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REDDING BOARD OF FINANCE
MEETING
April 7, 2008
Filed subject to approval
Present :Board of Finance: Alvarez (Chair), DeSalvo, Dolan, Kearney, Simeonidis, Viscio
Board of Selectmen: Ketcham, Miller, Takacs
Mr. Alvarez called the Board of Finance meeting to order at 7:05 pm in the Hearing Room.
Mrs. Ketcham called the Board of Selectmen to order at 7:06 pm in the Hearing Room.
EXECUTIVE SESSION
The Board of Finance and Board of Selectmen met jointly in an executive session.
Motion: move to recess the Board of Selectmen meeting to executive session for a discussion of 1. Negotiations, 2. Litigation. Miller, Takacs. Approved. Unanimous.
Motion: move to recess the Board of Finance meeting to executive session for a discussion of 1. Negotiations, 2. Litigation. Simeonidis, DeSalvo.
Steve Patton of the Nature Conservancy was invited to be present for the discussion of negotiations. Tax Collector Moisio, Controller Hutvagner, Tax Assessors Ford and Macchio were invited to be present for the discussion of litigation. The meeting recessed at 7:08 pm.
RECONVENE
Mr. Alvarez reconvened the Board of Finance in public session at 8:35 pm in the Hearing Room.
Mrs. Ketcham reconvened the Board of Selectmen in public session at 8:35 pm and immediately moved the meeting to the Conference Room.
Also present: Tax Collector Moisio, Treasurer O’Donnell, Board of Education members (Lewson, Brey, Miller, Goldberg, Joyce-Kirk, Barickman, Gaspar), School Administrators Fossbender & Sullivan, nine members of the public and a representative of the Redding Pilot.
PUBLIC COMMENT
Jim Bacon: commented that it was his opinion that the Town of Redding is living beyond its means and the primary issue driving the expenses is personnel.
DISCUSSION WITH BOARD OF EDUCATION
Mr. Lewson reported the Board of Education reviewed their current operating budget carefully. The one suggestion that could be offered was a reduction in the medical reserve fund. The current medial reserve fund is $400,000, and the board was willing to take a risk and drawdown $100,000 in the account, assuming that if there was a problem and medical expenses escalated, the board would come back to the Board of Finance for relief. In addition, there was a concern about the rebuilding of the medial reserve fund.
Mrs. Kearney asked the Board of Education if they considered any reductions in their 2008-2009 budget, or what would be looked at if reductions had to be made. Dr. Fossbender responded that the two new programs are the Early Intervention Program and the Powerschool software. The board has not made any contractual or personnel changes in the 2008-2009 budget as yet.
BOARD OF EDUCATION CALL TO ORDER
Mr. Lewson called a meeting of the Redding Board of Education to order at 9:13 pm. All board members were present.
Motion: move that the Redding Board of Education transfer up to $100,000 from the Medical Insurance Reserve Fund to the Town of Redding upon the request of the Board of Finance. Goldberg, Miller. Approved. Unanimous.
Mr. Lewson adjourned the Board of Education meeting.
REGION #9 BOARD OF EDUCATION
Julia Pemberton, Vice Chair of the Board of Education, reported the board had adopted an operating budget for 2008-2009 with a 5.95% increase. The increase to Redding is 3.3%, or $10,977,960. The board also voted to send to referendum a request for funding of up to $375,000 for design, engineer and other work through construction bid documents for the $5,000,000 athletic field project. The Redding portion of the $375,000 is about $201,000.
BOARD OF SELECTMEN
Mrs. Ketcham reported the Board of Selectmen have revised their reduction of expenditures in the current budget, with an additional $166,248 of savings, bringing the total savings to $1,022,102. The status of the deficit was discussed.
The Board of Selectmen also recommended to the Board of Finance that the matter discussed in executive session go forward. This will add $420,000 to the BAN being discussed to fund the capital items that were removed from the current and proposed budgets.
Board of Finance members discussed the situation, including the amount of money yet to be collected in taxes.
The funding for the capital items and the item discussed in executive session was reviewed. The total to be requested for capital items is $890,000, Board of Education $78,000, roadway work contingency $60,000 and $420,000 for item discussed in executive session. The total is $1,448,000.
Motion: move that the Redding Board of Finance support the request for an appropriation of $1,448,000 to be funded by short term notes pending long term financing. DeSalvo, Viscio. Approved. Unanimous.
The Board of Selectmen left the meeting to reconvene their meeting in the Conference Room to set the date for a Town Meeting to approve the request.
Mrs. Ketcham recessed the meeting at 10:15 pm to reconvene in the Hearing Room with the Board of Finance.
Mrs. Ketcham announced the decision to schedule a Town meeting on April 21, 2008 at 7:30 pm
DISCUSSION 2008-2009 BUDGET
Board of Selectmen: The Board of Selectmen reconsidered their previously approved budget, made further adjustments and recommended a budget total of $12,155,669. This is a decrease of 3.23% over the current year approved budget.
Board of Education: The only reduction in the Board of Education budget is the $28,000 decrease for the classroom conversion that was put in the capital list. Board of Finance members discussed what amount of money should be added to the budget to rebuild the Medical Reserve Fund. No action was taken.
Another meeting to work on the budget was scheduled for Friday, April 11, 2008 at 7 pm.
PUBLIC COMMENT
James Miller: question regarding the comfort level with the grand list.
Mike D’Agostino, Glen Hill Road: comments regarding the Town’s use of the school’s medical reserve fund to balance the budget. Mr. Alvarez acknowledged the risk involved, but that represents the least amount of risk. The school board has options to rebuild the medical reserve fund. Mr. D’Agostino asked about the money allocated for a storage facility at John Read Middle School and why that money cannot be used for other purposes. Mr. Simeonidis responded that the money was allocated for a specific use and cannot be used for anything else. Currently the money is funding the rental of the storage container that is on site and being used for storage.
Jeanne Wendschuh: expressed a concern about the Town’s general reserve fund, and asked the Board of Finance to increase the balance as much as possible as the balance impacts the borrowing potential of the town. She urged the board to look at the long-term picture, not just the short-term. She added that she would rather see cuts in programs and services now and a rebuilding of the reserve fund. Mr. Dolan responded that he does not think the town is living beyond its means, but that three years of no increase in taxes was not appropriate taxation.
ADJOURNMENT
The Chair adjourned the Board of Selectmen meeting at 10:40 pm
Respectfully submitted,
Mary Maday, Recording Secretary
Mary
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