Minutes: Board of Finance, 2004 - Washington, Connecticut

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The Town of Washington, Connecticut

Minutes: Board of Finance, 2004

Web page last updated: January 30, 2005

Disclaimer: While we have attempted to reproduce them accurately, the electronic documents you see here are not the official public documents. Official copies may be obtained on paper from the Town Clerk. Also note that minutes of recent meetings are often not yet approved by the Board, and are subject to correction.

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December 20, 2004

Chairman Michael Jackson called the meeting to order at 5:00 p.m.
Present: Board Members: Jack Boyer, Michael Jackson, Jack Field, Mark Lyon, Craig Schoon, Rex Swain
Alternates: John Allen, Liddy Adams, Barbara Brown
Selectmen: Richard Sears, Nicholas Solley
Guests: Tax Relief for the Elderly Committee: Pam Collins, Betty Mullin, Bridget Davidson
Board of Education: Jim Hirschfield
Resident: Peter Tagley
Guests:
Tax Relief for the Elderly: Bridget Davidson spoke on behalf of the Tax Relief for the Elderly Committee and requested the Board's review of the information provided to them. (attached) The Committee recommended a maximum household income of $36,900 to be eligible for a tax abatement. Based on a maximum income of $33,000, approximately 23 senior households appear eligible. The Committee suggested the Board of Finance consider a total amount of $20,000 for tax abatements, which amount would be divided equally among eligible applicants. The Board requested further information including:
Amount of taxes currently receivable from these 23 households.
Estimate of future numbers of taxpayers eligible.
State reimbursement currently received from reduced taxes.
Administrative costs that might become necessary.
Dick Sears requested the Board give the proposal prompt consideration in order to proceed to town meeting to present an ordinance prior to budget considerations for the 2005-2006 fiscal year. The Board will discuss this further at the next meeting.
Education:
Teachers/Administrators Contracts: Jim Hirschfield, chairman of the Negotiations Committee for the Board of Education, reported on the contract agreements reached with the Teachers and Administrators' Associations. Jim explained the proposed teachers' salary contracts, which are based on degrees, years of experience and a step chart. Proposed increases include 2.9%, 3.2% and 3.0% annually. Coupled with the step schedule, the actual increases would result in 4.58, 4.25 and 4.49% annually or an average total increase of 4.41% for teachers over the next three years. 50-55% of the teaching staff is at the top step; therefore, these teachers would receive a general wage increase but will not move up a step. Teachers will pay back 11.5, 12.5 and 14.5% of the cost of health insurance premiums over the next three years. Administrative increases amounted to 3.5, 3.65 and 3.75% annually, with a payback of 13, 14 and 15% on health insurance. Both the teachers and administrators have agreed to increased co-pay on prescriptions. The contracts have been filed with the Town Clerk in each town and will become binding unless rejected by the voters within thirty days of filing. Jim explained this process, as well as the negotiation and arbitration processes that would follow if the towns sought changes to the proposed contracts. He noted the towns are considered rural but affluent with strong financial capabilities; and while the numbers are high, he felt they are reasonable. The Board noted their appreciation to Jim for his very clear and concise explanation of the entire process, as well as the many years he has represented the Town on the Board of Education.
Primary School Renovations/Building: Jack Field updated the Board on recent meetings between representatives from Region 12 and the three towns' Finance and Selectmen's boards. While the sentiment has been that the three primary school buildings are badly in need of upgrading to code and current educational standards, he raised the concern that increasing the present classes from 25 to 31 may result in more inefficiency. He recognized that the Selectmen and Boards of Finance representatives from the three towns had unanimously preferred that each town have its own primary school and that they had encouraged the Board of Education to abandon the consolidation of these schools. However, he questioned whether they might rethink this decision if they knew that to retain individual schools would result in $630,000/year in additional operating cost (9 additional teachers) plus $1,600,000/year in capital costs. He had provided this information to the Board of Ed (attached) and suggested that discussions continue on viable alternatives. He suggested a negotiated consensus would be hugely preferable to a long series of hard fought referenda, and possibly repeated rejections, leading to that worse case of all - no decision. Michael reported a meeting had been held with consultants regarding the bonding for the debt. He noted this debt would have an effect on the Town's AA bond rating; and that in addition to deciding how these educational costs would impact the Town, we must also factor in how the Town's other options could be limited. The Board agreed continued work on the Town's Strategic Plan involving all areas is necessary and it is hoped the Board of Education would remain open to considering options and alternatives. This will be discussed further on January 12th when a meeting with the Superintendent is scheduled.
Pension Meeting: The Pension Committee had met prior to this meeting. Rex suggested consideration be given to professional management of the pension funds. This will be discussed at the January meeting.
2005 Calendar of Meetings: The Board agreed to hold meetings on the third Monday of each month in 2005, except where noted for holidays on the attached schedule.
Pavilion/Bathroom Project: The Board acknowledged the excellent job the Parks and Recreation Commission had done in their fundraising efforts for this project. The Town had originally committed to match $50,000 to the original $50,000 that the Commission was to raise. They Commission has now raised almost $100,000; however, since construction had not begun prior to this winter, there may be the chance that the current contractor will not be able to meet his bid. Alternatives are being considered. The Board of Selectmen will make a recommendation at the January Board of Finance meeting whether or not to proceed. The Board agreed that an ex-budget appropriation for an additional $20,000 would be considered at that time.
Selectman's Vehicle: Rex Swain made the following motion:
In order for the issue of the First Selectman's car to be considered in the normal course of the FY06 budget cycle, the Board of Finance asks the Board of Selectmen to produce, in writing, by the January meeting:
- Actual business mileage driven and submitted for reimbursement by the First Selectman from November 2003 through summer 2004.
- Actual monthly cost of owning and operating the former police car now being used by the First Selectman, including gas, maintenance, insurance, depreciation, and etc.
- Forecast of how much over budget we will be in FY05 due to the addition of this vehicle.
- Information on what arrangements other nearby Towns have with their First Selectmen.
By the February meeting, the Selectmen should submit a specific policy proposal for FY06 and on. If the former police car is to continue to be used, a specific sunset plan for that vehicle should be included.
The meeting was adjourned at 6: ? p.m.
Respectfully submitted,
Kathy Gollow, Secretary
Minutes available on tape.

November 15, 2004
Present: Board Members: Michael Jackson, Jack Field, Mark Lyon, Craig Schoon, Rex Swain
Alternates: John Allen, Liddy Adams
Selectmen: Richard Sears, Nicholas Solley
Guests: Valerie Friedman
Liddy Adams was seated in the absence of Jack Boyer.

