Committee Report - Finance - 6-25-19 — File 208499

Finance Committee Page 1 of 10 Printed 6/27/2019 June 25, 2019 REPORT OF THE FINANCE COMMITTEE MEETING AS A COMMITTEE OF THE WHOLE Attendee Name Title Status Arrived William A. White Jr. Chair Present Mary Jo Rossetti Vice Chair Present Matthew McLaughlin Ward One City Councilor Present Ben Ewen-Campen Ward Three City Councilor Present Katjana Ballantyne Ward Seven City Councilor Present Jefferson Thomas ("J.T.") Scott Ward Two City Councilor Present Jesse Clingan Ward Four City Councilor Present Mark Niedergang Ward Five City Councilor Present Lance L. Davis Ward Six City Councilor Present Stephanie Hirsch City Councilor At Large Present Wilfred N. Mbah City Councilor at Large Present Others present: Bryan Bishop - Veterans Services, Mike Mastrobuoni - SomerStat, Ed Bean - Finance, Candace Cooper - Personnel, Julie McKenzie - Law, Annie Connor - Legislative Liaison, Peter Forcellese - Legislative Clerk. The meeting took place in the Council Chamber and was called to order at 6:10 PM by Chairman White and adjourned at 12:10 AM. Proposed Budget Review - Veterans Services Veterans Services Mr. Bishop reviewed the FY-19 activities of the Veterans Services Department and presented his proposed FY-20 budget. The department is working on increasing its social media presence in order to reach more veterans. Mr. Bishop has been working with the Personnel Department to advocate for hiring veterans in the city. Councilor Ballantyne asked about the Veterans Day Parade and Mr. Bishop replied that there will be a Veterans Expo at Dilboy Field in November with various military displays and a parade in the stadium. Public Hearing on Fiscal Year 2020 Budget

Finance Committee Page 2 of 10 Printed 6/27/2019 Chairman White opened the Public Hearing to receive public input on the FY-20 proposed budget. There were 10 speakers, 7 of whom advocated for funding for VisionZero and the bicycle network plan. One resident stated that he felt disrespected by the city's administration in the way questions by members were responded to and by the absence of a way to measure the success of departmental goals. This resident also stated that he served on the Vision Zero Task force and that the report, mentioned on page 138 of the FY-20 budget book, does not exist since it was never completed. He asked that the committee do its job by 'finding the rot' in the proposed budget. Another resident urged the committee to make cuts, noting that there is plenty of room in the Communications Department to do so. The Public Hearing was closed. Executive Session to discuss items related to the FY-20 budget Chairman White asked if it was appropriate to enter into Executive Session to discuss: 1) the salary disparity between E-911 and Fire Alarm employees and 2) matters pertaining to the Animal Control Department. Assistant City Solicitor, Julie McKenzie, told the Chair that the conditions for entering into Executive Session were met, adding however, that it would not be appropriate to discuss personnel matters not listed on tonight's agenda. The committee voted unanimously, (11 in favor, none against), on a Roll Call vote to enter into Executive Session. 208323: Requesting approval of a transfer of $4,000 in the Police Animal Control Division, from the Professional & Technical Services Account to the Overtime Account, to cover projected overtime FY19 costs. RESULT: KEPT IN COMMITTEE 208336: Requesting an appropriation of $238,234,626 to fund the General Fund Operating Budget for FY2020. RESULT: KEPT IN COMMITTEE 208337: Requesting to appropriate or reserve $2,220,788 in estimated FY20 CPA revenue for CPA projects and expenses. RESULT: KEPT IN COMMITTEE 208338: Requesting an appropriation of $1,100,000 from Unreserved Fund Balance ("Free Cash") to reduce the FY2020 Tax Levy. RESULT: KEPT IN COMMITTEE 208339: Requesting acceptance of the provisions of MGL c44, s53F1/2 establishing an

