Warner Budget Committee

Meeting Minutes

Thursday, December 18, 2008

 

Meeting opened at 6:04 p.m.

In attendance:   Marc Violette – Chair

                        John Warner – Vice Chair

                        Mike Cutting

                        Clyde Carson

                        Brenda O’Brien

                        Harold Whittemore

                        David Karrick Jr. – Selectman’s Representative

Absent:             Peter Newman – Warner Village Water District Representative                  

 

Others present:

Laura Buono – Town Administrator                                              Richard A. Cook - Selectman

Peg McLaughlin – WVWD Administrative Assistant             Phil Lord – WVWD Commissioner

Lynn Perkins – WVWD Commissioner                                           Jim McLaughlin – WVWD Clerk

Brian Hotz – Conservation Commission                                         Nancy Martin – Conservation Commission Chair

Barbara Annis – Planning Board Chair                                           Richard Senor

 

1. Meeting Minutes

A motion was made and seconded to approve meeting minutes dated October 23, November 13 & 20 and December 4, 2008 .  Selectman Karrick provided spelling corrections in two areas in the December 4 minutes, content was not changed.  All were in favor, the motion passed.  

2. Warner Village Water District

BUDGET COMMITTEE QUESTIONS/ANSWERS FROM 12/4/08

WARNER VILLAGE WATER DISTRICT  

General Government

Medical Insurance – Leave as is for the present – not enough notice to employees.  Commissioners will discuss in the spring changing the plan for 2010.  

Audit – Leave $8,000 amount as is, unable to find other interested firm.  Library has been included with the Town for 2007, 2008, and 2009, at which time current contract will be reviewed.  Before that the Library had Charlie Druke do their audit, who is technically a tax preparer.  

Office Expense -- $3,800 software update has been removed, due to the fact that adopting a block water rate charge is unlikely to be adopted in 2009.

Sewer

Truck Gas – mileage for both trucks in 2008 was about 24,000 miles.  At estimated cost per gallon of $2.50, figure is justified.  

Truck Maintenance – Tires will be needed on the F150, not the 2008 Ranger.  Mileage on the 2008 Ranger is about 12,000 miles.  

Service/Outside Contractors – When we get the estimate to repair the rotor, and if we have enough money left in the budget, we will encumber that amount or part of it.

Water

Bldg. Materials/Repairs – reduce to $400.  Delete word ‘containment’ in explanation; replace with sampling location line.

Capital Outlay

System Improvement – 31 meters to be replaced at a cost of $15,000

Capital Reserve

With $15,000 in the 2009 budget for wells, fund will have available $25,000, possibly enough to complete the project in 2009.  

The budget was revised showing a .4% increase. 

□        The BC confirmed that the software upgrade was removed from the budget. 

□        Gasoline was adjusted to $2.50 per gallon.

□        31 meters are budgeted for replacement, remaining is about 15-20 meters.  Mr. Cutting noted again that this expense has not shown any revenue gain.  Mr. Lord said the State urged the precinct to replace the meters because they are over 30 years old.  Lynn Perkins explained that the Administrative Assistant has created a water consumption report for 2007 & 2008, so comparisons can be looked at.  Example of two users:

§         2007     840,700 gallons

§         2008     799,600

§         2007     132,050

§         2008     55,700

Another factor is finding leaks in the system.  John Warner said it’s not simply trying to increase the revenue or decrease the water usage; it’s replacing equipment that is very old which needs to be done periodically and was recommended by the State.  Jim McLaughlin added that it is also a matter of bringing everyone up to the same meter. 

□        Mike Cutting asked if the $2.50 per gallon for fuel is the same figure the Town used.  Laura Buono said the Town is still using $4.00 per gallon.  It was noted that the Town vehicles mainly run on diesel.  Ms. Buono said the $4.00 figure came from the State. 

□        On December 4th Mr. Cutting said there are two contingency funds set up within the WVWD budget. It cost the WVWD $10K to keep water and sewer running through the power outage that happened this past weekend.  A generator had to be set up at the Exit 9 pumping station.  The WVWD may approach Market Basket to help with some of the costs, but it was noted how Market Basket provided a needed public service during the power outage.   

3. Town Budget for 2009

Operating Budget:

The BC agreed that the Town should readjust the fuel costs.  Mike Cutting said the Federal mileage reimbursement is being changed to .55¢ beginning in January 2009.  Ms. Buono said she will lower the cost per gallon to $3.00 and if the trend changes in February the budget will be adjusted.  

Clyde Carson asked if fees are covering the demo costs at the Transfer Station.  Ms. Buono said the demo debris brings in about 50% in revenues.  The fees are being reviewed by the Selectmen.  The bulk of the demo debris is from contractors, the resident demo usage is minimal.  The Transfer Station revenues are going to be lower next year because of the plunge in the market.  Mike Cutting asked if it is the position of the Board not to pursue the installation of scales.  Ms. Buono said there was discussion in last years CIP but not this year; the cost is overwhelming as well as having a certified operator and on-going maintenance costs.  

Capital:

Mike Cutting asked if the Town can afford to fund land acquisition for the Conservation Commission.  Conservation Commission member Brian Hotz explained that there is currently $123K in the fund.  $100K of that is devoted to a project in the Mink Hills that is expected to be finished this winter, 420 acre Boundtree project.  The $23K balance will be used toward the Natural Resource project and there is hope to begin a conservation plan which will be added to the Master Plan.  There are two sources of funding; the land use change tax which is expected to be low and the voters.  Conservation Commission has regularly asked for $50K during Town Meeting.  This year it was discussed whether to ask for the funding or not, during a consultation with the Selectmen it was agreed to ask for $30K with the understanding that a new project has been identified (Bowers Farm).  Mr. Hotz believes the fund will need to be built up over several years before the commission would be able to afford the project.  Mr. Hotz believes the project will be at least a $200K project with the hopes of gaining outside funding.  

