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HomeMy WebLinkAbout2009-02-BOS-min Selectmen’s Meeting February 9, 2009 A regular meeting of the Board of Selectmen was held on Monday, February 9, 2009 at 7:30 p.m. in the Selectmen Meeting Room, Town Office Building. Chairman Cohen, Mrs. Krieger, Mr. Kelley, Mr. Manz, Mr. Burnell; Mr. Valente, Town Manager; and Ms. Pease, Executive Clerk, were present. Public Comment BAE Systems presented a donation of $17,000 to Chief Middlemiss for the Lexington Fire Department to use for purchasing an Advanced Accountability and Safety Monitoring System. Selectmen Concerns and Liaison Reports The Lexington Symphony had a wonderful concert on Saturday night. Town Manager Report Mr. Hadley, DPW Director, updated the Selectmen on the Snow and Ice Budget. There have been 10 plow operations and 5 sanding operations. It has snowed about 55 inches so far. Snow in the center has been cleared twice. The total spent so far is approximately $850,000. Mr. Valente reported that the Town is preparing to do a bond issue and as part of the process Moody’s has to prepare a revised bond rating report. Moody’s has reaffirmed Lexington’s Aaa bond rating and the draft report comments on progress the town has made in rebuilding its reserves back from 2005 when it had modest reserves. Mr. Valente reminded the Selectmen of the Summit to be held on Wednesday, February 11, 2009, at 7:30 p.m. with the School Committee, Appropriations and Capital Expenditure Committees. The group will look at how the School Department and Municipal Departments propose to close the gap identified for the FY2010 budget and hopefully come to a consensus. Later in this meeting the proposed budget reductions for the municipal side will be discussed. Great Meadows Presentation Mr. Bartenstein presented the 2008 Annual Report of the Friends of Arlington’s Great Meadows. Friends has completed its 7th full year as stewards of the 183 acres owned by Town of Arlington but located within Lexington. Highlights of 2008 which are included in the report: spring fire that burned 7 acres and the aftermath including a meeting with Lexington Fire Department to plan some trail clearing; study by the Massachusetts Audubon Society of possible habitat restoration in certain areas where previously open grassland has begun to fill in with invasive tall shrubs and trees; study of fireflies whose numbers are dwindling; and exciting new developments in controlling Japanese knotweed. Selectmen’s Meeting – February 9, 2009 State Tourism Representative Ms. McKenna, Chair of the Tourism Committee, introduced Ms. Belanger, Executive Director of the Greater Merrimack Valley convention and Visitors Bureau, and Connie Morris, Visitor Service Coordinator, who gave an overview of tourism in Massachusetts. The state is divided into 13 regional councils and Lexington is part of Greater Merrimack Valley Council, which rd represents 28 towns and cities. Tourism is the 3 largest industry in Massachusetts and generated over $15.1 billion in economic impact in 2007; $13 billion was generated by domestic visitation and $1.8 billion was generated from international travelers. MOTT estimates that the Greater Merrimack Valley area generates $560 million in economic impact and estimates that $9 million is generated by Town of Lexington visitors. International travelers continue to be a growing market share that visit Massachusetts, and Lexington/Concord is ranked in the top 4 of places to visit. Primary reason to come to Massachusetts is to visit friends and relatives. The top 10 activities include: shopping, dining, rural sightseeing, historical places/churches, museums, urban sightseeing, state/national parks and art galleries. Forty-four percent of overnight domestic visitors stay in hotels and forty-one percent stay in private homes. Most domestic visitors travel to Massachusetts by auto and airplane. Four percent of hotel taxes go to the local communities. Lexington has collected over $1 million in hotel taxes since FY2003. The opening of Aloft and Element last July will help increase the hotel taxes. Battle Green Master Planning Process The Tourism Committee held an initial meeting with the stakeholders of the Battle Green Master Plan and they developed a proposed agenda and timeline for coming to agreement on a plan. The Selectmen requested that the Battle Road Scenic Byway Group be an entity included in the process. Mrs. McKenna also plans to include the Freedom’s Way group. Upon motion duly made and seconded, it was voted 5-0 to endorse the proposed timeline and process for a Battle Green Master Plan. Solid Waste and Recycling Report Mr. Beaudoin, Superintendent of Environmental Services, provided an overview of solid waste and recycling tonnage for the first 6 months of FY2009. Solid waste