The Town of Northwood, New Hampshire - Budget Committee Minutes 01/14/06

PRESENT: Chairman Daniel McNally, Vice-Chair Shelley Bobowski, Selectman Representative Scott Bryer, School Board Representative Steve Foley, Ben Edwards, Robert Bailey, Robert Jean, Nona Holmes, Mark Edwards, Board Administrator Linda Smith and Board Secretary Lisa Fellows-Weaver. John Jacobsmeyer arrives late.

ABSENT: Richard Gendron, and Cindy Bryer are excused. Douglas Briggs.

PUBLIC PRESENT: Kate McNally, Bunny Behm, Ginger Dole, Selectman Lucy Edwards.

TOWN REPRESENTATIVES PRESENT:

Selectman Chair Lucy Edwards, Selectman Ken Witham, Town Administrator Tammie Beaulieu and Finance Technician Sandra Garrett.

TOWN PUBLIC HEARING:

Scott Bryer provides an overview of the proposed town operating budget. He explains that the highway department and the recreation department both include substantial increases.

General discussions are held regarding the following departments:

Page 1: Dept. 41301~Board of Selectmen (BOS):

Mr. Bryer states that all lines throughout this department are the same.

Page 1-2: Dept. 41302~Town Administrator:

Mr. Bryer states that the selectmen are recommending a step increase and 4.1% COLA. He explains that the 4.1% COLA is the social security rate and is being proposed to all town employees. Marion Knox asks for an explanation of the step plans. Mr. Bryer explains that a salary study was done 2-3 years ago with classifications up to 20 and 10 steps with a 3% pay increase. Each year if an employee is meeting expectations, then they get the 3% step. Once they reach step 10 they only receive the COLA only. He adds that they will be going out this year for an updated wage study. Ms. Dole states that this could be a 6-7% increase each year. Mr. Bryer states that the increase in this department is a combination of health and dental increases, and wages.

Page 2: Dept. 41303~Moderator:

Mr. Bryer states that this is an election year. There are three elections this year: primary, general, and the town elections.

Kate McNally asks that the beginning of different categories be in bold to make it easier to read. Ms. Beaulieu explains this is DOS software program and that it would not be possible.

Ms. Beaulieu states that the health increase is 7.4% and dental is 4.2%.

Page 2-5: Dept. 41309~Executive Office:

Mr. Bryer reads through the areas in the department. Ms. McNally asks why there is a decrease in salary from line 41309/112~PT Municipal Receptionist. Ms. Beaulieu replies that there is a new part time position proposed for a secretary in the building department. The municipal receptionist is currently working 8 hours a week in the building department. With the creation of the new position, the municipal receptionist’s services would not be necessary in the building department.

Page 3: Dept. 41309/192~PT Cable Coordinator:

Mr. Bryer explains that this is a new position. He adds that the cable expendable fund pays for this position. He explains that it is proposed that all meetings will be taped and then televised.

Page 5-6: Dept. 41402~Voter Registration:

Ms. Knox asks what the hourly rate for supervisors is. Ms. Beaulieu replies that it is $10. per hour.

Page 7: Dept. 41501~Financial Administration:

Mr. Bryer states that the increase for this department is for new software to update from Unifund (a DOS program) to Windows accounting software. The software will also be used by the assessing department. The new software will also be more compatible with the school as they are also upgrading to this software. Additional increase in this line is for more hours to record impact fees; and step and COLA increases. Ginger Dole asks about the increase in hours. Ms. Beaulieu states that there are other hours beyond those for impact fees. She explains that the previous position was shared between this position and the town clerk deputy. This position is 8 hours more per week and is at a higher pay rate.

Page 7: Dept. 41502~Audit:

Ms. Knox asks why the audit services are separated through town departments unlike utilities and asks why they are not lumped together. Ms. Beaulieu states that it has been this way for as long as she ahs been here. She adds that it is required that each has a separate department of their books. Ms. Knox suggests that this be in one lump sum. Mr. Bryer replies that they will take this under consideration.

