La lecture en ligne est gratuite
Le téléchargement nécessite un accès à la bibliothèque YouScribe
Tout savoir sur nos offres

Partagez cette publication

TownofNantucketAdHocBudgetCommitteeMeetingst MinutesAdHocBudgetCommitteeMeetingAugust1 ,2008Present:Ms.LibbyGibson,Ms.JennyGarneau,Ms.SusanGenthner,Mr.JamesKelly,Mr.MichaelKopko,Ms.IreneLarivee,Mr.MatthewMulcahy,RobertPelliconeEd.D.,andMs.PatriciaRoggeveen,Absent:Mr.GlennFieldandMs.ConnieVogesAlsopresent:Mr.BrianChadwick,Mr.MalachyRice,Mr.WhitingWillauer,andMr.CraigAbernathy1.CalltoOrder:
Ms.Roggeveencalledthemeetingtoorder.
2.FiscalYear2010BudgetTimeline:
Ms.GibsonstatedthatsheisworkingontheFY2010budgettimeline.Atthispointintheprocessshewouldliketoinvitecommentsonthetimelineusedlastyear.Sheaskedallpartiestosharetheirlikesanddislikesaswellastheirideasaboutwhatitemsinthetimelineshouldbeadjusted.Ms.GibsondetailedthemilestonesoftheFY2009scheduleasfollows:Septemberbudgetinstructionsgoout,Octoberbudgetrequestsaredueback,NovemberbudgetsarecompiledbyTownAdministrationandFinance,DecemberBoardofSelectmen(BOS)andSchoolCommitteereviewandproviderecommendations;andinJanuarythebudgetsarepresentedtotheFinanceCommittee.
Ms.GenthnerhighlightedchangesintheSchoolbudgetplanningprocess.ThisyeartheSchoolhasacceleratedtheirbudgetplanningscheduletofallmoreinlinewiththescheduleusedbytheTown.Ms.RoggeveenstatedthatlastyeartheSchool’sbudgetforecastcameinlate.SheaskedthatthisyeartheCommitteebegivenasmuchadvanceinformationaspossible.Shefeltthiswouldfacilitatethebudgetforecastingprocess.
Minutes – Audit Committee st August 1 , 2008 Page 2 of 8 Ms.GibsonstatedthattheBoardofSelectmenwillbegivenaninitialforecastforth theFY2010budgetonAugust13 ,2008.Theinformationpresentedwillincluderevenueprojections,expenseprojections,andsomeofthebackgroundinformationfortheforecast.Atthattime,theSelectmenwillbeabletobeginformulatingapolicyapproachtothebudgetforecastingprocess.SheremindedtheCommitteethatsomeitems,suchasfreecash,mightnotbeknownuntillaterintheprocess.However,shestatedthatfreecashhastraditionallybeenusedforcapitalandnotforongoingexpenses.
Mr.Kellyaskedifthereallocationofresourcestofocusonthe2008Auditwouldaffectthebudgetdevelopmentprocess.Ms.Gibsonmadearequestforpatienceduringthebudgetplanningprocess.ShestatedthatMs.Lariveewillbeallocatingsomeofhertimetotheaudit,andthuswillnotbeworkingonbudgetplanningfulltime.Ms.GibsonpointedtoamoreconsistentapproachandformatthatwillallowtheFinanceCommitteetoseeinformationinaclearlypresentedmanner.
Mr.KellycommendedtheSchoolfortheinvolvementofallofitsconstituentsinthebudgetplanningprocess.However,hestatedthathefeltthatmanyoftheirideasgoleftoutoftheprocessduetothefactthateveryonewassofarbehindlastyear.Ms.GenthnersaidthatnormallytheSchooldoeslagbehindotherdepartmentsinthebudgetdevelopmenttimeline,butthisyeartheSchoolhasbroughttheirscheduleinlinewiththescheduleusedbytheTown.
Ms.GarneauaskediftheSchoolwouldbepresentedwithdocumenttemplatesforsubmittinginformationtotheCommittee,andMs.Lariveesaidshehastemplatesforalloftheinformation,andthatshewillbeprovidingtemplatestotheSchoolandEnterpriseFunds.
Mr.MulcahycommentedthathefeltthetimelineusedlastyearworkedwellfortheFinanceCommittee.HethenaskedMs.RoggeveenaboutforecastnumbersdueinDecember.Ms.Roggeveenstatedthatsheexpectstoseeacontinueddecreaseinrevenue.TheCommitteemustconstantlychecktheexpectationsofdifferentdepartmentsagainsttherealitiesofthebudget.Shestatedthatgatheringandsharinginformationinthebudgetprocessandincorporatingthatinformationintoprojectionswillreducethechancesofdisappointment.
3.FiveYearForecast
Ms.LariveestatedthattheTown’sFY2009RevenueBudgetwillnotbefinaluntiltheStatecertifiestheTown’sTaxRecap.Oncerevenueiscertified,theTownwillbeabletoprovidearefinedrevenueprojectionforFY2010.ThiscertificationusuallyoccursinOctoberorNovember.
