WORKSHOP SESSION of the Town Council to be held Thursday, December 4, 2003 at 7:00 P.M. in the Council Chamber, Town Building, Harrisville for and within the Town of Burrillville.
MEMBERS PRESENT: Council President Wallace F. Lees, Councilors Jacqueline Zahn, William A. Andrews, Louis Bleiweis, Edward F. Bonczek, and William E. Gonyea.
MEMBERS ABSENT: Councilor Ronald E. Faford was excused.
OTHERS PRESENT: John P. Mainville, Finance Director
Burrillville Budget Board: Arthur R. Hurley, Brigitte Buxton, Mark Brizard, Bruce Rylah, and Matthew Trimble.
Burrillville School Committee & School Department: Paul Couture, Mary Margaret Karmozyn, Raymond Trinque; Robin Kimatian and Barbara A. VonVillas, Ph.D.
Relative to discussion and consideration of the Town Council’s direction for the 2004/2005 budget.
Comments from Arthur R. Hurley, Chairman, Burrillville Budget Board
Arthur R. Hurley, Chairman, Burrillville Budget Board, explained that the Budget Board had requested the workshop so that the Budget Board could better understand of the budget goals of the Town Council. They believed that, with better communication, their recommendation could better align with the intent of the Town Council. He mentioned the Budget Boards concerns with the Special Appropriations, which appeal directly to the Town Council, effectively by-passing the process. Mr. Hurley indicated that the Budget Board would like as much information as possible about the upcoming budget, including such influences as State aid, debt services and the overall budget situation. He suggested that the more information the Budget Board has when they begin the process, the more efficient and unified their recommendations could
be.
Comments from Michael C. Wood, Town Manager
Operating Budget
Michael C. Wood, Town Manager, agreed that that there are benefits to meeting before the budget process to disseminate information to those involved. He voiced concerns over inappropriate, unproductive incidents from the prior budget process. Mr. Wood stated that the budget board, administration and Town Council do their best to make the budget work. He stressed that the School Committee and Administration must understand certain exceptional situations facing the Town during the coming year.
Mr. Wood stated that the Town Council’s attitude towards a tax increase or the 5.5 percent spending was unknown. He discussed the importance of the Town Council’s communicating their intended limitations for the FY2005 budget.
Mr. Wood noted that it is the nature of the budget that the Budget Board prepares their proposal without full information that becomes available later in the year. He stated that the Budget Board makes appropriate and responsible decisions based on the information available to them. He commended the Budget Board’s efforts, explained their role in developing a reasonable budget and maintained that the Budget Board must be treated with the respect they earn.
Mr. Wood outlined the prospect for the FY2005. He discussed the 5.5 percent spending cap and described new State restrictions on items that might be included in the 5.5 percent increase, including health insurance and wage increases. He spoke of the school budget, which comprises the majority of spending. He stressed that the School Committee must be aware of the impact of the school budget relative to the mandatory 5.5 percent spending cap.
Michael C. Wood, Town Manager, listed other problems pending that may impact the FY 2005 budget. He discussed the continued impact of §45-13-13 and the need to address this problem. He briefly described efforts to reduce this impact. Mr. Wood also mentioned a $212,000 repayment related to miscalculations made in distributing State aid over the past 10 years. Additionally, he listed the police department overtime budget, the potential affects of harsh weather on the department of public works budget and low interest earnings as issues to be taken into account.
Michael C. Wood, Town Manager, mentioned additional items that needed to be reviewed and taken into account. These included an expected increase in the revenues from the Town clerk’s office. Future expenses to be anticipated included bonds for sewer, the library and the Callahan school. He discussed the need to anticipate these expenses. Increases in pension costs also need to be projected.
Mr. Wood discussed unfunded liabilities. The School Department has a fairly large unfunded liability, he said. He recommended that the School Committee should set up a mechanism to fund the unfunded liabilities, which will otherwise cut into the operating budget. He explained how the Town Administration and Town Council had eliminated most unfunded liabilities on the Town side, the advantages of doing so and offered to work with the School Department to address their unfunded liabilities.
Capital Budget
Michael C. Wood, Town Manager, discussed the need for the Town Administration to meet with the School Administration to develop an understanding of how capital funds are being targeted and spent. He discussed his experience first with Burrillville High School and currently with the W.L. Callahan School, recommending a proactive plan of capital improvement. Mr. Wood discussed the problems with the old Pascoag Grammar School, and the acceptable status of other Town buildings. Mr. Wood suggested that the Town Council, School Committee and Budget Board should also discuss a possible football field project.
A salt shed needs to be built to DEM requirements. Mr. Wood stated that the Town Council had made a $120,000 commitment towards the matching share for a salt shed. However, the State undercut anticipated funds so the Town will have to scale back the project or find additional funds. This matter is currently under consideration.
Town Administration
Michael C. Wood, Town Manager, remarked on a potential reorganization of the Department of Public Works. While he did not anticipate that the restructuring would be costly, he identified it as a management priority. Mr. Wood stated his impression that the Finance Department has the necessary resources and will continue to be monitored.