Page 7-11: Dept. 41503~Assessing:

Mr. Bryer explains that all new construction has been picked up. Statistically all records are on target at this time. The town has three options to be offered to the town. The town can contract out and have one individual complete the data collection and the assessor does the technical portion. The town could hire an assessor or the town could contract all the work out to an outside firm. The selectmen want to evaluate the options and choose the least expensive. Ms. Knox asks where the figure is that was paid out to the assessing company. Ms. Beaulieu replies that it is paid through the expendable trust fund. Ms. Knox requests that these figures be provided. Ms. Dole asks if the board has reviewed assessing firms and discussed options with other towns. Mr. Bryer replies that the town can hire an assessor to be a town employee or hire assessing firms as contractors. Ms. Knox asks if the board has considered sharing an assessor with another town. Mr. Bryer replies that the BOS has been looking into this as a possibility. Mr. Witham states that there were three applications submitted; 2 part time and 1 full time. He adds that there was one individual that thought he would be able to complete the work in Northwood in three days per week.

Page 11-13: Dept. 41504~Tax Collector:

Ms. Beaulieu explains that the difference between the department’s recommended and the selectmen’s recommended amount is due to the department request for the 4.1% COLA increase. Mr. Bryer adds that the position is elected and the person is aware of the salary when they are elected. Ms. Knox asks if the selectmen are putting a warrant article in regarding the 4.1% COLA increase for the department or if it will be based on the recommendation of the budget committee. Mr. Bryer replies that state statute states that any increase could come from town meeting floor. Materials comparing other town’s salaries for this position are distributed and Northwood is the second highest paid position per the size of the town. Mr. Knox states that he feels these positions include additional hours above those open to the public. Mr. Bryer states that the BOS does review the wage and salaries to compare to other towns within the same population as Northwood. Ms. Pease asks what the increase would be to the budget if all elected officials were to receive the 4.1% COLA. Ms. Beaulieu states that this would affect the road agent, selectmen, supervisors of the check list, moderator, treasurer, town clerk/tax collector. She adds that it would be minimal. Further discussion continues.

Page 13: Dept. 41505~Treasurer:

Mr. Bryer states that the department is requesting $7102. and the selectmen are recommending $6857. He states that the difference is the COLA of 4.1%.

Page 15: Dept. 41531~Legal:

Mr. Bryer states that the legal lines have been reduced from $50,000. to $40,000. He adds that there are still pending issues.

Page 15: Dept. 41533~Claims, Judgments, and Settle:

Mr. Bryer states that there is a pending legal matter so this area has increased from $0 to $25,000.

Page 16: Dept. 41552~Personnel Administration Maintenance:

Ms. Beaulieu states that the increase is due to the wage plan. Unemployment has not changed. There was a large claim in 2004 under worker’s comp. Mr. Bryer states that the town will be doing a wage plan study every 3-4 years as the board has stated that once an employee reaches step 10, they only receive the COLA increase. Ms. Knox refers to line 41552/290 and suggests that employee appreciation money be put into the recreation department. Mr. Bryer feels that since this is a new position that has not been passed yet, it may be premature until the department budget is approved.

Ms. Dole asks how many people are in the step 10 position and asks when the wage plan was done. Ms. Beaulieu replies that the wage plan was done three years ago. Mr. Bryer states that there are three currently in step 10 and there are 4 coming up. Ms. Dole states that at some point the town has to stop and look at this and compare it to the outside employee market. Mr. Bryer replies that the town has invested a lot of time into their personnel and the last time that the salaries were done, the town was right in line.

Page 16-18: Dept. 41911~Planning and Development:

Mr. Bryer explains that the planning board has recommended hiring a part time planner this year and the selectmen are in agreement. Mr. Bryer notes that the department has recommended $35,000 and the selectmen are recommending $30,000. Doug Shaffer asks if the hiring of a planner will reduce the town’s legal encumbrances. Mr. Bryer replies that that is the hope of the selectmen. Mr. Witham comments that all of the new positions are affected by the planning board’s budget.

Recess:

Chairman McNally calls for a 5 minute recess to speak to the selectmen in private. Mr. Jean states his objections when the meeting reconvenes, that the chairman has violated the public session rules by breaking the meeting to discuss business in private with members of the another board.

