Select board members present: Eric Osgood - Chair, Franklin Hooper, Doug Molde, Margo Warden, Howard Romero.

 

Others present: Rosemary Audibert; Steve Smith; Road Foreman, Lois Frey from the Historical Society, Joan St. Pierre.

 

Eric called the meeting to order at 7:03 p.m. 

 

 

 

Rosemary stated that 51% of budget has been spent in the first six months of the fiscal year. This percentage is right on target for spending. The Town has received the State Highway money for second quarter (came in last week).

 

Delinquent Taxes – first goes to attorney, then goes to tax sale in the spring. Right now we are at $71,000 with interest and penalties; 6.49% - first installment and 7.68% - second installment; 56.55% - collected so far this year.

 

Draft Warning: Duncan explained the purpose of Articles 9 & 10, which is to deal with Pearl Street Bridge Fund, after completion of construction. 

 

Article 9 – Asks the voters to establish a bridge and large culvert reserve fund. When the Pearl St Bridge Funds was created is was specific to that bridge and reserve funds can only be spent by the Select board for the purpose that they were established. Once the bridge is complete, the Board will need to ask the voters how to spend the funds that remain. So Article 9 asks the voters to establish a Bridge and large Culvert Fund that could be used for replacement and maintenance for any bridges and large culverts in town. 

 

Article 10 then asks the voters to fund the new reserve fund on an annual basis from year end balances of the budget line item “bridge and culvert reserve fund” (line 262 in the budget) as well as a onetime transfer of the remaining funds from the current Pearl St Bridge Fund, following completion of the project. 

 

Discussion – Article 9 & 10 may be a little confusing for the voters.   There was discussion of wording changes that might be less confusing. Duncan stated that it was important to be clear about the purpose of establishing these funds and that the voters will have to approve any use of the Pearl St Bridge Fund, not specifically related to the construction of that bridge.   

 

Suggested wording changes: Article 9, delete the last phrase of sentence beginning “with said fund replacing the Pearl St Bridge Fund.” Articles 10:  “Will the town authorize the dissolution of the “Pearl St Bridge Fund” following completion of construction of the Pearl St Bridge and payment of the Town’s obligations of cost for same, and authorize the transfer of any funds remaining in said fund, to the Bridge and Culvert Reserve Fund, if so established under Article 9?”

 

 

The school will give Rosemarie any articles next week. Monday (January 23^rd) is when the school will be having their meeting.

 

Article 11 - This establishes a separate reserve fund for the creation and maintenance of an electronic land records system. The legislature established an additional recording fee of $2.00 per page which started in July 2009. The Clerk’s and Treasurer Association pushed for this legislation with the intent that the additional funds to be used towards electronic land records, they did not want to make this mandatory because there are still clerks who receive fees. Will check with John Cushing to see if the article wording is ok. This will generate approximately $3650 per year in fees, which would go into the fund. This year’s existing Records Preservation Fund money will be used to restore one book and the balance of $1500.00 for microfilming approximately 20 books. Next year would like to use the entire $3,000.00 for microfilming.  Would like to hire ACS to do the microfilming at the present time they have a several weeks lag time, with the microfilming will also receive a digital copy of the record that can be converted at a later time.

 

 

 

 

There has been 47 inches of snow since the December meeting. The crew plowed 22 times and sanded 23 times this month. On January 2 & 3, 2010 we received 16 inches of snow which is the most we have received at one time so far this winter. Burlington received 32 inches from this storm.

 

There was an isolated icing incident which occurred the week of January 11^th which effected the higher elevations, particularly, on Clay Hill causing some trees to come down which had to be removed.

 

The plasma cutter was delivered last week (week of January 11^th). The road crew had one hour training on how to use this cutter. Already, the crew has seen that the plasma cutter will come in quite useful. The road crew would like to thank the Board for the purchase of this plasma cutter.

 

Steve spoke with three different salesmen last week regarding a grader and has received two budget quotes. One salesman from John Deere and one from Volvo. At this time, the budget price from both dealers is between $165,000.00 and $189,000.00. The grader will not be ordered until after Town meeting. There is still one budget quote forthcoming. Steve has asked all three companies to bring their graders for the crew to try. (All three companies are to bring the graders on the same day.)

