Committee Report - Finance - 6-1-20 — File 210255

Finance Committee Page 1 of 2 Printed 6/3/2020 June 1, 2020 REPORT OF THE FINANCE COMMITTEE Attendee Name Title Status Arrived Jefferson Thomas ("J.T.") Scott Chair Present Katjana Ballantyne Vice Chair Present William A. White Jr. City Councilor At Large Present Mary Jo Rossetti City Councilor at Large Present Wilfred N. Mbah City Councilor at Large Present Others present: Annie Connor-Mayor’s Office The meeting was held virtually and was called to order at 8:00 p.m. by Chairperson Scott and adjourned at 8:35 p.m. All items 1-5 were discussed together. There were no updates from the Mayor, nor were there any budget staff members present for tonight’s meeting. 201740: Proposing an ordinance relative to a mid-fiscal year report of municipal finances, with next-fiscal year budget projections. See item #209789 RESULT: KEPT IN COMMITTEE 209789: That this Council's Committee on Finance discuss the peoples' budget and priorities for FY21. The chair asked Councilor White to give a summary of the email that was sent to the committee members and others in response to budgetary questions. The email stated for this year, the Mayor must submit the annual budget for FY2021 no later than June 24th. Additionally, the 45- day deadline clock starts on the date the Annual Budget is submitted to the City Council. Should the consensus not be reached and the FY21 Budget not be approved by June 30th, city services would be interrupted with no legal appropriation in place. The chair asked the finance committee members to share their thoughts about the budget and process. Councilor Rossetti expressed concerns about the limited time to review the FY21 budget. She inquired about the School Committee’s budget and if there were going to be any cuts. Ms. Connor stated she could not speak for the school committee and the city is trying to

Finance Committee Page 2 of 2 Printed 6/3/2020 put together the budget without any cuts. Councilor Rossetti stated she had talked to a few school committee members and there are too many unknown for the upcoming budget. Councilor White stated he had heard that the school superintendent had submitted their budget without any cuts. It was suggested that the chair or someone from the finance committee reach out to the school superintendent. Councilor Ballantyne also stated she had spoken with a couple of school committee members and there are no cuts in personnel. Councilor Mbah asked questions about the budget timeline. Additionally, he asked for an updated report of the city’s Stabilization Fund. Councilor White commented that if the city submits a 1/12-month budget, they cannot enter into any contracts longer than one month. Additionally, state law states that the city auditor must certify funds are available prior to engaging into any contracts. The committee requested to have answers to their questions prior to the next finance meeting. Councilor Rossetti asked Ms. Connor if there had been a meeting with the city council president and finance chair on FY21 budget. All members of the committee stated that a public hearing is required before voting on the FY21 budget. Chair Scott would like to give 10-14 days’ notice for public hearing. Ms. Connor will speak with Mr. Bean to provide a verbal response to questions asked tonight by the finance committee. RESULT: KEPT IN COMMITTEE 210035: That the Director of Finance update this Council on all money received to date related to the COVID-19 situation. See item #209789 RESULT: KEPT IN COMMITTEE 210036: That the Director of Finance update this Council on all expenditures, encumbrances and anticipated expenses to date related to the COVID-19 situation. See item #209789 RESULT: KEPT IN COMMITTEE 210117: That the Director of Finance provide a written rolling cash flow analysis every 2 weeks during this COVID-19 emergency and include forecasts to ensure sufficient operating liquidity by estimating the available cash deposits, expected inflows, and required disbursements. See item #209789 RESULT: KEPT IN COMMITTEE