HomeMy WebLinkAbout2012-05-04-CEC-minMinutes of the Lexington Capital Expenditures Committee (CEC) Meeting
Date, Place, and Location: May 4, 2012, 8:00 A.M., Town Office Building, Room G -15
Members Present: Charles Lamb, Chair; Ted Edson, Vice - Chair; Bill Hurley; Shirley Stolz;
David Kanter
Other Attendees: Carl Valente, Town Manager; Rob Addelson, Assistant Town Manager
for Finance; Eric Michelson, Appropriation Committee
Document Presented: Draft #4 of the Capital Expenditures Committee Supplement to the
Report to the 2012 Annual Town Meeting (ATM) distributed electronically, May 3, 2012,
with printed copies available at the meeting
Call to Order: Mr. Lamb called the meeting to order at 8:00 A.M.
Approval of Minutes
It was moved and seconded that the Minutes of the Committee's April 23, 2012, meeting,
as reflected in the draft that had been distributed electronically, April 30, 2012, be
approved. Vote: 5 -0
Executive Session
At 8:05 A.M., Mr. Lamb declared that an executive session was warranted under the Open
Meeting Law Exemption 6 (To consider the purchase, exchange, lease or value of real
property) as the discussion in an open meeting may have a detrimental effect on the
negotiating position of the Town. A Motion was made and seconded to go into executive
session with the intention to reconvene in an open session. Each member was individually
polled and each voted "yes ".
At 8:55 A.M., the Committee reconvened in open session after a Motion had been made and
seconded in the executive session to reconvene in open session. Each member had been
individually polled and each voted "yes ".
Revisit Committee Position on Funding the Wright -Farm Land Purchase (2012 ATM,
Article 9)
The Committee reconsidered its recommendation on that funding made at its
April 23, 2012, meeting. It was agreed that the decision on how much, if any, Community
Preservation Fund (CPF) cash would be applied to the purchase price could be deferred
until the debt financing would be by a bond — rather than upon issuance of a bond
anticipation note (BAN) at closing —to provide increased flexibility regarding how much
cash, if any, should be applied to the purchase price. The Committee also agreed that the
anticipated associated expenses beyond the purchase price (currently estimated at
$97,000) and any BAN interest (currently estimated at $15,000) should be funded with
cash.
A Motion was made and seconded to replace the Committee's prior recommendation with
one that, under Article 9 at this Town Meeting, (1) $112,000 of CPF cash should be
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appropriated, (2) initial debt financing, serviced by the CPF, should be authorized for the full
purchase price of $2,950,000, and (3) that recommendation is predicated on, prior to
issuing any bond, this Committee participating in a collaborative process with the Board of
Selectmen, the Appropriation Committee, and the Community Preservation Committee to
determine the manner in which further to fund that $2,950,000 between the use of
additional CPF cash and any bond. Vote: 5 -0.
Supplement to the Committee's Report to the 2012 ATM
The Committee reviewed the Draft #4 and, other than the need to update it to reflect the
new recommended funding for the Wright -Farm Land purchase, found that the changes by
Mr. Kanter were consistent with the Committee's authorization at its April 23, 2012,
meeting.
It then was moved and seconded that that draft, as updated with the new recommended
funding for the Wright -Farm Land purchase, be approved as the Committee's supplement.
Further, Mr. Kanter remains authorized to make further administrative and editorial changes
to the extent they do not materially affect the Committee's analysis, updated and corrected
information, or positions; and with him to distribute the report for posting to the Town and
Town Meeting Member Association Web sites, have the report printed, make labeled
copies available to the Town Meeting Members who didn't opt out of getting a printed copy,
and to make the other required and usual distribution to the Town staff of the printed report.
Vote: 5 -0.
Next Meeting: The Committee decided to have its next meeting on May 9, 2012, at
7:00 P.M., just before that session of Town Meeting. Mr. Lamb will take care of having it
formally posted.
Adjourn: A Motion was made and seconded at 9:20 A.M. to adjourn. Vote: 5 -0
These Minutes were approved by the CEC at its meeting on May 9, 2012.
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