was reduced by 109 tons (or 2.37 percent) compared to same period in FY2008. Recycling consists of items collected at the curbside and the cardboard recycling containers. Total Recycling was reduced by 45 tons (or 1.71 percent). The reasons that solid waste is down may be because of the economy and the 25 percent reduction in the size of newspapers. Another reason for reduction may be the success of selling compost units (680 units so far have been sold) to residents and that 750 pounds of organics are removed from the waste stream each year for every compost unit. Selectmen’s Meeting – February 9, 2009 The decline in tonnage in FY2007 is attributed to a vote of the Selectmen to implement a ban on visible recycling being picked up as waste, which has continued to be a success. In FY2008 the Town saw continuation of trash reductions and one contributing factor could be the new rear load trucks that can take larger pieces of cardboard. Mr. Beaudoin would like to establish a goal that would help to capture recyclables from the residents that do not currently recycle, which is 10-12 percent. Mr. Kelley is hopeful that a cardboard container and if possible containers for glass and tin be placed at the new DPW building. Mr. Hadley, Director of the Department of Public Works is looking into the possibility. Certified Local Government Application Ms. Fenollosa, a member of the Historical Commission and Historic District Commission Associate, asked the Selectmen to approve of applying to become a Certified Local Government (CLG). This National Park Service program was established under the National Historic Preservation Act of 1966 and sets up a mechanism for recognition and special benefits to certain communities who have an acknowledged infrastructure for history preservation that includes an established Historic Districts Commission, a qualified historic preservation review commission to administer a preservation ordinance, a system of inventorying historic properties and opportunities for public participation in local historic preservation in Lexington. Only 18 communities in Massachusetts and 1650 nationwide are approved CLG members. Benefits would include recognition and a stronger role in identifying and nominating historic register places in Lexington. Grant money comes from a Historic Preservation Fund, which is federally funded with proceeds from offshore oil and gas leases. Ten percent of these funds have to be distributed among the CLG communities. The projects funded are intended to increase awareness of the historic resources and to enhance the infrastructure that is in place. If Lexington is approved as a CLG community, they are required to provide an annual report. The Historic Districts Commission and the Historical Commission support the application Upon motion duly made and seconded, it was voted 5-0 to approve and sign the application to become a Certified Local Government under the National Historic Preservation Act. Quarterly Exceptions Report nd Mr. Addelson, Director of Finance, and Mr. Niemy, Budget Officer, presented the 2 Quarter Exceptions Report. There are currently no extraordinary budget expenses to date. The only exception is the snow and ice budget, but $300,000 was budgeted in theFY2010 budget for any FY2009 snow and ice deficit and there is also another $200,000 of existing Free Cash, which could be used if necessary. Selectmen’s Meeting – February 9, 2009 Revenue collections are being watched and as of December 31, 2008, property tax collections are on target. Local receipts collected so far are $4.73 million or 48% of the total FY2009 projection of $9.84 million. Currently collections are greater than at the same period in FY2008 ($4.73 million versus $4.57 for FY2007), but the Finance Department will continue to monitor and scrutinize the following items: 1. Motor vehicle excise –The average bill has dropped from $126.05 to $121.61 this year, which could be a $121,000 total revenue shortage. 2. Building permits – Currently revenue collections are $190,000 less than last year. Commercial permits have decreased and residential permits have increased, but the value of the permits has declined. There is concern since if you back out the Shire value there would be a decline of $19 million on the commercial side. This value plays into what the projected new growth is for FY2010. 