 

Grader: There was discussion over what to order attachments.   Steve felt that a front blade would be more useful than a wing plow. This can be decided later, but cost savings can be realized by ordering the equipment as part of the initial purchase.

 

Gravel Pit Work: Eric asked if there was money enough in the budget to work in the pit? What is the approximate cost for the pit work? Steve stated that they have been spending between $10,000.00 and $15,000.00 for the past few years and assumes this would be enough again. Duncan stated that there is approximately $38,000.00 from two different funds which could be used for this project. Eric asked if this was enough money for all projects for this year. Duncan stated that the French Hill culvert project is being proposed to be funded from reserving year end surpluses in the amount of $30,000.00. Availability of the funds is dependent on actual year end balances and as usual the Board would make these decisions in July/August following the end of the fiscal year.

 

 

The Planning Commission changed its meeting date such that it was going to be after the Select board meeting, so Bob Selby emailed Duncan and said they would have nothing to report at this time.

 

 

1.     Duncan handed out the latest drafts of the 2010/2011 budget, which was reviewed by the Board. One item addressed was the Out and About request. Duncan had a conversation with the Director, who verbally stated they were closing and would not need the funds. He recently learned they are not closing and expects they will want the funds. He recommends this be put back into the budget in the amount of $1,000.00 as there has been no official letter from Scott West, who was the Director of Out and About stating its closure. It was decided that Duncan should verify with Out and About.

 

Duncan also handed out all the spreadsheet backup “pages” which link to the main budget spreadsheet, including: salaries, health and dental insurance, Library, Recreation, Appropriations requests, Loan scenarios for grader purchase, Capital Budget and Plan and breakdown of buildings and contents for the insurance coverage for the Town and Village.

 

Duncan reviewed the backup sheets with the board. The salaries sheet reflects no increase in pay; the insurance sheets reflect the app 2% increase in health insurance costs. Several employees have decided to switch to the High Deductible plan and maybe more next year. Loan scenarios: budget currently reflects option 3 of the backup sheet with a presumption of a maximum purchase price of $200,000.00 and $30,000.00 trade for a net cost of $170,000.00 and a $40,000.00 down payment. That means a first year expense to the equipment fund of $68,792.00. The Capital Budget sheet now reflects the transfer of year end surplus of $20,000.00, as approved by the Board. It also proposes $50,000.00 transfer of surplus of the 09-10 budget. Duncan explained the building insurance back up sheet. For the jointly owned buildings, some are billed to the Town and some to the Village. The spreadsheet is used to allocate these costs accurately between Town and Village with the result that the Village reimburses the Town approximately $377.00       

 

The Board then reviewed the proposed budget and Duncan explained the changes that he had made since the last budget workshop meeting.

 

The library salaries were increased to reflect what the salaries actually are. Some of the salaries have been covered by grant funds. The Library had been taking those salary costs and showing them as grant fund expense. They have agreed that they need to be shown as salary.

 

Duncan had increased the Building Capital Expense line item from $3,000.00 to $10,000.00, but dropped it back down to $3,000.00. He had confused this line item with the “Equipment Purchase Capital” line item which is the one that funds the Buildings and Equipment Reserve Fund.

 

Duncan reviewed the estimated cash on hand balances which are proposed for other purposes as follows: 08-09 balances plus delinquent tax due= $234,200.00. Estimated year end balances 09-10 = $204,319.00. Total available = $438,519.00.

 

Of that total $130,000.00 which is proposed to reduce the amount to be raised by taxes, $75,000.00 is for paving projects, $30,000.00 for French Hill culvert replacement, $15,000.00 for building repairs and Mill House painting, $50,000.00 is to be transferred to the Highway Equipment Fund, $29,301.00 to Tax Anticipation Reserve Fund and the balance will go to reserve in anticipation of taxes.   

 

The net result of this budget with Out and About included, is a reduction in taxes of 3.2%. The overall expense budget increases by 9.6%, but the revenue budget also increases by 9.3%. After backing out the “budget neutral” items (items that have revenues to pay the expense) from current year and proposed year budgets, the net increase over current year budget is .68%

 

The Red Cross is not in the budget this year.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Respectfully submitted by,

Joan St. Pierre