Town of Warwick Selectboard February 17, 2015 Minutes Members present: Dawn Magi, Nick Arguimbau Member Absent: Patricia Lemon Others present: Town Coordinator David Young, Town Secretary Rosa Fratangelo, Highway Superintendent Larry Delaney, Brian Miner, Steve Ruggiero, Bob Kirley, Police Chief David Shoemaker, Police Sergeant Michael Gelinas, Vern Bass, Bill Lyman, Broadband Committee members Tom Wyatt, Scott Seago and Bill Foote, WiredWest delegate John Bradford, Jon Calcari, Paula Robinson (Athol Daily News) I. Call to Order Chair Magi called the meeting to order at 5:02 pm in Town Hall. Bill Lyman was recording the meeting. II. Public Comment Steve Ruggiero asked if the meeting time could be moved to 6 p.m. or even 6:30 p.m. to allow for more people to attend after returning home from work. Young said that the Board had voted to change the start time to 5 p.m. until Daylight Savings Time, and that the request had come from Board member Patricia Lemon. He noted that Lemon just underwent knee replacement surgery and will likely be participating remotely for the next few meetings. Arguimbau MOVED to change the start time of Selectboard meetings to 7 p.m. beginning with the next meeting. Magi SECONDED and offered the FRIENDLY AMENDMENT that the start time be 6 p.m. Arguimbau ACCEPTED the Friendly Amendment. Motion CARRIED 2-0-0. III. Minutes Arguimbau MOVED to accept the minutes of January 20, 2015 and February 11, 2015 as printed. Magi SECONDED. Motion CARRIED 2-0-0. Young noted the passing of Warwick's oldest resident, Kay Magi. IV. Presentations and Discussions 1. Chapter 268:20D Exemptions--Young said that the Board of Health clerk is out on temporary leave and asked that the Selectboard approve from BoH co-chair Helen Whipple that Board of Health members be allowed to function as the acting clerk. Young said that he would check to see if they can be compensated for that work. He also noted that the positions had previously been designated special municipal employee. Arguimbau MOVED to grant Chapter 268 Section 20D exemptions to Board of Health members Lucinda Seago and Nancy Lyman . Magi SECONDED. Motion CARRIED 2-0-0. 2. Appointment to Regional Pipeline Advisory Committee--Young said that FRCOG had requested the appointment of one or two people to the Regional Pipeline Advisory Committee. Conservation Commission Chair Karro Frost had recommended the appointment of co-chair Gregori Brodski. Arguimbau MOVED to appoint Gregori Brodski to the Regional Pipeline Advisory Committee. Magi SECONDED. Motion CARRIED 2-0-0. 3. Chapter 90 Project-- Highway Superintendent Larry Delaney told the Board that Mass DOT had approved the Chapter 90 project request to purchase a new John Deere front end loader. Delaney noted that the current loader is 18 years old, has 93,000 hours on it and still has trade-in value at this point. Delaney requested that the Selectboard vote final approval of the project so that the purchase can be finalized and funds expended. Young pointed out that after this $125,000.00 expense, $328,315.00 in Chapter 90 funds remain. Arguimbau MOVED to approve the Chapter 90 funds to purchase a new John Deere front end loader. Magi SECONDED. Motion CARRIED 2-0-0 . 4. Broadband and Fiber to the Home--WiredWest delegate John Bradford said that the focus now is on getting the delegates to disseminate information to the 33 towns in the WiredWest project. He noted that television has been moved back on the list of services. Broadband Committee Chair Tom Wyatt said that the main emphasis is on preparation for the annual town meetings in the towns this Spring. The Broadband Committee had drafted a letter to the townspeople regarding the WiredWest project. They had also drafted a letter to be sent to town residents from the Selectboard. Residents are being asked to commit to a good faith payment of $49.00, which equals one month of the lowest priced service once WiredWest is up and running. Wyatt said that the funds will be held in escrow and would be fully refunded should the project fall apart. He noted that this is important to the bond issuers that sufficient interest be demonstrated and recommended that the towns stick together and offer a strong, united front in support of WiredWest. Young said that WiredWest wanted a letter from the Selectboard, but he preferred a letter from the Broadband Committee now and a follow-up letter from the Selectboard at a later date. Arguimbau expressed his continuing concern that the Town cannot afford this project. Wyatt said that the interest is very low, about one half of one percent, until the system becomes operational, at which point the interest climbs to 4% . He pointed out at this time there would also be revenue generated from the system. Scott Seago said that at the lowest priced tier, this system would be 25 times faster than Warwick Broadband (WBS) and that along with much faster speeds, every home in town could be provided with service. Bradford noted that the WiredWest towns would be entitled to more than 50% of the $40 million. Wyatt said that fiber will be able to handle advancements and improvements in technology. Arguimbau said that the draft letter made to be sent from the Selectboard was too much of an endorsement. He also said that we need to know that what we are buying into will perform throughout the 20 year bond time guaranteed and not merely in theory. Wyatt said that what fiber can handle is actual capability and not theoretical. Bill Foote said that fiber to the home is as important as speed and could improve property values. He pointed out that a company with a proven track record will deliver fiber to the home, and that while WBS is cost effective, it is not enough to carry the load. Ruggiero said that WBS is independent and is not subsidized by the taxpayers, but if