HomeMy WebLinkAbout2013-03-06-CEC-min-execMinutes of the Lexington Capital Expenditures Committee (CEC) Meeting
March 6, 2013, Executive Session
Date, Place, and Location: March 6, 2013, 5:00 A.M., Cary Memorial Building, Ellen Stone
Room
Members Present: Charles Lamb, Chair; Beth Masterman, Vice - Chair; Jill Hai; Bill Hurley;
David Kanter
Documents Presented: None
With Mr. Lamb, as Chair, having called to order at 8:02 A. M. the Open Session — which had
been posted also to involve an Executive Session —he subsequently 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 —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 8:03 A.M.
Potential Acquisition of Property at 33 Marrett Road
Mr. Kanter briefed the Committee on what he had noted as having occurred at the
Executive Session of the Community Preservation Committee (CPC) held the previous
afternoon.
That Session had also been called under the same Exemption, and for the same
purpose, as this Session.
Rob Addelson, Assistant Town Manager for Finance, had presented information on
the portion of the purchase price being offered to the seller that was considered eligible for
funding under the Community Preservation Act (CPA) and proposed the CPC should
recommend to Town Meeting appropriating all of that portion from the Community
Preservation Fund (CPF).
He explained to the CPC that, even using very conservative assumptions, his model
for the status of the CPF, starting with FY2014 and running out until FY2021, reflected that
the CPF cover all the known and major claims while still having yearly allocations for future
projects not currently known. (Mr. Kanter commented that model didn't run out until even
the end of the first contemplated 10 -year bond.) Mr. Addelson also pointed out that his
model didn't include the elimination of current claims that might be Indefinitely Postponed at
the upcoming Annual Town Meeting (e.g., CPF funding for the Visitors Center Project) and
relief from previous claims (e.g., the Project to upgrade the current Senior Center at the
Muzzey Condominiums).
The CPC discussed the basis for proposed portion of the purchase price relative to
the higher of the two appraisals of the property —which is the one being used as the legal
cap on how much the CPF can provide for a land purchase.
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Minutes of the Lexington Capital Expenditures Committee (CEC) Meeting
March 6, 2013, Executive Session
The CPC discussed the uses being proposed for the property if purchased (i.e.,
Open Space & Historic Preservation) in consideration of the purposes of the CPA. There
was objection to the absence of any provision for Community Housing or even a deferred
decision on some being provided on the property— whether within the part of the property
proposed for funding by the CPF or the balance to be funded from the General Fund. It was
noted that the Selectmen- appointed Ad hoc Townwide Facilities Master Planning
Committee had sent a letter to the Board of Selectmen recommending that if purchased,
the uses should be (just) Open Space & Historic Preservation.
A Motion was made and seconded that the CPC endorse the purchase if for the
proposed CPF portion of the purchase price being offered to the seller and that the uses be
Open Space & Historic Preservation. The vote was 7 -1.
This Committee discussed what the CPC had heard and done, and then the pros & cons
relative to up -front use of the CPF versus holding in reserve a portion of what had been
proposed to apply to the purchase. Mr. Lamb asked whether Mr. Addelson's model, as had
an earlier model, included the assumption that a steady percentage of each prior - year's
CPA surcharge would be provided by the State as a supplement to the Town's surcharge
revenue (and minor interest income) each year. Mr. Kanter said it did, and Mr. Lamb was
concerned with including that supplement in the analysis of the out -year status of the CPF
as that supplement is subject to a change at any time by the State Legislature.
While this Committee still had reservations concerning what the out -year status of the CPF
is likely to be and is looking forward to more information regarding the specific funding of
the purchase (if a deal is reached with the seller), there was agreement within this
Committee that it would be appropriate for the CPC to recommend to Town Meeting the full
amount of the CPA - eligible portion of the purchase price.
Return to Open Session: At 8:47 A.M., it was moved and seconded that the Committee
return to Open Session. Each member was polled. Vote: 4 -0
These Minutes were approved by the CEC at its Open- Session meeting on
March 13, 2013, but without making the content public as it was still sensitive at that time.
In response to a query by Mr. Kanter on April 11, 2013, Carl Valente, Town Manager,
advised on April 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.
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