HomeMy WebLinkAboutmin of fin com 11132008
Attending: Andres Gazzolo
Greg Arnold
Tommy Ratliff
Charlene Lavin
Karl Chambers
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Town of Mansfi~ld
Finance Committee Workshop
Minutes of November 113, 2008
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Motion: To Open at 7:30p.m.
(Chambers - Ratliff) 5 - 0 Passes
Tyco TIF Presentation 1
Mr. Gazzolo announced that he had invited the representative~ from Tyco to present their TIF proposal to
the Finance Committee. Dave Tebo introduced himself along !with Rob Peterson and Scott Butcher as
the representatives from Tyco. Mr. Tebo began the presentation by providing the Committee with a
summary of Tyco's operation in Wrentham. It was explained that Tyco estimates that they will experience
growth of 15% each year for the next ten years. As a result off that estimate they must look to upgrade
their facility to an industrial park setting. With this expansion tyco will be making an investment of
approximately $20 million. :
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Mr. Tebo explained that since Tyco is looking to retain all of th ir existing employees they need to
continue to operate in an area close to Wrentham. Mr. Butch r explained that as part of the search for a
new facility they have identified multiple sites as possibilities. He continued and said that the Mansfield
site best meets their overall needs. Tyco is interested in a 11 ,ODD square foot space in the Cabot
Industrial Park. With this space they will need to spend appro imately $2 million on building
improvements and another $18 million on testing equipment. his site would allow for Tyco to relocate
the 85 employees at the Wrentham site as well as add 30 to 5P full time positions over the next 10 years
with an average salary of $100,000 annually. 1
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Mr. Butcher told the Finance Committee that they had already met with the TIF Committee and that they
were given a counter offer by the town that they were comfort ble with. He explained that the offer that
was agreed upon was for an 18 year TIF. Mr. Gazzolo explai ed to the Finance Committee that he went
through this presentation with the TIF Committee and that it w s agreed that Tyco is a good company and
that this would be a benefit to the town. He also said that ther was some concern raised that if the TIF
gets approved in Mansfield that Tyco would need to commit to this site and not use that agreement as a
negotiating tool with another town. Mr. Arnold asked if the sit is presently vacant, to which Mr. Tebo
responded it was and that once they work through due diligen e they would plan to begin work on the
building in the spring and begin with the permit process almos immediately.
Vote
Motion to approve the Tyco TIF.
(Chambers - Ratliff) 5- 0 Passes
Financial Overview
Mr. Gazzolo told the Finance Committee that the he Mr. Lazza a and Mr. Ratliff had had a discussion the
previous night and they felt that the Finance Commttee needs 0 reinforce their statement on the financial
issues facing the town. Mr. Arnold agreed that it seems as th ugh everyone is recognizing that there is
an issue but that noone is doing anything about it. Mr. Gazzol said that Mr. Lazzara had told the Board
of Selectmen that the Finance Committee had voted and expl ined the situation to them, and that the
main issue is that they should not hire anyone - new or replac ment. Mr. Gazzolo said that the town
accountant did a historical view of the revenue. He also menti ned that they always need extra money
for snow and plow but that it is critical that they not overbudget this account as they can not get the
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money back for other things. He said that based on the cuts trt are happening at the state level the
towns needs to wait for six to nine months to see how it will af ect the town budgets. Mr. Gazzolo went on
to say that the town will have a $3 million shortfall at a minimu for fiscal year 2010 and that they need to
prepare now. He mentioned that the town can only work with 0% of the budget if they are not going to
cut positions. .
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Mr. Gazzolo said that the Finance Committee needs to prepar~ what they are going to present at the
town meeting. He asked the Committee to offer suggestion folr additions or deletions to the presentation.
