RECEIVED MARCH 30, 2009 @ 8:30 A.M.
Michele R. Grande, Redding Town Clerk
3 pages
REDDING BOARD OF FINANCE
REGULAR MEETING
March 24, 2009
Filed subject to approval
Present: Alvarez (Chairman), DeSalvo, Dolan, Guffey, Simeonidis, Viscio
Also present: First Selectman Ketcham, Selectman Takacs, L. McHale, Treasurer O’Donnell, Tax Collector Moisio, Assessor Ford: Redding Board of Education Chair Lewson, E. Miller, L. Goldberg, J. Barickman, L. Brey, J. Gaspar, P. Sullivan; Region #9 board member Poltrack; school administrators, six members of the public and representatives of the Redding Pilot & Danbury News Times.
Chairman Alvarez called the meeting to order at 7:30 pm.
APPROVAL OF MINUTES
Motion: move to approve the minutes of the February 23, 2009 meeting as corrected. Viscio, Guffey. Approved. Unanimous.
Correction: typo
Motion: move to approve the minutes of the Public Hearing of March 5, 2009 meeting as submitted. Guffey, Viscio. Approved. Unanimous.
FISCAL YEAR 2009-2010 BUDGET DISCUSSIONS
Assessor Ford provided board members with an update on the Grand List. As of today, the Grand List is about 1.35% below the Grand List number for last year.
Tax Collector Moisio reported, to date, 97.8% of the actual taxes to be collected has been collected, or $39,842,378.75. Of the $900,456.90 remaining to be collected, $828,668 represents 217 parcels of real estate that are in the lien process. 39 parcels owe July & January taxes & are scheduled for a Tax Sale mid June.
Selectman’s budget
First Selectman Ketcham introduced Bill Hogan of LRS Consulting Services who is assisting with work in the Controller’s office.
Mrs. Ketcham reported on a series of budget reductions discussed at the Board of Selectman meeting.
- Option A: general reductions totaling $43,350, brings the budget increase to 2.63%
- Municipal Employee Retirement Fund: notification was received of an increase in the employee contribution beginning July 1, 2009. The mandatory increase will add $28,000 to the budget; bring the increase in Option A to 2.86%.
- Option B: Reduction of operating hours for the Recycling Center/Transfer Station to 4 days each week. Revenues from that source have decreased in the past year. The reduction includes one full time employee (retirement) and a decrease in other employee hours, deploying two full time employees elsewhere in the town.
- Reduction in increase to 1.95%, with the MERF contribution, to 2.18%
- Option C: $25,000 reduction in contingency fund. The contingency fund includes employee salary raises, and Mrs. Ketcham noted that salary increases will not be what they have been in the past.
- Reduction in increase to 1.74%, with the MERF contribution, to 1.95%
To bring the budget increase in with a zero increase, a minimum of three employees would need to be reduced, along with the Mark Twain Library contribution. The impact of these reductions will mean fewer people to respond to residents for services and questions, longer wait times, etc.
Redding Board of Education
Mr. Lewson reported that Central Office administrators Peggy Sullivan and Marie Mas have agreed to a salary freeze for the next fiscal year and Dr. Fossbender has offered to work the month of July (following his official retirement June 30, 2009) at no cost. Dr. Fossbender reported on anticipated funding from the Stimulus Package. Details are still being worked out on the amount of IDEA money that will be available and how the funds can be used. Mr. Lewson reported the current increase for the Redding Board of Education operating budget is 3.05%.
Mr. Alvarez expressed concern that there was no support at the Public Hearing for the education budget and many comments that the budget, including the salary increases, was too high. Mr. Alvarez would like to see a realistic budget that will pass the first time out. If the budget is rejected by voters, services will need to be reduced. Mr. Simeonidis agreed with Mr. Alvarez and suggested the Board of Education also look at class sizes, while maintaining small class sizes in the lowest grades.