Minutes – Audit Committee st August 1 , 2008 Page 3 of 8 Ms.Lariveedirectedmemberstotherevenue&expenseforecastconcerningnewgrowth.ShestatedthatshehadobtainedthenewgrowthestimatefromDeborahDilworth,theTown’sAssessor.Thisrevenueforecastshowsthatnewgrowthisestimatedtobeapproximately$958,000.Ms.LariveecharacterizedthisasaconservativeprojectionbytheAssessor.Shealsostatedthatbaseduponadeclineinapplicationsforbuildingpermits,localrevenuehasfallenthirtyfivepercentduringthethreeyearperiodfrom2005to2008.Shestatedthatalthoughlocalrevenuehadbeenreducedto$12.5millioninFY2008earlyyearendindicatorsshowitwillbeshortby$1.2million.Ms.LariveeaddedthatforFY2008“budgetaryturnbacks”weresufficienttocovertherevenueshortfall.(Note:Theterm“budgetaryturnback”referstounusedfundsreturnedbydepartmentsattheendofthefiscalyear.)
Mr.PelliconeaskedMs.Lariveeifthedeficitswerebeingassumedinthebudgetplanningprocess.Ms.LariveesaidthatcurrentlytheTown’smodelusesanincreaseinsalariesattherateoffivepercent.Usingthismodel,theTownwillhaveaprojectedbudgetarydeficitof$6.2millionby2014.ShestatedthatthegoaloftheTownwastolookatsalariesandslowtherateofgrowth.Mr.Pelliconeaskedwhyemployeescouldnotbeheldtoathreepercentincrease,andMs.Lariveerespondedthatthreepercentwasnotrealistic,asthecurrenttrendsarefiveorsixpercentincreases.
Ms.GarneauaskediftheTownwasprojectingafivepercentincreaseduetocontractualobligations.Ms.Lariveestatedthatallofthecontractsthathavebeenratifiedthusfarhavecomeinbelowthefivepercentfigure.However,somecontractsarestillbeingnegotiated.Mr.KellyaskediftheassumptionsusedintheplanningprocesswereapprovedbytheBoardofSelectmen,orweretheyadministrativeassumptions.Ms.Lariveerespondedthattheassumptionsbeingusedareadministrative.Ms.Gibsonaddedthattheseassumptionsarerealisticforthepurposesofdiscussion.
Mr.PelliconestatedthattheTownis“settingitselfup”byusingplanningforecaststhatincorporatefivepercentincreasesinsalaries.Ms.Lariveeagreed,statingthatfivepercentsalariescannotbesustained.Mr.Kellystatedhebelievesthatwhenassumptionsaremadeaboutrevenuethesameassumptionsshouldbeappliedtosalaries.Mr.KellywentontoaddthathewasconcernedaboutlistingfivepercentasagoalonaTowndocument.Ms.RoggeveenstatedthatshebelieveditwasnecessaryinformationforthepurposeofprovidinginsighttotheCommittee.Sheaddedthatnoneofthedocumentsareendorseddocuments;theyareaddedasanopportunitytoprovidewarningofpotentialproblemsinthefuture.
Mr.Mulcahyaskedifitwouldn’tbebettertouseahigherestimateforsalaryincreasesratherthanusealowerestimateandcomeupshort.Ms.LariveerespondedthattheTownhastodeliverabalancedbudget.Mr.KellysaidthatnotalloftheTown’slaborcontractshavebeennegotiated.HealsopointedoutthattheTowncouldlookat
Minutes – Audit Committee st August 1 , 2008 Page 4 of 8 itemssuchashiringfreezesandovertimereductioninordertoallowtheTowntohaveadequatefinancestomeetitscontractualobligations.
Mr.KopkoremindedtheCommitteethatafivepercentincreasewassignificantlylessthantheincreasesapprovedinthepast.HeaddedthathebelievedtheTownwasgraduallysteppingitswaytowardcreatingrealisticideasinregardtosalaryincreases.Ms.Roggeveenaddedthatlookingatsalarieswasonlyonewaytoapproachreducingcosts.ShestatedthatitmaybenecessaryfortheTowntolookatwaystoreducetheservicesitofferswhenfundingforthosebudgetsisnolongeravailable.
Dr.Pelliconeaskedwhythedocumentsdidnotshowanallowanceforincreasesinthecostsofutilities.Ms.Lariveerepliedthatincreasesinutilitycostshavebeenaccountedforunderoperatingexpenses.Operatingexpensesaretraditionallyincreasedbytwopercenteachyeartoaccountforutility,gasolineincreases,etc.
Mr.Kellyaskedwheneachdepartmentwouldbegivenbudgetassumptionstoworkfromindevelopingtheirbudgetprojections.Ms.GibsonansweredthattheBoardofSelectmenwillmeetandconsiderinputputforthbytheAdHocBudgetCommittee.Afterthedatafromthatmeetingisdigestedandorganized,informationwillgoouttoeachdepartmentinSeptember.TownAdministrationandtheFinanceDepartmentwillmeetwitheachdepartmenttoexplaintheinformationandthedocumentationrequirementsforanyincreasesand/orchangestothedepartmentalbudgets.
