RECEIVED December 23, 2010 @ 1:52 p.m.
Michele R. Grande, Redding Town Clerk
3 pages
REDDING BOARD OF FINANCE
MINUTES
December 20, 2010
Present: Alvarez (Chairman), DeSalvo, Dolan, Guffey, Mazzucco, Yonkers
Also present: Controller Gniadek, Treasurer O’Donnell, four members of the community and representatives of the Redding Pilot and Patch.com
Chairman Alvarez called the December 20, 2010 meeting to order at 7:00 pm
APPROVAL OF MINUTES
Motion: move that the Board of Finance accept the minutes of the November 22, 2010 meeting as corrected. Mazzucco, Dolan. Approved. Unanimous.
Correction: page 2, under WPCC update, paragraph 1, line 4, change in to is.
Mr. Guffey arrived at 7:05 pm
CONTROLLER’S REPORT
Mr. Gniadek provided a summary worksheet YTD. The YTD revenues are 54.3% of budget vs. 52.2% of budget last year. The YTD expenditures are 36.3% of budget vs. 37.4% last year. The supplemental motor vehicle tax Grand list is up 8.1% over the prior Grand List; this translates into additional revenue of approximately $50,000.
Budget preparation work has begun. Mr. Gniadek met with the department heads to discuss revenue and expense assumptions. The Budget Calendar was distributed. Mr. Alvarez noted that the Selectmen’s budget workshop session is scheduled for Friday, January 21, rather than on a Saturday. He added that fewer people will be available to attend the Friday session than a Saturday session.
Mr. Gniadek reported that we had $10.8 million in cash at December 15, 2010, principally consisting of $8.1 million in the investment account at Union Savings Bank and $2.4 million in the State Treasurer Investment Fund.
WPCC UPDATE
Chairman of the Water Pollution Control Commission, John Shaban, provided an update on the finances of the WPCC and the negotiations on assessment and transfer of ownership of the wastewater treatment plant with the owners of the Georgetown project. The Assessment process has been finalized and a bill will be sent to the Georgetown Special Taxing District for payment of the past due amount. If payment is not made, a statutory lien will be placed on the property. GSTD has reserved the right to challenge the assessment amount, or “delta” payment in the future.
Work on the quit claim for the wastewater treatment facility is moving forward very slowly. Mr. Shaban hopes to schedule a meeting with the GLDC/GSTD to move the transfer forward before the end of January.
Mr. Shaban reported that by the end of next month, additional monies will be needed to meet the WPCC obligations. Mr. Alvarez suggested that the WPCC wait until the next meeting, January 24, 2011, to request the additional funds from the Town.
Mr. Alvarez reported that there has been little or no movement on the GLDC project. The project is being marketed at this time.
RECESS
The meeting was recessed at 7:20 pm.
RECONVENE
Mr. Alvarez reconvened the meeting at 7:38 pm in a joint session with the Board of Selectmen and representatives of the Redding Board of Education and Region 9 Board of Education to discuss Fiscal Year 2011-2012 budget preparation.
JOINT MEETING OF THE BOARD OF SELECTMEN, BOARD OF FINANCE AND BOARDS OF EDUCATION
Present
Board of Selectmen: N. Ketcham, J. Pemberton, D. Takacs
Board of Finance: W. Alvarez, Chair, F. DeSalvo, J. Dolan, R. Guffey, W. Mazzucco, K. Yonkers
Redding Board of Education: J. Gaspar, D. Lewson, L. Goldberg
Region 9 Board of Education: M. Lewis, L. Karvelis, C. Hocker
Also present 20 members of the audience and representatives of the Redding Pilot and Patch.com
Mrs. Ketcham called the Board of Selectmen back to order.
Mr. Alvarez called the Board of Finance back to order.
The Boards of Education attendance did not constitute an official meeting. The three board members were present for presentation of information.
The meeting began at 7:38 pm
Mrs. Ketcham welcomed the boards and members of the public. Mr. Alvarez noted that the Board of Finance was present to hear information regarding the upcoming budget session.
