Selectmen want their 15K stipend returned
Published on October 11th, 2006
STONEHAM, MA - The town's Board of Selectmen acknowledged Tuesday night that limited funding will likely restrict the passage of all 11 money-related measures, which seek at least $873,000, during the upcoming Special Town Meeting on October 23.
But despite those potential financial limitations, at least four of the five Selectmen want their piece of that shrinking financial pie back.
Less than six months after Town Meeting stripped the $3,000 salaries of the five elected officials, a private citizen, North Street resident John Scullin -a Stoneham Firefighter and Board of Health member - submitted a warrant article proposing that the $15,000 in stipends be reinstated.
The measure, the first up for debate during the annual fall assembly, seeks to undo last May's Town Meeting action, largely seen as retaliation for the Selectmen's 3-2 decision to reinstate an annual trash fee just days after the electorate overwhelmingly rejected the charge in a non-binding referendum question.
The request does not seek to tap the town's limited supply of free cash, a mere $94,839 this year, but will instead fund the measure through the existing operating budget approved by the Town Meeting body last spring.
With no discussion other than to simply explain what the warrant article proposes, the Selectmen endorsed the measure in a 4-0-1 vote, with first-term Selectman Paul Rotondi abstaining.
"I'm abstaining. I just feel that...," Rotondi initially started to explain, before trailing off and deciding to leave the issue alone.
Like Article 1, a second proposal will also seek to readjust the town's FY'07 operating budget without dipping into either free cash or Stoneham's stabilization or rainy day account.
According to Town Administrator Ron Florino, Article 12, which would result in a net $12,000 increase to the FY'07 budget, would tack-on at least one new position to municipal operations.
Specifically, the measure would slate $25,000 aside for a computer or informational systems position, set aside another $22,000 for a facilities post, and readjust the DPW, Planning Board, and Board of Appeals budgets to offset unanticipated overtime and personnel expenses.
"The bottom-line increase is a $12,000 increase in the budget, which would be raised through funds raised through cemetery funds," Florino explained.
"We feel that...we need to get some additional help in there," the Town Administrator added, referring to the new technology position - intended to lighten the workload of the Town Treasurer, who maintains Stoneham's various computer systems for a $7,500 stipend. "We feel that it's taking away from the treasurer's responsibilities."
In addition to those two articles, a pair of others, seeking a combined $658,000, would be funded without touching free cash or reserves, as they instead call for bonding or borrowing the requested money.
Article 14, submitted by the School Committee, intends to complete $250,000 worth of various repairs to the high school and middle schools that school officials argue are absolutely necessary to maintain healthy and safe environments.
According to Superintendent Dr. Joseph Connelly, who introduced the measure to the Selectmen at a previous meeting, the capital repairs will take precedence over the school department's annual request for $250,000 to complete repairs to the high school and middle school roofs.
The ten-year roof projects, currently in its fourth year, can be delayed for a year, the Superintendent argued, because the most seriously damaged sections have been fixed.
Article 18, submitted by the Selectmen, will also borrow up to $408,000 to pay-off interest-free loans extended to the town by the Mass. Water Resource Authority to prevent infiltration of storm water into Stoneham's drainage system.
"This is a combination of grant money and interest free loans. And it will save us money in the long-run because it will prevent water from leaking into the system," the Town Administrator said. "It makes sense to make sure no water is leaking into the sewer system."
Free cash and stabilization withdrawals
With just a little more than $94,000 worth of free cash in hand, and the town's cash-starved stabilization account holding less than $600,000, the Selectmen struggled with how to deal with four articles that would drain more than $200,000 from those funding sources.
If all of the measures were approved, not a single dollar would go into the stabilization account, free cash would be entirely wiped-out, and the town would have less than $500,000 in reserves to offset any deficits in the next fiscal year.
During last May's Town Meeting, the Selectmen's proposed operating budget counted on $500,000 worth of stabilization funding alone, meaning that a half-a-million dollar hole already exists in next year's budget.
Absent an unanticipated increase in tax revenues or state aid, that reality would mean the savings account would be wiped-out just to maintain the status quo, assuming that utility costs, increases in health insurance and other operating costs, and no employee raises occurred between now and then.
However, because at least one measure, Article 15, would slate $150,000 towards school personnel costs, the town can count on starting off budget deliberations this winter with a mirroring deficit, if the proposal is approved, since the $500,000 remaining in the stabilization account would be wiped-out, unless a major project is approved or the state swoops down with a local aid check.
Specifically Article 15 seeks the appropriation in order to hire back several custodial positions that were eliminated as a result of financial difficulties this year. In addition, the funding would create a new full-time technology position within the middle school.
According to school officials, the shortage of custodians has created a health and safety crisis at the town's high school, as workers scramble just to stay ahead of cleaning issues at the facility. And due to the severe cutbacks on the middle school level over the past few years, School Committee members have contended that the technology post is sorely needed.
The Selectmen, who don't take positions on articles submitted by other elected and appointed boards, hope to work-out the funding-shortage issue with the school department prior to the October 23 Town Meeting.
"I told [Dr. Connelly] what the situation is and he's going to bring it up at the next School Committee meeting," Florino told board members.
Article 16, which also requires funding from either the stabilization account or free cash, would appropriate $50,000 for a drainage study of the MacArthur Road and Spring Street area.
According to the Town Administrator, these two sections of town experience some of the worst flooding issues in the municipality.
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