well served if the department is well run and well managed.
Allan Ames felt that we have good management and good procedures and process. It did
not work. Customers generally are happy with the Light Department. Procedural
changes were made with the 20-year agreement to avoid situations like the Wilmington
pull out.
Chairman George Hines noted that access to the General Manager by all members of the
Light Board is important, and asked if this was permitted only through the Chair. The
response was that if there is an agenda item, it would go only through the Chair.
Light Board Member Robert Soli asked if the work to be done would require using a lot
of staff. The staff is limited -- the numbers are fewer. He asked that we not be too
demanding on the staff.
Arthur Carakatsane, Lynnfield CAB Member, had the following concerns:
1. The time limit;
2. The constitution of the committee—(it is stacked with Reading people);
3. The Light Department is a department of the Town of Reading. The
tax payers are stake holders. He feels also that the rate payers are stake
holders. Some proposed governance may include representation from
other communities also in addition to the CAB. Other communities may
want more of a seat at the table;
4. Any change in governance could impact the 20-year agreement. The
other communities should have members on the Ad Hoc Committee;
5. Regarding the culture of the Light Department, you can't legislate morals.
The best system in the world can have problems. Governance helps to
minimize the negative;
6. Citizens of Reading have the ultimate control of the Light Board through
the ballot box.
Chairman George Hines agreed but noted that the financial exposure weighs on the Town
of Reading. He also noted that the Reading Municipal Light Department's rates may not
be the lowest cost as has been claimed.
CAB Chairman Roger Lessard spoke. He expressed a word of caution on the effect that
changes might have on the 20-year agreement. He has confidence in the Reading
Municipal Light Department regarding rates and costs.
Board of Selectmen Meeting May 28, 2002—Paize 4
If we have Town Counsel review the 20-year agreement, we may want to have them
review the conclusion with the other Town Counsels. Consideration should be given to
having representatives attend meetings.
Selectman Gail Wood noted that the Reading Municipal Light Department is in charter of
the Town of Reading and not in the other towns. There is no pre-determined outcome.
She hopes that there will be no changes recommended. She did not run for the Light
Department and does not want to be a Light Commissioner.
Light Board Member Andrew Herlihy expressed that he does not have a big problem with
the study. The study may find that changes are not needed. It also might find that if you
wanted to set up a Light Department, you would not set it up this way. He has faith that
this is the right way to operate. He thinks that there are more administrative reforms in
governments.
North Reading Selectman Joe Veno feels that the problem has been taken care of in the
opinion of the North Reading Board of Selectmen. The concern in North Reading is if
the Town of Reading takes over the Light Department, they are able to take the funding
out of the Light Department. He noted that this is a different world than it was one
hundred years ago when the Light Department was formed. He would ask that the Board
of Selectmen not go forward with the Ad Hoc Committee. He feels that we have an
excellent Light Department and excellent service.
Selectman Matthew Cummings noted that the majority of the Board of Selectmen voted
to create the Governance Committee. He was elected to do what was best for the Town
of Reading. The Light Department is a creature of the Town of Reading. In the larger
picture, all residents of Reading are also rate payers. Financially, the impact of the Light
Department weighs 100% on the Town of Reading. All the meetings of the Committee
would be open and participated. With regard to the 20-year agreement, he agrees that we
should be careful and assure that changes can be made and still keep the 20-year
agreement in place.
Vice Chairman Camille Anthony talked about the culture period. The Town of Reading
was appalled about the General Manager's contract. The contract is systematic of the
culture.
Selectman Richard Schubert noted that one of the issues is that the Board of Selectmen
represents the people of Reading. The creation of the Committee gives the Board of
Selectmen the opportunity to understand and provide opportunities to learn and speak
about the Light Department and the way the governance is established.
Bill Hughes noted that he has met no hostile rate payers. He has not received calls about
this issue. The public is satisfied with the way the problems were addressed. The Light
Board now needs to get down to running the Light Department business.
Board of Selectmen Meeting—May 28 2002 —Page 5
The Board of Selectmen agreed that the meeting would take place on June 11th to
establish the Governance Study Committee. Bill Hughes asked if this would be a joint
decision. Chairman George Hines noted that it is a decision of the Board of Selectmen.
Follow-Up on DARE - Police Chief Bob Silva came in to discuss the proposed
modification to the DARE Program. This would be a program whereby two days a week
will be spent in the schools teaching the DARE Program, up to one day a week would be
spent on administrative efforts, and two days a week plus vacations and holidays would
be spent doing patrol work for the Reading Police Department.
There was discussion surrounding the evaluation of the program perhaps by the
Substance Abuse Prevention Advisory Council; whether or not you had to be a Police
Officer to be the DARE Officer; whether or not there were grant funds available for
DARE and whether they would continue to be available and whether this process should
have been done as part of the Budget process.
On motion by Anthony seconded by Wood, the Board of Selectmen endorsed the Police
Chief's recommendation regarding the DARE Officer on a vote of 4-1-0, with Cummings
opposed. The Board asked that they be kept informed.
The Board discussed the Summer meeting schedule and agreed to stay with an every
other week schedule (which would be a reduction from the current schedule).
The Board discussed moving forward on the FY 2004 Budget process.
The Town Manager noted that Cable TV would be covering the June 4th meeting on the
highway intersection improvements.
On motion by Cummings seconded by Schubert, the Board of Selectmen voted to adjourn
their meeting of May 28, 2002 at 9:28 p.m. by a vote of 5-0-0.
Respectfully submitte ,
Secretary