HomeMy WebLinkAbout2023-10-23 SB-min
Select Board Meeting
October 23, 2023
A meeting of the Lexington Select Board was called to order at 6:30p.m. on Monday, October 23,
2023, via hybrid meeting platform. Mr. Pato, Chair; Ms. Barry, Mr. Lucente, Mr. Sandeen, and Ms. Hai
were present, as well as Mr. Malloy, Town Manager; Ms. Katzenback, Executive Clerk; and Ms. Axtell,
Deputy Town Manager.
PUBLIC COMMENTS
None at this time.
SELECT BOARD MEMBER CONCERNS AND LIAISON REPORTS
1. Select Board Member Concerns and Liaison Reports
Ms. Barry gave thanks to those who testified at the State House in favor of House Bill 3242 for funding
th
for public safety and operational support for the 250 events. Also, last Friday, Lexington hosted
Secretary Kate Fox from the Massachusetts Office of Travel and Tourism, regarding the same topic. She
thanked those who attended that meeting.
Ms. Hai stated that she and Mr. Lucente attended the Economic Development Advisory Committee last
week and, of note, Ms. Page reported that the Hartwell 25% design is progressing and that a public
meeting will be held on November 16, 2023. Additionally, the Planning Board approved revisions to the
Hartwell Transportation Management Plan. Part of these changes tied the mitigation fees charged under
the Plan to parking space count, not to building size.
Mr. Sandeen explained that the Affordable Housing Trust held an emergency meeting this morning under
executive session to consider land acquisition approval. No additional details are available at this time.
Also, the Bicycle Advisory Committee asked him to thank Town Staff for painting the stripe down the
middle of the bikeway. He requested a future agenda item regarding a presentation to the Hanscom Field
Advisory Committee from a Lexington-resident who would like to study the Hanscom Field area towns
regarding environmental particulate matter pollutants from jet aviation. The study would cost $50,000, of
which $25,000 would be covered by Massport CAC. The request is for the other four towns to cover the
remaining $25,000 split equally.
DOCUMENTS: Select Board Announcements and Liaison Reports - October 23, 2023
TOWN MANAGER REPORT
1. Town Manager Weekly Update
Mr. Malloy stated that the Town’s new Communications Director, Jonas Miller, is starting on
Wednesday, October 25th. Also, recently WalletHub named Lexington the number two best small city in
America to live in. He noted that the Board will need to hold an executive session regarding a PFAS
settlement that MWRA has been working on. Also, during that session, the Board will discuss an update
to a current lease the Town has with the Church of Our Redeemer for use of their parking lot. He noted
that he and Mike Cronin attended a meeting with the MSBA and an architect, SMMA, was selected for
the high school project.
DOCUMENTS: 10-13-23 Weekly Update, 10-20-23 Weekly Update
CONSENT AGENDA
1. Application: Entertainment License - iCanFly, Inc., Emery Park, 0 Massachusetts Avenue
Fundraiser for Children With Special Needs
To approve an Entertainment License for iCan Fly, Inc. for the purpose of providing live musical
performances, radio/recorded music, and karaoke for patrons of a fundraising event for children with
special needs to take place on Saturday, November 11, 2023 from 2:00pm to 4:00pm in Emery Park, 0
Massachusetts Avenue.
DOCUMENTS: 2023 iCan Fly, Inc. Fundraiser/Event Location Map
2. Application: Battle Green Permit – The Lafayette Trail, Inc., Battle Green, 0 Massachusetts
Avenue
Filming a Ceremonial Musket Firing for Nonprofit Documentary
To approve the request of The Lafayette Trail, Inc. to use the Harrington Road side of the Battle Green
near the First Parish in Lexington on Saturday, November 4, 2023 to film part of a nonprofit documentary
for approximately two hours between 7:30am to 9:30am.
DOCUMENTS: Battle Green Use Request Diagramof Event, Use of the Battle Green Regulations
3. Accept Select Board Committee Resignation
Lexington Housing Assistance Board (LexHAB) - Robert Phelan
To accept the resignation of Robert Phelan from the Lexington Housing Assistance Board (LexHAB)
effective immediately.
DOCUMENTS: Resignation Letter - R. Phelan
4. Approve Select Board Meeting Minutes: September 18, 2023 Select Board, September 20, 2023
Select Board and October 2, 2023 Select Board
To approve and release the following minutes: September 18, 2023 Select Board, September 20, 2023
Select Board and October 2, 2023 Select Board
DOCUMENTS: DRAFT 09182023 Select Board, DRAFT 09202023 Select Board, DRAFT 10022023
Select Board
5. Endorse Affordable Housing Trust Board of Trustees' Application to the Community Preservation
Committee for Prefunding of $3.2 Million
To endorse the Affordable Housing Trust's request for $3,200,000 in CPA funding.
