Minutes - Monday 23 May 2016Special Meeting - Beverly City Council, Beverly, MA
MINUTES - Monday, May 23, 2016 @ 7:00 PM
Beverly City Hall, 191 Cabot Street, 3r Floor, Council Chamber
Called to Order @ 7:02 PM
Roll Call: John P. Frates Jr., Scott D. Houseman -Vice President, David J. Lang, James F.
Latter, Donald G. Martin, Estelle M. Rand, Matthew J. St.Hilaire, Jason C. Silva, Paul M. Guanci-
President.
Pledge of Allegiance to the Flag: Councilor Silva
The Council President requested a Moment of Silence for Mr. Clark A. Young, Parking
Enforcement Officer (retired)
Public Speakers: None
Resolutions: None
Presentations, Awards and Memorials: None
Acceptance of Minutes of Previous Meeting: None
Public Hearings: None
Communications from His Honor the Mayor:
#121
May 23, 2016
Budget Message
Dear Honorable Council:
Good evening City Councilors and members of the public. I am pleased to stand before you this
evening to present the administration's proposed Fiscal Year 2017 operating budget. We have
been extremely mindful of our commitments over the past few years to ensure that the City's
economic health continues to improve. We have limited our ongoing budgetary commitments by
limiting growth in staffing and by appropriating reserves for projects rather than borrowing long
term. In addition over the past two and a half years we have increased the city's stabilization
reserve from $1 M to $6,750,928, all of this along with sound budgetary practices and
management policies have allowed the city to maintain a strong credit rating which translates to
less borrowing cost to the taxpayer. With significant borrowing to come for the middle school
project, it is imperative that we continue to implement financially mindful decisions. Tonight, I
present a fiscally responsible budget with a continued commitment to deliver city services and
make needed infrastructure improvements in a sustainable way.
This year's budget proposal represents a 3.9% increase or $4,461,479 over last year's budget
recommendations. Increases in city and retiree health care costs of $1,587,666, an increase to
the school budget of $1,683,985, an anticipated increase in collective bargaining costs of
$950,000 and increased pension obligations of $436,565 total $4,658,216, necessitating
reductions elsewhere in the budget in addition to the increases proposed.
To support these budgetary increases, we have looked hard at departmental operations and
costs to make them more cost effective and efficient. We have gone on line with our permitting
process, restructured our liability and property insurance to generate over $100,000 in annual
savings, and recently signed a new 5 year contract with our recycling and trash disposal provider
that is expected to generate over $200,000 in annual savings.
For the third straight year we proposed a continued commitment to road and sidewalk
improvements. $1.4M of City funds in addition to the anticipated $1.OM in chapter 90 funds. Also
we propose to continue our investment in capital needs by committing funds to equipment
purchases for the Department of Public Services, our public safety departments and others. We
propose to continue our commitment to water and sewer infrastructure improvements while
limiting the rate increase to the lowest in over a decade at 1.8 %.
1:
This year, we propose to build upon the great success of last summer's first Summer Learning
Initiative by including money in our budget to help fund the program whose total budget is
projected at $120,000. Last summer, 60 incoming first graders made outstanding gains in
literacy, as evidence by the school district's best September first grade literacy test scores in
years.
This summer, we propose to double the program by offering spaces to 60 incoming first graders
and 60 incoming second graders. While last year, the complete budget of nearly $60,000 was
raised through donations by local partners and through grants, we recognize the need for the city
to invest now in the program as well. This show of commitment and good faith by the city helps
as we broaden our base of local corporate and non - profit partners and grantors, particularly as
we ask our founding partners from 2015 to increase their commitment this year.
We propose that the city fund roughly 15% of the total cost of this incredibly valuable program,
one that will give our youngest students a better shot at grade level literacy by the beginning of
third grade, a critical benchmark of long term success in school.
The proposed budget also includes estimated costs related to permanently borrowing $25M for
middle school project nearly a year earlier than previously planned. Although this strategy
increases our annual operating costs for the first few years, we expect that taking advantage of
current market rates will save tax payers millions of dollars over the 28 year term of borrowing.
The budget before you this evening maintains our staffing levels without our public safety
departments. Currently the city has four firefighters that are paid from a grant which will be
expiring during the fall of 2016. The first department is at a staffing level that we want to maintain
a commitment to. As a result we have included the funding for those firefighters for the remainder
of the fiscal year and we will be mindful of our ability to do so in future budgets.
Lastly, Councilors, I am grateful for your collaboration and tireless effort to make Beverly better.
Collectively we are doing great things and I look forward to continuing our efforts in the year
ahead.
Sincerely yours,
Michael P. Cahill, Mayor
Referred to Finance & Propert
Communications from other City Officers & Boards: None
#121A — Motion to Accept a Late File — Approved — Vote: 9 -0
Request from Councilor Latter to Set a Public Hearing on the FY2017 Budget on
Monday, 13 June 2016 @ 7:00 PM
Order Read Once & Adopted — Vote: 9 -0
#122 — Motion to Accept a Late File — Approved — Vote: 9 -0
Request from Councilor Lang to Set a Public Hearing on an Application from
National Grid re: 1 SO Pole on Essex Street on Monday, 6 June 2016 @ 7:20
PM
Received and Placed on File — Vote: 9 -0
Communications, Applications & Petitions: None
Unfinished Business: None
Final Passage: None
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Reports of Committees:
#110
The Committee on Legal Affairs, to whom was referred the matter of Communication — Mayor re:
Appointment of Mr. Chris Gajeski, 8 -1/2 Vine Street to the Conservation Commission, have
considered said matter and beg leave to report as follows:
Recommend the Council approve the Appointment:
Discussion ensued concerning Mr. Gajeski's residency and whether the Council could grant a waiver
of residency for an appointee who does not currently live in Beverly.
Councilor Martin entered a "Hold" on the measure until the matter of Mr. Gajeski's residency
can be resolved.
#119
The Committee on Legal Affairs, to whom was referred the matter of LATE File — Council Vice
President Houseman re: Temporary Building Re -Use Committee, have considered said matter and
beg leave to report as follows:
Receive and Place on File
Order Read Once & Adonted- Vote: 9 -0.
Motions and Orders: None
Meeting Adjourned: 7:20 PM Attest: D. Wesley Slate, Jr.
City Clerk
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