Dept. 41911~Planning and Development Continued:

Ms. Smith responds to Mr. Shaffer’s question to state that the object will be to get a professional planner that has expertise in planning; the position is not for an attorney. The planning board as an elected body still has the authority to do their own will, aside from the planner. She notes that all things that have occurred in the planning department have been reviewed by town counsel and will continue to be. She adds that with the hiring of a planner there is a hope that there will be less legal problems. Discussion ensues and Mr. Shaffer feels that the town’s legal counsel protects the rights of the tax payers. He states that through his taxes he is paying for the lawyers and hopes that the planner would be worthwhile to have as far as an additional interpretation of the laws. Ms. Knox asks if the duties of the planner will affect the duties of the board administrator and the board secretary. Ms. Smith replies that the plan is for both positions to work together to achieve more efficiency for the public and planning board. The planner would have specific expertise in the field of planning for reviews and have the reviews completed in a more timely fashion. She adds that she would be working in conjunction with the planner and provide research and will continue to work with the public. Ms. Dole asks for specifics for the planner’s position. Mr. Bryer explains that the planning board is a volunteer board and the chairman is a professional engineer. He states that the planning board members have been very busy and have been reviewing these plans themselves. They do not have the time to review these plans where a planner would be hired to review plans and alleviate some of this work from the planning board volunteers. Ms. Smith explains that the board currently contracts out to Strafford Regional Planning Commission (SRPC) for reviews and in turn the applicant pays for this; however, it tends to be a regional review rather than specific to Northwood. She feels that a planner would provide expertise on a more local level. Ms. McNally asks if a regional planning commission would still continue. Ms. Smith replies yes, it could continue for some projects. Selectman Edwards adds that the planner would also be of assistance with the writing of zoning ordinances. Mr. Bryer reviews other areas within the planning board’s budget and no further discussion is held. He notes that overall the increase is approximately $10,000.

Page 18: Dept. 41913~Zoning Board of Adjustment (ZBA):

Mr. Bryer states that the differences in the bottom line are due to the selectmen’s recommendation to increase line 41913/320~legal based on pending cases.

Page 19: Dept. 41941~General Government Buildings:

Ms. Beaulieu refers to line 41941/430~Repair & Maintenance and explains that there is an increase due to requests from the facilities committee for $37,950. The committee has been working together with departments to determine what should be done for improvements to existing buildings. She adds that there is also a warrant article and should that pass, the $37,950. would be removed from the operating budget. Ms. Beaulieu provides an itemized list of buildings with proposed repairs and costs.

Ms. McNally asks about amounts noted on line 41941/411~Heat/Oil as the proposed amount of $13,000. is less than the expended amount of $14,009.77. Ms. Beaulieu explains that when the budget was completed the amounts were not this high. She adds that last month there may have been two payments, which have moved the amount higher than what was anticipated. Ms. Knox asks if the town still has a contract and the amount per gallon. Mr. Bryer replies yes and Ms. Garrett replies that she does not have the figures at this time. Ms. Knox asks if the Bryant Library is included within the GGB. Ms. Heroux replies that the library is not heated under GGB.

Ms. McNally asks what the $400. is for in line 41941/430~Repair & Maintenance. Mr. Bryer explains that this for janitorial service after town meeting is completed.

Ms. McNally asks about line 41941/491~Dam Maintenance. Mr. Bryer states that Underwood Engineering has reviewed the dam and a contract was signed in December for the dam to be repaired. No dam association has been formally created, to date. Norma Heroux asks how the state will handle if the dam stays in this situation, with no action taken. Mr. Bryer replies that the town is trying to resolve this matter legally and is being proactive. Ms. Beaulieu adds that trees still need to be removed and the town’s hands are tied until this is addressed as they are on private property. Discussion ensues regarding insurances and Ms. Beaulieu states that the town is advised when there is a safety issue and then the town needs to be involved. Mr. Shaffer asks who benefits from the dam. Mr. Bryer replies the homeowners. Ms. Edwards adds that there are places downstream that could see property damage if the dam should let go.

10:30 ~ Mr. McNally calls for a 10 minute recess.