3. Wiring permits are $27,000 less than last year. 4. Interest earnings are $148,000 less than last year. Since these projected earnings are traditionally budgeted conservatively, it is expected that the Town will hit the revenue target of $750,000 for FY2009. The Selectmen asked about the hotel/motel tax revenue. Projected revenues for hotel/motel and jet fuel for FY2009 were $501,000 and so far $313,000 has been collected. Of the $313,000 $168,000 is hotel/motel revenue; for the same period last year $89,000 was collected. The FY2010 target for hotel/motel and jet fuel revenue is $531,000. Mr. Burnell suggested taking a look at the lag and depth of previous downturns and recoveries. FY2010 Proposed Budget Reduction List Mr. Valente presented four different categories to close the $385,757 budget gap for FY2010. The categories are: budget adjustments totaling $144,215; revenue adjustments totaling $43,000; and Departmental adjustments totaling $150,625. Under budget adjustments there is a tentative savings of $119,700 because of revised Blue Cross rates of 9.5 percent (rather than 12 percent); the numbers need to be checked by the Town’s consultant to make sure they agree with what Blue Cross says. Authorize Section 20 Exemption for Town Constables Upon motion duly made and seconded, it was voted 5-0 to approve MGL Chapter 268A, section 20 exemption for Michael Barry, John Mazerall and Mary Donahue. Selectmen’s Meeting – February 9, 2009 Town Manager Appointment – Commission on Disability Upon motion duly made and seconded, it was voted 5-0 to approve the Town Manager’s reappointment of Susan R. Cusack to the Commission on Disability for a three-year term to expire October 30, 2011. Appointments Upon motion duly made and seconded, it was voted to appoint Richard Brown to the Design Advisory Committee for a term to expire September 30, 2009. Upon motion duly made and seconded, it was voted 5-0 to appoint Mara Bohn to the Housing Partnership Board for a three-year term to expire September 30, 2011. Upon motion duly made and seconded, it was voted 5-0 to appoint Gerald McLeod to the Lexington Human Rights Committee to fill the unexpired term of Janet Perry, which expires September 30, 2009. Approve Reserve Fund Transfer The reserve fund transfer is being requested to cover the costs of the appraisal and site plan for the Busa Farm property. Upon motion duly made and seconded, it was voted 5-0 to approve a transfer from the Reserve Fund to the Town Manager Contractual Services Account for $15,000.00 for appraisal of the Busa Property and site plan costs. Consent Agenda Adjustments of Water and Sewer Charges Upon motion duly made and seconded, it was voted 5-0 to approve the following adjustments of water and sewer charges: Adjustments of Water/Sewer Charges for February 9, 2009 $-58,059.44 One-Day Liquor License – Lexington Catholic Youth Group, St. Brigid Upon motion duly made and seconded, it was voted 5-0 to approve a one-day liquor license to sell beer and wine at a dinner/dance fundraiser for the Lexington Catholic Youth Group on Saturday, February 28, 2009, from 7:00 p.m. to 11:00 p.m. at St. Brigid Parish, Keilty Hall. One-Day Liquor License – Dance Inn Productions Upon motion duly made and seconded, it was voted 5-0 to approve a one-day liquor license to sell all kinds of alcohol for Dance Inn Productions at a Valentine’s Day Dance on Saturday, February 14, 2009, from 7:00 p.m. to 11:00 p.m. in the Cary Memorial Building. Selectmen’s Meeting – February 9, 2009 Ratify Poll Vote – Include as Contact on I-95 Fitchburg Line Extension Application Upon motion duly made and seconded, it was voted 5-0 to ratify a poll vote to have Jeanne Krieger be the Lexington contact on the I-95 Line Extension Application for Federal funds, which is being prepared by Congressman Markey. Minutes Upon motion duly made and seconded, it was voted 5-0 to approve the minutes of January 5, 2009, January 12, 2009, January 15, 2009 and January 26, 2009. Executive Session Minutes Upon motion duly made and seconded, it was voted to approve the executive session minutes of January 5, 2009, January 12, 2009 and January 26, 2009. Executive Session Upon motion duly made and seconded, it was voted 5-0 by roll call vote to go into executive session for a matter of collective bargaining and a real estate transaction. Upon motion duly made and seconded, it was voted to adjourn at 10:00 p.m. A true record; Attest: Lynne A. Pease Executive Clerk Budget Collaboration-Financial Summit 4 February 11, 2009 A joint meeting of the Board of Selectmen, School Committee and Finance Committees was held on Thursday, February 11, 2009, at 7:30 p.m. in the Selectmen Meeting Room, Town Office Building. Present: Chairman Cohen, Mrs. Krieger, Mr. Kelley and Mr. Burnell; Mr. Valente, Town Manager; Mr. Addelson, Assistant Town Manager of Finance; Mr. Niemy, Budget Officer; Ms. Pease, Executive Clerk; Dr. Ash, Superintendent; Ms. Dunn, Assistant Superintendent; all members of the School Committee with the exception of Mr. Cole; all members of the Appropriation Committee with the exception of Mr. Eurich and Ms. Hoffman; and all members of the Capital Expenditures Committee with the exception of Mr. Edson and Mr. Lamb. Update: Governor’s FY2010 State Aid