2016-09-21-CPC-STM5-rpt - Laserfiche WebLink

Browse Search

Community Preservation Committee Special Town Meeting #5 September 21, 2016 Summary of recommendation to amend the FY17 Community Preservation Budget The Community Preservation Committee recommends a$40,000 supplemental appropriation to the FY2017 debt service budget under Article 6 of the September 21, 2016 Special Town Meeting#5. Article 8(p) of the 2016 Annual Town Meeting appropriated $3,289,721 for FY2017 CPA debt service. Included in that appropriation was money for estimated interest expenses on bond anticipation notes (BANs) to be issued in June 2016, coming due in February 2017 at which time it was assumed the notes would be converted to bonds with the first principal and interest payments to begin in FY2018. In June, a $40,000 BAN was issued for the final stages of renovations to the Community Center. Available CPA funds have been identified that will enable the retirement of the $40,000 note instead of converting it to a bond in February 2017, resulting in the avoidance of issuance costs for the bond and long-term interest costs. In order to retire the BAN, the FY2017 debt service approved by the 2016 Annual Town Meeting will need to be increased. The Community Preservation Committee voted (7-0) to recommend that $40,000 be appropriated from the Undesignated Fund Balance for this purpose. Summaries of the Community Preservation Fund available balances are listed on the following pages. 1