Finance Committee Page 3 of 10 Printed 6/27/2019 Enterprise Fund for the Kennedy School Pool. RESULT: KEPT IN COMMITTEE 208340: Requesting the appropriation of $795,675 in order to fund the FY2020 Kennedy School Pool Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208341: Requesting an appropriation of $928,436 to fund the FY2020 Veterans Memorial & Founders Ice Rink Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208342: Requesting an appropriation of $35,115 from the Veterans Memorial Ice Rink Retained Earnings Account to subsidize the FY2020 Veterans Memorial Ice Rink Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208343: Requesting the appropriation of $225,739 to fund the FY2020 Dilboy Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208344: Requesting the appropriation of $55,739 from the Dilboy Enterprise Fund Retained Earnings Account to subsidize the FY2020 Dilboy Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208345: Requesting the appropriation of $375,705 for the FY2020 Cable Television PEG Access Fund Budget. RESULT: KEPT IN COMMITTEE 208346: Requesting the approval of FY2020 expenditure limitations for departmental Revolving Funds. RESULT: KEPT IN COMMITTEE 208348: That the City Council be provided with the employees’ names for each position listed in the FY20 Municipal Budget book, prior to the start of the June 6 Finance Committee meeting. RESULT: KEPT IN COMMITTEE

Finance Committee Page 4 of 10 Printed 6/27/2019 208397: Requesting approval to amend Ordinances 2-322 and 2-323 re: municipal salary ranges. RESULT: KEPT IN COMMITTEE 208398: Requesting an appropriation of $27,702,978 to fund the FY20 Sewer Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208399: Requesting the appropriation of $2,187,778 from the Sewer Enterprise Fund Retained Earnings Account to subsidize the FY20 Sewer Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208400: Requesting an appropriation of $15,536,453 to fund the FY20 Water Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208401: Requesting the appropriation of $1,391,805 from the Water Enterprise Fund Retained Earnings Account to subsidize the FY20 Water Enterprise Fund Budget. RESULT: KEPT IN COMMITTEE 208402: Requesting the appropriation of $1,800,000 from the Unreserved Fund Balance ("Free Cash") to the Salary and Wage Stabilization Fund. RESULT: KEPT IN COMMITTEE 208403: Requesting an appropriation of $1,573,539 from Unreserved Fund Balance ("Free Cash") to the Capital Projects Stabilization Fund. RESULT: KEPT IN COMMITTEE 208404: Requesting the appropriation of $1,000,000 from Unreserved Fund Balance ("Free Cash") to the Green Line Extension Stabilization Fund. RESULT: KEPT IN COMMITTEE 208405: Requesting the appropriation of $300,000 from the CPA FY20 Fund to the Somerville Museum for construction of an elevator. RESULT: KEPT IN COMMITTEE 208406: Requesting the appropriation of $122,000 from the CPA FY20 Fund open

Finance Committee Page 5 of 10 Printed 6/27/2019 space/recreational land reserve budget and the budgeted reserve to Marka for the creation of a public park on the former Powderhouse School site. RESULT: KEPT IN COMMITTEE 208407: Requesting a transfer of $1,138,103 from the Salary Contingency Salaries Account to the Salary & Wage Stabilization Fund. RESULT: KEPT IN COMMITTEE 208408: Requesting a transfer of $285,202 from the Health Insurance Fund to the DPW Snow Removal Account to mitigate the snow removal deficit. RESULT: KEPT IN COMMITTEE 208409: Requesting a transfer of $100,000 from the Health and Life Insurance Personal Services Account to the CPA Fund. RESULT: KEPT IN COMMITTEE 208410: Requesting approval of a transfer of $67,811 from the DPW Highway Ordinary Maintenance Account to the DPW Snow Removal Account to mitigate the Snow Removal Deficit. RESULT: KEPT IN COMMITTEE 208411: Requesting a transfer of $49,200 from the Transportation and Infrastructure Personal Services Account ($19,200) and Planning and Zoning Personal Services Account ($30,000) to the Transportation and Infrastructure Professional and Technical maintenance Account for year end engineering cleanup work at Conway Park. RESULT: KEPT IN COMMITTEE 208412: Requesting approval of a transfer of $43,000 from the DPW Fleet Division to the DPW Snow Removal Account to mitigate the snow removal deficit. RESULT: KEPT IN COMMITTEE 208413: Requesting a transfer of $40,000 from the Unemployment Compensation Insurance Account to the DPW Snow Removal Account to mitigate the Snow Removal Deficit. RESULT: KEPT IN COMMITTEE 208414: Requesting a transfer of $29,890.97 from the Office of Housing Stability Personal Services Account to the EPA Brownfields Program Income Account for Payment 2 of the

