Simsbury, CT - Board of Finance - March 11, 2008

The Board of Finance Public Hearing on the 2008/09 Capital Improvement Projects was called to order at 7:35 PM in the Simsbury High School Auditorium. The following members were present: Chairman/Moderator Paul Henault, Peter Askham, Candace Fitzpatrick, Nicholas Mason, Kevin North and Anita Mielert. Also present were Board of Education Chairman Jack Sennott, Board of Education Business Manager David Holden, Finance Director/Treasurer Kevin Kane, Superintendent of Schools Diane Ullman, Deputy First Selectman John Hampton and other interested parties.

Mr. Henault introduced himself, the members of the Board of Finance and all others who would be presenting the budgets and answering subsequent questions. He reviewed the Public Hearing agenda, the budget process, the role of the Board of Finance and the purpose of Public Hearings which are required by Town Charter.

Mr. Henault reviewed the Town capital requests, which totaled $5,675,000, and the Board of Education capital requests, which totaled $1,957,500 as well as their potential sources of funding, noting that these amounts may be adjusted as the process moves forward: $3,445,000 from bonding; $2,350,250 from reserves; $550,000 from state and federal grants; $450,000 from Sewer Use Fund reserves; $377,250 from school building grants; $260,000 from the Sewer Assessment Fund reserves; and $200,000 from the Eno Fund reserves.

Mr. Henault stated that the Board of Finance adopted a debt policy in 1989 that allows for 5%-7% of the General Fund budget to be used for debt service. This policy is not intended to prohibit major projects as are warranted and are approved by the voters, as evidenced by the high school project which has resulted in current debt service that slightly exceeds 7%.

* Laurel Hill/Gersten property purchase – located at the end of Church Street in Tariffville, the property has been on the open space priority list for over twenty years. There is a State grant in the amount of $350,000 towards the $720,000 purchase.

* Firetown/Barndoor Hills property purchase (part of the Meadowood settlement) – a fee simple purchase of 75 acres for $2,750,000 to be used as public open space. State grants would be possible and the purchase has been approved by the Planning Commission.

* Streetscape improvements for Route 10/167 (also known as the “Drake Hill Project”) – addresses traffic flow, safety improvements at the Drake Hill intersection and completion of the Greenway trail. Cost savings could result from doing the project at this time due to construction coordination with the associated State work, estimated to cost $1.8 million. Town cost would be $325,000.

* Water main extensions - $170,000 to extend water mains into neighborhoods such as Whitcomb Drive, The Glade, The Butterchurn and Wyngate. Aquarion Water Company will provide all future maintenance, operations and property tax payments; user fees will be utilized for recovery of many of the costs.

* Sewer main extensions - $260,000 to be provided by the Sewer Extension Fund which is fully paid for through benefited property assessments. Projects include Cornfield Road, High Hill Circle, and portions of Bushy Hill Road.

* HVAC/boiler replacements at Tariffville School and Henry James School – $700,000 for replacing equipment that is over 50 years old; upgrading heating and ventilation system, air conditioning and hot water upgrades so as to make the systems more energy efficient and improve the air quality in the indoor climate. Grant funds will be solicited and utilized as available.

* Tootin Hills roof replacement - $1,257,000 to replace a 22-year-old roof, less a state construction grant, for a net Town cost of just over $880,000. Work would begin in summer 2009.

Mr. Henault then gave an overview of the cost to the taxpayer for all the proposed projects as well as the amount to be bonded. Assuming a ten-year-bond rate, a 4.60% blended interest rate, a net taxable grand list of $2.5 billion, and a tax collection rate of 98%, and an average residence assessed at $259,000 (or a $370,000 market value), the funding of the debt service would cost the average resident $44 per year, or a $442 cumulative rate.

Mr. Henault reviewed the Town projects that have been authorized over the past ten years, totaling $124 million. He added that the Board’s philosophy of using ten-year bonds is so that, if you vote for a project, it is assumed you will also be around to pay for it.

Joan Coe, 26 Whitcomb Drive, was in favor of the Meadowood land purchase due to its value as a wildlife corridor connecting the McLean and Great Pond preserves and to protect a Town aquifer. She asked for additional reports regarding contamination on the property and questioned its valuation. She also wondered why boiler replacements are not included in renovations for a given school.

Chuck Howard, Terry’s Plain Road, stated that he is Vice President of the Simsbury Land Trust and that he concurred with Ms. Coe, adding that the Meadowood land must be purchased this year, or next year at a higher cost, as this is not an indefinite opportunity. He also supported the purchase of the Gersten property, noting that it is a critical parcel that protects the east ridge.

Dee Dee Ryerson, 98 Holcomb Street, strongly supported the Firetown/Barndoor Hills land purchase so that it can continue as a game refuge between Great Pond and McLean.

David Balboni, 13 Fox Den Road, stated that it is not the purpose of government to acquire all the land in Town; rather, such purchases should be undertaken with private sector funds such as the Land Trust. Therefore, he did not support the Culbro land purchase for the same reason that he did not support the Ethel Walker land purchase.

Emil Dahlquist, Chairman of the Simsbury Main Street Partnership’s Design Committee, strongly endorsed the efforts to renovate Eno Hall. He stated that Eno Hall was constructed at a time when public buildings represented what the people in the town felt about their town and that a building of that quality and design requires very specific attention to detail. He also noted that the project was strongly supported by the Design Review Board.

Tullio Gatti, Joshua Drive, stated that if the projected impact of the proposed capital projects on the average taxpayer was $44, then he supported the entire capital budget as submitted as many good projects are being proposed with minimal impact on the taxpayer.

Sarah Floroski, Executive Director of the Simsbury Main Street Partnership, supported both the Eno Hall and Streetscape projects. She noted that Eno Hall not only houses the Town’s Senior Center but also serves as the center of community life and is utilized by 43 groups for over 300 meetings per year and the Streetscape project improvements are very important to the vitality of the downtown area and business community.

Mr. Henault presented the timetable for the Board of Selectmen/Board of Education budgets, noting that the language must be approved by March 24^th in order to move forward to Town Meeting and then on to Town Referendum. By April 2^nd, legal notice must appear in the newspaper for the May 6^th Special Town Meeting, which is also part of the Regular Town Meeting. All items can be addressed at the Special Town Meeting with the exception of the Firetown/Barn Door Hill purchase, which must go to referendum due to its size.

Mr. Henault reminded those attending that there will be an additional Public Hearing for the operating budgets on April 1^st. Mr. Henault brought the Public Hearing to a close at 8:20 PM.