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HomeMy WebLinkAbout2024-08-08-AC-min 8/8/2024 AC Minutes 1 Minutes Town of Lexington Appropriation Committee (AC) August 8, 2024 Place and Time: Remote participation via a Zoom teleconferencing session that was open to the public; 7:30 p.m.–9:30 p.m. Members Present: Glenn Parker, Chair; Sanjay Padaki, Vice-Chair; Alan Levine, Secretary; Anil Ahuja; Sean Osborne; Vinita Verma; Carolyn Kosnoff, Assistant Town Manager, Finance (non-vot- ing, ex officio) Members Absent: John Bartenstein; Eric Michelson; Lily Yan Other Attendees: David Kanter, Capital Expenditures Committee; LexMedia At 7:33 p.m. Mr. Parker called the meeting to order and took attendance by roll call. All votes recorded below were conducted by roll call. Announcements and Liaison Reports Mr. Levine reminded the Committee that he would appreciate direct feedback from members re- garding the Lexington High School project, specifically regarding questions or issues about the pro- ject alternatives that the School Building Committee is considering. Mr. Osborne reported that the Town Manager Search Committee is on schedule to interview and hire a new Town Manager. Reserve Fund Transfer for Repairs at Pine Meadows Golf Course Ms. Kosnoff shared a memorandum she received from Melissa Battite, Director of Recreation, who was unable to attend this meeting. The memorandum describes two maintenance issues at Pine Meadows Golf Course, which is municipally owned and operated. First, the variable frequency drive, which controls the pumps used to move water for irrigation at the golf course, has completely failed. In the interim, employees have been operating the pumps manually, which puts added strain on the pump motors. Second, the two on-site wells that supply water for the irrigation system are not providing water. As a result, the Recreation Department has been using Town water when nec- essary to perform irrigation. Ms. Battite’s memorandum states that the cost to repair the variable frequency drive is estimated at $25,000, and the cost to rebuild the two wells is estimated at $15,000 per well. The actual cost for the wells will be dependent on what the technicians discover once they begin work and could be less than $15,000. The memorandum notes that the Recreation Enterprise Fund has sufficient funds in retained earn- ings to cover these expenses, but the costs of these repairs are not in the FY2025 budget. Use of re- tained earnings will require appropriation at a town meeting. A Reserve Fund transfer would allow the Town to enter into a contract for the needed work in the near future without having to wait for a town meeting. Ms. Battite has requested a transfer of $60,000 from the Reserve Fund to the Recreation Enterprise Fund. Ms. Kosnoff affirmed that these repairs are extraordinary and unforeseen expenses that qual- ify for a Reserve Fund transfer and the current balance in the Reserve Fund is $850,000. It is 8/8/2024 AC Minutes 2 expected that a motion to transfer $60,000 from Recreation Enterprise Fund retained earnings to the Reserve Fund will be made at the fall special town meeting or at the next annual town meeting. There was some discussion of the technical nature of the problems with the wells, but there was not enough information in Ms. Battite’s memorandum to fully answer the questions raised. Mr. Osborne asked if the Recreation Department was working with the Town Engineer. Ms. Kosnoff stated that management of the golf course is outsourced, and that they are working with a consultant. Mr. Os- borne asked if the Committee could receive a report from the consultant describing the issues that were discovered with the wells and the work that was performed. Ms. Kosnoff agreed that more in- formation would be available on request. Ms. Kosnoff also suggested that, going forward, predictable maintenance and replacement expenses should be incorporated into the annual and long-term budgets for the Recreation Department. Ms. Kosnoff stated that the Select Board has already discussed this request at its meeting on August 5, and they voted to approve the request, contingent on approval by this Committee. Mr. Padaki moved to approve the request for a transfer of $60,000 from the Reserve Fund to the Recreation Enterprise Fund - Pine Meadows Repairs. The Committee voted 6-0 in favor of the mo- tion. Mr. Parker signed the Reserve Fund Transfer Request and delivered it to Ms. Kosnoff by email. Minutes of Prior Meetings Minutes from the Committee meeting on July 11 were approved by a vote of 6-0. Future Meeting Schedule A joint committee financial summit is scheduled for Thursday, August 15 at 7:00 p.m. Mr. Parker asked members to hold August 29 as a potential meeting date. Adjourn The meeting was adjourned at 8:05 p.m. Respectfully submitted, Glenn P. Parker Approved: August 29, 2024 Exhibits ● Agenda, posted by Mr. Parker ● Memorandum from Melissa Battite, Director of Recreation ● Reserve Fund transfer request form