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HomeMy WebLinkAbout2013-01-22-CEC-min-exec Minutes of the Lexington Capital Expenditures Committee (CEC) Meeting January 22, 2013, Executive Session Date, Place, and Location• January 22, 2013, 8 00 A M , Town Office Building, Reed Room (111) Members Present• Charles Lamb, Chair, Beth Masterman, Vice-Chair, Jill Hai, Bill Hurley, David Kanter Other Attendee(s)• Deborah Mauger, Chair, Board of Selectmen, Carl Valente, Town Manager, Sara Arnold, Recording Secretary Documents Presented• None With Mr Lamb having called to order at 8 33 A M the Open Session—which had been posted also to involve an Executive Session—he then declared, as Chair, 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 detnmental effect on the negotiating position of the Town—and with the intention to reconvene in Open Session A Motion to do so was made and seconded Each member was polled and each voted "yes" The Committee went into Executive Session at 834 A M Potential Acquisition of Property at 33 Marrett Road Mr Lamb reviewed for Ms Mauger and Mr Valente the Committee's concerns that had been identified at its December 18, 2012 meeting regarding the Town's potential purchase • The potential acquisition of this property seems to have heightened the competition for financial resources for capital projects, and the potential projects do not appear to be prioritized; • The Committee is concerned about public-safety needs and believes they should have priority, • The voters should be afforded an opportunity to express their support for or against major capital projects, such as this purchase; the use of Conservation Preservation Act (CPA) funds shouldn't preclude that process; • There is Committee support for moving forward on Cary Memorial Building renovations, which project impacts available resources, • The Town shouldn't buy the land just to protect it from development There should be, for the record, an evaluation of real-estate-tax income from homes and the likely services burden to the Town from such a development Ms Mauger said that housing generally doesn't pay for itself because it brings in more students who use the schools, and • If the Town uses CPA funds, this could restrict the Town's ability to re-sell the property if the Town should subsequently decide that the purchase was not in the Town's best interest Ms Masterman asked if the purchase satisfies a need, or is this just something that is wanted, she believes that there are public-safety needs that should be addressed first Mr Lamb reiterated that public safety is the Committee's highest priority Page 1 of 5 Minutes of the Lexington Capital Expenditures Committee (CEC) Meeting January 22, 2013, Executive Session Ms Hai expressed her concern that the Town cannot re-sell the land if CPA funds are used Mr Valente said he will discuss this further with Town Counsel, but based on experience with the Busa property and his understanding of the issues, if CPA funds are used to purchase property, it should be possible to sell said property before the Town puts any restrictions on it, but the Town will then need to reimburse the CPA funds Mr Kanter reported that the Community Preservation Coalition advised that including restrictions as part of a purchase using CPA funds is expected by the State Mr Hurley wondered if the property owners would want to negotiate some restrictions on what the Town could do with the property if the Town purchased it He imagines that they would prefer having the Town own the property over multiple houses It was noted that a developer could out-bid the Town, which cannot pay more than an appraised value of the property Ms Mauger explained that a negotiated price for the property has not been determined, nor has a maximum acceptable threshold been established by the Town Regarding the need for the property, she said that different people interpret need differently, this is a value judgment She is asking herself whether the property can benefit the Town and whether this is an opportunity the Town shouldn't pass up Based on a careful analysis by The Cecil Group, consultants being used by the Selectmen-appointed Ad hoc Town-wide Facilities Master Planning Committee (AhTFMPC), the property's best use for the Town would be as a new community center In Ms Mauger's opinion, that use is currently on par with replacing the police and fire stations in terms of need Ms Mauger said she is interested in getting input from the AhTFMPC, but recognizes that they will not complete their work before the Selectmen have to make their recommendations regarding this purchase She added that the Town is in a position to pursue both this purchase and a new fire station within the next five years, but the Town cannot additionally support in that time frame all of the other large capital projects that have been identified, such as Cary Memorial Building renovations, a new police station, and several new schools Mr Valente explained that he is waiting for the new Fire Chief to clearly identify a project for the fire station, thus the project is not being proposed for any funding in FY2014 It is recognized that the current Bedford Street station site is limited in size, so it doesn't work very well for what had been the last design proposal Other locations have been considered, but the best sites might require a taking by eminent domain Ms Mauger added that no capital projects are on hold because of this potential purchase She emphasized that the AhTFMPC report will inform the Town in its effort to prioritize projects Ms Mauger discussed the potential financing process for making this purchase If CPA funds are used (where eligible), it may be possible to fund the balance through the general tax levy, which requires only Town Meeting approval, while a debt exclusion requires a referendum She asked, rhetorically, whether having Town Meeting approval is sufficient for Page 2 of 5 Minutes of the Lexington Capital Expenditures Committee (CEC) Meeting January 22, 2013, Executive Session community input and noted that there are different opinions about which approach is preferable In response to a question, she said that user fees at a community center can only help pay for the facility over time Mr Kanter commented that excluded debt doesn't impact the Proposition 21/2 tax-levy restrictions He opposes using the general tax