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HomeMy WebLinkAbout2003-03-17-CEC-min Town of Lexington Capital Expenditures Committee Draft Meeting Notes March 17, 2003, 7:30 p.m., Selectmen’s Meeting Room, Town Offices Committee members present: Bhatia, Burnell, Hornig, Rosenberg, Stolz Meetings Schedule Wednesday, March 19, 7:00 p.m., Clarke Middle School, before TMMA briefing on budget/capital issues Thursday, March 20, 8:00 p.m., Town Offices, Room 105, with Appropriation Committee (attempt to reconcile budget, reports) Monday, March 24, 7:00, National Heritage Museum, before first session of Town Meeting (and Wednesdays and Mondays hereafter) The Selectmen, meeting on the budget and other Town Meeting articles, were joined by the School Committee, Appropriation, and Capital Expenditures. The Selectmen reviewed the Town Manager’s proposed gap-filling measures to overcome the anticipated $884,000 reduction in state aid; one means of doing so was taking into the operating/program budget the $103,000 savings vs. anticipated from the costs of issuing nonexempt debt; a similar administration proposal was to take the $69,000 in savings from the as-issued vs. extimated costs of temporary borrowing. [See exhibits distributed by Hornig; printed copies attached to the minutes permanently on file.] Because Capital Expenditure and Appropriation both endorsed the notion that those $172,000 of funds, plus $14,000 from the recap sheet not in the Town budget, ought to be used under the 5 percent cash capital policy (thereby reducing borrowing for capital items), Hornig presented the committee’s cash estimate ($699,000, after the Selectmen already diverted $100,000 from cash capital to the operating budget, vs. the Town’s budget $512,000), and requested that the Selectmen budget accordingly, to accomplish two goals: to restore the integrity of the cash capital policy, and to minimize borrowing (in a tight fiscal period, preserve options and funding for future identified and unknown critical needs by funding only critical items this year; do not fund attractive, but noncritical, items such as playgounds, traffic improvements, skae park). During on-and-off discussions during the evening, the Selectmen finally voted 3-2 (Kennedy, Krieger, McSweeney vs. Kelley, McKenna) to uphold the budgeted number and take the savings into the operating budget, rather than allocating it to cash capital or free cash. That has implications for borrowing, of course. Bhatia reviewed the project discrepancies between the committee’s recommendations and the Town budget. In brief, the committee favored replacing the DW Skyworker equipment ($110,000 before salvage) but not the building envelope study ($100,000), the Town Offices lighting project ($350,000), the Visitor Center rewiring ($97,000) or the ADA enhancements ($50,000). Selectman Kelley suggested having a Town volunteer committee do the building study work. Two substantive surprises emerged: 1. The Town suggested that the ADA project, instead of consisting of small items, should be the large single item of making the fire station entrance handicapped accessible. 2. The Town noted that NSTAR is now surveying the Town Office Building (and other Town buildings); the audit, which is free, will lead to engineering recommendations for rewiring, energy conservation, and relamping, with possibly 80 percent of the cost borne by NSTAR, and prospectively significant energy cost savings (and more to come at other Town buildings). In this light, of course, these are different projects from those presented to, voted on, and prioritized by the committee, as Rosenberg pointed out to the Selectmen, who also pointed out that given the constraint on operating funds, Town departments are trying to set up capital line items (accessibility, traffic signage and safety improvements) for small expenditures they are finding difficulty accommodating otherwise; but they are not capital. Bhatia also pointed out that the Hastings roof repair ($88,000) no longer seemed necessary, and the School Committee voted formally to withdraw the request. Before voting on these items, the Selectmen heard discussion on the High School acoustical modification ($1,500,000) which will be 59 percent SBA reimbursable if begun soon. They also reviewed at length small program additions equivalent to the $56,000 in additional savings (over the state aid cut) identified by the Town Manager, and agreed to restore weekly recycling, weekend landfill operation, and support for the Town website. On Warrant Articles of interest to the committee: Article 13 (electric utility study) will be no funding request, but a request to reaffirm earlier Town interest in exploring a municipal utility; Articles 12, 14, 25 (DPW operations facility, senior center, 201 Bedford St. disposition): the disposition committee continues its work, having voted 6-1 in favor of moving DPW to Hartwell Ave.; given its ongoing work, the study committee asks the Selectmen not to take a position now, but to be prepared to get a sense of Town Meeting on the idea of partial private redevelopment of 201 Bedford Street, possibly partial private development at Hartwell Ave. No funds for DPW or senior center planning sought now, since neither is definitively sited. Hornig restated the Capital Expenditures position, that discussion and a resolution on disposition are fine, but if there is proposed legislation to actually dispose of land, the committee needs to be so advised NOW, to take a position. One issue might be a study of soil contamination on the site; Article 16: private sponsors of the skate park want to present information on revenue-raising proposals (clinics, etc.), and Recreation now appears to favor action, with Recreation enterprise and tax funds; Article 23: the Selectmen deferred voting on the three proposed conservation parcels. Returning to the capital funding items, having voted NOT to restore the interest and recap savings to cash capital, the Selectmen then voted to: DELETE Visitor Center electrical work (CEC concurs) DELETE building envelope study (CEC concurs) RETAIN the ADA work as now described (CEC had opposed on old program proposal; will have to formulate position on new proposal; $50,000) AWAIT DECISION/FURTHER INFORMATION on Skyworker and Town Offices electrical/rewiring recommendations, forthcoming from NSTAR The joint meetings adjourned at approximately 11:20 p.m. John S. Rosenberg