2019-01-31 Summit III-min - Laserfiche WebLink

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Page 2 of 5 reviews of proposed residential development and the effects on abutting properties. Mr. Malloy said for FY2021 he will recommend the creation of an Enterprise Fund using an additional development fee. The Fund will assist the Town with stormwater management costs and National Pollution Discharge Elimination System (NPDES) compliance. Mr. Malloy noted several recommended expenditures that furthered identified Selectmen goals: Police Station Facility Construction Funds (Goal 3): $25,651,792; Pedestrian, Bicycle and Vehicle Safety on Town Roads (Goals 7 and 10): $9,273,880; Collaboration with Minuteman on Recreation Fields (Goal 1) $4,900,000; Cemetery Building Construction and Review of Crematorium (Goal 12) $2,800,000; Community Mental Health Programs (Goal 10) with funds from the School Department budget in FY2020. Mr. Malloy reported that the Town is considering decreasing the estimate on the number of employees that are expected to enroll in the Health Insurance Benefit Program. This action is based on trends over the last few years and would in FY2020 decrease the Health Insurance appropriation by $115,000. This action would provide an additional $85,000 for the School Department and about $30,000 for the Municipal Departments in the revenue allocation model; on the Municipal side, the funds would provide support for the Town’s Mental Health initiatives. Mr. Malloy presented breakdown summaries of budget allocations and shared expenses for FY2020. He recommended that $1,885,486 be appropriated into the Reserve Fund for Post- Employment Benefit (OPEB) and $1,600,000 into the Reserve Fund for Capital Stabilization. Mr. Malloy noted that $106,000 of the Facilities Department increase is related to utility prices, particularly for new buildings that will not immediately have solar power generating systems installed. Mr. Malloy reported the Center Streetscape Improvements project may be eligible for funding through the Mass Works grant program. He recommends the Town continue to move forward with funding for the project but said it should postpone the project for a year to pursue the grant as secured local funding is a prerequisite of the Mass Works grant process. The timing of the debt for the project, should borrowing ultimately be necessary, would also coincide with the end of payments for land purchases and would therefore be more advantageous vis-à-vis the debt burden. Continuing policy issues center around: the Capital Stabilization Fund; OPEB; unallocated revenues for contingencies; Hartwell Avenue re-development; Personal Property New Growth; reduction of Free Cash use for the Operating budget; reduction of debt service reliance for Capital projects; and a re-evaluation of the Liberty Ride. About the reduction of debt service reliance for Capital projects, Mr. Malloy said Free Cash funds that have been going toward the Operating Budget could instead be used for short lifespan Capital expenses, like technology purchases, rather than those funds being borrowed.