Finance Committee Page 6 of 10 Printed 6/27/2019 Conway Rink Loan. RESULT: KEPT IN COMMITTEE 208415: Requesting a transfer of $24,480 from the Capital Projects Personal Services Account to the Personnel Professional and Technical Services Account to hire a recruiter to find candidates for the Director of Capital Projects position. RESULT: KEPT IN COMMITTEE 208416: Requesting approval of a transfer of $17,500 within Worker's Compensation, from the Re-Employment Account to the Medical & Dental Services Account, to cover anticipated medical and dental expenses through the end of the fiscal year. RESULT: KEPT IN COMMITTEE 208417: Requesting a transfer of $13,549.50 from the Office of Housing Stability Personal Services Account to the SPCD Finance and Admin Personal Services Account to cover year end deficits related to mid-year staff transitions. RESULT: KEPT IN COMMITTEE 208418: Requesting approval of a transfer of $10,000 in the Office of Veterans' Services, from the Professional and Technical Services Account to the Salaries Account, to correct a salary deficit created by the retirement of staff and the payout of accrued time. RESULT: KEPT IN COMMITTEE 208419: Requesting a transfer of $3,846 from the Executive Administration Official Celebrations Account to the Fire Department Overtime Account to pay overtime related to the Memorial Day Celebrations. RESULT: KEPT IN COMMITTEE 208420: Requesting approval to pay a prior year invoice totaling $1,148.75 using available funds in the Planning and Zoning Ordinary Maintenance Account for the High School Parking Study. RESULT: KEPT IN COMMITTEE 208421: Requesting acceptance of a $95,000 grant with no new match required, from the MA Department of Health to the Health & Human Services Department for a Comprehensive School Health Grant, an annual award for 4 years. RESULT: KEPT IN COMMITTEE

Finance Committee Page 7 of 10 Printed 6/27/2019 208422: Requesting acceptance of a $34,240 grant with no new match required, from the Metro North Work Place Board to the Health and Human Services Department for summer youth employment. RESULT: KEPT IN COMMITTEE 208423: Requesting acceptance of a $5,000 donation from Somerville Roadrunners to the Veterans' Services Department for the 2019 Somerville Memorial Day Fireworks. RESULT: KEPT IN COMMITTEE 208424: Requesting approval to create the Memorial Bench Consolidated Gift fund and accept a payment to the Fund of $4,800 from the Somerville Garden Club. RESULT: KEPT IN COMMITTEE 208425: Requesting acceptance of a $1,232.56 grant with no new match required, from the Urban Areas Security Initiative to the Fire Department for overtime reimbursement for Operation Vigilant Guard. RESULT: KEPT IN COMMITTEE 208426: Requesting authorization to apply for the FY20 PARC Grant program for the Central Hill Playground. RESULT: KEPT IN COMMITTEE 208447: 9 residents submitting comments re: protected bike lanes. RESULT: KEPT IN COMMITTEE 208458: Requesting the approval of the conservation restriction for the 5 Palmer parcel as required by the Community Preservation Act. RESULT: KEPT IN COMMITTEE 208459: Requesting an appropriation of $660,847 from Water Retained Earnings to the Water/Sewer Stabilization Fund to fund needed capital projects. RESULT: KEPT IN COMMITTEE 208460: Conveying the June 2019 General Fund Capital Investment Plan. RESULT: KEPT IN COMMITTEE

Finance Committee Page 8 of 10 Printed 6/27/2019 Cuts and Vote Departmental Review and Budget Cuts: Mr. Bean addressed a question about the effects of cutting the bottom line of a department's budget by explaining and referencing an opinion rendered in 2004 by the MA Department of Revenue regarding a similar question by the City of Quincy. That opinion states that the City Council may only make cuts to line items, not the ‘bottom line’. Councilor Ballantyne noted that there are discrepancies between the figures in the budget book and the information provided online and she asked that any vacant positions be made known to the council during each department’s review. Assessing Councilor Rossetti referenced an earlier slide presentation indicating that the projected revenue from development at North Point would be $13 million over the next four years. Mr. Golden stated that the revenue in FY-19 was $1 million and is expected to be $1.6 million in FY-20, adding that he believes that over time, the revenue will hit $13 million mark. OSE Councilor Scott proposed a cut of $30,000 in the Ordinary Maintenance budget. Mr. Sellars- Garcia explained what initiatives would be affected by the cut. Councilors Davis, Niedergang, Ballantyne, Mbah and Ewen-Campen spoke in opposition to the cut. Personnel Several cuts amounts were proposed for line 530000 and Ms. Cooper said that any cut above $15,500 would limit the department’s ability to conduct various personnel/hiring processes. Due to the various amounts proposed for the same line item, the committee adopted a new procedural rule whereby the amounts would be considered in decreasing order, from the highest to the lowest. Councilor Scott moved to cut line 530000 by $100,000, since the overall OM line has been over budgeted historically by that amount. Councilor Rossetti stated that she would be recommending cuts at a lower amounts, however, she is comfortable with cutting that line by $75, 000. A motion to cut line 530000 by $100,000 was defeated on a roll call vote of 3 in favor (Councilors Clingan, Scott, McLaughlin) to 8 against (Councilors Ballantyne, Ewen-Campen, Davis, Niedergang, Rossetti, Mbah, Hirsch, White). A motion to cut line 530000 by $75,000 was approved on a voice vote with Councilor Hirsch voting NO. Treasury A motion to cut line 578012 by $15,000 was defeated on a voice vote. Councilor Ewen-Campen asked to be recorded as voting NO. A motion to cut line 578012 by $10,000 was approved on a voice vote. Councilor Ewen- Campen asked to be recorded as voting NO. Planning and Zoning Councilor McLaughlin proposed cutting line 530000 by $20,000 since most of the cost was