VOTE: Upon a motion duly made and seconded, the Select Board voted by roll call 5-0 to approve the
Consent Agenda.
ITEMS FOR INDIVIDUAL CONSIDERATION
1. Public Hearing: Tax Classification Presentation
Mr. Pato opened the public hearing at 6:44pm.
Carolyn Kosnoff, Assistant Town Manager for Finance, explained that this is the first meeting in the
process of setting the FY2024 tax rates. She stated that the tax levy limit is $243.6M. Last year's levy
limit was $231M. The total assessed values for FY24 are $17.6B, which is made up of residential,
commercial, industrial, and personal property. If the Town had a flat tax rate, it would be $13.83 per
$1,000 of value. The FY24 calculated growth, approved by the DOR, is $5.7M. Overall, the total levy
limit, which is the Town's budget, is increasing 5.29%. For this year, the residential value in Town, is
6.8% of the total value of the Town, and the Commercial Industrial Personal (CIP) class is 13.2% of the
total Town's value. The residential valuation has increased 12.1% over last year, and the CIP has
increased 9.7% over last year. The residential value in Town grew approximately $1.5B in FY24, which
is a 10.94% increase over last year. Personal property is actually showing a decrease, and this is due to
personal property depreciating over time.
Ms. Kosnoff reviewed the four items the Board can decide on in order to set the tax rate. The first is a
residential shift factor. This takes some of the tax levy and shifts it from the residential tax base to the
commercial tax base. This can be done up to 1.75%. A second item is choosing an open space discount.
However, Lexington does not have any property classified as open space, and therefore this is not really
an option. Item three is the option for a residential exemption. This can shift up to 35% of the tax burden
from those with an owner-occupied residence, to other non-owner-occupied homes. Lastly, is the small
commercial exemption, which allows up to a 10% exemption for small commercial properties.
Regarding the residential shift factor, the Board can shift from 1% up to 1.75. Selecting a shift at higher
than one will decrease the residential tax rate and shift some of the burden to the CIP class.
Greg Johnson, Board of Assessors Chair, reviewed what a residential shift factor would look like for each
property classification in Town.
Mr. Lucente asked how mixed-use properties fall into the classification chart. Mr. Johnson stated that
these properties do not fit well into one of the categories, but there are not many of these. Ms. Kosnoff
explained that the portion of the property that is residential would be taxed at the residential rate, and the
portion that is commercial would be taxed at the commercial rate.
In response to a question from Ms. Barry, Mr. Johnson explained that there has been a lot of lab office
construction going on in the entire Boston Metro area, with much of it still coming online. The values are
not increasing at the same rate for these properties that they had been.
Regarding the option for a residential exemption, Ms. Kosnoff explained that this would exempt up to
35% of an individual property’s home value from taxes. This only applies to those residences in Town
that are owner-occupied. This would increase the tax rate for all residential properties, but exempt a
certain amount, as decided on by the Board. This cost is then redistributed to other residential rate payers.
In Lexington, a break-even point for a 20% exemption would be $1.65M. This shift would change the rate
from 12.25%, to 14.75%. A property valued at $1.5M, with a 20% residential exemption, would pay $375
less on their tax bill. A property valued at $2M would have an increase over the other rate of $873, or
3.56%. The lower the value of the property, the larger amount exempted.
Regarding a small commercial exemption, Ms. Kosnoff explained that the Board could decide to exempt
up to 10% of the value of a small commercial property. The two criteria that have to be met include the
property having a value of less than $1M, including commercial condos, and that the property has less
than ten employees, on an annualized basis. There are over 900 commercial businesses listed in Town that
have less than ten employees; many of those are sole proprietorships. This was compared to the 87
properties in Lexington that have a value of less than $1M. In comparing these items, there are 58
businesses that may qualify. If the Board chose to elect a full 10% exemption for those 58 properties, it
would shift approximately $75,000 in total taxes from those small businesses to other payers in the
Commercial Industrial class, not the Personal class.
Mr. Pato noted that, in previous years, the Board has chosen not to implement the small commercial
exemption, largely because the analysis showed very few properties that met the criteria. This year, the
numbers seem to be appreciable. He asked what burden it would place on staff to execute this exemption.
