Budget Committee Meeting ~ January 30, 2024

2024-01-30 · Budget Committee · 3:01:43 · watch on YouTube →

The budget committee met for a second evening to review the proposed fiscal year 2024 town budget, picking up at page 10 of 15. It worked through Public Works, solid waste, community service donations, debt service, the capital reserve transfers and the proposed uses of ARPA funds, taking a motion on each. A large part of the evening went to how the capital reserve requests will be written on the town meeting warrant, as one article or one per department, which select board members said the board had not yet decided. The committee recommended $1,454,228 for Public Works, and after removing the $9,543 Union Church request and raising the assessing revaluation contribution from $60,000 to $140,000, a capital reserve figure read back as $587,293. The meeting ended on a motion to transfer $580,000 from the fund balance toward the 2024 budget, with members disagreeing over whether to aim for no municipal tax increase or a small one.

No written minutes could be matched to this meeting. The transcript records that the speaker changed but never who was speaking, so any name attached to a statement below is inferred from context and is marked (?).

What was discussed

1. 5:28
   Opening and capital reserve spreadsheets

   The chair opened the second evening of budget review for fiscal year 2024 with the Pledge of Allegiance. Neil (?) explained a handout he had made by combining two of the worksheets sent with the budget: each department's projected equipment and vehicle purchases through 2032 above, and below that the reserve fund year by year with its opening balance, the proposed contribution and the purchases. There is one such sheet for Public Works, municipal and fire.

2. 11:13
   How capital reserve requests will appear on the warrant

   Members asked whether the town will vote on the individual vehicles or only on the money going into the reserve accounts. Rich (?) said the intent is to raise the capital money as reserve contributions rather than debate each truck on the town meeting floor, and that each department would have its own article. Heather (?) said the select board began this conversation but has not voted on it and expects to settle it when it drafts the warrant articles.

3. 21:54
   Transparency of the capital article

   Members said that if the request is presented as a single figure of about $516,000 the individual department amounts must be printed with it so residents can see where the money goes. Several said separate articles would be easier if someone wants to amend one line.

4. 27:01
   Public Works budget

   Calvin, the road commissioner, said the increase is about $115,000, made up of paving, wages, equipment repair and a new grounds line. Paving is going from $83 a ton this year to a projected $110 a ton, a $56,000 increase; $20,000 is for wages, including overlap while a new mechanic works alongside the mechanic who is retiring; $30,000 is for equipment repair, driven by emissions after-treatment systems on diesel equipment; and a new $10,000 grounds line now carries the whole cemetery budget, which previously sat in its own line. The total was stated at one point as $115,000 and at another as $116,000.

5. 32:20
   Paving underspend and road damage

   Asked why roughly $100,000 of last year's paving money was not spent, Calvin (?) said the plan changed because a heavily travelled section was unravelling under truck traffic from a gravel pit hauling to Brunswick, and the paving company did not have time to move to another road afterwards. He identified the road as Quaker Meeting House, from Route 125 back to nearly Route 136, with one section still needing box cutting. A member asked whether loggers can be held liable for road damage; the answer was that there is no local logging permit, only a state notice of intent to cut.

6. 37:35
   Equipment rentals and cemetery restoration

   Calvin (?) said the grader he rented for gravel roads was not heavy enough, so a neighbouring town helped out; this year he will either rent a bigger machine or hire the work out. Buying a grader was put at $350,000 to $370,000, which members thought was not justified by the town's mileage of dirt roads. The new grounds line includes cemetery repair estimates of $750 for Littlefield and $7,000 for Fairfield, about $7,750 to $7,850, from the cemetery committee's work on deferred maintenance across 14 cemeteries.

7. 42:50
   Public Works appropriation moved

   A motion was made and seconded that the town appropriate $1,454,228 for the Public Works account. Questions during discussion covered a new vehicle repairs and maintenance line split out of equipment maintenance for separate tracking.