Finance Committee Page 9 of 10 Printed 6/27/2019 going to go to working on the SomerVision 2040 plan and he'd rather that the effort be expended on the current SomerVision plan. Councilor Ballantyne commented that she isn’t satisfied with the aspects of SomerVision that have been stalled. The motion to cut line 530000 by $20,000 was approved on a roll call vote of 6 in favor (Councilors Clingan, Ballantyne, Ewen-Campen, Scott, Rossetti, McLaughlin) to 5 against (Councilors Davis, Niedergang, Mbah, Hirsch and White). Housing Councilor Scott asked Mr. Feloney if there were plans to expand staff in the Housing Department so that progress could be made on a universal wait list. Mr. Feloney said progress has been made over time, adding that the department has been tasked to determine what, if any, additional staff is needed. Police Councilor McLaughlin was recused from discussion and voted regarding this department. Chief Fallon told the committee that one name will be put forward for promotion to captain and another vacancy for captain will remain vacant until September to allow time to review and revise conditions for the position. Presently, there are six vacant patrol positions. Councilor Scott pointed out that the city has been paying a lieutenant out of grade to cover a captain's position. He also stated that the names of the six patrol position appointees, being submitted to the City Council this week, do not match the names on the civil service list. Councilor Scott spoke about the length of time that multiple positions have been vacant and said that he would recommend cutting the salaries line item by the amount of the positions that have been vacant for a year. i.e., a reduction of approximately $600,000. Councilor Niedergang noted that crime was down and spoke about cutting a similar amount from salaries for positions that haven't been filled. The conversation began to shift into personnel matters regarding an individual and Solicitor Wright advised that the discussion, if it were to be continued, should take place in Executive Session. Councilor Scott pointed out that the administration is putting forth a name for promotion to lieutenant even though the position in not listed in the budget book. This conflicts with what Ms. Cooper said, i.e., that in order for a position to be funded, it must be listed in the budget book. Councilor Niedergang’s motion to cut line 511000 by $600,000 was defeated on a roll call vote of 2 in favor (Councilors Scott, Niedergang) to 8 against (Councilors Clingan, Ballantyne, Ewen- Campen, Davis, Rossetti, Mbah, Hirsch, White), and 1 absent (Councilor McLaughlin). Councilor Niedergang’s motion to cut line 511000 by $169,715 was approved on a roll call vote of 9 in favor (Councilors Clingan, Ballantyne, Ewen-Campen, Scott, Davis, Niedergang, Rossetti, Mbah, Hirsch) to 1 against (Councilor White), and 1 absent (Councilor McLaughlin). A motion to cut line 514007 by $50,000 was approved on a voice vote. Councilor Hirsch requested to be recorded as voting NO.

Finance Committee Page 10 of 10 Printed 6/27/2019 Animal Control Councilors Ewen-Campen and McLaughlin asked Ms. Cooper to explain the procedure that kicks in when a position's salary is eliminated. Ms. Cooper told the committee that in addition to a 30-day notice to the employee in the position being eliminated, bumping rights per collective bargaining agreement would commence, effectively eliminating an employee in a different department. Additionally, if the funds should be restored to the position, the original laid off employee would have the option of returning to the position. Councilor McLaughlin’s motion to table discussion on this department was approved. The complete list of cuts, to date, is attached. Attachment: FY-20 Budget Cuts through 6-25-19