Officials tab F plan for FY04
Published on March 19th, 2003
STONEHAM, MA - Town Selectmen and Finance and Advisory Board members voted last night to approve a working model for an official solution to 2004 budget deficits.
Deemed plan F by town officials, the proposal would drastically reduce planned cuts in municipal and school budgets previously suggested at the public budget hearing earlier this month.
Specifically, plan F would cut the two budgets by $1,100,000 instead of a projected $2.1 million. To raise the funds necessary to make up the difference, the town would utilize approximately $1 million in water and sewer surpluses and redeposit $260,000 dollars into the town's stabilization fund.
From the onset of last night?s joint meeting between the two boards, Selectman Anthony Kennedy constantly implored present officials to approve some type of model for the town to use while scrutinizing the budget.
"We need a document like this to go ahead with the process," said Kennedy. "I'm hoping that the two boards can see the wisdom of this. Otherwise we're spinning the wheel week after week without grasping the bigger picture," Kennedy explained.
Ultimately accepting plan F as the town's working model for the deficit, several board members questioned the use of one-time funds to save jobs when the problem will probably re-occur in the years to come.
"If we're cutting this budget, all you're doing is keeping people in work for another year. We don't want anybody in the street but we?re trying to make this realistic. If you think this year is bad just wait until 2005" warned Selectman Charlie Smith.
Water and Sewer official Ron DeFillipo also questioned such a large use of the water and sewer surpluses, suggesting that some of the funding stay to help defer the costs of water rates in the future.
"I would recommend bringing down the use of the water and sewer surpluses here. Initially?we were only going to tap the surplus $700,000-$800,000," said Defillipo.
In addition to plan F, the board members also considered four other potential models prepared by Kennedy. Included in the other alternatives were two plans that would require a budget override.
The first plan, termed option A, would cut the school and municipal budgets by $450,000 each, utilize $860,000 in water and sewer surpluses, and return $460,000 to the town's stabilization fund. The remainder of the deficit would be balanced by an $800,000 debt exclusion override.
The second plan, termed option C, would cut a combined $600,000 from the school and municipal sectors, return $400,000 to the town?s stabilization fund, and approve a $1.9 million proposition two override. None of the town?s water and sewer surpluses would be used under the proposal.
Although members of both boards distanced themselves from endorsing any proposal including an override, Town Administrator Dave Berry stated that, with the use of one-time funds proposed in almost every model, an override would be necessary to close the budget gap in the years to come.
"I think I have another fear there's a lot of use of one-time funds here. We?re looking for something major to happen in terms of an override either this year or next year. The question is when you go for it," said Berry.
Two other proposed plans would balance the town's budget without an override. One of those plans, termed option B, would cut $850,000 from both school and municipal budgets and use $860,000 in water and sewer surpluses. Nearly $460,000 dollars would be saved in the stabilization fund with this approach.
The last plan, option D, would cut the two town services by $450,000 each and appropriate $1.2 million from water and sewer surpluses. Under the plan, no money would return to the town's stabilization fund.
All five of the proposed plans would also include $494,000 in additional revenue or savings. Presently included in those lists are proposals to put a cell-phone tower on the fire station, privatize the Stoneham Arena, raise golf fees, and create a driving range at the Unicorn golf course.
Several board members and public safety officials immediately criticized the cell-phone tower proposition, with town selectmen Cosmo Ciccarello leading the debate.
"Could this cause injury or even cancer," asked Ciccarello. 'I represent the town of Stoneham here and I just don't know about these things. You don?' want to jump in to something like this. The fire station is very close to schools," the selectmen argued.
Fire Capt. Jim Mclaughlin also questioned whether a cell-tower would interfere with existing emergency communications devices already on the fire station.
"We currently have a radio on there already. Nothing interferes with that as far as I'm concerned. That comes first," Mclaughlin explained.
Ciccarello also rejected any plan that privatized the Stoneham Arena, expressing his strong belief that the town could improve the facilities in any manner that private business could.
Despite Ciccarello's objections, finance and advisory board member Richard Gregorio disagreed, citing figures that estimate the arena loses $70,000 a year.
"I?ve been trying to improve the rink for seven years. We need to do something about the rink - it?s a non-essential service. I think the numbers should be studied," Gregorio responded.
After endorsing option F, Selectmen Charlie Smith demanded that the boards hear his proposals to save funding and raise revenue for the budget.
"I've waited three weeks to go over this and I'm going over it," said Smith.
Stating that he could save the town $84,000, Smith recommended eliminating the Building Inspector's office and move the department into the Town Clerks office. To accomplish that feat, Smith suggested laying-off Town Building Inspector Gene Argiro and Assistant Building Inspector Cheryl Noble, as well as one of the office's assistants. To fill the positions, Smith would hire three part-time building inspectors for $25,000 a year each. All of the part-timers would work for the town on a consultory basis.
Kennedy immediately disagreed with Smith?s plan, claiming that the lack of a central authority figure could harm the building inspection process.
Smith also suggested combining the town and school's information technology directors into one position, freezing the Selectmen's salary and eliminating all department secretaries, and downsizing the community development program.
Although town officials announced at last night's selectmen meeting that the joint-board consultation would be televised, the board voted at the start of the dual-board meeting to cancel televised coverage. Selectmen Charlie Smith dissented with the decision. The two boards plan to meet again next Monday.
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