Proposal Mr. Addelson reviewed the FY2009 Cherry Sheet estimates and the FY2010 Governor’s Budget. Currently estimates show State Aid will be reduced by $629,000. $900,000 has been set aside to cover any reductions, which leaves approximately $270,000 to decide what to do with. Revenues from the Meals Tax and Rooms Tax 1% increase would be distributed using the lottery formula. If the 1% local option hotel/motel and meals taxes were approved by the State it would need to be approved at a Special Town Meeting and then the Town could start collecting the revenue 30 days after acceptance. Update: FY2009 Revenues/Receipts The following items will continue to be monitored and scrutinized for changes: ?? Property Tax collections are currently on target; ?? Local Receipts - $4.7 million (48%) has been collected so far in FY2009 of the estimated $9.8 million for the entire year; ?? Motor Vehicle Excise Tax has dropped by $4 per bill; ?? Building Permits down $190,000 from last year; ?? Wiring – down $27,000 from last year; and ?? Interest Earnings down $148,000. Recommendations for Closing FY2010 Municipal Budget Shortfall Mr. Valente reviewed the proposed FY2010 municipal budget reductions. The starting deficit is currently $385,747. Suggested reductions would come from budget adjustments ($241,532), revenue adjustments ($43,000) and Departmental adjustments ($135,625). The budget adjustments include a tentative amount for a reduction in health insurance costs of $119,700, which will be reviewed by the Town’s Health consultant. Budget Collaboration/Financial Summit 4 – February 11, 2009 The Capital Expenditures Committee encouraged the Selectmen and Town Manager to not postpone the purchasing of the permit tracking software and questioned whether money should be put aside to promote tourism. Recommendations for closing FY2010 School Department Budget Shortfall Dr. Ash, School Superintendent, reviewed the FY2010 recommended budget reductions totaling $1,844,317 for the School Department. They also provided a prioritized list of personal services and expenses that will be restored in order if funds become available. Disposition of $900,000 Reserved for State Aid Reductions Mr. Valente used an estimate of 10% or $900,000 for possible FY2009 state aid reductions. Currently the Governor’s proposal would mean a $630,000 state aid reduction for Lexington. It is recommended that the $900,000 remain until an indication is received from the State Legislature, which may not be until after Town Meeting. Need to have further discussions of how to use any remaining funds. One possibility suggested was a stabilization fund. Disposition of $200,000 Reserved for Extraordinary FY2009 Expenses Mr. Valente recommends using the $200,000 which was set aside in the FY2010 budget in Free Cash to be used for any FY2009 unknown expenses that may come up for reducing the snow and ice deficit. The Appropriations Committee suggested that the Snow and Ice Budget be increased more rapidly each year to get closer to the average spent each year. They also suggest having a Summit meeting before March 30, when the budget will be taken up at Town Meeting, to go over any items that may come up. Confirm February 25 Summit Date and Agenda Mr. Valente plans to revise his recommendations for closing the gap based on comments received at the meeting and will bring before the Selectmen. Mr. Sakhuja suggests that the Selectmen retain an attorney to help on the health item. The next Summit meeting is scheduled for February 25 at 6:00 p.m. Time frame: Recommended budget to Finance Committees by March 2, Selectmen need to vote the budget by February 25, and a recommended budget will be presented to the Selectmen on February 23. The School Committee will vote its budget on February 24. Budget Collaboration/Financial Summit 4 – February 11, 2009 Sale of General Obligation Municipal Purpose Loan of 2009 Bonds Upon motion duly made and seconded, it was voted 4-0 that the sale of the $8,680,000 General Obligation Municipal Purpose Loan of 2009 Bonds of the Town dated February 15, 2009 (the “Bonds”), to First Southwest Company at the price of $8,890,580.85 and accrued interest is hereby approved and confirmed. The bonds shall be payable on February 15, of the years and in the principal amounts and bear interest at the respective rates, as follows: Year Amount Interest Rate Year Amount Interest Rate 2010 $2,035,000 2.00% 2015 $185,000 2.25% 2011 1,975,000 2.00 2016 185,000 2.25 2012 1,965,000 3.00 2017 185,000 2.50 2013 1,125,000 2.00 2018 185,000 2.75 2014 655,000 2.00 2019 185,000 3.00 It was further voted that in connection with the marketing and sale of the Bonds, the preparation and distribution of a Notice of Sale and Preliminary Official Statement dated January 29, 2009, and a final Official Statement