2015-03-AC-ATM-rpt - Laserfiche WebLink

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AC–2015ATM PPROPRIATIONOMMITTEE federal grant. This amount represented 40% of the operating budget and the goal was to reduce the amount of subsidy as the ridership developed. The amount proposed for FY2016 represents 20% of the operating budget. This Article proposes to appropriate $9,447,832 into the Capital Projects/Debt Service Reserve/Building Renewal Stabilization Fund. The motion under Article 4 would appropriate $620,567 out of this fund to offset within-levy debt service for the High School modular classrooms. The motion under the current Article would appropriate another $215,000 out of this fund to mitigate excluded debt service for the Bridge/Bowman and Estabrook construction projects. The monies to be transferred into the Traffic Mitigation Stabilization Fund and Transportation Demand Management/Public Transportation Stabilization Fund come from corresponding special revenue ac- counts. The Committee recommends approval of this request (8-0). FundsFundingCommittee Article 27: Appropriate to RequestedSourceRecommendation Stabilization Fund IP NoneN/A As of publication the Selectmen had made no recommendation for appropriation to the Stabilization Fund. We support this decision as a part of the recommended budget and therefore we support the antici- pated indefinite postponement of this article. A fund history can be found in the appendices of the Town Manager’s FY2016 Recommended Budget & Financing Plan. The Committee anticipates action on this request will be indefinitely postponed. FundsFundingCommittee Article 28: Appropriate from Debt RequestedSourceRecommendation Service Stabilization Fund Approve (8-0) $124,057DSSF In August 2006, the Town received a lump-sum reimbursement of approximately $14 million from the Massachusetts School Building Authority (MSBA) to cover its remaining obligation for construction pro- jects previously completed at Clarke and Diamond Middle Schools and Lexington High School. The Massachusetts Department of Revenue (DOR) required the Town to set aside the excess funds from up- front reimbursements for those public school construction projects, and to apportion those funds over the life of the bonds related to the projects to help fund the debt service obligations. The 2009 Annual Town meeting voted to establish a specified stabilization fund under G.L. c. 40 Section 5B called the Debt Service Stabilization Fund (DSSF). The $1,739,894 remaining from the FY2007 set- aside was then appropriated into the DSSF. This fund allows the Town to invest the set-aside bond pro- ceeds beyond the one-year arbitrage limit that would otherwise apply. The required annual appropriations from the DSSF will be completed in 2023. The current balance of the DSSF is $1,014,881. The Committee recommends approval of this request (8-0). 36