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Request for lasers
Chief O'Neill came to the Finance Committee seeking support for the article requesting that $15,000 from
the salary account be used to purchase tasers for the police d partment. The article had been amended
to have the funds come from the firearm account, but it has n w been realized that they are not able to
legally take the money from that account. He explained that t ere were two incidents in town, one which
resulted in a death and the other that deadly force was avoide because of assistance from the town of
Foxboro who was able to use tasers. Chief O'Neill went on to explain that when there is a shooting that
results in a death in town the expense to the town is substanti I; there is the cost of counseling as well as
the overtime necessary to cover an officer that is placed on Ie ve. The result from one incident ends up
costing the town more than the cost of the tasers.
Mr. Gazzolo suggested that the town amend the use of the re I olving account so that in the future in can
be used for purchases such as this and avoid needing to takefthe money from a salary account. Ms.
Lavin said that the Capital Committee had not voted on this itFlm yet, but that most likely they will approve
the new amendment. 1
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Mr. Chambers asked what other towns in the area besides F~boro currently have tasers. Chief O'Neill
responded that Norton and Raynham both have tasers; he al 0 said that there are minimal complaints
involving tasers. Each taser is equipped with a digital record r that records the incident and can be
reviewed after the fact in the event of a complaint. !
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Mr. Gazzolo suggested that the town purchase the tasers nO~With the money from the salary account
and that in the spring the town should vote to amend the usa e of the firearm account to cover these
types of uses. Then if that is approved they can use the mon y in that account to repay the salary
account.
Mr. Gazzolo suggested that the Finance Committee is in agrJment on this and that they are going to
wait until the Capital Committtee votes on this before the Finarnce Committee votes.
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Five Year Forecast
Mr. Gazzolo said that in regards to the five year forecast the inance Committee should change the
revenue number from 3.9% to 2.5% as this is likely more reali tic. He asked Mr. Arnold to provide an
updated spreadsheet with this change.
Discussion
Mr. Gazzolo said that he received a letter from the Concerne Citizens Committee and that they
expressed a growing concern that the town manager has sol authority over purchases before they are
made. Mr. Gazzolo said that the town manager has lowered he discrentionary limits of the department
heads.
Mr. Moran of the Board of Selectmen spoke to the Finance C mmittee and explained that it was deceided
to determine only essential needs for the rest of the year and that the departments know to hold off on all
additional purchases for the time being. Mr. Gazzolo questio ed Mr. Moran on the implementation of a
hiring freeze, to which Mr. Moran responded that the town is nly hiring essential personnel; there are no
other new hires. He said that the approval of these new hire is at the discretion of the town manager
and that he does not need to get approval from the Baord of electmen to make these decisions. Mr.
Moran did mention that the Board of Slecetmen are monitorin these changes on a month to month basis.
Mr. Gazzolo asked if there is any way that existing employees could be promoted into these essential
positions rather than hire a new body to fill it; Mr. Moran respo ded that they are looking into options like
that. Mr. Arnold asked if Mr. Moran knew how many unfilled p sitions there are currently in town. Mr.
Moran said that there are 30 or more unfilled full time equivila t positions and that there is currently a
hiring freeze on all new full time equivalents.
Mr. Gazzolo told the Finance Committee that Mr. Trowbridge f the School Committee has invited
representatives from the Finance Committee to present to the School Committee on a state of the
finances for the town.
Mr. Gazzolo said that he has looked at the debt projections fa the next five years. He said he had sent
out a document to the Finance Committee earlier that week in regards to this.
Mr. Gazzolo said that he has dealt with the legal issue presen ed by the School Committee in regards to
contract negotiations. He said that as long as the Finance Co mittee offers guidance to the School
Committee on contract negotiations and not any specific num ers that it is perfectly legal. He said that he
has received this in writing and will be providing it to the Scho I Committee.
Vote
Motion to approve minutes of November 6 Finance Committe
(Lavin - Chambers) 4 - 0 - 1 Passes
Motion: To Close at 9:20p.m.
(Chambers - Arnold) 5 - 0 Passes
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Signature of CI rk
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Date of Approval