dated February 10,2 009, each in such form as may be approved by the Town Treasurer, be and hereby are ratified, confirmed, approved and adopted. It was further voted that the consent to the financial advisor bidding for the Bonds, as executed prior to the bidding for the Bonds, is hereby confirmed. It was further voted that the Town Treasurer and the Board of Selectmen be, and hereby are, authorized to execute and deliver a continuing disclosure undertaking in compliance with SEC Rule 15c2-12 in such form as may be approved by bond counsel to the Town, which undertaking shall be incorporated by reference in the Bonds for the benefit of the holders of the Bonds from time to time. It was further voted that each member of the Board of Selectmen, 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 votes. Upon motion duly made and seconded, it was voted to adjourn at 9:25 p.m. A true record; Attest: Lynne A. Pease Executive Clerk Selectmen’s Meeting February 23, 2009 A regular meeting of the Board of Selectmen was held on Monday, February 23, 2009 at 7:30 p.m. in the Selectmen Meeting Room, Town Office Building. Chairman Cohen, Mrs. Krieger, Mr. Kelley, Mr. Manz; Mr. Valente, Town Manager; and Ms. Chabot, Assistant to the Executive Clerk, were present. Selectmen Concerns and Liaison Reports Mr. Manz reported there have been unconfirmed indications that the Westboro Baptist Church, which visited Lexington in 2005, would be coming to Lexington again. The Lexington Human Rights Committee has scheduled an organizational meeting for Wednesday, February 25, 2009 at 8:00 a.m. in Estabrook Hall. All interested citizens are invited to the meeting. Town Manager Report Mr. Valente reminded the Selectmen that the last Budget Summit meeting was scheduled for Wednesday, February 25, 2009 at 6:00 p.m. The Board will be asked to approve the recommended budget that will go to Town Meeting on March 23, 2009. The final budget document will be available online March 2, 2009. Beal Project Presentation Ms. Yanofsky, Economic Development Officer, Mr. Nichols, Vice President of the Beal Companies, and Mr. Grant, representing the Beal Companies locally, were present to update the Board on the Beal zoning proposal. Ms. Yanofsky presented the recommendations of the Economic Development Advisory Committee and a Draft Memorandum of Understanding regarding the public benefit provisions of the proposal. Among other public benefits of this project, the proposal includes $800,000 in funding to the Town for traffic and transportation mitigation improvements and/or services. Within those funds, $500,000 would be used largely for infrastructure improvements, and $200,000 would be designated for Lexpress. Ms. McKenna, Chair Tourism Committee, was disappointed by the proposed $200,000 lump sum payment to fund Lexpress, instead of yearly payments of $10,000 for 50 years offered by Beal in an earlier proposal. Mrs. Krieger and Mr. Grant explained that the current proposal was preferred by the Economic Development Advisory Committee because the earlier plan included performance based mitigation which was difficult to measure and which could have been recouped by Beal if they met the performance standards. Mr. Thuma, 149 Wood St., figured that the proposed expansion was worth approximately $8 million for Beal and did not think that a payment to the Town of $800,000 was a good deal. Ms. Manz, Planning Board, explained the distinction between funds the Town gets when it plans a rezoning. The Town is not charging developers a portion of their added value. A mitigation package has to have a direct relation to the negative impact that a development has brought the Town. The Town’s share of added value comes back in property taxes. Selectmen’s Meeting – February 23, 2009 Ms. Benson, 9 Woodcliffe Rd., Mr. Bijan, 11 Woodcliffe Rd., and Mr. White, 28 Spring St., voiced concerns about whether the money would be used for traffic improvement in South Lexington, and whether there is a contingency plan if the current proposal doesn’t work. Mrs. Krieger explained that the primary intention of the funds are to address problems in South Lexington and Mr. Valente commented that when the Town spends money out of the account it has to be approved at Town Meeting. Mr. Hornig, chair Planning Board, explained that there is not a plan in place for South Lexington, but if this passes they will develop one, and the plan will have measurements. Mr. Kelley feels that rezoning is a complicated process, and is unclear on a few issues, especially with respect to Lexpress. Upon motion duly made and seconded, it was voted 3 to 1 (Mr. Kelley abstained), to approve in concept the Memorandum of Understanding between the Beal Companies and the Town of Lexington. Spring Street Update The Town has received a $1,100,000 MORE