Board of Finance

Approved by the Board of Finance May 20, 2025 MINUTES Vote: Unanimous Vol. 7. Page 449 BOARD OF FINANCE REGULAR MEETING CITY HALL AUDITORIUM / ZOOM April 15, 2025 A REGULAR MEETING of the Board of Finance was held on Tuesday, April 15, 2025. Attendance was in person and by Zoom. Present at City Hall were Mayor Elinor Carbone, Comptroller Olivia DeRosa, Deputy Comptroller and Manager of Budgets and Planning Erika Johnson, Treasurer Dan Farley, and Board of Finance Members Deborah Iannacito, Laurene Pesce, and Wendy Traub, Board of Education Interim Director of Finance Donnae Labbe, and Board of Education Facilities Manager Dean Pergola. Board of Finance Member Chris Beyus participated via Zoom. Board of Finance Members Christopher Anderson and James Wright were absent. Mayor Carbone called the meeting to order at 5:04 p.m., beginning with the Pledge of Allegiance. OPEN TO THE PUBLIC On a motion by Mrs. Traub, seconded by Mrs. Pesce, the Board voted unanimously to open the meeting to the public. No one from the public wished to speak. APPROVE MEETING MINUTES On a motion by Mrs. Traub, seconded by Mrs. Pesce, the Board voted to accept the Regular Meeting Minutes of February 18, 2025. Mrs. Pesce abstained. BOARD OF EDUCATION – CAPITAL RESERVE FUND REQUEST On a motion by Mrs. Traub, seconded by Mrs. Pesce, the Board voted unanimously to authorize the use of $50,131.18 from the Board of Education Capital Reserve Fund for the purchase of an AT450 Tractor Bobcat. Mayor Carbone informed the Board that Mrs. Traub had requested a reconciled report for the Board of Education (BOE) Capital Fund, which Mrs. Labbe provided. Mr. Beyus asked for clarification on the purchase of equipment. Mr. Pergola explained it was for the new high school and middle school to assist with sidewalk clearing. He noted that the current equipment is old and frequently needs repairs. Mr. Beyus asked what equipment was currently being used. Mr. Pergola responded that they use a Kubota and plan to replace it with a Bobcat, which is very similar. Mr. Beyus questioned whether other higher-priority projects should take precedence over this purchase. He expressed concern that the BOE has delayed Capital projects in the past, leading to increased costs. Mr. Pergola emphasized that the equipment is a high priority because it helps avoid school closures. He mentioned that a supplier allowed them to borrow a machine this past winter. Mr. Beyus asked if they had considered renting instead of purchasing and whether the equipment would be used year-round. Mr. Pergola confirmed it would be, noting that it includes sweeping functions and other features. Mrs. Traub agreed with Mr. Beyus in principle but stated that the BOE should determine its project priorities. She reviewed past budgets and confirmed that equipment purchases have historically been included. She added that the equipment would be useful since the contractor only plows parking lots. Mr. Beyus then asked if the BOE had followed the bid process and whether the machine included all required parts. Mr. Pergola confirmed that it had, and all necessary components were included. CITY PERFORMANCE REPORTS On a motion by Mrs. Iannacito, seconded by Mr. Beyus, the Board voted unanimously to accept the Performance Reports for the City for the current fiscal year through March 31, 2025. BOARD OF EDUCATION REPORTS On a motion by Mrs. Pesce, seconded by Mrs. Traub, the Board voted unanimously to accept the Board of Education Budget Performance Reports for the current fiscal year through March 31, 2025. Mrs. Traub asked if there were any updates on the quarterly teacher bonus for perfect attendance. Mayor Carbone said there was none. Mrs. Traub said she will request a summary once the fiscal year concludes. Mayor Carbone told the Board they have a budget meeting in a few weeks, and they could ask then. She said the bonuses are to keep the teachers in front of the students, and not to reduce the substitutes. Mrs. Iannacito stated the long-term sub-line is overspent. Mrs. Traub added that the health insurance, because it's new this year, is yet to be seen how it will be budgeted. Mayor Carbone told the Board she received a letter from the BOE Co-Chairs regarding the Internal Service Fund. She told them there had been so much activity in that account, they wouldn’t have been able to do a full report