Minutes: Jack Field made a motion to approve the minutes of the October 18, 2004 meeting as submitted. Craig Schoon seconded the motion. Motion unanimously passed.
Treasurer's Report: Accepted as submitted. Michael is reviewing the STIF account investments. Approximately $3.5 million of the Town's funds are currently in these accounts. Rates on these accounts have been the highest and it is assumed this remains the same.
Tax Collector's Report: Accepted as submitted. Income consistent with prior years.
Financials: Financials were reviewed and accepted as submitted. Kathy reported she and the Treasurer had attended a GASB seminar upon the recommendation of the auditors. Once complete, this report should make information available to the Boards of Selectmen and Finance for long-range planning. Whether Region 12 or the Town will carry the Washington Primary School and Superintendent's buildings as Fixed Assets remains to be determined and may depend on the length of the lease. This will be reviewed.
Old Business:
Old Police Vehicle: Nick reported there were sixteen responses to a survey on the use of town vehicles by the First Selectmen. Responses resulted in a variety of answers: Five used town vehicles, the remaining eleven did not. Some were allotted a specific annual stipend, some were reimbursed for mileage, and some did not request any remuneration. He suggested the current vehicle most likely has a limited life span remaining (2 years). Nick and Liddy will establish a policy for the Board's consideration at the next meeting. Rex requested a cost analysis on the worth of the benefit of use of this vehicle vs. a new vehicle vs. mileage reimbursement from the past two administrators.
Selectman's Report:
Town Website: Dick expressed his appreciation to Rex for his continuing efforts on the Town website. This has been a great asset to the Town.
Planning Process: Dick reported information collected from the recent forums on Open Space, Education, Municipal Buildings and Housing Diversity will be presented at the final forum scheduled for November 17. He requested the Board's attendance as he felt their input and ability to listen to the public's comments would be invaluable. He especially thanked Jack Field and Michael Jackson, who have been very active during this whole process. Now that the issues have been introduced, a straw poll will be taken at the final forum. The information will also be available on the website and a mailer will be sent to all residents for their opinions. Once a definitive response is received, this information will be used for long-range planning and budgeting purposes.
Titus Road Property - D.E.P. Abatement Order: Testing will be done by Lenard Engineering at the old town garage site as a continuation of the DEP order regarding salt contamination. Funds remain in the capital account for this project.
Energy Purchase: The Town will contract with Select Energy for electricity. Electric rates for the next three years have been guaranteed at 6.463/kwh. This decision was made after a thorough review by consultants through the Connecticut Conference of Municipalities on behalf of member towns. Electric rates are scheduled for deregulation in January of 2005.
2005-2006 Budget: It was agreed that agencies receiving town funding will be asked to make a presentation following review of their budget requests by the Boards of Selectmen and Finance. This would include the Fire Company, the Library, VNA's, etc.
Future Planning: Jack Field presented two DRAFT charts, a Base Case chart and a New Initiatives chart, to be used in conjunction with the results of the "Issue Forums", in future planning for the Town. An attempt has been made to obtain ideas from each of the forums to get a sense of the proportions of future projects and how related costs would affect future funding needs. He noted two major areas of concern: That the Town not compromise its credit capacity, and that the Town develop some sense of the answer to the question "Where is the line between enough and too much in taxes?" Preliminary numbers obtained from people working on the various committees were used in the assumption document. This will be used to make a presentation for the public's consideration at the final forum on Nov. 17.
The Base Case considered the town's budget and what it would look like over five years with no new initiatives and continued growth at recent and current rates. Assumptions were made using a 3%/yr growth in Town operating expense, no new debt, a 5%/yr increase in Town share of Education expense and Town Capital Expenses maintained at the current rate of approximately $700,000. Non-tax revenues were assumed at 3% increase and a 98% tax collection rate was used. A 3%/yr growth rate, including revaluations, in the Grand List was assumed. These primary assumptions would increase the mil rate from the current 11.0 to 12.6 over five years. The B of F recommended reducing the projected growth rate of the Grand List from 3 to 2%/yr.
In the New Initiatives Case, spikes in the mil rate would be smoothed out by use of debt service and staggering the timing of the proposed school reconstruction. Open Space costs were assumed at $300,000/year - $150,000 for acquisition of land and $150,000 for tax abatement for conservation easements to permanently protect land from development. Housing costs are estimated at $300,000 - all for "affordable" housing. Open Space and Housing costs would approximate 1/3 of a mil each currently and would grow at 3%/ per year. Education assumes $20,000,000 net would be spent for the reconstruction of the three schools, plus a track for $785,000. Using a 20-year basis, a 4% interest rate would equate to approximately $822,000/year. Town capital costs for new Municipal property initiatives are estimated to be $1,200,000, amortized over 5 years. Additionally, $100,000 new annual expense for Senior tax relief and a Property Manager are in the plan. Combined, the Municipal new initiatives would amount to approximately $242,000 per year.
The mil rate anticipated for the base case of 12.6, plus an increase of 1.7 mills for new initiatives, would amount to 14.3 mils at the end of five years. Assumption numbers, of course, are subject to change as the planning process progresses. (Note: With the 2%/yr growth of the Grand List assumption and the other growth rates, these numbers later changed to 13.2 mils in the Base Case, 1.9 mils for the new initiatives, and 15.1 mils combined. These numbers were used in the Nov. 17 Town Meeting.)
Dick thanks Jack and Michael for their efforts in providing these assumptions. An open discussion with the public will be held once the results of the polling are complete. This probably will occur in January or February.
The Board of Finance recognized the passing of George Bender, Chairman of the Planning Commission, and his many years of untiring effort on behalf of the Town of Washington.
A special meeting of the Board was scheduled for December 20 at 5 p.m. The meeting was adjourned at 6:40 p.m.
Respectfully submitted, Kathy Gollow, Secretary

October 18, 2004
Chairman Michael Jackson called the meeting to order at 5:00 p.m.
Present: Board Members: Jack Boyer, Michael Jackson, Mark Lyon, Rex Swain
Alternates: John Allen, Barbara Brown, Liddy Adams
Selectmen: Richard Sears, Nicholas Solley
Guests: Peter Tagley

Minutes: Approved as submitted.
Guests: Peter Tagley voiced concern that the Board of Education is proceeding with building plans for the three elementary school based on authorization they had received from the three Boards of Finance and Selectmen. He felt savings are not being considered and that specifications for the new structures would be larger than the current structures. He suggested a representative from the Board of Finance should be involved on the Building Committee and felt the project had not been taken to the public for approval at a referendum.
Michael reported two members of the Boards of Finance had met with the School Administration on several occasions. The Boards of Selectmen of the three towns had sent letters to the Board of Education indicating there was not political support for closing the elementary school buildings and that each Town wanted to maintain its primary school. This letter was not authorization to proceed to construction or renovation, but rather it was expected the Board would explore various alternatives and costs. The Boards of Finance has requested the School Administration provide more information to the Towns and felt it would be in their best interest if the Towns were allowed to review the information and comment on any proposal. Michael noted the Board of Education may proceed with a bond issue without the permission of the Towns.
The town Forums that are scheduled will include one on Education. Projected costs most likely will be available for the final forum to discuss in conjunctions with the other Town priorities for the future, i.e. municipal facilities upgrade, open space and housing. In addition, it is anticipated the tax consequence for various options will be provided. The Board agreed it would be prudent to have representation from the Finance Board on the Building Committee in order to clarify their understanding.
Tax Collector's Report: Accepted as submitted.
Treasurer's Report: Accepted as submitted. The Treasurer will be asked to provide a current STIF statement to the Board members.
Financials: Income and expense in the various Town Funds were discussed. The Board considered whether it would be more prudent to maintain a reserve in the Capital Fund or to transfer funds to the General Fund. The current reserve in the Capital Fund allows the Town to proceed with approved projects before grant funds are received. It was agreed that unexpended balances from completed projects could be returned to the General Fund. The Board will review their policy/
Selectman's Report:
Land Use Brochure: Dick reported the Conservation Commission has obtained funding for the publication of the Land Use Brochure from the Watts Fund. This will alleviate the need for the $5,000 approved at the May town meeting from the capital funds and is greatly appreciated.
Elevator Project: The architectural drawings for this project will be completed within the next two weeks. These will be forwarded to the Town's consultant for review and preparation of the bid specifications for the Small Cities Grant. It is anticipated construction would begin next Spring.

Pension Obligation: The Board reviewed a letter received from the First Selectman of Bridgewater regarding a former employee's pension. The Board agreed no response was necessary having already forwarded a legal opinion on this matter to the same.
Fire Truck: Due to concerns about the frame of a fire vehicle that had been repaired in 2001, the truck has been taken out of service until the problem has been evaluated. Insurance funds paid for the initial repairs to this vehicle.