8. 48:42
   Fund balance transfer and what 'flat' means

   Members worked through the difference between the roughly $516,000 of capital reserve contributions and the $500,000 the select board proposes to take from the fund balance, which are similar figures but not the same money. Rich (?) said the proposal is to keep the mill rate about the same, not that the budget is flat, and that the budget is in fact larger than last year's. County and school assessments and the Homestead exemption remain outside the town's control.

9. 54:40
   Solid waste and the Casella contract

   The current contract ends June 30 and the five-year replacement has not been signed; only one hauler bid. In 18 months to two years the hauler expects to move to two 64-gallon barcoded carts per address, one for trash and one for recycling, with mechanised collection, and to pass most of that cost to the town. Members raised what happens to tag revenue and to tonnage if residents can put out a full 64-gallon cart every week.

10. 1:00:24
    Solid waste figures are estimates

    Jerry (?) said the $350,000 figure is built from past tonnage at about $110 a ton plus collection, and that tipping fees and recycling rebates are not known until the contract is signed, so the line has always been an estimate. Members noted the town could reduce tonnage through education or composting. Heather (?) said the select board has formed a solid waste committee and views the five-year contract as the window in which to build a longer-term plan.

11. 1:06:03
    Solid waste vote and community services

    The motion to appropriate $364,000 to the solid waste account was put to a vote. The committee then moved to page 13, community services, beginning with a $10,000 request from the Freeport scholarship fund, which members said had come to the town too late to be included last year.

12. 1:11:33
    Freeport scholarship details

    Heather (?) said the fund is trying to build a pool of $2 million, which would support eight students a year; it currently supports about four a year, with seven students in the program of whom three are from Durham. Four-year scholarships are $5,000 a year and two-year scholarships $4,000 a year, they cover vocational and community college as well as four-year schools, and each student is matched with a mentor. The fund has asked for a Durham resident on its board.

13. 1:16:46
    First community services motion

    Neil (?) moved, and Phyllis (?) seconded, that the committee recommend $8,700 for community services: $2,500 to Durham Youth Baseball, $2,000 to the Freeport scholarship fund, $1,100 to the snowmobile club and $2,500 toward an AmVets generator. The scholarship amount was cut from the $10,000 requested. Members discussed whether such donations become permanent, and were told nothing can be granted in perpetuity because the town votes the budget annually.

14. 1:21:49
    Second community services motion

    A further motion was made and seconded to appropriate $16,700 for other community services: $600 for general assistance, $2,500 for Durham Youth Baseball, the full $10,000 requested for the Freeport scholarship fund, $1,100 for the snowmobile club and $2,500 for the AmVets generator. Members noted the town is not charged for using the AmVets hall for voting. Representatives of the scholarship fund do not live in Durham and will need the town's permission to speak at town meeting.

15. 1:27:10
    Union Church, and debt service

    Rich (?) said the board is still working with the town's attorney on how to hand the Union Church to the historical society, because money already granted for the building would have to be for public use, and one option is a charitable donation administered through Jerry against invoices. Since 2017 about $60,000 has gone into the building for a roof, foundation work of roughly $16,000 to $18,000, a front porch and a walkway. A motion was then made to appropriate $78,400 for debt service.

16. 1:32:34
    Capital reserve transfers out

    The transfers out were read as Public Works $205,000, fire department $180,000, municipal buildings $10,000, revaluation for assessing $60,000, grant match $2,293, Union Church $9,543 and Eureka reserve $50,000, a total of $516,836. Members were told the Union Church amount rounds the historical society's existing $21,000 restoration fund plus $10,000 previously raised up to about $31,000, and is in the budget in case the town votes not to transfer the building.

17. 1:38:18
    Motion to split out the Union Church

    Jill (?) moved, seconded by Neil, to appropriate the capital reserve total less the $9,543 Union Church request, a figure of $507,293 that the transcript renders as 57,200. Discussion turned to whether a single lump article can be amended line by line at town meeting, which several members said would be difficult.

18. 1:44:04
    Motion withdrawn; assessing increase proposed

    The mover retracted the motion and the second was withdrawn. Neil then proposed raising the assessing revaluation contribution from $60,000 to $140,000 so the account would hold about $200,000, saying a contribution had been missed in an earlier year and had reverted to the general fund.