Redding Board of Education:Chairman Dr. Jess Gaspar explained the major budget drivers: staff compensation and the reduction in state and federal funding. He anticipates a budget increase in the range of 4.5% to 5%. Of that increase, the increase in salaries is 1.5%, health cost increase of 0.6%, reduction in state/federal funding of 2.0% and an increase of a math specialist position, 0.4%. Enrollment projections for next year show a decline in student population at Redding Elementary and may result in a reduction of two grade sections/two classroom teaching positions. The transportation contract is currently out to bid and it is unknown if there will be an increase in that area. Questions and answers followed.
Region 9 Board of Education: Chairman Mark Lewis reported an anticipated increase in budget of 2.7%. The enrollment apportionment favors Redding again, with Easton’s share of the budget increasing by 1.47% and Redding’s decreasing by 1.33%. The budget increase is driven primarily by salaries and health insurance costs. The transportation contract is currently out to bid and it is not known if there will be an increase. Mr. Lewis indicated there will be a significant number of staff retirements in the next two years. In special education, nine students are aging out of the system and three new students are entering the system. Enrollment projections show a small increase over the next few years. Questions and answers followed.
Superintendent Cicchetti added comments regarding school education plans to move student performance beyond achieving goal into the next category of advanced. The math specialist position at the middle school will be helpful to students and staff for improvement in the math scores. In addition to working with students, the math specialist works with the teachers to improve techniques in teaching math.
Town of Redding: First Selectman Natalie Ketcham stated that the revenue received in state aid will likely see a reduction by 15% for the next fiscal year. She indicated the town department budgets will be flat. The Georgetown project is on hold at present and the town will not budget any revenue from that project for the next fiscal year. The planned school renovations at the elementary school for the summer of 2011 will greatly impact the Park and Recreation summer programs. With that space not available, the camp offerings will be reduced. The Park and Recreation Department is looking at alternative locations and programming for this popular program.
Controller Gniadek reviewed a short list of items that will be included in the budget. Real estate revaluation is scheduled for October 2012, with the process beginning in the fall of 2011. 50% of the cost will be carried in the 2011-2012 budget. Union contracts due for negotiations include Police Dispatch, Police, and Highway Department. The Highway Department will request additional funding for the assessment and repair of the Town’s bridges. In the area of medical insurance, the deductible amount and the co-pay for prescriptions have been increased for employees, but there will be an increase in total costs to the town. There will also be an increase in pension plan contributions. The Town will move from the CMERS plan (deferred benefit plan) to a 457 Plan for all new employees
effective January 1, 2011. The first premium for the new Town bond will be due in July. The Building Official retired during the past year and that position was filled by the well qualified assistant. The vacant position was not filled, reducing the staff from 3 to 2. The sharing of IT services with the Board of Education’s staff has been beneficial and a savings for the Town. The Animal Control function has been regionalized through a cooperative agreement with the Town of Bethel, with a savings beginning in January. Utility costs have been contained as a result of locking in a fuel price with the consortium at a very good price. Since current contract for fuel price expires in October 2011, Mr. Gniadek will prepare a fuel budget at current prices. The Town’s budget workshop session is planned for Friday, January 21, 2011.
PUBLIC COMMENT
James Miller, Middlebrook Pond Road: question regarding contact negotiations/arbitration for Mr. Goldberg of the Redding Board of Education. Mr. Goldberg responded that most contracts are better if negotiated to a conclusion rather than through the arbitration process.
Mike D’Agostino, Glen Hill Road: thanked the four boards for holding the meeting and discussing budgetary issues. Regarding the school budgets, he stressed the importance of alignment of between the lower and upper schools and encouraged the Region 9 Board of Education to re-instate the literary specialist position. He suggested retirement incentives and encouraged program modifications where possible.
Gwen Denny, Wayside Lane: thanked the four boards for the opportunity to talk amongst themselves and discuss the issues. She also thanked First Selectmen Ketcham for the chart she provided last year, one that showed where the tax dollar was used.
Leon Karvelis, Region 9 Board of Education member: commented that to further the transparency of the board’s business, the board will begin televising their meetings in January on Cablevision’s channel 79.
Mrs. Ketcham thanked the board members and those in the audience for attending the meetings.
ADJOURNMENT
Motion: move that the Board of Finance adjourn the meeting. Mazzucco, DeSalvo. Approved. Unanimous.
Motion: move that the Board of Selectmen adjourn the meeting. Pemberton, Takacs. Approved. Unanimous.
The meeting adjourned at 9:03 pm
Respectfully submitted,
Mary Maday, Recording Secretary
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