Ms. Hand asked if there is a reason why the Conservation Commission can’t be funded this year.  Mr. Hotz said the CC would like to begin rebuilding the fund to do the Bowers project.  Nancy Martin added that the Bower 500 acre project is a premier project.  The acreage abuts another town as well as a State Park and it’s a working farm which will also qualify for some matching funds.   

Selectman Cook said there is funding available from the State.  Also the Budget Committee should consider there is no other investment that has a long term affect on the community; this is a one time expense that protects the land.  There is no other expenses in town that have leveraged as much money, as large a percentage that required funds as the Conservation Commission has been able to do.  Without funds from the Town, it is not possible to leverage funds from State, Federal or other private interests.  

Barbara Annis asked the Budget Committee to reconsider funding the Traffic Control at Exit 9 reserve in the amount of $5K.  The reserve has been spent down; $10K was used for a traffic study.  The area was studied by Hoyle – Tanner which came up with three possible options agreeing that the intersection qualifies for some sort of traffic control.  Central NH Regional Planning Commission completed a traffic count showing 5,000 vehicles per day.  The three options are a median strip, traffic light and roundabout.  Each one came in with a $1 million dollar price tag; a large part of the cost will be the reconfiguring of driveway cuts.  John Warner asked the consequence of not funding the $5K this year.  Ms. Annis said she has been in contact with a grant writer who informed Ms. Annis that there is no funding available at this time.  Ms. Annis did learn however for a town to apply for federal or state funding the town must have their own funding; the $5K would be the beginning seed money.  There is no doubt the project would need to be bonded.  Ms. Annis explained that two of the proposed developments have exactions fees included in the final decision, and any other future development can also be required to pay exaction fees.  John Warner asked if there is no funding does that stop the project.  Ms. Annis did not know, she said she met with a representative from the State that disburses funding and the two questions she asked was “do you have a plan” and “how much money do you have”.   Right now the State has copies of the three plans; the Planning Board is waiting to here back on if the State will accept any of the plans.  Clyde Carson asked Selectman Karrick what the Selectmen’s position is.  Selectman Karrick said knowing the upcoming year will be difficult and the high cost of the project they deferred from funding the project in 2009.  John Warner asked is it a decision not to do the project or a decision to put off decision.  Selectman Karrick said it’s more to put off a decision.  Ms. Annis clarified that the Town cannot apply for funding without having the town’s portion of 20% available.  Marc Violette recommends the Selectmen add in the requested $5K to the Capital Budget, then vote to recommend or not recommend, after which the Budget Committee will vote.  Mr. Cutting said at one time he heard the cost for a traffic light was $180K.  Ms. Annis said that cost is solely for a traffic light the additional cost includes moving driveway cuts and other configurations.  John Warner said the main issue is the total cost of the project which is entwined with the development of Exit 9.  One thing that is frustrating to Ms. Annis is that Warner did not create this problem, it was created by the State i.e. exit ramps, and State approved driveway permits.  The State won’t help until the Town creates the plans which the State requires their approval.  Clyde Carson asked if the access road to Market Basked was a town road would the State take more responsibility.  Ms. Annis said they would look at it much better.  

Public Comments on the Capital Budget:

Jeanne Hand recommended that each piece of equipment/vehicle should be documented that will show all the work, repairs, parts, labor etc that are attributed to the equipment.  She feels this record would assist the Selectmen in deciding whether or not equipment should be replaced.  Selectman Cook explained to minimize the impact to the Capital Improvements is to continue level funding Capital expenses which will level the tax rate.   

Jeanne Hand asked about the status of Connors Mill Bridge .  Ms. Buono explained the project went out to bid, the preferred bid has been sent to the State for approval.   Ms. Buono also explained that all funding from FEMA has been received but not from the State.    

Judy Rogers does not understand the spending of the Capital Reserve Funds and how the Trustees of the Trust Funds are involved.  Marc Violette recommended that Ms. Rogers take that question to the Selectmen; it is not a BC item.   Ms. Rogers said it is how it is shown on the budget pages; it’s more confusing now than in the past.  Ms. Buono sent an explanation to everyone regarding Ms. Rogers’s question.  What is voted on at Town Meeting is added to the Capital Reserve Fund as required by the Department of Revenue Administration.  The check is cut for the amount that was voted by the public to add to the Capital Reserve Fund, it is sent to the Trustees of the Trust Funds that is why there are no more expenses associated with the budget.  When the Selectmen make a motion to expend, the Trustees are notified to draw the funds from the Capital Reserve which is forwarded to the town for processing.

Clyde Carson asked if the total amount requested for Capital expenses are eligible for external funds.  Ms. Buono explained those expenses are funded by tax money.  

Clyde Carson asked from a capital perspective if anything being presented for the Odd Fellows Building .  Ms. Buono said the Town did receive a grant for a feasibility study.  The study will be for work force housing; it’s the first step in a Community Development Block Grant.  Work force housing was the only use of which enough funding would be available to make the building useful.  

The next scheduled meeting is Thursday, January 15 beginning at 6:00 p.m.  

Motion to adjourn was made and seconded at 7:26 p.m.  

Respectfully submitted,

Mary Whalen

Recording Secretary