HomeMy WebLinkAbout1993-08-25 Finance Committee MinutesFinance Committee Meeting
August 25, 1993,
The meeting convened at 7:30 p.m. in the conference room,
at 16 Lowell Street, Reading, MA.
The following members were present: Chairman, Richard Coco,
Vice-Chairman, Fred Van Magness, Bill Murphy, Nate White,
Steve Blewitt, Jim Keigley, Liz Greene and Gerry MacDonald.
Also in attendance were Town Manager, Peter Hechenbleikner,
Beth Klepeis and Richard Foley.
On motion by Fred Van Magness seconded by Steve Blewitt the
committee voted to approve the June 23., 1993 Minutes. The
motion was approved with a vote of 8-0-0.
Richard Coco stated that no response has been made regarding
the letter sent to the Municipal and School Departments,
which pertained to the return of any unexpended funds from
the FY 1993 budget, to the reserve fund.
There has been a decrease in sewer rates for FY 1994.
The town in estimating to use about 800 of the override
for FY 1994.
Between the years 1989 to 1994 the budget has increased
5.2250.
There is approximately 1.5% per year of new growth.
On September 14, 1993 there will be a joint meeting, involving
the Finance Committee, Board of Selectmen, and the School
Committee. The purpose of the meeting is to understand the
education reform bill and the Financial impact of FY 1994
and 1995. Early retirement may also be discussed.
In the FY 1990 budget there was $1.166 in free cash, in FY
1991 there was $410,000 in free cash, in FY 1992 there was
$220,000 in free cash and in FY 1993 there was $785,000.
The School Department cafeteria fund has not been able to
meet the group health and life insurance by $45,000, therefore
it eventually comes from the Municipal side of the budget.
The committee suggested to increase the school department's
budget $45,000, and automatically bill them for the health
and life insurance.
Nate White questioned whether the school would be looking
for more money from state aid. Everything seems to have
'been accounted for.
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August 25, 1993
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There is $632,000 outstanding in tax money in FY 1993. A
worksheet with exact free cash numbers will be drawn up by
Richard Foley.
The town'is waiting until the end of this year to decide
whether or not to stay with PRT, which manages the town
pension fund. At the end of 5 years we are at 8.73%, due
to real estate investments and return on foreign investments,
which has pulled performance down.
The committee requested a quarterly review on a percentage
basis by appropriated line item budget insurance, to take
to Town Meeting.
The next Finance Committee Meetings will be as follows:
September 22, 1993, October 13, 1993, October 20, 1993 (tentative),
and in November 7:00 p.m. before Town Meetings if needed,
and December 1, 1993, to plan the 1994 calender.
On September 23, 1993 there will be a training session at
7:30 p.m. in the library meeting room. Discussions pertain
to avoiding the use of free cash.
On motion by Gerry MacDonald seconded by Bill Murphy the
committee voted to pay dues for FY 1994 to the Association
of Town Finance Committees. The motion was not passed with
a vote of 0-8-0.
The Finance Committee Meeting adjorned at 9:25 p.m.
Respectfully submitted,
Lisa Zanni
Secretary