Comments from the School Committee & School Administration
Barbara VonVillas, Ph.D, Superintendent of Schools and Donald Waterman, School Committee Chairman, had no comments. Raymond Trinque, School Committee Member, briefly addressed those present. He said that the budget subcommittee met and that their budget would be delivered on time. Additionally, he said the budget subcommittee is also anticipating a lean year and is planning accordingly.
General Discussion
Michael C. Wood, Town Manager, asked whether the Budget Board had been provided with the Town Council’s Goals & Objectives. He indicated that the document presents the direction for the Town, including operations, capital and infrastructure. Mr. Wood said that as the document is amended the Budget Board would be kept up-to-date.
Arthur R. Hurley, Chairman of the Budget Board, asked whether the construction along Route 102 would have a significant impact on the tax base. According to Michael C. Wood, Town Manager, over a 10-year period that development may help offset the potential revenue loss at Ocean State Power.
Michael C. Wood, Town Manager, distributed a memo relative to construction planning for a High School Football Field. Barbara VonVillas, Ph.D., Superintendent of Schools stated that the project has great promise. However, before recommending that the School Committee allocate funds for the planning phase, she said she would want to know where the funding for the project would come from.
Michael C. Wood, Town Manager, indicated that the initial estimate appeared excessive: with further exploration and possible amendment to the plan, the project might be accomplished for closer to $500,000, rather than the estimated $800,000. He also discussed alternatives for funding, including doing the project in phases and soliciting funds from outside sources. He spoke of the importance of community morale and the significance of an athletic complex. Mr. Wood suggested that the project is achievable on a shared basis, combining the School and Town capital moneys. He suggested that the initial investment for the planning stages would be worthwhile. He said he believed that the project is feasible, but if the Town Council and School Committee choose not to go ahead, the plans could still be used at a
later date.
School Committeeman Raymond Trinque agreed that the initial quotes were too high and the project could be accomplished for less. He stressed cooperative efforts with the Town and adding certain components at a later date. Mr. Trinque suggested that a proper football complex was not only long overdue, but could be fiscally responsible, citing the income from events.
School Committeewoman Mary Margaret Karmozyn supported the idea but raised concerns about parking, the cost of electricity and leasing administrative space. She indicated that the renovation of the W.L. Callahan School should hold a higher priority. Michael C. Wood, Town Manager, pointed out that the school renovation should be considered separately because it must be funded by bonds. Councilor Jacqueline Zahn suggested that phasing projects has been successful in the past, pointing to Spring Lake Beach as an example. Town Manager Michael C. Wood readdressed the School Capital Budget, stressing the importance of a clear, long-term capital program. While he said he understands the Callahan School issue, he suggested that the football field project should not be pushed back because there is no system-wide
financial plan. He repeated that the complex is affordable, achievable and positive for the community.
Special Appropriations
Councilor Jacqueline Zahn suggested that a process with defined criteria should be established. She stated that, while it is the Town Council’s prerogative to reconsider items that the Budget Board may have eliminated or reduced, the process should be more clearly defined. Councilor William A. Andrews recommended that, if the Special Appropriations do not submit the required documentation and attend the hearing, they should not be considered for an appropriation. Arthur R. Hurley, Chairman of the Budget Board, stated that the Budget Board considers the request before them but that ultimately the decision must be left to the Town Council. Budget Board Member Mark Brizard described the expectations and the process of deliberation.
Councilor Louis Bleiweis said that the Budget Board could include budget items as a suggestion. He cited the case of the full-time recreation direction, which he said was originally suggested to the Town Council by the Budget Board. He said that the Town Council would give their suggestions due consideration.
Councilor William A. Andrews said that most of the Special Appropriations are service agencies and provide good services for little money. There was a discussion of the background of the Special Appropriations, how the organizations approach the Budget Board, and how decisions are reached. Budget Board member Bruce Rylah spoke in some detail about the development of Special Appropriations and discussed concerns that there may be some duplication of services.
Michael C. Wood, Town Manager, said it would be helpful for the Town Council to prioritize the Special Appropriations. Mark Brizard, Budget Board member, suggested it would be helpful if there were some agreement on the definition of “Special Appropriation”.
There was some discussion of providing Special Appropriation money where it is most needed. Councilors Jacqueline Zahn and Edward F. Bonczek agreed to meet with the Town Manager to prepare guidelines reestablishing guidelines for the Special Appropriations.
More General Discussion
Councilor William A. Andrews stated that the Town cannot approach a five percent increase for FY2005. Councilor Louis Bleiweis suggested that the Town Council should look at the general fund balance.
VOTED to adjourn at 8:12 P.M.
Motion by Councilor William A. Andrews. Seconded by Councilor William E. Gonyea. The vote was unanimous by the six members present. Voting in favor of the motion were Council President Wallace F. Lees, Councilors Jacqueline Zahn, William A. Andrews, Louis Bleiweis, Edward F. Bonczek, and William E. Gonyea. Councilor Ronald E. Faford was excused.
The meeting was taped. The tape is on file with the minutes.
Louise R. Phaneuf, Town Clerk
| 
