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Minutes of March 4, 1999
FINANCE COMMITTEE MEETING
Present: James Noris, Chairman Dennis Grady
Gerald St. Hilaire Frank DelVecchio
John D'Agostino, Town Manager
GENERAL DISCUSSION
Mr. D'Agostino handed out and reviewed" proposed FY'2000"budget changes. He stated
that the original estimated increase for health insurance was 10%, it actually came in
at 7.2%, a difference of $32;000. Mr. Grady inquired about the $47,000 increase for
penalty/interest property tax. Mr. D'Agostino stated approximately $354,000 was
collected last year and felt that was a safe estimate.
Mr. D°Agostino stated that the Electric Department is currently paying $484,132 in lieu
of taxes and that figure will be increased to $507,132. He stated that the Schools were
going to hire a clerk to review records and collect moneys for students eligible for
Medicaid -reimbursement Mr. Noris stated that Mr. Moretti had indicated he was not
happy with the applications he had received and therefore may not have hired anyone
for that position yet. Mr_ Grady inquired if this position required special training or
was it possible to have someone currently working for the Schools perform the
necessary paper work for the reimbursements. Mr. D'Agostino stated that there are
people specially trained to collect this money owed to the towns.
Mr. Noris handed out and reviewed a worksheet estimating expenses and possible
reductions. He stated that there was a true deficit of approximately $932,091.56 and
suggested $136;978.56 in reductions: Mr. D'Agostino stated that the money left in
overlay could be used to offset some of the CIP requests.
Mr. Grady inquired if the -Town Manager had control over the Police budget and how
the money is spent. Mr. D'Agostino stated that when it comes to public safety issues,
the Police Chief had the authority to make those decisions.
Mr. D'Agostino stated he received the estimates for the new phone system. He stated it
would be a 3-1/2 year payback. He stated that the current contract was signed in
1992 by William Williams and was for 10 years. Mr. D'Agostino stated that the current
company is not willing to break the contract, however he is looking into the legality of
the contract. He stated that Chapter 30B indicates that a contract over 5 years must
be voted on at the town meeting.
FINANCE COMMITTEE MEETING
Mr. D'Agostino stated that the Town is in the bidding process for the Town's insurance
package. He stated that he estimated a 25% reduction in cost not including the health
insurance. He stated that because the Town is in a consortion, we must give i years
notice before leaving.
MOTION: To accept the minutes of 2-2-99.
All in favor. PASSES.
MOTION: To accept the minutes of 1-28-99:
3 -in favor. Dennis Grady abstained. PASSES.
MOTION: To accept the minutes of 2-4-99.
All in favor. PASSES.
Adjournment: 9:00 P.M.
AW , 4 _ 3 q __
Signat Date n A proval
Next meeting will be Thursday, March 11, 1999, 7:30 p.m. and Saturday, March 13,
1999, 9:00 a.m.