grant from the State to upgrade the Spring Street/Marrett Rd./Bridge St. intersection and to add a sidewalk on Spring Street. Town Staff and consulting engineers have been meeting with residents and Mass. Highway to review various options for addressing the traffic and pedestrian safety issues related to this project. Mr. Livsey, Town Engineer, updated the Board on the status of the project. In response to Mr. Manz’s question about the determination of the width of the travel lane on Spring Street, Mr. Livsey explained that the State recommends 11 – 12 foot lanes for arterial roads. Mr. Kelley is not in favor of a signalized intersection at Spring St./Marrett Rd./Bridge St. Mr. Cohen noted that the Selectmen have attended many of the public hearings and neighborhood meetings and commended Mr. Livsey for incorporating citizens’ comments into the plans as much as possible. Hartwell Avenue Zoning Proposal Ms. Yanofsky presented her analysis of the potential impact the Hartwell Avenue zoning proposal could have on the development of parcels/buildings in this zone. The Planning Board is proposing numerous changes to the commercial manufacturing zone on Hartwell Avenue. This is an area comprised of 24 buildings with an average floor area ratio of .27. The worksheet presented to the Board showed the proposed new space possible at either a .35 or a .40 floor area ratio. If the floor area ratio is .40 the model shows approximately 700,000 new square feet and Selectmen’s Meeting – February 23, 2009 potential tax revenue of $3 million. If the floor area ratio is .35, then we may have 500,000 new square feet and approximately $2 million in tax revenue. The reduction of floor area ratio to .35 from the proposed .40 reduces tax revenue by a third. Mr. Hornig, chair Planning Board, stated that he only received a copy of this analysis on Friday th February 20. He commented that this is all about assumptions and there is not a right answer. The Planning Board will be looking at this in the next few weeks. Plowing of the Bikeway – Revised Proposal Mr. Valente, along with Ms. Enders and Mr. Kennedy of the Lexington Bicycle Advisory Committee (LBAC) presented the Revised Recommendations Regarding Snow Removal for the Minuteman Bikeway. These recommendations are revised from the initial trial program approved by the Board of Selectmen on November 20, 2009. The main changes from the earlier plan are as follows: snow will be removed using a sidewalk tractor with a plow blade; the contractor will not otherwise be assigned to clearing Town streets or sidewalks; for bikeway intersections with gates, members of the LBAC will be responsible for opening and closing of gates so that the contractor has access at these intersections. In response to Mr. Kelley’s question regarding the width of the plowed area, Ms. Enders explained that the LBAC is purposely leaving space for skiing along the side. Mr. Cohen and Mr. Manz commented, and Ms. Enders agreed, that the plowing of sidewalks and the bikeway is time sensitive and these surfaces can end up being icy. Mr. Kennedy added that there being no sanding or chemical treatment of the bikeway has remained unchanged from the previous plan. Mr. Marinelli, Disability Advocate for the Town of Arlington, commented that the Arlington Selectmen have received many thanks since they have been plowing the bikeway in Arlington. Upon motion duly made and seconded, it was voted 4-0 to approve the revised recommendations regarding snow removal for the Minuteman Bikeway. LexHAB Grant Agreement and the Affordable Housing Restriction for Parker Manor The Board reviewed several documents concerning the CPA grant of $625,800 to LexHAB for its acquisition costs of three affordable housing units at Parker Manor Condominium. LexHAB requested that the Board sign the Vote and Grant Agreement. The Vote gives the Town Manager the authority to sign the Affordable Housing Restriction once all of the closing conditions have been satisfied. Upon motion duly made and seconded, it was voted 4-0 to approve the Vote, Grant Agreement and Affordable Housing Restriction. Selectmen’s Meeting – February 23, 2009 FY2010 Budget Following the Budget Summit 4 meeting, Mr. Valente made the following budget recommendations regarding open issues / suggestions: 1. For the undesignated balance of $36,410 available for appropriation in the Municipal budget, designate $24,050 for fuel expenses to fund the likely increase in the gas tax that the Patrick Administration is proposing. 2. Designate the remaining $12,360 for Special Labor Counsel services to assist with the Coalition Bargaining negotiations over the Town’s health insurance program. 