FinCom-20250123T091432_0002

Source page 1

FY 2031. In FY 2032, the estimated savings to the Town will be approximately $7,641,728. By the end of FY 2034, 
Canton's NLRB assessment is estimated to drop by another approximately $2 million. 
The assumpti6ns for funding assume that there will be no reduction in the total commitment of pension assessment 
savings over the life of the 30-year bond. The new assumption will be that the use of pension assessment savings will 
be higher in years three through eight by applying the amounts that would have originally been applied in years one 
and two as additional amounts in year three through eight and beyond to lead to the originally planned outcome in the 
long -run. 
The average 30-year cost to the taxpayers is unchanged. The first two years will have a higher impact on taxpayers 
than previously calculated and the next six years will have a lower impact on taxpayers than previously calculated — 
resulting in the total impact being unchanged — which is only 40% of the debt service costs of the project funded with 
excluded debt. 
Mr. Scollins stated that on Page 7 of the exhibit entitled "Tax Impact of the $166.7 million Debt Exclusion Project" there 
was a slight error in the formula for the column entitled "Impact on the Average Residential Tax Bill of Using Excess 
Levy Capacity" and the column entitled "Combined Impact of Excluded Debt and Using Excess Levy Capacity". A new 
column added to the spreadsheet entitled "Resident Share of the Unused Levy Capacity" is $58,316,773 or a 
percentage share of the annual debt service of 60.4774%. (Property taxes are currently based on a 60.5% 
residential/39.5% commercial tax split). 
The average cost per thousand dollars per year to the average taxpayer is as follows: 
Net of Excluded Debt Paydown: $198 
Of Using Excess Levy Capacity: 243 
Combined Impact on Average Tax Bill: $441 
Mr. Mauro inquired about the probability of change going forward regarding the pension savings. Mr. Scollins 
responded that while the NCRB position is a more conservative view than in the past, the Town could see positive 
results with regard to investments. However, with PERACs recommendation, he does not see them increasing the rate 
of their long-term investment assessment. 
Mr. Mauro stated that the Town is not taxing to the levy limit and that the overall plan is still a sound fiscal plan. With 
the 30-year bond, there is always some risk involved but the Town has a Capital Stabilization Fund, unused levy 
capacity, and pension savings as a source of funds. 
Mr. Leonetti agreed with Chair Mauro. He further stated that property values have been increasing 6-7% and the 
flexibility of the borrowing rates for the 30-year bond could produce some savings. Mr. Scollins stated that in the most 
recent bond sale the Town received a borrowing rate of 3.62%. He has estimated a 4% interest rate for the Galvin 
borrowing and estimates that this could decrease. There is also flexibility with regard to borrowing for the Bond 
Anticipation Notes (BANS} or short-term borrowing. 
Approval of Minutes 
A motion made by Ms. Mirliani to approve the September 25, 2024, meeting minutes as written was seconded 
by Mr. Cole. 
Vote: 4-0-4. The September 25, 2024 minutes were approved as written. 
Approval of the October 15, 2024 minutes were postponed to a future meeting to allow members additional time to 
review them. 
Adjournment 
A motion made by Ms. Thomas to adjourn the meeting at approximately 6:44 p.m. was seconded by Ms. 
Menconi. 
Vote: 8-0-0. 
Minutes reviewed by: Ms. Menconi 
y Respectfulsubmitted, 
4 A 
v, 
Emilio E. Mauro, Jr. 
Chair, Canton Finance Committee 
FINCOM 20241118 Minutes.docx Page 2 of 3 12/17/24