Mr. Viscio expressed a concern about the increase in this economic climate, and suggested that the board should consider reductions in the budget that will neutralize the effect of the labor increases. Mr. Dolan suggested the Board of Education reduce the budget to a 2% level.
Board of Education members responded to the comments, and asked for specific direction. Board of Finance members did not dictate a number goal, but suggested a budget increase between 1 & 2%.
Region #9 Board of Education
Region #9 Board member Art Poltrack reported the budget increase is currently at 1.96% and the board was meeting on Wednesday (3/25) to finalize the budget number. A 1.96% increase represents a 1.58% increase for Redding tax payers.
The Board of Finance set April 20, 2009 for their next meeting to finalize the budget.
CONTROLLER’S REPORT
Bill Hogan, LRS Consulting Services reported the review of operations is nearing completion and a report would be issued next month. His firm has been facilitating the recruitment to fill the position of Controller. The first interviews are scheduled for April 31, 2009. He hopes to have the position filled by May 1.
Lori McHale, Acting Controller, provided the Controller’s report, in a newly formatted version. Mr. Hogan assisted with making the report more informative to board members. Expenditures are being deferred by departments where appropriate.
The draft of the auditor’s Management Letter was received. Ms. McHale will prepare a response letter.
TRANSFER REQUEST FOR TENNIS COURT FENCING
First Selectman Ketcham reported the fencing at the tennis courts is in disrepair and dangerous. Park & Recreation initially included the replacement of the fence in their operating budget, but the condition required an immediate repair. Rather than make the repair now, and then completely replace the fencing during the summer, the Board of Selectmen agreed to allocate the funds from Capital and Non-Recurring Expenses for the replacement of the fencing at this time. The cost of a replacement is $8,825.
Motion: move that the Board of Finance recommends that the Board of Selectmen send to a Town Meeting the allocation of $8,825 from Capital and Non-Recurring Expenses for the replacement of the fencing at the town’s tennis courts. DeSalvo, Dolan. Approved. Unanimous.
TREASURER’S REPORT
Mrs. O’Donnell suggested a meeting to determine the timeline for borrowing the $1,500,000 recently approved for the Highway Department & schools. Mr. Alvarez will schedule a meeting, but commented that $1,000,000 will be needed in June for the work at the schools and roadwork, the remaining $500,000 would not be needed until the fall when the trucks will be ready for purchase.
Mrs. O’Donnell suggested that a plan should be in place for the pay-down of debt and asked for a discussion of the topic at a future meeting.
A meeting of the Long Range Capital Planning Committee has been scheduled for Thursday, March 26, 2009.
UPDATE ON TIF/GLDC
Mrs. Ketcham reported that GLDC is waiting for clarification on the funding from the Stimulus Package.
PUBLIC COMMENT
Jeanne Wendschuh: requested that, as required by FOI regulations, that copies of public information given to board members be available to the public. She also suggested that the impact of the budget increase on the average person’s tax bill be made very clear before they vote, commenting that the voters need information on revenues & expenses before making a decision.
Steve Martin: commented that he was concerned about the Town’s long term debt and repayment of that debt. He questioned the borrowing for roadwork and for property purchase. Mrs. Ketcham and members of the Board of Finance responded with information with information on those expenditures, and information on the three years when the tax increase for tax payers was zero.
EXECUTIVE SESSION
Motion: move that the meeting recess to executive session for a discussion of contract negotiations. DeSalvo, Viscio. Approved. Unanimous.
Mrs. Ketcham was invited to be present.
The meeting recessed at 10:15 pm
RECONVENE
The Chair reconvened the meeting in public session at 10:35 pm
Motion: move that the Board of Finance approve a bid waiver and authorize the First Selectman to sign a contract for paramedic services that is in the Town’s best interest. DeSalvo, Dolan. Approved. Unanimous.
ADJOURNMENT
Motion: move to adjourn. Viscio, Dolan. Approved. Unanimous.
The meeting was adjourned at 10:37 pm
Respectfully submitted,
Mary Maday, Recording Secretary
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