Pavilion bathroom: Dick reported the Board of Selectmen accepted a bid of $147,000 for the pavilion bathroom project, subject to the successful completion of fund raising. Total costs, including architectural fees, amount to $180,000. The Parks and Recreation Commission raised approximately $80,000, while the Town approved $50,000 at the May, 2003 town meeting. The Commission will continue with their fundraising efforts for the remaining $50,000 needed. Water system well, septic, etc. are included in these costs.
Town Forums: Dick invited the members of the Board to attend the initial town forum scheduled for October 20. This forum will address municipal facilities and provide an overview of future needs. Financial implications will not be addressed at this forum. John Allen reported a study of the infrastructure of the town hall is also currently underway. Issues include the implementation of the Lake Waramaug boating program as outlined in the DEP Agreement, boat ramp construction, boathouse removal and replacement, beachhouse repairs. Dick will report as thee projects come forward. Construction plans require removal of the boathouse for parking. Preliminary engineering costs were $112,000 with no building left. Finance it through public and private funds.
Police Vehicle: Dick reported a stipulation of the recent DUI grant to obtain a new police vehicle included that the new vehicle must not replace a vehicle from the current fleet. Since the Town does not have its own Police Department, the First Selectman also serves as Chief of Police. Dick felt while the decision-making process to maintain this vehicle for his use may have been confused, there was no intention to deceive; and he had spoken about use of the vehicle with the Board of Selectmen. The Finance Board felt use of a vehicle by the First Selectman may be a policy question since use of the asset had changed. Nick Solley was asked to work with a member of the Board of Finance to frame such a policy to be implemented next summer. A survey of other towns will be done to assist with policy
Michael reported the Shepaug River lawsuit going to a final draft of an Agreement. Further information should be available in the next few weeks.
The meeting was adjourned at 6:45 p.m.
Respectfully submitted,
Kathy Gollow, Secretary

September 20, 2004
Chairman Michael Jackson called the meeting to order at 5:00 p.m.
Present:
Board Members: Jack Boyer, Jack Field, Michael Jackson, Mark Lyon, Craig Schoon, Rex Swain
Alternates: John Allen
Selectmen: Richard Sears, Nicholas Solley
Treasurer: Linda McGarr
Tax Collector: Tanya Wescott
Guests: Thomas & Betsey Burke

Minutes: The Secretary noted the following changes to be made to the August, 2004 Minutes: Page 1, 4th paragraph: Increase transfer for 03/04 from General Fund to Nonrecurring Capital from $860,025 to $890,025 and decrease transfer for 04/05 from $780,525 to $711,554. Jack Field provided suggestions for additions/changes to the August 17th minutes regarding the Board's policy for transferring funds (attached). It was agreed this full discussion had not been included at the meeting but that Jack's suggestions should be reviewed and the Board would articulate a statement regarding Capital Funds at the next meeting. The minutes were accepted as submitted.
General Fund: The Board addressed the large net revenue over expenditures in the General Fund for the 2003-2004 fiscal year of $985,514*. This amount included the projected transfer to the Nonrecurring Account for the 03/04 fiscal year of $890,025, which was to be made during the month of September, 2004. Income for that year exceeded budgeted line items, mainly in the areas of taxes, building inspections and town clerk fees. Income projections for the current 04/05 budget have been increased in the latter two areas, but it was agreed to review this more closely for future budgets.
Capital Account: Rex Swain made a motion to transfer $22,599 from the Capital Fund to the General Fund for capital projects that have been unappropriated as they have been completed. John Allen seconded the motion. Motion was unanimously passed. This amount is shown on the NRCEF report for August, 2004.

Treasurer's Report: The Treasurer's Report was reviewed and approved. Linda is investigating the possibility of reducing the number of town accounts by using a program offered through FNBL known as the CDARS program (Certificate of Deposit Account Registry Service). This service is available to large depositors. The Bank would use deposited funds to purchase smaller cd's that would be covered through the FDIC $100,000 insurance limit. Linda will review further and request of list of probable investments.

Tax Collector's Report: Tanya presented a comparison of her monthly tax postings to deposits made by the Treasurer. She also provided year-to-year collections by month. She has forwarded several accounts for foreclosure proceedings and anticipates payment for four delinquent properties as soon as the lien on the property is released. The Board commended her on her collection rate.

Suspense List: The Board approved the 2000 Suspense List submitted by the Tax Collector.

Selectman's Report:
Ex-Budget Appropriations:
Police: A request was received from Resident Trooper Sordi to cover unanticipated costs associated with the transfer and installation of mobile radio equipment from the old police vehicle to the police office (letter attached). This was in conjunction with the $35,000 capital line item approved toward a new police vehicle, for which a DWI 80% grant reimbursement has been submitted. The Secretary was asked to reconcile costs and forward to the Board. John Allen made a motion to approve an ex-budget appropriation not to exceed $1,785 for appropriation for police equipment. Craig Schoon seconded the motion. Motion unanimously passed.
Changes in Land Use Staffing: Dick provided information outlining certain changes in employee staffing in the Land Use area to better service the public. (attached) This would result in an additional $2,565 needed for full-time secretarial services for Planning, Zoning and Wetlands, as well as 18 hours/week for Wetlands enforcement and 9 hours/week for Zoning enforcement. Jack Boyer made a motion to approve an ex-budget appropriation not to exceed $2,565 for these changes in employee services. Mark Lyon seconded the motion. Motion unanimously passed.

Elderly Tax Relief: Information had been circulated to the Board regarding elderly tax assistance programs in the towns of Woodbury and Redding. Dick suggested a committee be formed to obtain information on the number of eligible seniors, income guidelines used by other towns, the impact such a program would have on the tax rolls affecting other taxpayers, etc. It was felt the assessor and municipal agent may be able to provide insight into obtaining this information. Dick will talk with them and the public.
Analysis of Electric Use: Dick reported the Connecticut Conference of Municipalities has hired a consultant to analyze the rates and services of potential vendors to provide electricity to the towns in addition to CL&P. He requested the Board empower him to use CCM's recommendation in making this decision for the Town as he feels their consultants are better equipped to review these numbers. The Board agreed.
Town Planning Process: Dick provided an outline for the various forums scheduled to discuss the Town's future in the areas of open space, housing, education and municipal and community projects. The following dates are planned:
October 4: Town Meeting - overview of process and short presentations from each area.
October 4: Newsletter with overview and major article from each area.
October 20: Municipal Projects
October 28: Open Space
November 4: Diversified Housing
November 9: Public Education
He requested the Board attend as many of these forums as possible.
Thomas Burke expressed his concern over Region #12's proposal to purchase a parcel of land in the Town of Roxbury adjacent to the primary school building. He did not feel this would be in the best interest of Washington taxpayers to pay for property in another town. Jack Field reminded the Board that the Town needs to lay out all future plans regarding housing, open space, education etc. in order to allow taxpayers to make informed decisions on the future of the Town and what the tax burden would be when all projects are considered.

