Canton, Massachusetts · Saved source text
January 25, 2016, Finance Committee Meeting. Minutes
Saved text from 4 source pages. Transcription and OCR may contain errors; verify figures and wording against the original. Retrieved 2026-10-15.
Source page 1
Town of Carton Finance Cornrnit$ee Minutes Voted on; 2/4/16
Meeting Minutes Vote: 7-0-1
Monday, January 25, 2016
Members Present:
Jim Casamento, Gerald Dorfman, Nichola Gallagher, Dianne Gustafson, Stephanie Leach, Tim McKenna,
Barbara Saint Andre and Jim Sims.
Members Absent:
Rob Barker and Sepp Bergschneider.
Guests Present:
George Comeau, Canton Community Preservation Committee
Lisa Lopez, Chair, Canton Community Preservation Committee
John McCourt, Canton Housing Authority
John McSweeney, Chairman, Canton Housing Authority
Kristen Phelps, Staff Administrator, Canton Community Preservation Committee
Mark Roy, Executive Director, Canton Housing Authority
Jim Murgia, Finance Director
Ellen Jones, Finance Committee Secretary
Opening: A meeting of the Canton Finance Committee was called to order by Chair Saint Andre at
7:00 p.m. on Monday, January 25, 2016 in the Salah Meeting Room of Town Hall.
A. Approval of Rgenda
Chair Saint Andre reviewed the items on the agenda which included a discussion with the Fire Chief
regarding a Reserve Fund Transfer Request and a discussion with the Chair of the Canton Community
Preservation Committee.
~. Rnnouncements
Chair Saint Andre announced that the Revenue Forecasting Committee would be meeting on Friday,
January 29 at 9:00 AM in the Salah Meeting Room.
C. New business
Reserve Fund T'r~ansfer Request —Fine De~a~r~en~ - $47,000 — (see meeting handout) Fire Chief
Doody requested a $47,000 Reserve Fund Transfer to cover the cost of repairs to Engine 2. Engine 2
was sent for annual service and inspection to Greenwood Emergency Vehicles and the engine was
deemed to be unsafe to operate due to mechanical failure and corrosion to the frame rails. The balance
of the Fire Chief's $50,000 repair budget would not be enough to cover the cost of repairs. The BOS
approved the reserve fund transfer request at their recent meeting.
M r. Dorfman inquired about the frame rails. Chief Doody stated that they would be using galvanized
frame rails going forward.
I n response to Ms. Gustafson's inquiry about whether the repairs on the vehicle were emergency repairs
or routine, Chief Doody stated that 65-70% of the repairs that Greenwood had recommended had to be
done.
Some Finance Committee members expressed concern that the Reserve Fund was at a low balance of
$150,000 and that there were still a number of months left to the fiscal year in which another emergency
could require a need for the reserve fund. Mr. Sims spoke in favor of allowing the Fire Chief to deficit
spend his repair account and cover the deficit at the end of the fiscal year.
M r. Murgia spoke in favor of approving the Reserve Fund Transfer request because the $47,000 request
was an unforeseen extraordinary expense which fell within the purpose of the fund. There was some
20160125 FINCOM MINUTES Page 1 of4 O l /26/2016Source page 2
concern that a $350,000 transfer from the Reserve Fund earlier in the fiscal year for repairs to the Rebecca Road water problem may not be replenished by a vote at Annual Town Meeting. Mr. Murgia was confident that these funds would be returned to the Reserve Fund. A motion made by Mr. McKenna to approve a Reserve Fund Transfer of $47,000 fo the Fire Department budget for repairs to Engine 2 was seconded by Mr. Dorfman. Vote: 8-0-0. Discussion with Canton Corr~munity Preservation Committee Chair(CCPC) — (see meeting handout) Ms. Lopez, introduced Kristen Phelps, John McSweeney, John McCourt and George Comeau. Ms. Lopez thanked Sepp Bergschneider for being the Finance Committee's liaison to the CCPC. Ms. Lopez gave a 25-minute power point presentation on general information about the Community Preservation Act and the Town's adoption of the Act. There were no meeting handouts for this presentation. Ms. Lopez stated that their two objectives for discussion at the meeting were to 1) foster the limitations and the opportunities of CPA and to share how the Town has managed the CPA funds to date and 2) to better understand as a CPA Committee what the Finance Committee would like to have for communication from the CCPC and information the FINCOM would like to have from the CCPC regarding the projects. Ms. Lopez reviewed CPA revenue and expenditures. Starting in FY16 CCPC is setting aside approximately $200,000 per year for future debt service payments for the Town's $1.74 million of open space acquisition at the Paul Revere Heritage Site. If the land is remediated in time for the Town to borrow in March of 2017, the first debt payment would be made in fiscal 2018. Mr. Murgia commented that while Annual Town Meeting could authorize the set aside of CPA funds, another vote at Town Meeting would most likely be required at ATM to use these funds for the purchase of the open space land. He suggested that CCPC should work with Town Counsel and Bond Counsel regarding these matters. Ms. Lopez stated that if completed CPA projects came in under budget for a Canton Housing Authority (CHA) project, the funds would stay within the Housing category for which they had been approved. If a project were to exceed the budgeted amount, such as the High School tennis courts project, there would be no effect on the original amount approved for the project. M r. Roy, Mr. McSweeney and Mr. McCourt explained the use of CPA funds for existing state public housing units in Canton. The CHA receives approximately $250,000 to $300,000 per year from the