1/30/2020 FINANCE COMMITTEE Minutes

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3 Finance Committee Minutes January 30, 2020 Rodney C Collins Town Manager—FY2021 Budget Discussions: Rodney C. Collins, Town Manager met with the Finance Committee for the purpose of initiating discussions relative to the FY2021 Budget. Mr. Collins expressed appreciation to the Finance Committee and to members who participated in the operating budget review as well as discussions regarding the capital improvement program. With regards to the operating budget there are no substantial reductions. Town Manager Rodney C. Collins indicated the budget was examined in a cooperative manner to meet the mission critical needs of the Town of Mashpee, its town departments and schools. Town Manager Rodney C. Collins re-affirmed his readiness to respond to specific questions that may arise regarding personnel and departmental costs. If required department heads would be scheduled to attend budget meetings to further review and discuss particular inquiries. There has been ongoing conversation with the Capital Improvement Program(CIP) Committee regarding the funding of wastewater. The Board of Selectmen at their January 27, 2020 meeting voted to place an article on the warrant to collectively authorize the borrowing of funds for the design of the wastewater facilities. The authorization of$2.4 million requires a 2/3`d's vote at Town Meeting as well as a 2/3rds voted ballot question at the Annual Town Election. It was noted the Finance Committee was invited to attend the Board of Selectmen's Meeting on February 10, 2020 to review the Town Manager's presentation of the FY2021 Budget. With regards to the FY2021 Budget book distributed to Finance Committee members in December, it was indicated that adjustments to the budget will be reflected in the report on February 10, 2020. There may be variations as not all departmental requests have been supported. Adjustments may also reflect retirements and new hires. A majority of the budget consists of personnel related costs, and through the ongoing collective bargaining process, figures are modified. In general, significant expenses are driven by Police, Fire and DPW Departments. A certain amount of Funds Available for Appropriation or Free Cash is earmarked for the contracts anticipated to be presented to the voters at the May Town Meeting. At the last meeting, the Finance Committee discussed the turn-back of departmental funds. At the end of a fiscal year, the excess is returned to the General Fund to be used for the offset of other expenditures. Encumbrances may appear to be more, but it is important to note that unanticipated expenditures such as repairs or operational expenditures may require funding. If warranted, additional funds may be transferred at the end of the year or funds may be authorized through a transfer from the Reserve Fund. It was noted that recently, the Library boiler failed. The unanticipated expenditure was funded from the Facilities Maintenance Account. The Town cannot over-spend other than within the Snow&Ice Account.