19. 1:49:19
    Assessing reserve history and revaluation bids

    Heather (?) explained that the first year the question was worded so the unspent money went back to the general fund, and the second year it was worded to earmark it into its own reserve account. Bids for the revaluation went to seven firms, are due February 12 and will be opened February 16. Members had no current estimate; Poland's revaluation was reported at $412,000, and members thought Durham would be lower.

20. 1:55:08
    Capital reserve vote and start of ARPA items

    The motion to appropriate the 2024 capital reserve account was put, with the Union Church removed and assessing raised by $80,000. The committee then turned to the proposed ARPA spending in the supplemental packet, three items: the fire department dispatch upgrade, land use codification and Eureka upgrades. Members recalled that ARPA spending has been put to the town for a vote since a resident objected to the select board holding that authority.

21. 2:00:13
    Fire department computer aided dispatch

    Joe Roy (?) explained that dispatch information now reaching responders only by radio, or not at all until they return to the station, would appear on a screen en route, including changes in a patient's condition or fire conditions. Jill (?) added that HIPAA rules and scanner listeners keep some information off the radio, citing the Lewiston shooting. The quote covers three trucks, rescue 25, a utility and engine 22, and county dispatch is carrying most of the cost of the wider upgrade. A motion was made for $25,000 of ARPA funds.

22. 2:05:37
    Land use codification, $10,500

    Neil opposed it, saying the ordinance is searchable, the planner and planning board already know the problems, and the planner's time has gone to items such as solar. John, who was initially unsupportive, said the contractor will flag where the ordinance conflicts with state law, such as the requirement to allow homes down to 400 square feet against the town's 1,200 square foot minimum, and will produce a searchable version like Mechanic Falls has, but will not rewrite the ordinance.

23. 2:17:04
    Further argument on codification

    Heather Roy (?) said ambiguities that do not match state law expose the town to being sued through planning and appeals, and that the code enforcement officer has said the ordinance makes his job difficult. Steve (?) added that the ordinance still assigns to the select board duties that now belong to the town manager, and that $10,500 would save more than that in staff time. John cautioned that codification is not the end of it, since every change still needs informational meetings, public hearings and a town vote.

24. 2:22:42
    Codification vote and Eureka upgrades

    The motion for $10,500 of ARPA funds for land use codification was moved by Allan and seconded by John and put to a vote. Rich then introduced the Eureka item: a propane heater was removed some years ago in favour of heat pumps, and during last year's cold snap a pipe froze and caused damage, so a backup heat source is proposed.

25. 2:27:44
    Eureka heating quote

    A member said the $9,130 quote for two radiant heaters is high and that he had another quote; others said the comparison may not be like for like without knowing the building's requirements. Heather (?) said the warrant would read as Eureka upgrades rather than naming heaters, so the money could go to heating, insulation or windows at that building but not elsewhere. John (?) moved $9,130 for Eureka upgrades, seconded by Allan.

26. 2:33:08
    Transfer from fund balance

    Members asked whether they needed a separate recommendation on the amount taken from the fund balance rather than raised in taxes; they were told it was article 16 last year. Jill (?) moved, seconded by Neil, to use $580,000 of the fund balance toward the 2024 budget, being the $500,000 proposed plus the $80,000 added to assessing.

27. 2:38:20
    Zero increase or a small one

    One member argued for using slightly less of the fund balance so the municipal budget shows a small increase, saying a 1 percent rise would still be a break against last year's roughly 3.5 percent and would protect the balance. John (?) said the town holds about $3.7 million where the standard safety net is nearer $2 million or three months of spending. Jill (?) said residents want a break this year, and others noted the budget grew about 6 percent, roughly $600,000, and that spending down savings is not sustainable.

28. 2:49:27
    Tax bills, and a possible fiscal year change

    Members disagreed over telling residents taxes have not gone up when their bills have risen, whatever the cause. Jerry (?) said he has drafted a warrant article asking whether the town wants to move to a July 1 to June 30 fiscal year, which would let the budget be built with county and school figures known rather than estimated at 3 and 4 percent.