Ms. Kosnoff explained that there would be a bit of burden on the Assessor's Office to confirm these
properties. Staff would then apply this across the board, without an application or any other formal
process. This would be built into the tax rate recap.
Mr. Pato noted that the tax burden is on the property owner. Ms. Kosnoff agreed that other towns have
not elected to adopt this because, unless the lease specifically says that any breaks on taxes would have to
get passed through, the owner is not required to lower rents for their tenants.
Mr. Lucente cautioned the Board and asked for clearer data on how many properties this would actually
benefit. Ms. Kosnoff noted that the Board can be informed of the 87 properties valued under $1M, but the
data regarding which properties have less than ten employees cannot be shared.
Mr. Pato asked for public comment.
Raj Goyal, 24 Philip Road, asked if the assessed values of all residential properties has increased
approximately 12%. Mr. Johnson explained that this is based on single-family properties and is not based
on other types of residential properties. Mr. Goyal noted that both the assessed values of properties and
the tax rates seem to be increasing higher than the inflation rate. He asked what the Town is doing to keep
a more level budget for the taxpayers. Mr. Pato noted that this is a discussion for the budget process.
John Zhao, 10 Cooke Road, stated that he was a member of the Residential Exemption Study Committee.
He suggested reviewing the number of owner-occupied properties in Town. He noted that there are other
suggestions in the past report that could be considered. He asked about a comparison with other towns if
the Board decided on a shift factor. Ms. Kosnoff explained that similar data can be found within the Tax
Classification Packet. Mr. Johnson stated that, regarding a residential taxpayer’s annual bill, an average
single-family property in Lexington that has been assessed for $1.5M, with a shift of 1.75% and a tax rate
of $12.25, would result in a tax bill of approximately $18,298.
Mr. Pato noted that the Board will vote on the FY2024 tax classification options at an upcoming meeting,
scheduled for November 13, 2023.
Mr. Pato closed the public hearing at 7:39pm.
DOCUMENTS: FY2024 TaxRate Classification Presentation, FY2024TaxRateClassificationMemo_v2
2. Review and Approve Massachusetts Water Resources Authority (MWRA) Sewer Bond
Ms. Kosnoff explained that the 2023 Annual Town Meeting approved an appropriation for water
distribution system improvements under Article 13, to bring the Town in compliance with the
Environmental Protection Agency's Lead and Copper Rule. This project includes the development of an
inventory of existing lead service water lines, engineering studies and the purchase and installation of
equipment to replace lead service water lines and connections throughout Lexington.
The Town will enter into a Financial Assistance Agreement with the Massachusetts Water Resources
Authority (MWRA) to fund $3,880,000 of the Lead and Copper project with a zero-interest loan. The
MWRA further requires the issuance of a municipal bond to secure this loan. The principal-only bond
will be repaid in equal installments of $388,000 over 10 years from the Water Enterprise fund beginning
in FY2025.
Mr. Malloy noted that this loan, with a 4% interest rate, saves the ratepayers $853,000 over the next ten
years.
VOTE: Upon a motion duly made and seconded, the Select Board voted by roll call 5-0 that the sale of
the $3,880,000 Water Bond of the Town dated November 6, 2023, to Massachusetts Water Resources
Authority (the “Authority”) is hereby approved and the Town Treasurer or other appropriate Town
official is authorized to execute on behalf of the Town a Loan Agreement and a Financial Assistance
Agreement with the Authority with respect to the bond. The bond shall be payable without interest on
November 15 of the years and in the principal amounts as follows:
Year Installment Year Installment
2024 $388,000 2029 $388,000
2025 $388,000 2030 $388,000
2026 $388,000 2031 $388,000
2027 $388,000 2032 $388,000
2028 $388,000 2033 $388,000
and further: that each member of the Select Board, the Town Clerk and the Town Treasurer be and hereby
are, authorized to take any and all such actions, and execute and deliver such certificates, receipts or other
documents as may be determined by them, or any of them, to be necessary or convenient to carry into
effect the provisions of the foregoing vote.
DOCUMENTS: MWRA Water Bond, MWRA Water Bond Certificate, MWRA
FinancialAssistanceAgreement_11.2023, MWRA Loan Agreement_11.2023
3. SpecialTownMeeting2023-1
Updates - STM 2023-1 Financial Articles:
o Article 2: Appropriate for Prior Years' Unpaid Bills
o Article 3: Establish, Amend, Dissolve and Appropriate To and From Specified
Stabilization Funds
o Article 4: Amend FY2024 Operating, Enterprise and CPA Budgets
o Article 5: Appropriate for Authorized Capital Improvements
Ms. Axtell updated the Board on several Financial Articles.