we borrow money it will always cost the taxpayers. The Broadband Committee plans to hold several informational meetings prior to the May 4th Annual Town Meeting. Arguimbau said that the $2 million paid for by the public will only benefit the actual subscribers. Young said that the business plan must be evaluated to determine its overall merit. There was a consensus of the Board that the Broadband Committee will send out its letter to the residents, and that the Selectboard would not send one at this time. Young presented the proposed FY 16 Broadband budget of $98,000.00. He said that the Board must vote to approve an enterprise budget before it goes before a Town Meeting vote. The budget will be taken up at the next meeting. Magi announced with sadness the passing of her mother Katherine Magi. 5. Joint Meeting with Finance Committee--There was a quorum of the Finance Committee; members Rick Abbott, Kevin Alden. Bill Foote and Kelly Jones joined the Selectboard at the table. Abbott called the Finance Committee meeting to order at 6:02 p.m. Abbott said that the Finance Committee wanted to get together with the Selectboard at the beginning of the budget process. He said that it was important to gather information from departments on any projected and unbudgeted costs to enable the Fin. Comm. to plan better looking forward to future budgeting. Abbott handed out a sample form for a 10-year projected but unbudgeted costs. Bill Lyman said that there might be something from the Fire Department for Engine 5. Chief Shoemaker said that there would be nothing upcoming from the Police Department. Kevin Alden inquired about the snow and ice deficit. Young said that as of this warrant we were $19,800.00 over budget, and estimated that the total by season's end would be close to $70,000.00, which would equal about $1 on the FY 16 tax rate. Young said that fuel costs were up from last year, as were electric costs. He noted that Green Communities grant funds would help reduce future energy costs and should cover necessary improvements. Young said that the WCS roof is exhibiting heat loss and hoped to get the District to favor performance based improvements whereby costs are paid from the energy savings. Alden said that he wanted more justification for budget figures. Young said that the US Department of Labor had set a 1.4% cost of living adjustment (COLA). Alden said that he wanted to see the total budget before committing to a recommendation. He said he would like to consider a modest raise. Kelly Jones concurred that the proposed budget needed to be reviewed in its entirety so that an overall budget with all the numbers in front of them could be studied prior to making a recommendation. Magi said that she understood, but thought the people deserved some raise out of appreciation for all the hard work that they do. Arguimbau said that holding off until budgets are submitted is alright, but it should not be very long before the COLA is put up for discussion. He said that he likely favored a 1.4% increase for all except the Police Department because of the large raises received last year. Bill Foote said that it was premature to exclude anybody and that, like Magi, he was inclined to offer some additional compensation. Magi said that she favored comparing FY 15 figures to proposed FY 16 budgets. Arguimbau said that there needed to be a timeline for employees and that the COLA should be decided on by the end of March. Ruggiero said that the number one priority should be how much does the Town have. He said that our taxes are already astronomical. Young pointed out that about 50% of our tax levy is because of the schools, and had clear support last year at the Annual Town Meeting. Vern Bass suggested taking the other 50% and cutting it in half. Magi said that the District keeps pushing higher numbers and that we need to look at alternatives. Arguimbau said that we need more leverage and should look seriously at dismantling the school system. He said we should study the system and find ways to handle it more cost effectively and for less money. He favored going to the other member towns and get into the mode of dismantling the District. A lengthy discussion ensued regarding PVRSD. Topics included ways how to lower school costs, the school budget and the District's perceived attitude in the budget process. Arguimbau said that we need to find local talent or hire a consultant to investigate how we could leave the District and suggested that the Selectboard, Finance Committee and Town Coordinator collectively look around for ways to achieve a long term solution, including counter-planning and reigning in expenses. Alden said that everything must be looked at across the board, not just the School. He said that he was glad to see residents concerned about taxes and getting involved in the meetings. He said that people need to come to the Annual Town Meeting and vote. Arguimbau said that we have to start now with a campaign to tell the School Committee that we are going to give a maximum number that we can afford and make the voters understand that we cannot exceed that number. He wanted to start a feasibility study of leaving the District and find another town to go along with the plan. Foote said that he was open to discussing all alternatives. Young said that the current proposed PVRSD budget will increase our assessment by 5%. Abbott asked the Selectboard to communicate to all departments that at this meeting no recommendation was made on a COLA, that no votes were taken, and ask departments for long term budget projections along with tightened proposed FY 16 budgets. V. Adjournment At 7:47 p.m., Arguimbau MOVED to adjourn. Magi SECONDED. Motion CARRIED 6-0-0: Magi, Arguimbau, Abbott, Foote, Alden, and Jones all voted AYE. Minutes taken by Rosa Fratangelo