FINCOM 20210414 Minutes

Source page 1

Canton Finance Committee Minutes Voted on: 717/21 
801 Washington Street Vote: 6-0-1 
Canton, MA 02021 
Meeting Minutes 
April 14, 2021 
Finance Committee Members Present: Rob Barker, David Clough, Dan Cole, Emilio Mauro, Tim McKenna, Reuki 
Schutt, Tom Theodore, Cindy Thomas and Wai Wong. 
Finance Committee Members Absent: All members were present. (One vacancy on the Committee.) 
Guests Present: 
Ellen Jones, Finance Committee Secretary 
Gene Manning, Board of Assessors and Chair of the Economic Development Committee (EDC) 
Randy Sccllins, Finance Director 
Opening: Chair McKenna called the virtual meeting via Zoom to order at 7:00 p.m. 
Approval of Agenda: Mr. Scollins reviewed the agenda. Mr. Manning was invited back to the Finance Committee 
at the request of the Finance Committee members to answer questions regarding Article 28 (Special Tax Agreement 
with Emergent BioSolutions). 
New Business 
Article 28 — Special Tax Agreement with Emergent BioSolutions 
Mr. Manning stated that he has been in contact with the Select Board who are the sponsors of Article 28. They have 
requested that Mr. Manning obtain a capital timeline for the project. Emergent has committed $50 million to the 
project. They expect to be financingibonding the project and will be meeting with the Zoning Board and Planning 
Board and various Canton committees to review the project. Once Mr. Manning obtains details and shares this with 
the Select Board he will then share this with Chair McKenna. Mr. Clough apologized for some technical difficulties he 
was having with joining the Zoom meeting. 
Mr. Clough had the following questions and comments regarding the Special Tax Agreement: 
• Some of the year over year increases, in particular years 2023 and 2025 go up over 10%. 
• In the assumptions presented in Mr. Manning's spreadsheet the owner could apply for potentially more tax 
breaks on the assessed value which could lead to a greater amount than the $323,000 presented in the 
assumption. Mr. Manning explained that in the assumptions the properly value would increase year over 
year. Mr. Manning is expecting a capital timeline for the project so that they will be able to give the Board an 
idea of when to expect the values. 
• The building was assessed in 2019 at $4 million. Emergent BioSolutions purchased the building in July 
2020 for $11.9 million which will remain the value until significant capital improvements occur. Mr. Manning 
does not expect the value of the building to increase beyond the STA if adopted by ATM which is 2026 or 
2027. Mr. Manning will share the capital timeline with the Finance Committee once it has been received. 
He has assured the Finance Committee that every property in Canton is valued annually for its valuation. 
The primary building and the land value are what the Town taxes are based on. There will be additional tax 
valuation on personal property which is the contents of the building which is the "lion's share" of what the 
taxes will be. The core value of the building is a little over $11 million but they expect the bio tech 
manufacturing in the building which is classified as personal property is not included in the 10% cap to 
where the Town will make their money back. 
• Mr. Clough is concerned what the building is valued at. With $75 million being invested in the building it will 
not be reflected in the assessed value but will be reflected in personal property. Mr. Manning believes the 
amount being invested in the building is $50 million. 
• Mr. Manning stated that the Board of Assessors receives STAB to consider. For a Town of Canton's size 
the Emergent BioSolutions project is a significant commercial infrastructure investment. Mr. Manning will 
get back to the Finance Committee once he receives the capital plan to clarify if the amount being invested 
in the building is $50 million or $60 million or $75 million. Regardless of the value Mr. Manning stated that 
the Board of Assessors have full intention of recovering the full value under the STA and for years to come. 
• In response to Mr. Clough's inquiry if there were any projections Mr. Manning stated they did not do 
projections because the tax rate is set every year. 
FINCOM 20210414 Minutes.docx Page 1 of 6 5/31/21