Presentation - STM 2023-1 Article 6:Appropriate Opioid Settlement
Joanne Belanger, Director of Public Health, updated the Board on Article 6: Appropriate Opioid
Settlement. She explained that each time money is paid into the Fund, it has to go before Town Meeting
for appropriation. The funds are appropriated for specific purposes, such as opioid epidemic related
programming for the public, to connect people to recovery and treatment, and to reduce the overall harm
caused by the opioid epidemic. A working group was formed and tentatively named the Substance Use
Treatment Awareness and Recovery Team (START). The group has worked to design a Narcan rescue kit
and training for it will be available. Other programming items are also being considered.
Mr. Lucente asked about potential collaboration with the schools. Ms. Belanger explained that the schools
are a partner that needs to be brought to the table.
Presentation - STM 2023-1 Article 7: Appropriate Housing Resale and Rental Monitoring Fees
The Affordable Housing Trust is recommending that the Select Board indefinitely postpone (IP) Article 7:
Appropriate Housing Resale and Rental Monitoring Fees.
Presentation - STM 2023-1 Article 11: Amend Zoning Bylaw - Associate Planning Board
Member
Bob Peters, Planning Board Chair, updated the Select Board on Article 11: Amend Zoning Bylaw -
Associate Planning Board Member. He explained that, under current zoning, the Associate Planning
Board member, is only available to serve when considering special permit. As a result of last annual
Town Meeting and previous Town Meetings, the number of special permits anticipated are relatively low.
There is an occasional need for board members to recuse themselves. The feedback received from
stakeholders, both applicants and the public, is that having a full five-member board sitting to hear zoning
applications for projects is important. He stated that he believes this Article will receive a favorable vote
from the Planning Board at its next meeting.
Presentation - STM 2023-1 Article 12: Amend Zoning Bylaw - 2013-2027 Massachusetts Avenue
(Owner Petition)
Trisha Perez Kennealy, Owner, updated the Select Board on Article 12: Amend Zoning Bylaw - 2013-
2027 Massachusetts Avenue (Owner Petition). She explained that the purpose of the amendment is to
amend the PSCUP that was approved by Town Meeting in 2012 to expand the seating capacity of the
property. The seating capacity agreed to during the PSCUP process was 54 seats, for seats in the dining
area of the restaurant. There are other issues in the PSCUP up in terms of parking space requirements. She
explained that the business will have been open for ten years this spring, and she believes the business has
demonstrated the intersection’s ability to handle the existing capacity and its operational ability to be a
good corporate citizen. People are still requesting to eat outside, post COVID-19. The intention is to have
a number of opportunities to welcome guests. The intersection has been improved significantly since the
PSCUP approval. She explained that a separate Memorandum of Understanding with the Board could
also be considered to be amended to match the request.
Ms. Barry noted that the proposal seeks zoning approval to increase the allowable seating capacity up to
128, which is what is currently on the premises. She asked why this is a concern if this is the existing
capacity. Ms. Kennealy explained that the PSCUP says only 54 seats are allowed. She has 128 seats
currently but cannot utilize them, due to the PSCUP.
Mr. Pato stated that he would like to hear how this item is discussed by the Planning Board. An
adjustment is likely needed to bring this property into compliance for a proven ability to do outdoor
dining, which is a benefit to the community. He noted that the MOU will be negotiated in parallel to the
Planning Board hearing this item.
Mr. Pato asked for public comment.
Dawn McKenna, 9 Hancock Street, stated that she believes this applicant is being accountable and taking
responsibility, and she would like to see the Board respond positively and support this.
Bridger McGaw, Precinct 6 Town Meeting Member, voiced his support of this proposed change.
Dawn McKenna, 9 Hancock Street, made a comment regarding Article 3. She advocated that the policy in
question should not be expanded. She is concerned with taking funds from new growth beyond the policy.