29. 2:55:14
    Fund balance question and next meetings

    Jill (?) asked whether a town can be penalised for holding too large a fund balance and was told no one had heard of that; she noted $480,000 was transferred from fund balance in 2022. The chair said the committee may need to meet once more, possibly Thursday February 15, depending on what the select board settles about the Union Church articles at its February 6 meeting.

30. 3:00:35
    Adjournment

    A brief exchange about the order of old business on the agenda, then a motion to adjourn was made and seconded.

What was decided

• 48:42
  Recommend the town appropriate $1,454,228 for the Public Works accountpassed
• 1:06:03
  Recommend the town appropriate $364,000 to the solid waste account, moved by Allen and seconded by Neil; the vote was called but no result is stated in the transcriptoutcome unclear
• 1:16:46
  Recommend $8,700 for community services, with the Freeport scholarship reduced from $10,000 to $2,000, moved by Neil and seconded by Phyllis; the vote was called but no result is stated in the transcriptoutcome unclear
• 1:27:10
  Recommend $16,700 for other community services: $600 general assistance, $2,500 Durham Youth Baseball, $10,000 Freeport scholarship fund, $1,100 snowmobile club, $2,500 toward the AmVets generator. A tally of 5 to 3 was announced but the transcript does not state which way it wentoutcome unclear
• 1:27:10
  Recommend the town appropriate $78,400 for debt service; the transcript does not record a resultoutcome unclear
• 1:38:18
  Motion by Jill, seconded by Neil, to appropriate $507,293 for the capital reserve account, that is the total less the Union Church request; the mover retracted it and the second was withdrawn before any voteoutcome unclear
• 1:55:08
  Recommend the town appropriate the 2024 capital reserve account with the Union Church $9,543 removed and assessing raised from $60,000 to $140,000, moved by Jill and seconded by Phyllis; the amount is given as $587,293 in the motion and read back as $587,200passed
• 2:05:37
  Recommend $25,000 of ARPA funds for the fire department's computer aided dispatch; the vote was called but no result is stated in the transcriptoutcome unclear
• 2:22:42
  Recommend $10,500 of ARPA funds for land use codification, moved by Allan and seconded by John. A tally of 6 to 2 was announced but the transcript does not state which way it wentoutcome unclear
• 2:27:44
  Recommend $9,130 of ARPA funds for Eureka upgrades, moved by John and seconded by Allan; the vote was called but no result is stated in the transcriptoutcome unclear
• 2:38:20
  Recommend transferring $580,000 from the fund balance toward the 2024 budget, moved by Jill and seconded by Neil; the vote was called and one member said he would go on record opposed, but no result is stated in the transcriptoutcome unclear

An outcome reads "unclear" where the recording does not state it plainly. The recogniser drops short words, and "the motion does not carry" is one missing word from its opposite.

Worth knowing

• 27:01
  Paving is budgeted at $110 a ton for next year against $83 a ton this year, a $56,000 increase, and accounts for about half of the roughly $115,000 rise in the Public Works budget.
• 1:00:24
  The $350,000 solid waste figure is an estimate, not a quote. The Casella contract ends June 30, the five-year replacement is unsigned, only one hauler bid, and the cost follows tonnage at about $110 a ton plus unknown tipping fees.
• 1:49:19
  Bids for the town's revaluation went to seven firms, are due February 12 and will be opened February 16. Poland's revaluation was reported at $412,000, and members expect the work here would not start for two or three years.
• 2:38:20
  The town holds about $3.7 million in fund balance against a suggested safety net nearer $2 million. Members disagreed over whether to draw $580,000 to hold the municipal tax rate level or draw less and accept about a 1 percent increase; the budget itself grew roughly 6 percent, about $600,000.

Motion language found in the transcript

Located by pattern matching, with no model involved: "I move that", "I'll second", "all those in favour". This is an independent check on the summary above: 13 passages of motion language, against 11 decisions summarised.

Elsewhere

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