City Council - Finance Committee

CITY OF EASTHAMPTON OFFICE OF THE CITY COUNCIL Easthampton Municipal Building 50 Payson Ave., Ste. 100 Easthampton, Massachusetts 01027-2260 Telephone #: (413) 529-1460 06/10/2020 MINUTES FINANCE Meeting 06/10/2020 Attendees: FINANCE Committee Members: Councilor Dan Rist, Chair Councilor Peg Conniff Councilor Bill Lynch, Clerk Other Attendees: Nicole LaChapelle, Mayor Homar Gomez, City Councilor - Precinct 2 Jen Gallant, City Treasurer Val Bernier, Auditor JP Kwiecinski, Councilor Tom Peake, Councilor Jackie Brousseau-Pereira - Fair and Affordable Housing Partnership Ken Iavecchia - Fair and Affordable Housing Partnership Jamie Webb - Assistant City Planner Meeting called to order at 5:30pm. The meeting was videotaped. No minutes to approve. Mayor Communications: Announced a flag retirement ceremony behind American Legion on Flag Day. NEW BUSINESS: 1. Interdepartmental Transfer: • $50,954.74 to fund the Firefighter’s contract for remainder of FY ’20. Questions to Bob Dickson/HR from City Councilors:  Councilor Rist: When was contract signed? March, 2020 Bob Dickson started in Easthampton employment on February 2, 2020 Confirmation of actual amounts: 5.0% increase starting on 7/1/2019 (1.5%); 7/1/2020 (1.5%); 7/1/2021(1.5%) plus 7/1/2022 (0.5%) Councilor Conniff: Why does spreadsheet say $52,706.62 but request is for above. Why? Jen Gallant said that the difference is for Chief and Deputy Chief and not part of the appropriation. OT line is significantly higher than original budget for FY20. This is due to incorrect numbers and once Safer Grant firefighters are fully on board in 2021 the OT should go down. Councilor Lynch: Question around educational incentive. Appears to be more than 5% (about 5.44%) Jen Gallant stated that this is based on the level of degree and credit earned. Councilor Conniff: Educational Incentive, the amount budgeted was reduced in FY 2020 per Chief Mottor. What is the % based off of? Original amount or revised down- ward amount? Associates degree went from 9% to 12%, Masters degree - there are none; Bachelors degree was 18% to 24%. Overall its .20 per credit X salary. Caps on credits annually? No limit. Fire Department comments: Mike Greany: Educational incentives are capped at 120. As these credits are achieved, you receive .2/credit * salary per pay period. Not all are eligible for credit incentives because you can either opt in for credits or opt for longevity. Auditor/Val Bernier: 120 credits = 124% of salary 29 credits = 105.8% of salary Prior it was 18%. Councilor Conniff stated that the difference between 29 credits and 120 credits is actually 37% from a dollar perspective. Val responded that her numbers include step increases of 1.5%. Mayor: The Mayor put this contract forward in good faith. Councilor Discussion: Councilor Rist: Is not supportive of this appropriation as a result of the COVID-19 pandemic. Councilor Conniff: Timing is unfortunate and given the degree of the cuts for other de- partments this is a big number and may not be able to be supported. Councilor Lynch: What are the implications of a non-approval? The union will go back to the bargaining table. Councilor Peake: What is the suggested path if there are budget constraints down the line. Jen Gallant commented that the entire budget will be looked at if positions need to be cut. 2. Supplemental Appropriation: • $116,694.99 to fund the Firefighter’s contract for FY ’21 Motion to approve $50,954.74 to provide funds for the rest of the fiscal year 2020 to provide for the union contract. Motion Conniff, Second, Lynch. Mo- tion fails. 0-3 Motion to approve $166,964.99 to fund FY 2021 Fire fighter contract. Motion Conniff, Second Lynch. Motion fails, 0-3 • $300,000 from CPA funds for short-term emergency rental assistance This appropriation will allow for rent relief during the COVID-19 pandemic. There will be an outside administrator who will be managing this process. Once appropriation is in place, an RFP will be placed for organizations to bid for ad- ministration of these funds. Target those 50-100% below median income level Income verification will be needed. If there are a lot of applicants, there will be a lottery. No cap to a landlord. Program will be available until funds are exhaust- ed. How did the various levels of help be determined? We modeled it after the Amherst program. These are guidelines and not strict requirements. Motion to approve $300,000 appropriation from CPA for short term rental as- sistance. Motion Conniff, Second Lynch. Motion passes, 3-0. • $36,000.00 from CPA funds to update Open Space & Recreation Plan. There are a number of plans from the 2012 plan that need to be revisited. There will be a survey going out to everyone in the city to understand what the needs and wants are in 2020. Motion to approve $36,000 appropriation from CPA to update Open Space & Recreation Plan. Motion Conniff, Second Lynch. Motion passes, 3-0. OLD BUSINESS: 1. Review of proposed FY 2021 budget Exemption: 2. Review of Salaries and Stipends per Charter 2-4 (a): 3. Proposal to accept MGL Chapter 44B, Section 3(e)(1) - CPA tax exemption Update from Councilor Kwiecinski: The exemption will be for seniors in low/moderate in- come homeowners or lo income homeowners. In Easthampton, there will likely be a savings of $88/year. This will need to be approved by Attorney and sent to Secretary of State by 8/1/2020 in order to be placed on the ballot. This exemption would not impact any other tax- payers or homeowners. It would impact the CPA budget but not in a material way.  Motion to approve MGL Chapter 44B, Sec 3(e)(1) - CPA Tax Exemption. Motion Conniff, Second Lynch. Motion passes, 3-0 Motion to adjourn by Councilor Conniff, second by Councilor Lynch 3-0. Next Meeting on 6/24/2020 at 5:30pm.