Select Board Article Discussion, Presenters and Positions
Mr. Pato Ms. Barry Mr. Lucente Ms. Hai Mr. Sandeen
Article 2 - Appropriate for In Support In Support In Support In Support In Support
Prior Years' Unpaid Bills
Article 3 - Establish, Amend, In Support In Support In Support In Support In Support
Dissolve and Appropriate To
and From Specified
Stabilization Funds
Article 4 - Amend FY2024 In Support In Support In Support In Support In Support
Operating, Enterprise and CPA
Budgets
Article 6 – Appropriate for the In Support In Support In Support In Support In Support
Opioid Settlement
Article 11: Amend Zoning In Support In Support In Support In Support In Support
Bylaw - Associate Planning
Board Member
Article 12: Amend Zoning Is a Wait Is a Wait Is a Wait Is a Wait Is a Wait
Bylaw - 2013-2027
Massachusetts Avenue (Owner
Petition)
Article 9: Authorize Home Rule Is a Wait Is a Wait Is a Wait In Support Is a Wait
Petition for Special Legislation
– Establishing the Election of
Town Offices using Ranked
Choice Voting (Citizens’
Petition)
DOCUMENTS: Article 5 capital improvements motion (IP), Article 6 opioid motion dated 10.13.23,
Article 6 opioid presentation, Article 7 resale fees motion dated 10.17.23, Article 11Associate pb member
motion, Article 11Assoc PB, Article 12 owner petition text, Article 12 Staff Memo, Working Document -
SB Positions as of 10-16-2023
The Board took a five-minute recess.
4. Presentation – Housing Feasibility on Town-Owned Properties
Carol Kowalski, Assistant Town Manager for Development, presented an update on the Housing
Feasibility Study.
Kim Barnett, LDa Architecture, explained that the study reviewed the Depot Lot, 1751 Massachusetts
Ave., and 171/173 Bedford Street. She discussed the challenges and strategies for each site. She reviewed
the poll questions answered during previous stakeholder meetings.
Brett Pelletier, Kirk & Co., stated that there seems to be f easibility for a typical 100% affordable rental
project. This would be a low-income housing tax credit project that is entirely affordable to residents
earning less than 60% of the median income. The other option could be a Chapter 40b model, with 75%
of the price objectives under market rate rental housing, and 25% affordable housing to residents earning
under 80% of the area median income. These sites are all tricky logistically.
Mr. Sandeen noted that the Board has heard a presentation from the Affordable Housing Trust regarding
another potential project at a Town-owned property near Lowell Street and North Street. He suggested
that that it would be helpful if the consultants could consider whether the economics for this property
might be similar to the economics for the other three properties presented tonight. Ms. Kowalski stated
that a feasibility study for this property is also being considered.
Mr. Pato agreed that these are not the only sites in consideration. He noted that there may be more
urgency for 173 Bedford Street to be used as swing space if it is not most feasible to use it for an
affordable housing project.
Mr. Sandeen asked in light of the comments during tonight’s meeting that 173 Bedford looks like the best
location for affordable housing, and in light of the urgency of providing additional affordable housing, if
the Select Board would consider another possibility for 173 Bedford Street besides dedicating it to swing
space for the next ten years. Ms. Burnett noted that the site could be divided, with the building on the
Bedford Street end used as swing space, and something developed further into the site sooner than 2031.
This is another potential option to be considered.
In answer to a comment from Mr. Pato, Brett Pelletier stated that the Depot Lot has capacity and is worth
exploring in detail because it is a great site, fantastically located, with transit and shopping.
Bob Pressman, 22 Locust Avenue, asked when 173 Bedford Street will become available. Mr. Pato noted
that it may never become available. At this point, it is not anticipated that School administration would
stay in that location, but this is not impossible. It is yet unclear what the design for the high school will be
and whether or not this will accommodate space for school administration.
Dawn McKenna, 9 Hancock Street, stated that she does not believe the Center is the only place housing
could go and she would like to see an economic conversation regarding how another construction project
in this area could impact the existing businesses or filling the empty businesses.
Bridger McGaw, Precinct 6 Town Meeting Member, explained that the Economic Development
Advisory Committee has discussed that it may not be the best use to spend $6M to renovate a building
that may get demolished later for future use, especially when the Town is trying to invest wisely in capital
projects. The Committee is interested in understanding the cost benefit and actual market analysis for a
lease arrangement of all other properties in the area, before making a decision to postpone what could be
the right affordable housing opportunity for our town.
Jerry Michelson, Chair of the Lexington Center Committee, suggested speaking with the MBTA and
considering combining the two Center lots in some way. Mr. Pato agreed that there is value in considering
if there is a way to have the two lots assist each other, though there is a difference in topography between
the sites.
DOCUMENTS: Presentation to Select Board - 10-23-2023, Stakeholders meetings - Presentation on pgs
1-35, Pie Charts, Stakeholder, Affordable Housing PollAnswers
ADJOURN
VOTE: Upon a motion duly made and seconded, the Select Board voted 5-0 to adjourn the meeting at
9:33pm.
A true record; Attest:
Kristan Patenaude
Recording Secretary