===PAGE 1=== Lunenburg Finance Committee Meeting Minutes Wednesday, March 22, 2023 Location: In-person at Lunenburg Town Hall and broadcast on Zoom Present: Chairperson Evan Watters, Vice-chair Chris Menard, Jay Simeone, Tom Balish, Caesar Nuzzolo Guests: Town Manager Heather Lemieux, Finance Director Karen Brochu, Monty Tech Superintendent Todd Brown, Monty Tech Business Director Tammy Crockett, Monty Tech School Committee member Barbara Reynolds, Lunenburg Public Schools Superintendent Dr. Katherine Burnham, Lunenburg Public Schools Business manager Michael Cassidy, Lunenburg School Committee Chairperson Carol Archambault, School Committee member Peter Beardmore 1. Call to Order Mr. Watters called the meeting to order at 7:03 p.m. and read a statement concerning the Open Meeting Law, and how all public meetings are legally being held remotely. This meeting was recorded and is viewable on YouTube at https://youtu.be/jEXTOz3-UvY 2. Pledge of Allegiance 3. Announcements: Mr. Watters announced that the Association of Town Finance Committees would meet April 29, 2023, and that registration for the event costs $25.00. Mr. Watters also announced that the Boys and Girls Club is holding their annual “Are You Smarter Than a Sixth Grader” fundraiser, and the Finance Committee has been invited to compete. 4. New Business: a. Admin, Unclassified, and Debt Service Presentation: Ms. Lemieux presented her budget requests for Select Board Admin, Town Manager Admin, Finance Admin, Town Accountant Admin, Annual Town Audit, Legal Admin, Assessors, Treasurer/Collector, Town Clerk Admin (including Elections and Registration, and Census), Information Tech Admin, and Land Use Admin (Planning, ZBA, Conservation) Under Select Board Admin, Ms. Lemieux seeks to increase the Assistant Town Manager’s hours from 28 to 32, which will cost about $10,000 more than her FY24 target, but also will decrease the board/clerk line by $4,432. The Town Manager Admin budget seeks no changes, with total request coming in at $181,043. A $500 increase to the Finance Committee budget is requested to cover admission to conferences, and training. The Town Accountant Budget seeks a $400 increase for supplies. Annual Town Audit estimate is $2,000 higher than originally anticipated, total: $40,000. No change in budget for legal expenses at $110,000. Assessor’s Office seeks a $2,000 increase to cover contracted services, as well as dues and memberships for the board. Treasurer’s Administration seeks an increase in salary for the Treasurer/Tax Collector’s increase in hours from 36 to 40. An increase in contracted services is up $4,500 to address a fiscal advisory fee regarding unclaimed property. The Town Clerk Administration budget request comes in at $54,525. Elections request is $16,735, which includes a $400 increase in the salary line for election workers. Health and Sanitation includes a 7.5 percent increase to the regional board of health and nursing lines. Total FY24 request is $104,961.15. Veterans Admin and Benefits budget is level-funded, coming in at $110,775. Approved by Finance Committee at April 20, 2023 meeting. ===PAGE 2=== Health Insurance for active employees and retirees will cost $2,856,753.60, which reflects a 5 percent increase for retirees, and a 6.2 percent increase for active employees, as well as vacant benefit eligible positions. FY24 Unclassified, Other Categories:  Workers Compensation and Liability Insurances are estimated at a 5 percent increase ($15,137)  Police/Fire Injured on Duty insurance is estimated at a 5 percent increase ($3,093)  Medicare Costs estimated at a 6.4 percent increase($20,510 increase)  Montachusett Planning Assessment: $104 increase  Salary Reserve estimate increased from $64,000 to $100,000  Training Line increased from $2,800 to $15,000  Band Concerts, Life Insurance, Insurance Cost Control, Historical Commission, Unemployment, the Reserve Fund, Town Reports and Physicals are level funded. FY24 Expenditures; Non-Discretionary – Debt Service ===PAGE 3=== b. Monty Tech Budget Presentation: Superintendent Brown gave the committee an overview on how Monty Tech has used funds outside Chapter 70 money to make improvements to the school. Ms. Crockett explained how Chapter 70 funds are formulated, and the effect the funds have on Lunenburg’s budget. For FY24, Chapter 70 funds, which are decided by the state legislature, will rise 9.8 percent, which will reflect a $114,831 increase from FY23, totaling $1,127,113 going to Monty Tech, which amounts to 6.62 percent of Monty Tech’s operating budget. The financial responsibilities among the municipalities in the region’s district are unevenly divided. Lunenburg has an allotment of 97 spaces at the school for their students. The town will fund $12,179 per pupil. Members of the committee expressed their concern over how the town has no control over the