===PAGE 1=== Lunenburg Finance Committee Meeting Minutes Thursday, March 24, 2022 Location: In-person at Lunenburg Town Hall and broadcast on Zoom Present: Chairperson Peter Beardmore, Dave Passios, Tom Gray, Evan Watters, Tom Balish, Jay Simeone via Zoom Guests: Town Manager Heather Lemieux, Finance Director Karen Brochu, Chairperson Lunenburg Public Access Cable (PAC) Steven Walker, PAC Director Jo McLaughlin, Sewer Business Manager Barb Lefebvre, Chairperson Sewer Commission Dave MacDonald, Sewer Commissioner John Reynolds, School Committee Chairperson Carol Archambault via Zoom, Chairman of Lunenburg Board of Health George Emond, Director of Nashoba Associated Boards of Health Jim Garreffi. 1. Call to Order Mr. Beardmore called the meeting to order at 7:01 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/6FyKc47eHz4 2. Pledge of Allegiance 3. Announcements: none 4. Public Comment: none 5. Chair Report: Mr. Beardmore distributed power point presentations for Lunenburg Public Access Cable, and Sewer. Mr. Simeone submitted edits concerning the warrant letter. Mr. Beardmore will work the edits into the next draft and distribute accordingly. 6. Town Manager/Finance Director Report: Ms. Lemieux reported that the Tax Lien auction was held on March 17, 2022. In the beginning of the process, the town was owed $1,058,077 on 50 properties. The tax collector has collected $323,312 on 26 of those properties, 7 properties have entered into payment agreements, 10 properties have moved into foreclosure, and 7 tax liens were purchased for $50,728. The Select Board voted to remove 4 properties from the list, and 1 of those 4 did pay their back taxes, so the town will move forward with 3 properties. Ms. Lemieux also reported that the town has received a $128,000 asset management grant for storm water. 7. Budget Presentations: Lunenburg Public Access Cable: Mr. Walker started his presentation by saying that PAC revenue does not affect the town’s budget. The franchise fee, paid by Comcast customers, is the principal source of income. PAC also collects interest on a savings account reserved for a new studio. Anticipated income from Comcast fees and interest for FY23 is $200,285. Mr. Walker added that “cable cutting” has caused a reduction in fees, and the committee does not receive any money for customers who stream media from the internet. PAC expects to spend $211,515 in FY23, and can cover their overage with retained earnings. Mr. Beardmore acknowledged the importance and significance of PAC when it comes to publicizing and broadcasting meetings in town. Mr. Beardmore asked about the image quality, and whether the equipment PAC has is standard definition. Mr. Walker informed the committee that the channels themselves are standard definition, and PAC’s equipment is all high definition. Upgrading the channels will cost more money, and incoming Comcast fees are decreasing. ===PAGE 2=== Sewer Commission: Mr. MacDonald informed the committee that the commission is planning to implement an 8 percent rate increase to cover increasing costs. The last increase since 2013 was in 2020. Inflow and Infiltration (I/I) is a problem especially in the Whalom area. Mr. MacDonald explained that the sewer entity has entered into an Inter-Municipal agreement (IMA) with the cities of Fitchburg and Leominster in FY20 and FY21 respectively, and that payments are now based on flow meter readings, which come in higher than water usage due to I/I. In FY23 an estimated $38,185 is owed. The following images explain the sewer enterprise fund operating budget. Mr. Reynolds commended Mr. MacDonald and Ms. Lefebvre, and encouraged residents to get involved with town government. Other Monied Articles: Ms. Lemieux explained that Articles A and B are annual articles addressing the revolving fund and re-invoking the spending limit. ===PAGE 3=== Article C addresses prior year expense, which is $500.00. Article D amends the FY22 snow and ice budget by around $180,000, as well as transferring money from salary reserve for the collective bargaining agreement. Article E $15,303.51 will come out salary reserve to cover the cost of living increase in the first year of the collective bargaining agreement for the clerical union, which started in FY22. Article F entails the Capital Plan. Ms. Lemieux hopes to have a more definitive number by the next meeting. Article G addresses the omnibus budget, following recommendation of the Finance Committee to increase the snow and ice budget to $350,000 Article H: to put $100,000 from free cash into the stabilization fund. Ms. Lemieux and Ms. Brochu will also be looking into the Special Purpose Stabilization fund given the $500,000 in free cash this year. Article I: Special Purpose Stabilization Fund Article J: $266,662 for OPEB Article K: Solid Waste Disposal $302,000 Article L: Water Enterprise Fund $25,000 Article M: PAC Enterprise fund $211,515 Article N: Transfer sale of cemetery lots, $10,000 to go toward capital improvements Article P: $100,000 for cleanup of Woodruff property, including environmental consultants, permitting process, and construction. Article Q: Currently undetermined dollar amount for town’s 300th anniversary celebration, along with forming a committee Article R: Demolition of Old Primary School $450,000 from free cash, which entails engineering of demolition Article X: Salary Administration Plan adjustment to salary schedule. Personnel Committee to brief the Finance Committee on March 31, 2022. Article Z: Sewer Enterprise Fund Article AA: Sewer Capital Reserve Stabilization Fund Article BB: Transfer from Sewer to OPEB Board of Health: Mr. Beardmore acknowledged that the finance committee having the Board of Health before them is unprecedented, and described the committee’s role in the budget process. Mr. Emond also acknowledged this being the first time the Board of Health was asked for representation at a Finance Committee meeting. Mr. Beardmore recognized that this year the BOH budget showed a significant increase. Mr. Emond informed the finance committee that the increase in the town’s population by 16 percent caused the increase in the FY23 budget. Mr. Emond added that the Town and the Finance Committee are powerless when it comes to paying for the per capita portion of the BOH budget under a law established in 1931. Mr. Beardmore asked whether the board has domain over Nashoba Nursing. Mr. Emond responded that it does oversee the nursing service as well as hospice, and explained that the board also oversees an environmental group which is responsible for septic systems, food establishment inspections, etc. Mr. Beardmore added that the BOH budget is up 22.4 percent from last year at $36,759.84, and Nashoba Nursing is up 22.9 percent at $16,848.26. Mr. Beardmore asked if any funds are spent on the local office. Mr. Emond explained that all funds go to the Nashoba Associated Boards of Health. Mr. Beardmore asked about the impact of the pandemic. Mr. Emond explained that the local office does respond to local complaints. The Nashoba Associated Boards of Health have dealt with contract tracing, numbers of people infected with Covid, and handed out a 21-page document listing the several responsibilities of the Nashoba Associated Boards of Health. 8. Warrant Letter Updates: Mr. Beardmore read a paragraph of the letter to the board based on Mr. Menard’s suggestions last meeting. ===PAGE 4=== 9. Minutes none 10. Committee Reports members updated each other on respective liaison assignments 11. Public Comment none 12. Items for Future Meetings Mr. Passios inquired about posting deadlines for the second public hearing slated for April 14, 2022. 13. Next Meetings March 31, April 14 14. Adjourn At 8:59 p.m. Mr. Passios motioned to adjourn, Mr. Watters seconded. On vote, motion carried unanimously.