Pension: Rex reported the Pension Committee had met with the Town's pension consultants to review the Plan and the assumptions used to calculate annual deposits to the account. A 7.5% interest rate and a 5% salary increase had been used in the calculations, both of which the Pension Committee felt too high. It was agreed to use a 5.5% interest rate and 3.5% increase in salary. Computations using these new percentages will be done and the actuary will report back to the Pension Committee if this results in a big change in annual cost. The Pension Committee planned to invest approximately 75% of the funds in laddered bonds and 25% of the funds in an S&P 500 index stock fund in order to keep the budget within an acceptable amount. Rex has since investigated further and is concerned mainly with the safety of the funds. He will report this to the Committee for further review.
A legal opinion was received from Robinson & Cole regarding a former employee's status for pension funding. Dick will contact the First Selectman of Bridgewater with this information.
The Board voted unanimously to enter Executive Session at 6:40 p.m. to discuss personnel matters.
The Board re-entered the Regular Meeting at 6:55 p.m. There being no further business, the meeting was adjourned at 6:56 p.m.
Respectfully submitted,
Kathy Gollow
Secretary

August 16, 2004
Present: Board Members: Jack Field, Michael Jackson, Mark Lyon, Rex Swain
Alternates: Liddy Adams, John Allen, Barbara Brown
Guests: Richard Sears, First Selectman; Betty Mullin, resident

Guests: Betty Mullin requested the Board consider ways to ease the tax burden on the Town's seniors. She noted while many seniors are in favor of maintaining open space and providing for housing and education, they are unable to fully support these efforts due to increased taxes. The Board's reaction was positive. Programs in neighboring towns will be investigated and the Board will review the impact various programs could have on the Town budget.
Treasurer's Report: Accepted as submitted.
Financial Reports: 2003-2004 year-end reports were reviewed. General Fund Income exceeded budgeted forecast, mainly in the areas of Building Permits, Police Private Duty and Town Clerk's deposits. Expenses also exceed forecast, mainly in areas of Building and Police expense.
The Town's financial and demographical information will be updated in anticipation of school building plans and contract negotiations. The importance of long-range planning for future Town projects was addressed. John Allen, chairman of the Buildings and Grounds Commission, reported code and infrastructure studies are planned for Bryan Memorial Town Hall, as well as the on-going review of other town buildings and properties. Dick Sears reported a series of forums is planned for October to discuss the Town's preferences for the future and rank them in accordance of their importance.
The Board agreed approved capital project funds are restricted. These funds will be transferred annually to the Nonrecurring Capital Account. Income received from state grants and interest that have been deposited to the Capital Fund will be transferred into the General Fund annually. Michael Jackson made a motion to transfer $860,025 from the May, 2003 town meeting and the net of $780,525 from the May, 2004 town meeting from the General Fund to the Capital Fund for approved capital expenses. He further moved that $70,869 received in state grants and interest be transferred from the Capital Fund to the General Fund. Rex Swain seconded the motion. Motion unanimously passed.
Town staffing was discussed. Added responsibilities and work load in the land use, finance and building upgrade and maintenance areas were recognized as more complex and time consuming. The Board will request the Selectmen to review current personnel responsibilities.

Old Business:
Rex Swain presented the following items for discussion:

Parks & Rec Bathroom and Storage Facility: Rex reminded the Board that $50,000 had been approved at town meeting for this project. The Parks & Rec Commission planned to raise the remainder with the assistance of private efforts. Initial anticipated costs were $158,000 in April of 2003. A recent bid was received for $232,000, which included additional space set aside for a future kitchen. The Selectmen will review this project further.
Use of Police Vehicle: Rex questioned the use of the police vehicle by the First Selectman. Dick explained a new police vehicle had been included in the long-range capital plan for the 2003-04 fiscal year. Funding assistance became available through federal highway safety funds that support DUI law enforcement efforts in Connecticut. A stipulation of the grant was the vehicle could not replace a current police vehicle, and it was felt this grant for $26,000 would greatly offset the capital cost of $35,000 budgeted. Dick also noted as First Selectman he serves as the Chief of Police. He felt the old vehicle would serve the Town well through use of its radio and would provide professional miles to do his job. He did not consider a benefit for the position of First Selectman but rather a service to the Town. Rex questioned if it would be necessary to provide another vehicle if this breaks down. Michael reminded the Board that the Selectmen are responsible for setting employee policy annually and make recommendations to the Finance Board. He suggested an analysis of other towns' policies could be provided rather than the Board dictating policy.
Boat Launch: Rex questioned what the result would be if the anticipated $100,000 D.E.P. grant was not received in conjunction with the Lake Waramaug Agreement. Dick reported there is no guarantee that the Town will receive this grant as it is separate from the Lake Agreement. He noted there are many questions that cannot be addressed until the Agreement is approved by all three towns. (Town Meeting - September 2, 2004) If approved, the Town must then apply for various land use permits. Engineered drawings for the proposal had been provided by the Lake Waramaug Association. Costs are estimated at approximately $120,000. If all permits are not obtained, the Agreement may be terminated by all parties subject to receipt of the grant. Items such as on-going staff expenses, additional hours, etc. must still be addressed and the financial impact is not yet determined. Dick noted if the State were to construct a ramp, there is no guarantee of continued maintenance or monitoring. The Agreement reserves 13 boat permits for campers and seven permits for day boaters. Availability of the ramp will remain open to all residents of Washington, Warren and Kent. There are approximately 120 boats currently on the lake.
Town Aid Road Account: Rex suggested Town Aid Road Funds be outlined more clearly during the budget process. These funds are used at the Selectmen's discretion for unanticipated road and tree work. A report of the Fund is provided to the Board monthly and the Fund is audited annually. There is approximately $200,000 currently in the Fund. It was agreed to include this Fund's balance with the Town budget assumptions.
LoCIP Grant: The Local Capital Improvement Program state grant is available for capital projects. Funds may be used annually or carried over from year-to-year for larger projects. In the past, this fund has been used for such projects as the town garages. Rex suggested the balance in this Fund should be included as an asset.
Mill Rate: Rex suggested going to the annual budget hearing with a specific mill rate. Michael noted several mill rates are provided at the budget hearing with the budget assumptions. He felt a certain amount of flexibility should be preserved by the Board to vote on this until after hearing public comment at the hearing.

Pension Committee: Barbara Brown reported the Pension Committee will meet with the Town's actuary on August 23 to review the annual reports for the Town's various Plans. The Committee will review the investment policies and confer with the Bank to clarify fiduciary responsibilities. A legal review of the Town Pension Plan has been completed to insure all legislative criteria has been met. A matter regarding a former employee will be referred for legal clarification.
Ex-Budget Appropriation: The Board approved an ex-budget appropriation in the amount of $7,000 for purchase of DUI Enforcement/Education equipment. A reimbursement grant for $5,574has been approved under the Federal Highway Safety Program, State Project No. 0184-6372.
Binding Arbitration: Mark Lyon volunteered to represent the Board of Finance in Region 12 contract negotiations. It was felt a presence from the Finance Board indicating the Town's interest in the process is most important.
The meeting was adjourned at 7.05 p.m.
Respectfully submitted,
Kathy Gollow, Secretary

May 20, 2004
Chairman Michael Jackson called the meeting to order at 8:01 p.m. immediately following the Town Meeting.
Present: Board Members: Jack Boyer, Jack Field, Michael Jackson, Mark Lyon, Craig Schoon, Rex Swain
Alternates: John Allen, Liddy Adams
The Board discussed the Long-Range Financing Projections that had been presented at the town meeting. (attached) A Grand List of $905,000,000 was used to for assumption purposes. Various mill rates ranging from 11 to 11.75 were projected, with 11 indicating a revenue neutral. It was estimated the operating net balance at the end of the fiscal year will be in the area of ($400,000) as compared to the ($768,357) budgeted. With anticipated surplus in the capital and town aid road funds, it was felt that approximately 2.5 months of expenses could be covered. It was noted, however, that some funds may need to be advanced for particular projects in anticipation of receiving certain grants. It was noted that while a mill rate of 11 would bring in approximately the same amount of revenue and the increase in the budget is small, taxpayers should realize that taxes will differ on properties according to the new revaluation numbers.
Jack Boyer made a motion to set the mill rate at 11. Rex Swain seconded the motion. The motion was unanimously passed.
The meeting was adjourned at 8:15 p.m.
Respectfully submitted,
Kathy Gollow, Secretary

