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HomeMy WebLinkAbout2002-09-12 Finance Committee Minutes'ECEIVED TO ,`/H CLERK Finance Committee Meeting ; , D I G. MASS. September 12, 2002 2003 JUL I U P 1: 51 The meeting convened at 7:30 p.m. in the Arnold Berger Room, 16 Lowell Street, Reading, Massachusetts. Present were Chairman Catherine Martin, Vice Chairman Richard McDonald, Finance Committee Members Jim Francis, Karen Epstein, Randy Mason and Andrew Grimes (he arrived late). Also present were Town Manager Peter Hechenbleikner and School Committee Member Pete Dahl. Liaison Reports Jim Francis, with the assistance of the Town Manager, reported on the process of the RMLD Governance Advisory Committee. They hope to have their work wrapped up by the end of October. Approval of Minutes The Finance Committee decided not to approve the minutes of August 7, 2002 and September 5, 2002 since members present this evening are not adequate in number to approve the minutes if those who were not present for the meeting abstained. Review Special Town Meeting Warrant The Town Manager reviewed the amendments to the Capital Improvements Program (Article 3). There are three amendments to increase PW-W-014 by $100,000 for purchase of the crane truck, ( to increase PW-W-016 Storage Tank Inspection by $2300, and to insert a new item PW-W-029 Water Treatment Plant Interim Improvements in the amount of $45,500. The monies for these projects have been budgeted they just weren't included in the C.I.P. On motion by Francis seconded by McDonald, the Finance Committee voted to recommend the subject matter of Article 3 as presented by a vote of 5-0-0. The Town Manager reviewed Article 6 amending the FY 2003 Budget. The increase in the use of free cash will be $211,904. The line items changed would be to reduce the Planning Budget by $5,000 because of a change in staff, to increase legal costs by $25,000 for a settlement of litigation, to decrease the Northeast Regional Vocational School District assessment by $6,341, and to increase the debt service because of the approved debt exclusion by $154,204. The cost of the debt service would be offset by the increase in the property taxes because of the exclusion. The Town was already in the deficit position for the budget. We've looked at all other revenues available. The Town Manager raised the issue of the Pay and Classification Study and the Finance Committee recommended that this be put off until the Subsequent Town Meeting. The Board also recommended a modification to Page 20 of their packet which would specifically show the debt exclusion as an expense item, and also as part of the revenue from property taxes as a separate line item. Finance Committee Meeting; - September 12, 2002 - Page 2 On motion by Epstein seconded by Francis, the Finance Committee voted to recommend ( the budget amendments for FY 2003 as presented by a vote of 6=0-0. Approval of Reserve Fund Transfers There were no reserve fund transfers. FY 2004 Budget Process - Schedule The Town Manager reviewed the potential schedule for the budget. The Finance Committee asked for the Special Town Meeting Warrant closing date and Special Town Meeting dates to be added. They also asked for projections of expenses to be done, not in dollar figures, but in events that are known at this point. For example, if the new school is constructed and we will need additional monies to operate the school, that should be projected as an event. They asked for a review of the history of expenses in the history of revenues. The Finance Committee expressed their concern about the articles in the Advocate over the last two weeks relative to debt exclusions. They felt that the first article was an error and very misleading, and the article in this evening's Advocate clouded the issue even more. Following a great deal of discussion, Karen Epstein indicated that she was going to write a letter to the Editor to try to address the inaccuracies. Members of the Finance Committee asked that Mary Grimmer be added to the list to get the Library packets and to have Jim Francis removed. Also that Jim Francis get the RMLD packets, and that Catherine Martin get the e-mails of the Selectmen's agenda. Pete Dahl reported that the RMHS Technology Fund Group presented a check for $50,000 to the School Department to buy technology for the School Department. The timing is particularly appropriate because if the school is going to be renovated, the technology purchase which is a cart of approximately 25 lap top P.C.'s would be very useable in a flexible situation. On motion by McDonald seconded by Francis, the Finance Committee voted to adjourn their meeting of September 12, 2002 at 9:30 p.m. by a vote of 6-0-0. Respectfully submitted, creta