amount of money determined to be spent on the vocational school. Below is a breakdown of how other municipalities contribute to Monty Tech. c. Lunenburg Public Schools Budget Presentation: Dr. Burnham informed the committee that the school committee has approved the budget for FY24, and that the budget has been presented at the January 4, 2023 and March 14, 2023 meetings of the school committee. The total budget for the schools for FY24 is $22,883,442, which reflects a 2.5 percent increase from FY23. Dr. Burnham pointed out that 38.32 percent of the budget is built of Chapter 70 funds. Elementary and Secondary School Emergency Relief (ESSER) funds will run out in FY23. The FY24 budget will cover contractual agreements, a 6.2 percent health insurance increase, an increase in transportation costs, and two new positions: Humanities teacher at the high school, and a district secretary. In year 1 of their 5-year staffing plan, the school will rely on grant funding for a high school math teacher, psychologist, counselor, and nurse. Withdrawn from year one is a dean for the high school. The schools are also dealing with negotiating contractual bargaining agreements, and anticipating more information on federal and state grants, as well as the circuit breaker. 5. Town Manager/Finance Director Report: The DPW applied for a grant regarding school zone speed signs, and it has been awarded to the town. The signs will be used for the Oak Ave school zone. ===PAGE 4=== The LED Streetlight Green Communities Project is in progress. Estimated energy incentive is estimated at $33,500, which will be deposited into the general fund. RFP has gone out for the town beach building. Project should be complete by beach season. One floor of the McNally Park building is salvageable. The second floor will be demolished. Ritter ADA Ramp and Building Envelope project: drawings are being updated by new architect. New Certificate to Alter to be submitted to Architectural Preservation District Committee (APDC). Lunenburg Central (Large warehouse on Leominster Shirley Rd) Certificate of Occupancy will trigger new growth numbers for the fall. Mr. Simeone added that the road should be paved before the certificate is issued. Master Plan: bid has been awarded to Boston company Over Under for $153,000, which will account for two capital plan items. The Police Department security system has been experiencing critical failures. Select Board will vote on ARPA funds to address the problem. Project estimated to cost $83,000. Municibid Surplus: The Council on Aging auctioned off a used steam table on Municibid, and got $525.00, which will be deposited into the general fund. The police department is auctioning off their last gas-powered cruiser (2016 Ford Explorer). Mass Development One Stop For Growth: Ms. Lemieux has submitted Expression of Interest applications for the Leominster-Shirley Rd corridor in order to ease traffic congestion and mitigate safety concerns at intersections of Leominster–Shirley Rd. with Reservoir and Fort Pond Roads. Ms. Lemieux also submitted an Expression of Interest application for Mass Development’s Real Estate Services Technical Assistance program to put together an RFP for when the town is ready to sell 925 Massachusetts Ave. Public Employee Committee Agreement update: Ms. Lemieux will meet with the PEC to investigate a health insurance opt out plan. Employees who have been on the town’s health insurance would be able to opt for a minimum period of time, and receive a payment for doing so, which would result in an overall savings for the town when it comes to the employer’s share of health insurance plans. 30 School Street Hazardous Abatement and Demolition: A project schedule has been set. Abatement should begin in April, and completed by May 8, 2023. Tax Assessment Services: The Select Board has authorized spending $10,000 on property inspections regarding abatement applications. Municipal Finance Services LLC out of Stoneham is inspection properties on weekends. 6. Old Business: a. Town Meeting Finance Committee Meeting Report: Mr. Menard reiterated he’d like to address how the state demands money from the town for Chapter 70 funds. b. Capital Plan: After putting aside half the free cash to address all potential abatement applications, Ms. Lemieux has determined that more money can go toward the capital plan. The amount has not been determined. 7. Minutes: Mr. Nuzzolo motioned to approve the minutes from the March 9, 2023 meeting. Mr. Simeone seconded. On vote, motion carried unanimously. 8. Committee Reports no reports 9. Public Comment none 10. Items for Future Meetings Second public hearing in April. 11. Next Meetings April 6, April 20 (potential public hearing), April 27 ===PAGE 5=== 12. Adjourn: At 10:00 p.m. Mr. Menard motioned to adjourn, Mr. Simeone seconded. On vote, motion carried unanimously.