May 3, 2004
Chairman Michael Jackson called the meeting to order at 5:00 p.m.
Present: Board: Jack Boyer, Jack Field, Michael Jackson, Mark Lyon, Craig Schoon, Rex Swain
Alternates: Liddy Adams, John Allen
Selectmen: Richard Sears, Nicholas Solley
Treasurer: Linda McGarr
Press: John Addyman, VOICES
Guests: Valerie Friedman, Dorothy Hill, Candy Korzenko, John Millington, Peter Tagley
2004-2005 Proposed General Fund Budget: The Selectmen outlined the changes made to their budget as requested at the previous Finance Board's meeting. These resulted in a decrease of $20,105, which reduces the proposed expenditures to $3,311,788 (+2.1% over the 2003/04 budget). Increases were made for additional hours for the wetlands enforcement officer and the senior van driver, with reductions in legal and consultant fees, computer support, tree work, playing field fertilization and the 225th Town anniversary celebration as follows:
Inland Wetlands: Increased assistance needed with enforcement, documentation and application review in order to reduce time spent at meetings and excessive hours needed of volunteer commissioners. The Commission has been fortunate to have volunteer chairpersons who have assisted with the work required; however, current commissioners do not have this time available. The Selectmen increased the enforcement line item to 18 hours per week.

Tree Work: The tree work anticipated for the 2004-05 will be completed as planned. Some funding will be taken from the Town Aid Road account for tree work on town roads.
Legal Fees: The Selectmen recognized the benefit that legal counsel plays in assisting the Land Use Commissions, as well as other Town offices; however, these areas were reduced in an attempt to lower budget costs. It was understood that if the need arises for additional hours beyond those budgeted, it will be provided.
The Board arrived at a final General Fund budget expenditure of $3,232,051, indicating a 3.6% increase over last year's budget. Adding the $79,733 debt service line, the total proposed gross General Fund Expenditures amount to $3,311,788, an increase of 2.1%.
Nonrecurring Capital Expenditures: The following changes were made:
$30,000 was reduced from the Road section of this budget. The Town Aid Road Fund will be used for these projects.
Various methods of financing the fire truck were discussed, recognizing that to postpone this purchase could increase the cost. The current proposal of $275,000 will be extended over two years, i.e. $137,500 in the 04/05 fiscal year and $137,500 in the 05/06 fiscal year capital budgets.
Computer acquisition line item was reduced from $8,500 to $4,500.
Land Acquisition line items remained at $25,000 each for Open Space and Housing. While these amounts do not address the complete purchase of land as the Plan of Development suggested ($300,000 for Open Space and $250,000 for Housing) the importance of discussing these items by all the citizens was recognized and there was the implied understanding that these discussions will continue on all aspects of Town expenditures.
The changes to the proposed capital expenditures resulted in a revised capital fund budget of $1,847,974. With anticipated grants of $994,920, a net capital budget of $711,554 (-20.1% from the previous year) was presented by the Selectmen.
Whether to make a transfer of funds from the General to the Nonrecurring Capital Fund remains remains to be considered.
Town Aid Road Budget: The Town Aid Road fund grant has been used for road projects and materials annually. A balance has been maintained for emergency situations. Discussion was held that suggested all road projects be shown in the General and Capital fund budgets and alternate means of covering emergency expenses could be investigated.
Appointment of Auditor: Michael Jackson made a motion to appoint Charles Heaven & Co., Inc. of Waterbury, CT as the Town auditor for the fiscal year ending June 30, 2004. Motion seconded by Jack Field and unanimously passed.
Education Budget: The Board of Finance went on record as supporting the budget proposed by the Region #12 Board of Education for the referendum vote on May 4.
The meeting was adjourned at 7:10 p.m.
Respectfully submitted,
Kathy Gollow, Secretary

April 19, 2004
Chairman Michael Jackson called the meeting to order at 5:00 p.m.
Present: Board: Jack Boyer, Jack Field, Michael Jackson, Mark Lyon, Craig Schoon
Alternates: John Allen and Barbara Brown
Selectmen: Richard Sears, Nicholas Solley
Press: Sarah Sparks, Waterbury Republican/American
Guests: Tanya Wescott, Tax Collector; Bill Fairbairn, Elaine Luckey, John Millington, Peter Tagley
Appointments: Michael Jackson made a motion to appoint move Mark Lyon as a regular Board member and John Allen as an alternate. Jack Boyer seconded the motion, which was unanimously passed.

Minutes: Minutes of the March 29 meeting were accepted as submitted.

Treasurer's Report: Tanya Wescott reported four taxpayers have been turned over for collection. They have owed taxes for multiple years and have not responded to her inquiries. Other taxpayers who are in arrears have worked out payment plans with her. She explained the Suspense List as accounts that are not considered collectible, nor an asset to the Town. Most of these payments are from motor vehicle taxes of former residents. The funds do remain collectible.
2004-2005 Proposed Budget:
General Fund: The Selectmen presented the General Fund budget at of $3,331,892. Dick reported the Selectmen had reviewed all areas and outlined the following changes:
Newsletter line reduced from $12,000 to $9,000 to allow three yearly issues instead of four.
The 225th Anniversary line was reduced from $20,000 to $10,000. $5,000 had been allotted as an ex-budget appropriation to cover current expenses.
Health Insurance was reviewed in depth with the Town's agent. An HMO plan to replace the current point of service plan is being considered. This would not adversely affect the employees since most of their doctors are included under the HMO plan and their co-pays would remain the same. Changes will continue to be made in the future to maintain minimal costs and services and town employees will need to become partners with the Town in this area.
Pension was estimated at $73,000. Pension Consultants will be contacted.
Gunn Library was maintained as requested. They will be asked to discuss future budget consideration in June or July.
It was suggested that phone service be reviewed further and possibly renegotiated.
Field fertilization, weed prevention, clay, etc. for town ball fields will be reviewed further.
Costs for Sanitation were discussed. These are based on tonnage at contracted prices for hauling and burning. Increasing tonnage for recyclables while decreasing solid waste would be the major way to decrease costs. A Recycling Committee meeting has been scheduled for the coming week to address these concerns. Current recycling charges at the transfer station will be compared with Town costs.
Michael noted the General Fund Proposed Expenditures, not including the debt service, amounted to a 4.2% increase. After further discussion, the Selectmen agreed to review expenditures further.
Capital Fund: Nick Solley presented a capital budget of $1,877,974. Anticipated grants of $994,920 would result this to a net figure of $883,054. Several projects had been held from the previous year and included with this proposal because the Selectmen knew they would not be started during that year. The Selectmen are now ready to proceed.
The Road Program: Projects are consistent with the continuing long-range road program. It was suggested that Town Aid Road funds be used to reduce the net demand on the capital budget. Nick reported the Selectmen consider this fund, in part, a rainy day fund to be used for emergency road repairs such as those required after the summer storm in 1995 that amounted to $500,000. The balance in this Fund is currently about $220,000. While this balance higher than usual, Nick noted there are no road material reserves and he sees more road expenses than usual. Jack Field questioned if an estimated balance had been established for this rainy day fund. Nick felt $100,000 should be the minimum balance. He noted prior to the former administration, this Fund had been used to offset annual expenses for salt. Since then, the salt line item has been added to the General Fund budget to accurately reflect all the costs of running the town. The Selectmen agreed to review this area again.

Fire Vehicle: Mark Lyon was to have discussed the financing of this but left on an emergency fire call.