levy to fund the purchase if that has the potential for having to go out for an override to be able to cover the debt service to avoid not being able to maintain the current level of services There was a discussion about the two costs involved in this purchase the purchase and the renovations Ms Mauger said that the Council on Aging could move into the main facility almost immediately, renovations could be done over time She added that the gymnasiums in Lexington are under-utilized, so she does not see the need for building a gym as part of the renovations Ms Masterman expressed her continued concern that new/renovated fire and police stations should be the Town's highest priorities She noted that neither of these projects is being pushed by an opportunity or an event, which results in their being delayed She added that a gym for the East Lexington Fire Station isn't being supported by Town management, and based on a recent tour of the Police Station, the police need more and updated space Mr Hurley said that working in the current buildings can't be morale-building Ms Mauger commented that the morale at the police and fire stations is good and the staff is treated well She is confident that new stations will move forward after the AhTFMPC report is completed She does not see this purchase impacting this, although the need for new schools could influence timing for the public-safety facilities Mr Valente stressed that public safety isn't being compromised by the current fire and police stations, and that the buildings are well maintained He added that an upgraded fire station is his highest priority, but a decision on this purchase can't wait until the public-safety projects are addressed Ms Mauger added that neither Fire Chief Wilson nor Police Chief Corr is saying that they can't do their jobs or that the public is at risk Mr Hurley suggested that efficiencies are being compromised In response to questions about the police firing range and firearms equipment, Mr Valente said that the Town having even its current outdoor range is the envy of other Towns Also, the equipment requested by the Police Department is in the FY2014 preliminary budget Ms Mauger discussed the Town's constituency groups There are increases in senior citizens and the young In her opinion, the Town's services for the elderly, the disabled, and teens need to be expanded, and a community center will service this purpose She envisions a social model for the facility Mr Valente left at 9 34 A M Page 3 of 5 Minutes of the Lexington Capital Expenditures Committee (CEC) Meeting January 22, 2013, Executive Session Mr Kanter said he supports the Town addressing Cary Memorial Building's needs before they become of crisis proportion and believes this project should move forward now He is anxious to know how much of the proposed purchase could be CPA funds because this impacts other projects such as the Cary Memorial Building renovations Ms Mauger asked how the Committee sees its role with regard to this purchase Mr Lamb said that this Committee advises, primarily on responsible ways of financing He added that the Committee ranks public safety as its highest priority, and although the Committee is unlikely to come out against the AhTFMPC recommendations, there are times when the Committee has offered amendments at Town Meeting when the Committee considered the disagreements significant Ms Mauger acknowledged that the Town does not have a formal capital-planning process, and she noted that it took three years to get the AhTFMPC started The AhTFMPC should address sequencing and renovation/rebuild costs, but not financing Pending receipt of the AhTFMPC's report and the Board's deliberations, Ms Mauger identified her current prioritization list, as follows the property at 33 Marrett Road, Headquarters Fire Station, Cary Memorial Building—sound systems only (the balance can be done later), Police Station, and the High School being done over the long term, such as 20 or more years She supports a regional firing range and is waiting for more information from Chief Corr She added that Mr Valente's Senior Management Team reviews all of the capital projects and votes on them Mr Lamb assured Ms Mauger that Town staff members in their presentations to this Committee have never tried to subvert that process by going through committees Ms Mauger left the meeting at 9 58 A M Members of the Committee commented on how they felt about the meeting with Ms Mauger and Mr Valente, as follows • Ms Masterman• The Committee accomplished its goal of making sure the decision makers think about the Committee's position Some wheels may have been put in motion She hopes to understand the politics involved in supporting the firing range • Mr Hurley It was a good meeting • Ms Hai It was a good meeting • Mr Kanter It was a great meeting, but he isn't prepared to accept all the answers He still questions the need for the property at 33 Marrett Road, he suspects it is more of a "want" than a carefully calibrated "need" • Mr Lamb The want or need question is probably more appropriate for Town Meeting members than in the role of a CEC member There was a brief discussion about the Special Town Meeting (STM) that has been proposed to be bundled with the Annual Town Meeting—which starts on March 18 The sole purpose of that STM would be to address a proposal to purchase property at Page 4 of 5 Minutes of the Lexington Capital Expenditures Committee (CEC) Meeting January 22, 2013, Executive Session 33 Marrett Road—if there is an agreement with the owner The Committee recognized that before that STM, the Town may not have been able to come close to a developer's offer for the property, so one factor the owner may have to decide is how important is their future viewscape versus their return on the sale to the Town Return to Open Session• At 11 04 A M , it was moved and seconded that the Committee return to open session Each member was polled Vote 5-0 These Minutes were approved by the CEC at its Open-Session meeting on January 29, 2013, but without making the content public as it was still sensitive at that time In response to a query by Mr Kanter on Apnl 11, 2013, Carl Valente, Town Manager, advised on Apnl 12, 2013, that the content of these Minutes could then be made public and the CEC did so by submitting these Minutes to the Town's public archives on that same date Page 5 of 5