in January because claims were still coming in. Mayor Carbone said the claims have slowed down considerably, so she is ready to have a meeting with the Board of Finance, Council and Board of Education to report on the Internal Service Fund. BUSINESS BY DEPARTMENT HEADS On a motion by Mrs. Traub, seconded by Mrs. Pesce, the Board voted unanimously to consider business by department heads. Treasurer Dan Farley reported to the Board that under the Small Cities program, $91,000 has been approved for current projects. An additional $98,000 in assets from deceased individuals will be returned to the City for future use. The total current assets stand at $2,688,580.73. Mr. Farley informed the Board that the Capital Tax Recovery (CTR) program identified 230 out-of-state vehicles, resulting in $126,653.60 in collections, with $62,161.46 paid to CTR for their services. He also discussed projected interest income for FY 25/26, noting that a  MINUTES Vol. 7. Page 450 BOARD OF FINANCE REGULAR MEETING CITY HALL AUDITORIUM / ZOOM April 15, 2025 recent analysis showed the City will be earning roughly 84% of available interest, leading to an estimated net loss of $800,000 to $900,000. He added that the Federal Reserve plans to cut interest rates three times, each by 0.25 basis points. Mrs. Pesce is very pleased with the bond sales. Comptroller Olivia DeRosa said the Assistant Deputy started, and they are gearing up for the last quarter. Deputy Comptroller and Manager of Budgets and Planning Erika Johnson reported that there wasn’t much to update budget-wise. Another budget subcommittee meeting is scheduled, during which they will review revenues. Mayor Carbone noted growing concerns about revenue projections. Due to adjustments in the Grand List, there is little to no new revenue. She said it will be challenging to address the resulting budget gaps and anticipate difficult public discussions ahead. Mayor Carbone said tough decisions will need to be made regarding the spending plan, particularly how to balance the loss of revenue and the potential impact on real estate taxes. She expressed appreciation for the Finance team’s support. Mr. Beyus left at 5:25 p.m. Mayor Carbone asked Mr. Farley for a brief update on cannabis revenue. Mr. Farley reported that one of the cannabis retailers in town is closing three of its other locations elsewhere in the state. He noted that the business had been delinquent on payments and required two follow-ups. He expects a clearer picture of cannabis revenues by the end of next month. Mayor Carbone emphasized that every budget line item is under scrutiny. Mrs. Pesce commented that some towns are staggering their property revaluations. Mayor Carbone said she had already contacted the Assessor about that possibility. The Assessor explained that staggering revaluations rarely offset the impact and may cause ongoing increases, requiring annual revaluations. Still, all options remain under consideration. Mrs. Traub added that with ongoing changes at the federal level, taxpayers will likely need to absorb any resulting shortfalls in the State revenue. She urged everyone to stay informed, attend meetings, and prepare for a difficult budget season. BUSINESS BY MAYOR & MEMBERS On a motion by Mrs. Traub, seconded by Mrs. Iannacito, the Board voted unanimously to consider business by the Mayor and members of the Board of Finance. Mrs. Iannacito said she will try to be here as much as possible for the upcoming budget meetings. Mrs. Traub said the new Torringford sidewalks are peeling and falling apart. She would like to know what the contractor is going to do for these repairs. Mrs. Pesce asked whether the Migeon Avenue facility would be listed for sale. Mayor Carbone responded that the City Council had directed her to move forward with listing the property. The Economic Development team recommended issuing an RFQ to gauge developer interest, proposed uses, and potential purchase offers. Mayor Carbone provided an update on the Yankee Pedlar, stating that the Torrington Development Corporation is preparing a petition to present a development proposal to the Court. ADJOURNMENT On a motion by Mrs. Traub, seconded by Mrs. Iannacito, the Board voted unanimously to adjourn at 5:41 p.m. Respectfully submitted by ATTEST: Heather Abraham, Asst. City Clerk CAROL L. ANDERSON, CITY CLERK CAROL L. ANDERSON, CITY CLERK