Land Acquisition Open Space/Land Acquisition Housing:
Proposals to include $25,000 to acquire open space land and $25,000 for land for housing were discussed. Opinions differed. Some felt the Town's support, both financially and philosophically, could serve well as an aid in obtaining additional grants. However, they felt the amount should be higher than proposed. Others suggested it would be premature to set funds aside before having a specific piece of property in mind, and that an ex-budget appropriation could be made if funds were needed to begin. The purchase of land by the Town for open space was also questioned as being contradictory to the issue of housing. It was felt the Town's purchase of land for open space could retire a significant amount of available land, thus increasing the price for remaining land and becoming exclusionary to younger people. Discussion had been held on these issues prior to budget deliberations; however, this discussion stimulated further debate. It was suggested these two items remain as part of the capital budget but the Selectmen organize a separate town meeting to discuss these issues.
The Board of Finance will hold a special meeting on May 3rd at 5 p.m. to continue discussion on the budget.
The annual Town budget hearing is scheduled for Thursday, May 6th at 7:30 p.m. and the Town meeting is scheduled for May 20th at 7:30 p.m
The meeting was adjourned at 7:10 p.m.
Respectfully submitted,
Kathy Gollow, Secretary

March 29, 2004
Chairman Michael Jackson called the meeting to order at 5:00 p.m.
Present: Board: Jack Field, Michael Jackson, Craig Schoon and Rex Swain
Alternates: Liddy Adams, Barbara Brown and Mark Lyon
Selectmen: Richard Sears, Nicholas Solley
Press: John Addyman, VOICES; Sarah Sparks, Waterbury Republican/American
Guests: Chris Charles, Planning
Minutes: Minutes of the March 1 meeting were accepted as submitted.

Treasurer's Report: The Treasurer's report was accepted as submitted.
Rex recommended the Pension Fund investments be reviewed and suggested the Town Treasurer take charge of these investments. Michael felt the Treasurer's responsibilities lie more in the use of funds for Town on-going expenses, while pension funds require long-term investments. Pension funds have always been kept separate from Town funds and the Pension Committee has directed the bank on the type of investments to be made. Barbara Brown and Michael will contact the investors to discuss investments.

Tax Collector's Report: A comparison of monthly bank deposits to deposits shown in the Tax Collector's monthly income reports was provided by the Tax Collector. The differences that appear from time-to-time seem to be the dates the deposits are put in the computer and the actual date of bank deposit. These may differ by a day or two. Tanya will be asked to attend the next meeting to discuss this further.
Debt Service: Michael reported he had investigate refinancing of the town debt service and found better rates could not be obtained. The rate for the current year is 4.25-4.35%.
Selectman's Report: Dick reported the Department of Transportation has approved a grant toward 80% of the costs of the new police vehicle that is a part of the current year's capital budget. Costs to the Town will be $6,500, with the federal grant for $26,000. The Town has received the funding of $35,000 from the D.O.T. toward the cost of a new Senior bus. Delivery of the bus anticipated for early summer. Dick is working with the firefighters on a grant through Homeland Security for personal protective equipment and turn-out gear. The grant will require a 10% match from the Town for approximately $70-80,000 of equipment. $5,000 has been proposed for the upcoming 04/05 town budget, with the fire company agreeing to provide an additional $2-3,000.
Proposed General Fund Budget: Dick Sears presented the Selectmen's initial DRAFT General Fund expenditures in the amount of $3,382,219, 4.6% over the current year as follows:
Personnel: Basic cost-of-living and consumer price index figures were considered in determining personnel salaries, since specific job descriptions were not available for all positions for performance reviews. The Selectmen felt a general 3% increase was acceptable. Employees and elected officials had been invited to discuss their job satisfaction, work load, etc. Dick reported very positive feedback was received and employees were very supportive of one another. He felt the employees do their jobs well and accurately and he strives for efficiency. He noted the difference between employees and elected officials must also be considered. While town employees could be reviewed if specific criteria were developed for all positions, it was recognized elected officials are really reviewed by the voters, where their acceptance is reflected at voting time. It was suggested job descriptions be developed for both employees and elected officials for use in an annual review. It was suggested some elected officials/employees have larger workloads and this should be taken into consideration. It was also suggested that officials/employees could review their own work situations and recommend areas of improvement. It was felt all personnel should receive the same consideration at this time.
The Board suggested reviewing all expenses such as phone, legal, supplies, etc. in the aggregate to obtain better costs.
General Government:
001 - Selectmen: Line item added for 225th Anniversary Celebration - should be separated into its own line item to insure it is a one-time item.
004 - Town Clerk - Added new line for Historic Document Preservation. Costs for this are offset by income in Town clerk's office in accordance with statutes. Also, addition of 70 hours for clerk to complete filing needs. This is a one-time expense.
006 - Building Inspector - Contracted cost is 74% of fees collected. It was suggested line item for this expense remain as is because income offsets this expense. It was noted Building expense last year was $107,000, while income was $194,000.
008 - Elections: Increased voting/ hours from noon to 6 a.m. for referenda. Region 12 will cover expenses for a special vote on the study for a consolidated school.
011 - Planning Commission - Chris Charles noted implementation of the Town's Revised Plan of Conservation and Development has begun, as well as a possible study of the Depot. It was felt the expertise of a consultant will be needed.
013 - Zoning Board of Appeals - Legal fees have been increased because of two pending lawsuits.
014 - Inland Wetlands - Increased time for enforcement is suggested.
017 - Town Hall - Increase in fuel and maintenance costs.
018 - Town Garage - Increase in fuel and planting costs.
019 - Surety Bonds & Insurance: Decrease due to 3-year contract with CIRMA for guaranteed pricing.
020 - Accident & Health Insurance: Various insurance plans are being investigated. Maintaining the current plan would require an increase of 11% for the coming year. This is an increase over last year's 10% increase, at which time employees, co-pays were increased. Review will continue on switching from a point-of-service plan to an HMO, as well as other cost reduction measures. The Board suggested Selectmen compare other municipal plans.
021 - Office Expense - Payroll company will provide additional services of direct deposit and tax deposits. Increase for computer support and maintenance instead of always relying on volunteer services.
022 - Social Security/Medicare: Adjustment in accordance with payroll adjustments.
Public Safety:
025 - Fire Company: Increase due to servicing of fire pumps and NRPA hose pressure testing.
026 - Police: New line item of Private Duty - Non-reimbursable. This is for police services for town events such as the carnival and Holiday in the Depot, where the Town will not have to reimburse itself. Private Duty Reimbursable line item was reduced from prior year due to reduction in request for police services on weekends in Steep Rock and Town services.
027 - Emergency Management: Increase from $36,377 to $38,755 for Litchfield County Dispatch services.
029 - Lake Waramaug Authority: Increase of $2,000 for emergency strobe light and upgrade of radio system requested, as well as increased hours for patrol of lake. These expenses are reimbursable by 60%.

Highway Maintenance:
031 - General Maintenance: Increase in maintenance and repairs of trucks and grader, plus secretarial assistance for 3 hours/week.
032 - Winter Maintenance: This year's budget will be overspent. Increase in winter sand and salt. Spent $69,815 this year, which is well over budget.
033 - Street Lighting. Increase in electrical costs. Survey of street lights is being reviewed.
It was noted the position for Director of Public Works had been turned down last year since a complete job description had not been developed. The Selectmen noted the importance of the many and varied responsibilities that would be involved with this position but have not included a request for this position in the coming budget.
Sanitation:
035 - Transfer Station: Increases in contracted services, as well as tonnage for municipal solid waste.
036 - Recycling: Increases in contracted services, as well as increase in costs for recycling tires, appliances and electronics. We will be seeing more variations in recyclables. Prices charged at transfer station are reflective of what the Town is paying for removal of items.