Page 21-25: Dept. 42112~Police:

Mr. Bryer states that the selectmen agree with the department requests. He adds that the increases are due to COLA, insurances, and new positions. Chief D’Alessandro states that there are 4 full time officers and there are 2 open positions at this time. Mr. Bryer explains that there has been difficulty in hiring qualified help. Ms. Dole asks if the difficult search for officers is due to salaries. Chief D’Alessandro replies that the town’s salaries are not bad but they could be better. He adds that officers mostly leave to go to the state due to salaries.

Page 25-30: Dept. 42211~Fire:

Mr. Bryer explains that the increases are due to salaries and insurance increases. The department’s stipends have also been increased, line 42211/191.

Kate McNally asks about line 42211/112~Salary Fire. Mr. Bryer explains that there were not two full time employees all year. Overtime is discussed. Chief Ashford explains overtime and how it is paid. Ms. Beaulieu states that training is not paid as overtime.

Page 30-32: Dept. 42401~Building Inspection:

Mr. Bryer explains that the increase is due to the proposal of a new position for a part time secretary. He explains that this department has revenues that typically offset the expenses. He adds that each year the fees are assessed for this department and may be amended.

Page 32-34: Dept. 43111~Highway Administration:

Mr. Bryer states that the road study has been completed.

Debbie Locke, of Ridge Road, explains that there was an emergency when the ambulance personnel needed to call the town to sand her driveway in order for her husband to receive medical care. She asks where money can be placed in the budget so that town vehicles can provide access for emergencies. She adds that there is pediatric equipment that is not available and should be. Mr. Bryer states that the town cannot put money in the budget for private property maintenance. Ms. Beaulieu further explains that the town cannot expend funds on private roads, driveways, etc. Mr. Wilson explains that he tries to the best of his ability to insure that emergency services have accessibility when needed.

Page 34: Dept. 43121~Paving and Reconstruction:

Mr. Bryer states that there are some significant increases to this department this year. He explains that the highway advisory committee and a selectmen representative have been very active this year. The selectmen hired Underwood Engineering to do a five year plan and the study concluded that many roads in town are not up to standard. He adds that extensive work has been done on Harmony Road. The selectmen intend to begin implementing the engineering firm’s 5 year plan. Further discussion is held regarding what has been done on Harmony Road and the culvert reconstruction. Ms. Dole asks if there will be a reprieve after 5 years or will this level of spending continue. Mr. Bryer replies that the selectmen and the highway advisory committee hope to be in a better position at this point. Ms. Knox refers to the town report where there is a break down of costs. Mr. Bryer explains that if the plan is followed the roads will be in much better condition and the budget for this area should level off. Doug Shaffer asks if this can be covered by impact fees. Mr. Bailey states that the roads are being traveled more and will require more maintenance. Mr. Bryer explains this is for maintenance of roads and is not necessarily within the guidelines of the impact fees.

Page 35-36: Dept. 43125~Snow and Ice Control:

Mr. Bailey states that this department’s budget is slightly less. Ms. Dole asks about maintenance of sidewalks around the library. Mr. Bryer explains that the BOS must have a maintenance agreement regarding sidewalks. Ms. Beaulieu adds that the BOS has agreed to have the highway department maintain a path from the municipal sidewalk to the library, when their other work is completed. Ms. Dole explains that she has seen people attempt to cross and have to go through the snow banks and she is concerned for their safety. Mr. Wilson replies that they try to get there as soon as possible after all of the other work has been completed.

Page 36: Dept. 43163~Street Lighting:

Ms. Knox asks about the expended 2005 amount. Ms. Beaulieu replies that the finance department will be relocating funds as entries were placed under electric rather than the street lighting. Ms. Dole asks about the requested amount. Ms. Beaulieu states that there is an error. Line 43163/410 Elec. Street Lighting should show $2700. for department and BOS recommended.

Page 36-38: Dept. 43211~Sanitation Administration:

Mr. Bryer explains that the increases are for the step and COLA increases. Ms. McNally asks about a 5% increase in line 43211/496 for furniture demo. Ms. Beaulieu states that this was an estimate and the amount was rounded up. Doug Shaffer asks if there is a plan for paving the area around the building. Mr. Bryer replies that it is not a bad idea; however no money has been allocated for paving. Ms. Beaulieu adds that the department has not requested any paving.

