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01/26/2022 AC Minutes • There are reasons this concept is good, but stakeholders need to be behind it for it to be approved. • This is a process issue more than a financial issue. A consultant may be valuable for parts of this process but perhaps not necessary for all. • Starting before the MSBA is involved is likely a good idea, but the political process needs to be addressed. • It may be appropriate to create a committee of stakeholders. • It is positive that this has been brought to the surface; maybe there are things that can be done before hearing from the MSBA. Mr. Himmel summarized the concerns of the proponents of this article. The process that has been used in the past for large construction projects in Lexington included the input of the PBC. He expects the process for locating a new high school to be a collaborative effort, and this starts with a discussion of the issues. He wants to facilitate that discussion and encourage the stakeholders to recognize the magnitude and complexities of the many variables. Bringing this forward was triggered by the lack, at least to-date, of an invitation by the MSBA for Lexington to participate in its process for providing grants. Lexington should move forward despite not having that invitation so that it can be prepared when decisions need to be made. Article 24: Adjust Retirement Cost of Living Adjustment (COLA) Base for Retirees Mr. Cunha was invited to share background for Article 24. After reviewing the history of COLAs for retirees, Mr. Cunha explained that the COLA base for Lexington retirees is currently a maximum of$14,000. Article 24 is requesting that the maximum be raised to $15,000. The maximum allowed is $18,000. Most communities in the area are increasing their maximums. Mr. Cunha and Ms. Kosnoff explained that the recommended adjustment, based on current demographics of current and future retirees, would result approximately in a one million dollar increase in pension liability, which could be amortized by payments of approximately $200,000 per year until the Retirement Fund is fully funded in 2030. These costs have already been built into the current pension funding schedule. The FY2023 benefit payment increases by just under$10,000. Mr. Cunha noted that retirees are facing increases in insurance and Medicare premiums, as well as the effects of inflation. Minutes of Prior Meetings A motion was made and seconded to approve the minutes of the January 19, 2022 meeting, as edited. The motion was approved by roll call vote. VOTE: 8-0 In response to questions, Mr. Parker reported that the next AC meeting is scheduled for February 2. He will invite representatives of the Community Preservation Committee. A motion was made and seconded to adjourn at 9:25 p.m. The motion was approved. VOTE: 8-0 Respectfully submitted, Sara Arnold Approved: February 2, 2022 3