3. Members of the Capital Expenditures Committee and Appropriation Committee also recommended that the Town provide debt service funding for the Permit Tracking Software approved (bond authorization) at the 2008 Annual Town Meeting. While staff is still recommending deferring this purchase, pending final State Aid figures for FY2010 and the budget outlook for FY2011, there are sufficient funds in the FY2010 debt service budget to proceed with the purchase as a result of the recent bond sale, which carried a 2 % interest rate vs. a budgeted rate of 4.5%. The School Committee will be voting its final FY2010 recommended budget on February 24, 2009. Finance staff is preparing the final FY2010 Town wide budget for approval and vote by the Board of Selectmen at Summit 5 on February 25, 2009. Letter of Support – Preservation Award for Hancock-Clarke House The Lexington Historical Society and Historical Commission have requested that the Selectmen send a letter of support to nominate the Hancock-Clarke House for a Preservation Award from the Massachusetts Historical Commission. Upon motion duly made and seconded, it was voted 4-0 to send a letter of support for the nomination of the Hancock-Clarke House to receive a Preservation Award from the Massachusetts Historical Commission. Warrant Article Discussion The Selectmen are requesting presentations on the following Articles: Article 11 – Appropriate the FY2010 Community Preservation Committee Operating Budge for CPA Projects Article 15 – Appropriate for Municipal Capital Projects and Equipment Article 16 – Appropriate for Water Distribution Article 17 – Appropriate for Sewer Improvements Article 18 – Appropriate for School Capital Projects and Equipment Selectmen’s Meeting – February 23, 2009 Article 19 – Appropriate for Public Facilities Capital Projects Article 37 – Amend Historic Districts Act (Citizen) Municipal Relief Letter to Legislators Mrs. Krieger suggested sending the letter she has prepared to our state legislators, as well as the chairs of the House and Senate Ways and Means Committees, the Speaker of the House and President of the Senate, regarding certain elements of the municipal relief package. The letter would urge immediate passage of the following measures: increasing by 1% the statewide meals and hotel taxes as well as the option for communities to levy an additional 1%; closing the loophole that allows telecommunications companies to avoid property taxes on poles, wires and equipment; and removing the sales tax exemption for candy, soda and alcohol. Upon motion duly made and seconded, it was voted 4-0 to send the letter to the Speaker of the House and several Senators and Representatives regarding tools to lessen the impact of the economic downturn for towns and cities. Resignation – Gammel Legacy Trust Upon motion duly made and seconded, it was voted 4-0 to accept the resignation of Lillian McArthur from the Gammel Legacy Trust, effective immediately. Town Manager Appointment Upon motion duly made and seconded, it was voted 4-0 to approve the Town Manager’s reappointment of Leonard Morse-Fortier to the Commission on Disability. Consent Agenda One-Day Liquor License – St. Brigid Parish – Irish Night Upon motion duly made and seconded, it was voted 4-0 to approve a one-day liquor license for St. Brigid Parish to serve beer and wine at their Irish Night Fundraiser on Saturday, March 14, 2009, from 7:00 p.m. to 11:00 p.m. One-Day Liquor License – U.S.O. Fundraiser Upon motion duly made and seconded, it was voted 4-0 to approve a one-day liquor license for Mt. Vernon Restaurant to serve beer, wine and spirits at a U.S.O. Fundraiser on Saturday, March 21, 2009 from 6:00 p.m. to 11:30 p.m. at 459 Bedford Street. Sign Goodwin Parcels Purchase and Sales Agreement Upon motion duly made and seconded, it was voted 4-0 to sign the Goodwin parcels purchase and sale agreement and also authorize the Town Manager to take all actions on behalf of the Town. Selectmen’s Meeting – February 23, 2009 Executive Session Upon motion duly made and seconded, it was voted 4-0 by roll call vote to go into executive session for a matter of collective bargaining with no intent to return to open session. Upon motion duly made and seconded, it was voted to adjourn at 10:25 p.m. A true record; Attest: Diana B. Chabot Assistant to the Executive Clerk Budget Collaboration-Financial Summit 5 February 25, 2009 A joint meeting of the Board of Selectmen, School Committee and Finance Committees was held on Thursday, February 25, 2009, at 6:00 p.m. in the Selectmen Meeting Room, Town Office Building. Present: Chairman Cohen, Mrs. Krieger, Mr. Kelley and Mr. Manz; Mr. Valente, Town Manager; Mr. Addelson, Assistant Town Manager of Finance; Mr. Niemy, Budget Officer; Ms. Pease, Executive Clerk; Dr. Ash, Superintendent; Ms. Dunn, Assistant Superintendent; all members of the School Committee with the exception of Mr. Sakhuja; all members of the Appropriation Committee with