Ms. Dole asks about line 43211/492~Metal Sanitation. Ms. Beaulieu replies that she received input from the vendor that this cost is expected to increase. Ms. Knox asks what the condition is and use of the existing containers. Ms. Beaulieu replies that the department head is putting numbers together and is looking into the replacement of the containers through the expendable trust fund.

Page 38: Dept. 43242~Solid Waste Disposal:

Mr. Bryer states that the department is the same amount as last year. The tonnage is down based on recycling. He explains that this is the last full year the town has a contract and the rates may change. Ms. Knox asks who the representative is to the Lamprey Watershed. Mr. Bryer states he is. He adds that the tonnage is currently at $62. per ton for regular waste. Demo and furniture are both $75. per ton.

Page 38: Dept. 44111~Health:

Ms. Knox states that the there is an error in the explanation under the deputy health officer. Ms. Beaulieu states that it was carried over from last year. Mr. Bryer states that the explanation should be removed.

Page 39-40: Dept. 44141~Animal Control:

Mr. Bryer states that the animal control officer is a shared position with Deerfield. The health insurance is also shared. He adds that this is looked at each year regarding the time spent in each town.

Page 40: Dept. 44151~Health Agencies:

Ms. Knox asks about Community Services Council, a new agency requesting funds. Ms. Beaulieu states that the NH Helpline is new and explains the services. They are located at 79 Sheep Davis Road, Pembroke, NH.

Page 40-43: Dept. 44411~Welfare Administration:

Mr. Bryer states that this department has decreased slightly. He explains that there is a new director who is doing a good job.

Page 43-46: Dept. 45201~Park and Recreation:

Mr. Bryer states that the department has requested a change from part time to full time position. He states that the director is doing an excellent job; there is a lot of positive feedback. The selectmen feel it is time to move forward with this change. Recreation director Kevin Murphy states that during the winter months the school gym/fields would be used to implement new athletic programs. He adds that he would like to expand the summer program form 4 to 6 weeks. Mr. Bryer adds that there are fees to offset this program.

Ms. McNally asks about the new positions proposed. Mr. Bryer states that the recreation director is the only full time position the BOS is recommending. He further explains the part time positions being proposed; the planner, building department secretary, and a new position for the library.

Page 46-49: Dept. 45501~Library:

Mr. Bryer explains that the only difference with the library is in salary lines. Donna Bunker explains line 45501/690 needs to be reduced based on the fact this expense was spent in 2005. Ms. Dole asks about the request for another librarian. Donna Bunker explains that the library did a survey to get input from the public. They received 75 responses. She provides an overview of the proposed position which is proposed for the children’s room and includes new projects and programs. Ms. Bunker feels that there should be staff on both floors of the library for safety. Ms. Dole asks about the parents as she is concerned about spending money on doing a parent’s job. Ms. Locke adds that there is a safety issue with children.

Page 49: Dept. 45831~Patriotic Purposes:

Mr. Bryer states that the money is used for the cost of the Memorial Day parade. Mr. Bailey adds that this includes the cost for the police officers to provide service.

Page 50-51: Dept. 46111~Conservation:

Mr. Bryer explains the difference of the budget which is due to the legal line. He explains that the BOS did not feel that the department request of $1500. was warranted due to the ability to use the land fund for legal matters relative to land acquisitions.

Grand Totals:

Ms. Beaulieu provides the updated figures as follows:

BOS recommended: $2,781,174 - Department recommended: $2,734,809.

Chairman McNally calls for a recess for lunch at 12:05 p.m. to 1:05 p.m.

Mr. Bryer corrects the previous statement and changes the BOS recommended amount to be $2,790,028., as the original figure was never approved by the full board at a regular meeting.

Warrant Articles:

Mr. Bryer provides an overview of the 2006 draft warrant articles.

1. Fire/Rescue Capital Reserve Fund.

No discussion is held.