Conservation of Health:
038 - Increased need for Sanitarian's services - add 26 weeks @ 8 hrs/week for busier months.

Parks & Recreation:
041 - Parks & Recreation:
Additional hours for grounds maintenance at primary school. Also, increase of $5,700 is being considered for maintenance of River Walk public facility, which includes the care and maintenance required for the proposed bathrooms.
Other Expense:
Gunn Memorial Library: Selectmen approved as submitted at $105,000. A complete budget had been submitted by the Library.
Newsletter: Dick suggested the town newsletter be mailed to residents quarterly. Members of the Board felt this quite ambitious and questioned its impact and how it could be evaluated. Dick would oversee the entire process and felt it important to get information to the public about various issues facing the Town, i.e. recycling vs. the cost of solid waste, etc. The Selectmen will review this further.

Capital Budget: Nick Solley presented the proposed capital budget projects at $1,867,974, with their anticipated net cost of $898,978. He reported the Town has attracted nearly $1,000,000 in grants for the coming year and the Selectmen are confident that final approvals will be forthcoming shortly. A recommendation from the auditor will be sought as to whether gross or net expense must be voted on at town meeting. .
The Board agreed that capital funds remaining in the chipseal line may be carried over to the coming season.

Appointment of Alternate: Robin Hirschfield submitted a written letter of resignation that had been circulated to the Board. The Board accepted Robin's resignation with regret. A recommendation from the Town Committee had been anticipated but as yet had not been received in writing. The importance of having a full Board during budget season was noted and it was agreed to proceed to fill this vacancy. Jack Field made a motion to appoint John Allen as an alternate member of the Board. Rex Swain seconded the motion and the motion was passed unanimously.
Ex Budget Appropriation: Dick Sears requested the Board approve an ex-budget appropriation of $5,000 toward expenses incurred for the forthcoming 225th Town's Anniversary celebration. Michael Jackson moved to approve this sum. The motion was seconded by Jack Field and unanimously passed. Dick noted the Selectmen may consider requesting additional funds for this project as part of the proposed budget request.
The next meeting is scheduled for April 19th.
The meeting was adjourned at 7:07 p.m.
Respectfully submitted,
Kathy Gollow, Secretary

March 1, 2004
Chairman Michael Jackson called the meeting to order at 5:01 p.m.
Present: Board: Jack Boyer, Jack Field, Michael Jackson, Craig Schoon and Rex Swain
Alternates: Liddy Adams and Barbara Brown
Selectman: Richard Sears
Treasurer: Linda Mc Garr
Press: John Addyman, VOICES ; Sarah Sparks, Waterbury Republican/American
Guests: WVFD: Duncan Woodruff, Chris Moore, Dick Murchison, Aaron Hodge Valerie Andersen, Board of Education ; Alan Chapin, Thomas & Betsey Burke
Guests:

Fire Department: The Fire Department provided information on their request to purchase a new Rescue vehicle to replace their 1993 Rescue truck. Duncan Woodruff reported this truck is considered a first responder certified vehicle. This enables its use for ambulance calls until such time as the ambulance is available, as well as for motor vehicle accidents and fires. In addition to carrying extensive life-saving equipment, the vehicle also carries a generator, an extrication tool, air bags, an air cascade system for Self Contained Breathing Apparatus, ice rescue equipment and equipment used for forcible entry and general scene support. OSHA, EPA and NFPA standards now require that towns establish an Incident Command System, as well as a Command Post, for safety personnel to coordinate their efforts at large and/or complex incidents. This vehicle would allow the Department to meet these requirements, as well as to provide space to carry hazardous material equipment and rescue ropes. The proposed cost to the Town is estimated at $275,000, with the Fire Department providing an additional $50,000. This vehicle is part of the Department s long-range plan presented to the Board of Finance in 2002. The Board and the Fire Department will investigate various funding and payment schedules and the Department will provide an updated five-year plan to the Board. The Board of Selectmen will consider this request further as part of their overall capital budget for the coming year. The Department was thanked for their efforts on behalf of the Town and its residents.
Historic Records Preservation Expense: An ex-budget appropriation of $1,974 was approved for the preservation and management of historic documents in accordance with Public Act 00-146 at the request of the Town Clerk. A three-dollar fee is collected by the Town Clerk for each land record. Two-thirds of this fee is remitted to the State Librarian for the preservation of historic documents. The Town retains one-third, which must be expended for the restoration and maintenance of town records. Town Clerk Sheila Anson will use these funds to restore two volumes, as well as to purchase a new town seal and binders for vital statistics.
Minutes: Minutes of the November 17, 2003 and January 26 meetings were accepted as submitted. Rex requested the quarterly Town Pension reports be circulated to the Pension Committee.

Treasurer s Report: Linda continues to review the interest rates on Town investments to insure that we are collecting the highest rates while maintaining flexibility in the use of Town funds. She requested the Board advise her in writing if a transfer from the General Fund to the Capital Fund is to be made for the capital items approved at the May, 2003 Town Meeting. The Board will review this prior to the next meeting.
Tax Collector s Report: A comparison of the Tax Collector s Report and the taxes on the Financial Report was discussed. A monthly report will be prepared to outline the differences in the monthly totals. This comparison will be forwarded to the Board during the month.

Financial Reports: General, Nonrecurring Capital and Town Aid Road Fund accounts through January 31 were reviewed. It was noted the Winter Maintenance area will most likely exceed the budgeted line item this year.

Selectman s Report: Dick Sears reported on the following:
Budget: The Selectmen continue to review Town operations and meet with personnel in preparation for the coming budget. A salary range has not been established as yet. Many large capital items are under consideration. It is anticipated several will be reimbursable through grants.
Grants: Dick attended a seminar on federal grants available through FEMA and the Department of Health Services. Additional grant applications currently being submitted are:
o State D.O.T. DUI Enforcement Vehicle Program To purchase a police vehicle using this grant to seek 80% reimbursement. Application has been submitted.
o Assistance to Firefighters Grant Program through Homeland Security For training and/or equipment at a 90% match. Dick noted we are not eligible for a vehicle through this grant. He is working with the fire company to submit this application by April 2.
o Positive Police Interaction With Youth Application has been submitted for a $10,000 grant. Dick is working with Resident Trooper on this grant and the establishment of a Shepaug Youth Patrol.
Education: Dick commended the School Administration and Board of Education on their attempt to maintain a reasonable increase in the Education budget. It is currently in the 4.99% range. Rex commended the Boards of Selectmen and Finance of the three towns for their strong unified statement against closing any of the elementary schools and encouraging the Board of Ed to consider alternatives, such as reconfiguring the current grade setup in each building. Holding a referendum to obtain public opinion on whether to consolidate or renovate was suggested. Valerie Andersen reported the Board of Ed is considering calling a referendum prior to the budget referendum or at the same time. Rex suggested increasing the voting hours 6 a.m. to 8 p.m. on the Education budget referendum. The Board of Education would make this decision. Additional hours would be added to next year s General Fund budget.
Bryan Memorial Town Hall: Dick noted his appreciation of the Board s approval to proceed with rewiring of the town hall office computers from dial-up service to Cable. The Bryan Memorial Hall Trustees have agreed to pay for this wiring, which should occur within the next few weeks. They have also voted to pay for an engineering study of the major systems within the building to insure that they meet required codes.
Revised Grand List: The Board received the Assessor s report on the revised Grand List as of 10/01/2003. Total Net Grand List: $915,387,180, which is $294,646,420 (47.4%) higher than 2002 ($620,646,420). Motor vehicles declined by $173,970, which has been the case across the State as used car prices have dropped. Personal property increased by $108,360. The increase was basically in real estate. The Board will consider a revision to the mill rate following the May town meeting; however, it was assumed the Grand List numbers will precipitate a substantial decrease in the mill rate.
The meeting was adjourned at 6:10 p.m.
Respectfully submitted,
Kathy Gollow, Secretary
Board of Finance: March 1, 2004