Mr.Kellyagainassertedhisbeliefthatitwasincorrecttocontinuewithsalaryincreasesoffivepercent.Ms.GibsonrespondedthatforFiscalYears2009,2010,and2011anassumptionofafivepercentsalaryincreasewasusedduetoadirectivebytheboard.Sheaddedthatgoingforwardwithfiscalyearsbeyond2011wouldbethetimetoaddresschangingthefivepercentassumption.
Ms.RoggeveenpointedtosomeoftheeffortsmadebytheBoardofSelectmeninaddressingsalaryincreases.ShestatedthattheBoardprovideddirectiontothenegotiationteamaboutwhatcouldbedoneandthentheBoarddemonstrateditsabilitytotakeaction.Mr.Kopkostatedthatthenextcontractnegotiationprocesswillbedifferent;addingthatovertheyearsprogresshasbeenmadeinaddressingwhatwasonceconsideredanuntouchableissue.
Mr.Mulcahyagainstatedhispreferenceforafivepercentassumption.Headdedthatitwouldbedifficulttocutthefivepercentnumberfromacontractstandpointwithoutcuttingservices.Mr.KopkostatedthateveniftheTownmanagestokeepsalaryincreasesbelowfivepercentitwillbenecessarytocutservices,implementhiringfreezes,reduceorreallocatestaff,andbartheuseofovertime.
4.DiscussFiscalYear2010Development:
Minutes – Audit Committee st August 1 , 2008 Page 5 of 8 Ms.Lariveebeganthispartofthediscussionbyintroducingtwotypesofbudgets(LevelFundedandMaintenancebudgets).InthepasttheTownusedlevelfundedbudgets.Thesebudgetsreceivefundingbasedupontheamounttheyreceivedinthepreviousyear.Ms.LariveeproposedthattheTownmovetoamaintenancebudget.Thegoalofamaintenancebudgetistosupportthelevelofservicebeingprovidedtoday.Ms.LariveestatedthatthiswouldallowtheFinanceDepartmentandTownAdministrationtolookattheTown’sfinancesasawholeandreallocateresourceswheretheyareneeded.
Mr.KopkoaskedhowatransitionfromalevelfundedbudgettoamaintenancebudgetwouldimpactthevariousdepartmentsoftheTown.Ms.Gibsonrepliedthatitwouldrequiresomeeducation.SheaddedthatthistypeofbudgetwouldhelpachievetheTown’sgoalsoflookingatwhatservicestheTownisprovidinganddeterminetheirlevelofeffectiveness.Ms.GibsonwentontostatethatthistypeofbudgetwouldputtheTowninabetterpositiontoidentifytheplaceswherecutscanbemadeinordertomeetfinancialgoals.Ms.GarneaustatedthattheSchoolisalreadyusingthistypeofbudget.
Ms.GibsonstatedthatatsomepointtheAdHocBudgetCommitteewillneedsomepolicydirectionformtheBoardofSelectmen.Sheaskedthatthematterbeth presentedtotheBoardatitsmeetingonAugust13 ,2008.Shenotedthatafterthatthereisnotmuchtimetogetdocumentsandmeetingstogetherbeforebudgetplanninghasmovedintomoreadvancedstages.
Mr.MulcahyaskedifamaintenancebudgetwouldaffectFireDepartmentovertime.Hestatedthathebelievedthedepartmentusedlevelfundingtomovealargeamountoffundingfromyeartoyear.Ms.LariveestatedthatamaintenancebudgetwouldallowtheTowntolookattrendsandappropriatethefundsforovertimeforamountsconsistentwithpastyears.Sheaddedthatthiswouldallocatethenecessaryfundingatthebeginningofthebudgetaryprocessratherthancoveringbudgetaryshortfallslateinthefiscalyear.
Mr.KopkoaskedMs.Lariveeiftheneteffectofchangingbudgetstyleswouldresultinanincreaseordecreaseinthetotalamountbudgeted.Ms.LariveerepliedthatwhencreatingtheFY2009budget,shereviewedthistypeofbudgetingwithTownoperatingexpenses.Theprojectednetaffectwouldhaveresultedinadecreaseinthetotaloperatingexpense.
Ms.RoggeveenaskediftheCommitteeshouldexpecttolookatthesameth informationpresentedtotheBoardofSelectmenattheirmeetingonAugust13 .Ms.Gibsonstatedthatmuchoftheinformationwouldbethesame,buttheBoardwouldbeprovidedwithmoredetail.Ms.GibsonalsosuggestedthattheBoardbegindiscussinghowitwillapproachreductionsinrevenueandtheoptionsavailabletoagenciesexperiencingreductionsinrevenue.Ms.Gibsonadvisedthatshebelievestherewillbe
Un pour Un
Permettre à tous d'accéder à la lecture
Pour chaque accès à la bibliothèque, YouScribe donne un accès à une personne dans le besoin