2. Fire Engine Chasis & Pump Upgrade Lease/Purchase Agreement Payment. No discussion is held.

3. Facility Committee Expendable Trust Fund.

Ms. McNally asks if this amount will be requested each year. Ms. Edwards replies that this includes a list of items presented by the facilities committee. The plan is to have enough in this fund to cover whatever proposed items are expected to be done. Doug Shaffer asks about insurance funds that come in to cover the costs. Ms. Beaulieu replies that it will show under revenues. Ms. McNally asks why the change. Mr. Bryer replies that this amount was recommended by the facilities committee. Norma Heroux asks if the revenue for the library can be broken down. Mr. Bryer replies yes, if the library asks the town for this amount.

4. Town Hall Improvement Capital Reserve.

Mr. Bryer states that this article was also suggested by the facilities committee and the BOS concurs with their request. Ms. Dole asks about the town hall fund. Mr. Bryer states that funds are being set aside for matters that may occur such as; foundation, an addition, etc. Ms. Edwards adds that this request is also based on the capital improvement plan (CIP) done by the planning board. A discussion is held regarding how these funds are placed in low interest bearing accounts. Ms. McNally and Ms. Dole ask for copies of the CIP. Ms. Lane asks what renovations are planned for the town hall. Mr. Bryer replies that there are not any planned for this year. Ms. McNally asks if there is any idea on how much the overall cost would be. Mr. Bryer replies that there are no final figures at this time.

5. Operating Budget.

6. Decreasing the Budget Committee Membership.

Mr. Bryer explains why this is being proposed is that in the past there has been some difficulty in getting the twelve at large members to be present for quorums.

7. Elderly Exemption.

Mr. Shaffer feels these figures are too low and there should be more empathy for the elderly residents in town. Ms. Dole asks if there is any guesstimate on the impact to the tax rate. Mr. Bryer replies no.

8. Fire Department Vehicle Purchase.

Mr. Bryer states that the board did discuss the new vehicle purchase request, extensively. The BOS did not recommend the purchase of equipment for the highway department as there was a major purchase last year. As for the police cruiser, the board thought that maybe this year the police department could wait and purchase every other year. Fire Chief Ashford states that this vehicle would be replacing the car for the chief. The car is a 1993 and was a police cruiser. The fire department has had the car for 6 years and has put much money into it. There is extensive rot. He adds that they were going to purchase a used Ford Explorer for $15,000.; however, the state bid is only $19,500. for a new vehicle and the cost would include the lettering and removing emergency lights. He adds that he feels that this vehicle is necessary and $19,500 is a good price. He adds that the vehicle will last for 10-12 years.

9. Highway Department Vehicle Purchase.

Mr. Bryer states that this is not recommended by the BOS. He states that the highway department has various contracts for plowing with local contractors and the town purchased a truck last year for $100,000. Mr. Wilson states that when there are calls for fire and police he cannot get in to some areas. He adds that there are only 2 private contractors now and he is three trucks short of what is needed. He adds that the truck is tired and it needs repairs. The truck has a hard 100,000 miles on it. Mr. Wilson states that he feels that a 4 wheel drive is necessary. He discusses the repairs that have been done. He adds that he would like to trade it in. Ms. Dole states that some years there is an over abundance of private contractors and then there is not enough. She adds that if this is the only vehicle that can get into the smaller places due to size, the town cannot do without it. She suggests the department can trade it in for a 1-ton and use the capital reserve fund. Doug Shaffer feels that money can be saved elsewhere.

10. Police Vehicle Purchase.

Mr. Bryer states that the new cruiser is not recommended by the selectmen. He explains that the BOS had lengthy discussions and recommends taking a break as every year the police department has purchased new vehicles. Police Chief D’Alessandro replies that the every year purchase was started as the cars are gathering up mileage which creates down time for maintenance. He explains that since they have purchased new yearly, the maintenance bills are down. He does not want to go back to getting into the same situation. Ms. McNally states that the long term plans have been good. She feels that the town should continue with the process that has been going on. Ms. Dole agrees noting that not providing the equipment that is necessary is not the right way to go. Mr. Shaffer states that vehicles break down no matter how well they are maintained and feels that these are safety issues that the town needs to look at or there will be medical and liability issues. Ms. Lane comments that the town has grown. There are larger areas to patrol and the police should keep on the rotating schedule. These are critical needs of the town. Additional discussion is held regarding the mileage on the patrol cars. Chief D’Alessandro states that there are 2 cars with approximately 120,000 miles.

11. Milfoil.