state to use for capital projects. A Finance Committee member inquired as to the ownership of the CHA properties. The CHA is a quasi- authority who is not owned by the Town or the State but owned by the CHA. Public bidding laws and prevailing wages apply for projects at the CHA. I n response to Ms. Lopez' inquiry as to the information the Finance Committee would like to receive with regard to CPA projects, Ms. Saint Andre requested detailed financial information that would back up the project requests. Another Committee member requested legal information if applicable. Mr. Casamento spoke about the philosophical unfairness of residents having to pay a residential property tax that is subsequently used for repairs on property that is not owned by the Town. He suggested that the CHA reach out to HUD or another federal agency for additional funding for capital projects. Mr. Dorfman inquired if there was statistical information available on other municipalities using CPA funds for housing authority projects. Ms. Lopez referred the members to the state's Community Preservation website. Ms. Lopez requested the opportunity to come to a Finance Committee meeting in February to specifically discuss the CCPC's recommendations for ATM 2016. At the time of the Finance Committee meeting, the CCPC had already voted their recommendations for ATM but did not want to discuss these recommendations at the meeting. The discussion with CCPC concluded at approximately 8:24 p.m. 20160125 FINCOM MINUTES Page 2 of 4 O l /26/2016
Source page 3
FY1~ School Department Budget Request — (see meeting handouts) Mr. Murgia reported to the
Finance Committee that the School Committee voted at their January 21 meeting to approve an FY17
budget request of $38.3 million. This represents a $2 million increase or 5.64% over the FY16 budget of
$36.3 million. The School Committee is requesting a 3.16% budget increase or $1,146,794 to cover
contractual costs. The School Committee has agreed to a 2.5% salary increase for the teachers union for
FY17 or 2%/2.5%/2% for FY16, FY17 and FY18 respectively as compared to 2%/2%/2°/o for municipal
contracts. The School Committee is also requesting in addition to the $2 million request an additional
$900,000 for Priority Level 1 requests and Priority Level 2 requests. The School Committee is requesting
13.7 additional FTEs.
Ms. Gustafson requested information on attrition savings. Ms. Gustafson spoke in support of position
control and tracking headcount. She also requested additional financial information well in advance of the
School Committee coming to meet with the Finance Committee in February or March.
FY17 ~fiunicipal Depa~rnents' Budget Requests —There have been no changes to the municipal
requests since the Committee's last discussion. Department heads are scheduled to present their
requests to the Board of Selectmen within the next few weeks.
FY17 tlnunicipal Depa~menfs' Capital Requesfs — (see meeting handout) Mr. Murgia reported to the
Committee that the replacement of the Fire Department's 2010 ambulance would not be paid out of cash
but would instead be paid for through borrowing with debt payments to be paid out of the ambulance
fund. Municipal Departments and the School Committee will be presenting their capital requests to the
Capital Planning Committee within the next few weeks.
Operating Results as of Decembers 3'i, 2015 — (see meeting handout) Mr. Murgia reported that the
deficit for the first half of FY16 amounted to $2.8 million which is similar to a year ago. Motor vehicle
excise tax collections, budgeted at $3 million for FY16, are typically collected in the second half of the
year.
Mr. Casamento inquired about the Parks &Recreation budget being spent at 62%. Mr. Murgia stated that
the Parks &Recreation department is overspent due to two rink employees being paid out of the Parks &
Recreation department instead of the Rink Enterprise Fund. The Parks &Recreation department may
have to be supplemented at Annual Town Meeting.
Comprehensive Annual (Financial Reporf(CAFR) — Mr. Murgia reported that the Town submitted a
financial report to the GFOA (Government Finance Officers Association). The GFOA has given an award
for the CAFR to the Town for nine consecutive years. This comprehensive financial report is considered
very favorable by the bond rating agencies for the Town's AAA rating.
D. Others business/Open Issues
Liaison Reporfs —There were no liaison reports.
E. Approval of Minutes
A motion made by Nlr. Casarr~ento fo apprrove the minutes for (November 19, 20'i5 was seconded
by Mr. McKenna. Vote: 7-0-1. Ms. Leach sustained.
F. Nexf Meeting Date: Thursday, February 4.
Adjotarnmenf: A motion made by fUis. Gallagher to adjourn the meeting at 9:03 p.m. was seconded
by Mr. Casamento. Vote: 8-0-0.
Minutes reviewed by: Gerald Dorfman
Respe~tf~lly submitted,
~~ ;<;..
/ `;~ n
Bar~a.r~faint Andre
Chair, Canton Finance Committee
20160]25 FINCOM MINUTES Page 3 of 4 01/26/2016Source page 4
Town of Canton
Finance Committee Meeting —Monday, January 25, 2016
List of Meeting Handouts
Please note: These meeting handouts may also be found on the Town's website under the Posted
Minutes section (Laser Fiche).
Agenda (1 page).
Reserve Fund Transfer Request - $47,000 —Fire Department(7 pages).
Canton Community Preservation Committee(CCPC) information (13 pages).
CCPC Recommendations to ATM 2016 (1 page).
FY17 Canton Public Schools —Superintendent's Budget Request —Summary (5 pages).
FY17 School Contractual Salary Obligations (13 pages).
FY17 Municipal Capital Requests dated 1/21/16 (1 page).
Operating Results as of December 31, 2015.
20160125 FINCOM MINUTES Page 4 of4 O l /26/2016