January 26, 2004
Present:
Board: Jack Boyer, Jack Field, Michael Jackson, Craig Schoon and Rex Swain
Alternates: Liddy Adams and Mark Lyon
Selectmen: Richard Sears and Nicholas Solley
Press: John Addyman, VOICES; E. L. Lefferts, Litchfield County Times
Guests: Doug Kidd, Lesher-Glendinning; Barbara Johnson, Assessor
Annette McDonald, Valerie Friedman, Salvatore and Frances DeSimone, Ronald Chute
Minutes: Minutes of the November 17, 2003 meeting were tabled.
Treasurer's Report: The addition of a new account with Fleet Bank was noted. It was surmised this was established for a higher interest rate, as well as to diversify funds in various banks. The Treasurer will be asked to comment.
Revaluation: Doug Kidd, project coordinator for the Town's Revaluation, explained the process used in determining property values. He reported the Town's assessor has reviewed sales occurring over the past four years, specifically to provide a basis for the evaluation; however, most of the weight is put on sales occurring within the past twelve months. Values are established for the properties, which are then compared to properties that have not sold during this time to insure they are graded similarly. Over 75 sales were used to determine these values and he felt this was ample data to achieve equality and fairness. Certain sales were eliminated that seemed over or under paid, as were properties that had been dramatically improved since their original purchase. This determination is made if the property is out of the scope of what is typical in the behavior of buyers. On the lower end of sales, many sales were made between family members. For these properties, deeds were read. Foreclosures were reviewed, but for the most part were not used. Evaluations on interior improvements to homes were done mostly from inspection and permit information. The same methodology is used for all towns in the state.
Land values were established through the assessor's field cards with appreciation over time. Appreciation on most land would be similar, unless improvements had been made to the property. If land sold for a lower price, the most recent price would be used.
Question was raised if there are more high-end homes for sale in Washington as compared to other towns in the northwest corner. Doug noted the sale price may be higher, but the numbers are not greater. It was noted the Town does have some very unique properties with exceptional views.
Doug noted values are not changed unless improvements to the property have been made or an error is found. The value cannot be raised if the sales price goes up. He noted that is part of the basis for knowing that a revaluation must be done. If it is found through statistical testing when the next revaluation is scheduled that the values are in line, there is the possibility that revaluation may be waived.
Question was raised as to how interior improvements are estimated. The laws states that homes and properties must be "viewed." Barbara noted while she does not go into every home, interior upgrades are estimated with the "class" of the house. Comparisons are made to sales in the neighborhood, as well as if the property is "unique." You are charged for what you have. I.e. four bathrooms vs. two bathrooms. As the "class" of the house increases, it is assumed that you will have higher quality improvements.
"Class" is based on the quality of the property, neighborhood, views and access....things that really make common sense. These are determined by reviewing the sales and developing a land value. Classes range from 8 to 16, with 9* the most common, 13-14 on the high end, and 16 the highest. The square footage is determined for each house. "Class" is important to the formula and increasing the class of a house will result in an increase or decrease in property values. Historical homes are looked at individually. They tend to have a higher class but the level of restoration may differ greatly from home to home. Wetlands, steepness, poor drainage, etc. are also taken into consideration when valuing land.
Land values in the current revaluation increased about 50%. A comparison of prior revaluations indicates a building lot valued at $105,000 in 1989 decreased to $100,000 in 1999, and increased again to $150,000 in 2004. The value of all properties may be viewed on line at: prophecyone.us.
Comment was made that higher end properties were not paying their share. Doug felt they are paying their share and are valued at 70% of their market value.
In order to evaluate their own performance, the revaluation company tests properties sold after October 1 as compared to the values they have set. They have done this testing and felt they were very close in their calculations. While all properties have been re-evaluated, not all notices have been mailed as of this date.
Replacement cost revaluation system is instituted with the state. It conforms to state laws that state it should conform to market values. On the field cards replacement costs are shown. The basis is the market value but it is displayed as replacement cost.
Valerie Friedman requested she be taken specifically through the formula based on her property. Doug will meet with her.
Revaluation is scheduled for completion on February 29 when the assessor signs the Grand List. She must report to the State that she is satisfied with the revaluation. She will not have a tentative Grand List ready for a few weeks as adjustments are still being made. If a property owner has a dispute with the revaluation of his property, an appeal should be made to the Board of Assessment Appeals.

*The number 9 was stated. Assessor feels it should be 10.
Tax Collector's Report: Approved.
Financials:
Building: Income and expense in the Building area again exceed budget projections. These areas may be considered for increases in next year's budget.

Emergency Management: Mark Lyon, who also serves as Fire Chief, explained grants from federal governments are realized in the receipt of materials rather than funds. Locally, we have received suits, gloves, etc. for hazardous occurrences. He noted the northwest corner and western half of the state are currently organizing though local Council of Governments. Hospital has received decontamination apparatus.
Audit: The 2002-2003 Audit recommendations included:
Use of a cash register to assist in summarizing daily cash receipts into various categories and provide historical documentation on tapes for Town clerk's fees.
Review and implementation of policies and procedures regarding land use bonds in accordance with the Town's intentions.
Implementation of a computerized general ledge accounting package for Parks and Recreation activities.
The audit report prepared by Charles Heaven & Co., Inc. was accepted by the Commission.
Selectmen's Report:
Budget: Dick reported the 2004-2005 budget process has begun with performance reviews and conversation with highway and town hall personnel. Applications for the Small Cities and S.T.E.A.P. grants are progressing. Since both grants will provide specific accounts which allow the Town to draw funds directly to pay expenses, the Selectmen questioned procedures to be followed. It was unanimously agreed that established procedures should be followed. All expenses will be presented as part of the Capital budget for consideration and approval by the townspeople at the annual budget meeting in May. Anticipation of grant reimbursements for these expenses will be noted against these expenses and when considering the mill rate.

Plan of Conservation and Development. Dick noted plans are being made to implement the Revised Plan of Conservation and Development. A meeting of the Town Commission chairmen is scheduled for January 27th to begin this process and to determine the fiscal implications that may be required for parts of this Plan. He also noted the Open Space Land Purchase Fund may need clarification.
General Fund Expenses:
Town Hall:
Dick reported $5,200 in emergency boiler and pipe repairs has been charged against the Town Hall repairs line. This has preempted planned improvements to the building such as painting the front hall and stairways. Since this budget area has not been overspent, it was agreed no action is needed by the Board at this time. The Selectmen will proceed with the painting and appraise the Finance Board if this area will overrun.
Dick also reported technological access to the town hall building is poor. He has researched and obtained estimates for rewiring for a high speed line at a cost of $3,800. Monthly costs for services would remain approximately the same. It was suggested funding for this may be considered by the Bryan Memorial Trustees. An additional $1,000 will be needed to complete the connective wires, router, and switch. The Selectmen will proceed with this expenditure.

New Business:
Summary of Grants: Jack Field provided a Summary of Grants spreadsheet that presented the federal and state grants the Town anticipates this current fiscal year and the accounts to which they are deposited. The Board noted their appreciation of this summary. It was agreed as soon as grants are available we should apply for money.
The meeting was adjourned at 6:35 p.m.
Respectfully submitted,
Kathy Gollow
Secretary
Meetings in 2003