2021-09-29-AC-min - Laserfiche WebLink

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09/29/2021 AC Minutes • The model has some similarities to Tax Increment Financing, which establishes funding over a period of time. • What if funds are collected for a project that gets delayed significantly? • This model means that the impact of the debt exclusion for a large project would be reduced, which would be positive for the taxpayer. Because a debt exclusion ballot question does not carry a dollar amount, an educational effort would be important to ensure residents understand this benefit. In response to questions, Ms. Kosnoff reported that the Town's actuary is meeting with the Retirement Board tomorrow, and she expects that new funding options will be presented. The previous expectation that the pension would be fully funded before bonding for a new high school would be necessary is no longer likely. Preparation of the Committee Report to Special Town Meeting (STM) 2021-1 Mr. Parker reported that he had prepared a chart identifying suggested committee members' assignments for the report. Ms. Kosnoff provided initial information about the articles on the draft warrant for the STM 2021-1, as follows: • Article 2: Appropriate for Prior Years' Unpaid Bills: This will likely be indefinitely postponed (IP'd). • Article 3: Establish, Dissolve and Appropriate to and from Specified Stabilization Funds: There will likely be requests to put funds into two stabilization funds, including $1.0 to $1.5 million in new growth that was in excess of projections into the CSF, as discussed earlier, as well as roughly $20,000 in new growth from in-process projects that required approval at town meetings. Ms. Kosnoff agreed to discuss with Jim Malloy, Town Manager, the importance of publicizing this model prior to the STM. It was agreed that this Committee's report would be one venue towards this effort. There will also be a transfer into the Transportation Demand Management(TDM) Stabilization Fund. Ms. Kosnoff added that, because TDM funds are received annually, staff is exploring the possibility of automating these transfers. She added that Lexington had received a $200,000 grant for transportation operating expenses. These funds cannot go directly into the TDM Stabilization Fund, but if they are used for operating the Lexpress system, the equivalent part of the usual tax levy appropriation for Lexpress could be appropriated into the stabilization fund. • Article 4: Rescind Prior Borrowing Authorizations: This is currently a placeholder. It is likely that this routine request will be postponed until the annual town meeting. • Article 5: Amend FY2021 Operating and Enterprise Budgets: The Town Manager is requesting funds to hire a management analyst, which would be funded through the tax levy, using some of the new growth. New staff positions are usually submitted at the annual town meeting (ATM)through the Program Improvement Request(PIR)process for the coming fiscal year, but it is preferable for this person to start in January 2022. This position would be in addition to a management fellow's position, a training program that runs for two-year increments. Ms. Kosnoff agreed to inform the Town Manager that this Committee would like a PIR or comparable documentation identifying financial impacts,justification, alternatives considered, and a job description. 2