02/07/2019 FINANCE COMMITTEE Minutes

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3 Finance Committee Minutes February 7, 2019 APPOINTMENTS & HEARINGS Town Manager—FY2020 Omnibus Budget Review/Capital Improvement Program: (continued) With the latest results of the budget reduction, Town Manager Rodney C. Collins indicated the Chairman of the Board of Selectmen requested the new information be presented to the Finance Committee in advance of the Selectmen's Meeting on February 11, 2019. Final figures have been received for the Cape Cod Technical School and for Medical Insurance. The Cape Cod Technical School assessment was initially estimated at $1,131,935. With a reduction of 4 students in the program,the actual calculation for the Town of Mashpee is $1,037,767. Medical Insurance was anticipated to rise by 15% or $9,116,950. Final tabulations are reflective of a 0% increase or $8,062,572 in costs which represents a reduction of-3.85% or $1 million in savings. With actual figures,the projected 6.2% budget increase has been reduced to 4.25% or $60,898,244. With budgetary increases including debt exclusions for the Quashnet School construction project and the Cape Cod Technical School new construction,the average homeowner is expected to contribute less than $20 per year to maintain a level service budget in 2020. It was explained the majority of the operating budget is attributed to costs associated to personnel, wages and benefits. The budget as presented by the Town Manager is consistent to ensure the collective bargaining units including PAP are within the median with other Cape Cod communities. The FY20 budget also includes the restoration of needed public safety positions previously authorized and budgeted. This initiative does not create new positions. The budget does include an increase in the hours of a Department of Natural Resources employee from 32 to 40 hours per week. Benefits have already been budgeted with this position. It was noted the Sewer Commission requested an expense budget of$35,200 to include $25,000 for value engineering. Although the budget request is reduced by -71.02%, the increase is reflected in the Selectmen's Legal, Engineering& Consulting line item. Additional costs in the Legal, Engineering& Consulting budget of$385,000 will support additional legal costs associated to Washington, DC attorneys advocating on behalf of the Town of Mashpee.