FINCOM 20180129 Minutes

Source page 1

Canton Finance Committee Minutes Voted on: 2/26/18 
Meeting Minutes Vote: 4-0-1 
Monday, January 29, 2018 
Members Present: 
Rob Barker, Nichola Gallagher, Tim McKenna, Barbara Saint Andre and Cindy Thomas. 
Members Absent: 
Dianne Gustafson and Cynthia Holcombe. 
Guests Present: 
Jim Murgia, Finance Director 
Ellen Jones, Finance Committee Secretary 
Opening: A meeting of the Canton Finance Committee was called to order by Chairman Barker at 7:03 pm. on 
Tuesday, January 29, 2018 in the Salah Meeting Room of Town Hall. 
A. Approval of Agenda 
Chairman Barker reviewed the items on the agenda which included a discussion by the Finance Committee 
regarding a total budget number based on the Revenue Forecasting Committee's projected revenues for FY19, a 
review of Free Cash Certification for FY 18 and a review of operating results as of December 31, 2017. 
B. Announcements 
Chairman Barker announced that there were two vacancies on the Finance Committee and that interested parties 
should reach out to the Town Moderator. 
C. New Business 
New Growth Estimates Discussion 
Chairman Barker gave a brief explanation of the Revenue Forecasting Committee (RFC) and its role in helping the 
Town determine the new revenue for the next fiscal year. The RFC is made up of the Finance Director who serves 
as the Chair of the RFC, the Town Administrator, the Assessing Director, the Building Inspector and senior 
leadership form the School Department. The RFC examines new construction and other activities around Town 
that might affect new growth for the Town. Mr. Barker stated that the meeting is not about coming up with an 
estimate for a 50% likelihood that the revenues will come in as estimated, but that the goal of the committee is to 
conservatively come up with a 90% likelihood estimate of new revenue. Mr. Barker admitted that the process is 
not perfect but one which has been followed successfully for many years with the only significant change being 
that at the suggestion of the former School Business Manager the Finance Committee be involved in determining 
final budget numbers based on the RFC's revenue projections. 
Chairman Barker further explained that a significant question came up at the RFC meeting as to how the Assessing 
Director determines new growth. Unfortunately, Ms. Zukauskas, Assessing Director, was unable to attend the 
Finance Committee meeting to explain the new growth calculations. 
Mr. Murgia stated that the key number to come up with for the next fiscal year for the RFC is the new growth 
revenue. The new growth number is based on new construction occurring by June 30, 2018. It is a difficult process 
for the RFC to determine this number with only six to seven months' worth of information. Mr. Murgia referred 
the members to a meeting document that had been prepared by the Assessing Director after the RFC meeting had 
FINCOM 20180129 Minutes Page 1 of 7 02/11/18