the exception of Ms. Hoffman; and all members of the Capital Expenditures Committee with the exception of Ms. Stoltz. Overview The purpose of the summit was to leave with a consensus on the budget. An electronic version of the budget will be made available electronically by Monday, March 2. Then on Monday, March 30, the budget discussion will begin at Town Meeting. Update on Final Municipal Budget Adjustments At the last summit the municipal and school budgets were discussed and suggested ways to close the gaps for an overall balanced budget were presented. Last night the School Committee voted a final budget and on Monday the final municipal budget was presented to the Selectmen. After making cuts to the proposed municipal budget, it was determined that there was a balance of $36,410 that could be added back. There was consensus to use $24,000 for fuel in anticipation of .20 increase in fuel tax. Remaining $12,410 will be put in the labor counsel budget based on a recommendation to use it for health insurance negotiations. Mr. Kanter asked about the status of the Permit Tracking System. The recommendation is still to hold up on the project until the Town knows what the FY2010 and FY2011 budgets look like. The Capital Expenditures Committee requested that the Permit Tracking System move forward. Update on Final School Budget Adjustment Ms. Dunn explained a slight variance to the Schools FY2010 budget of $66,956,329 (which was voted at the School Committee meeting on February 24) of $1,964 because of the following items: ?? Reduced Minuteman Assessment Adjustment – (25); and ?? Health Insurance Budget Adjustment - $1,989. Mr. Cole asked for the Town Manager’s advice on how to estimate the cost of health insurance per employee ($11,500 average) and the difference produced when you average specific groups of employees ($6,029 for instructional aides) separately. Budget Collaboration/Financial Summit 5 – February 25, 2009 Mr. Valente suggests doing the health insurance analysis by group of employees. For future years he suggests following the current practice, which is to recalculate the health insurance budget in October to see how actual enrollments are and then true up the budget. The health insurance budget is put together very conservatively and he is not concerned with the delta. The School Committee voted to approve a budget request of $66,958,293 for the FY2010 School budget. Update on Federal Stimulus Package – Local Aid Dr. Ash handed out an “Economic Recovery & Reinvestment Act” document, which was put together by the American Association of School Administrators. Lexington will receive $1.454 million in federal aid to education in a one-time nonrecurring grant to be used over a 2-year period of which 50% of the money has to be spent on special education and the other 50% can be spent on for any worthwhile purpose. Regulations have not been issued yet, should receive in a few months with additional instructions on how the money can be spent. Other areas of the stimulus package that Lexington might receive fund from are: ?? Title II, Part D, Education Technology ?? State Stabilization Fund – hopefully funds will be provided to cities and towns ?? To develop longitudinal data systems which helps revamp testing ?? For the Teacher Incentive Fund (including merit pay) ?? For improving Teacher Training – a loan forgiveness program or grants Dr. Ash recommends that the School Committee treat the $1.454 million as a one-time only fund and further recommends that a group be put together to figure out best way to use funds that would help in the long-term. The Appropriations Committee offered to work with the School Committee on an appropriate use of the funds. Mr. Levine asked the School Committee and the Administration to include information on the stimulus funds in their presentation to Town Meeting. They will be interested in what Lexington will be receiving, how it will impact Lexington and what the plans are for using the money. Final Recommended FY2010 Budget Upon motion duly made and seconded, it was voted 4-0 to approve the Town Manager’s recommended Program Summary as the FY2010 Budget to bring to Town Meeting and the Finance committees. Budget Collaboration/Financial Summit 5 – February 25, 2009 Other Business Mrs. Krieger recognized that this meeting would be Helen Cohen‘s last summit. The Selectmen thanked her for her leadership for the past six years and appreciated her level headed and calm approach, good judgment and her advocacy for children; they all enjoyed working with her as a colleague and expressed their gratitude and thanks. Ms. Cohen has enjoyed getting to know and work with everyone and said thank you. Upon motion duly made and seconded, it was voted to adjourn at 7:00 p.m. A true record; Attest: Lynne A. Pease Executive Clerk