Committee Report - Finance - 6-6-11 — File 191571

June 6, 2011 Finance Committee Page 1 of 3 Printed 6/8/2011 REPORT OF THE FINANCE COMMITTEE Attendee Name Title Status Arrived Maryann M. Heuston Chair Present William A. White Jr. Vice Chair Present John M Connolly Alderman At Large Present Rebekah Gewirtz Ward Six Alderman Absent Thomas F. Taylor Ward Three Alderman Present Omar Boukili Administrative Assistant Present Stan Koty DPW Commissioner Present Peter K Forcellese DPW Finance Director Present Ginger Barrett Water Dept. Present Monica Lamboy Exec. Dir., OSPCD Present Robert May OSPCD Present Doug Willardson Finance Present Nancy Milnor Library Director Present Ed Bean CFO Present Arn Franzen OSPCD Present Thomas Pasquarello Chief of Police Present 191345 - Requesting the transfer of $43,838 from the Sanitation Recycling Acct. to the School Custodians Professional & Technical Services Acct. to fund the remaining portion of the AM/PM Cleaning Corp. contract.: Mr. Koty explained that this request is due to a complete oversight on the city’s part. The city had made a commitment to the contractor for 34 full time employees and 3 floater positions, however, only 2 floater positions were included in the FY-11 budget. The floater positions are used to hold down overtime costs for custodians. The city saved $500,000 by contracting the work out. RESULT: APPROVED 191380 - Transfer $32,000 from the DPW Sanitation/Recycling Acct. to the School Custodian Overtime Acct. to fund a projected deficit for the rest of the fiscal year.: See discussion of Item 191345, above.

Committee Meeting June 6, 2011 Finance Committee Page 2 of 3 Printed 6/8/2011 RESULT: APPROVED 191482 - Requesting an appropriation of $120,420 from the Unreserved Fund Balance (“Free Cash”) to pay in-the-line-of-duty medical bills in the Police Dept.: Police Chief Thomas Pasquarello explained what the request was for and Mr. Bean stated that state statute mandates that the City appropriate funds to cover medical costs. Several events over the course of the year necessitated the need for increased funds for this purpose. RESULT: APPROVED 191484 - Requesting the transfer of $122,000 in the Sewer Dept. from the Capital Improvements Acct. to the Professional and Technical Services Acct., for engineering for the East Broadway Improvements Project.: Ms. Barrett advised the members that the funds would be used for engineering costs associated with the East Broadway Improvements Project since the cost was not covered by the MWRA. The city needs to perform the actual work in order to be considered for MWRA funding. RESULT: APPROVED 191485 - Requesting the transfer of $100,000 in the Sewer Dept. from the Capital Improvements Acct. to the Professional and Technical Services Acct. to create a hydraulic model for existing flooding problems.: When completed, the report will provide the City with valuable information that can be used for future planning to deal with flooding in Union Square and to explore options beyond the city limits for a new stormwater outfall. RESULT: APPROVED 191486 - Requesting the transfer of $7,350 from the Highway Wages Acct. to the Engineering Salaries Acct. in order to fund it for the remainder of FY11.: RESULT: APPROVED 191488 - Requesting the use of FY11 funds to pay Mt. Auburn Hospital Employee Assistant Program FY10 invoices totaling $2889.67.: RESULT: APPROVED

Committee Meeting June 6, 2011 Finance Committee Page 3 of 3 Printed 6/8/2011 191541 - Requesting an appropriation of $298,220 and authorization to borrow $298,220 in a bond for the renovation of Morse-Kelley Park.: Mr. Franzen explained that $600,000 was set aside for this project and that the bids came in higher than anticipated. The city is receiving a grant of $384,000 towards the park and is looking to fund the balance of $298,220. The city used $600,000 from the Assembly Square mitigation fund to meet the state’s requirement of locking up the funds for the project, however, Mr. Bean told the members that the city and state are not in agreement with respect to the full appropriation of the project. RESULT: APPROVED 191542 - Requesting an appropriation of $169,720 and authorization to borrow $169,720 in a bond for the renovation of Dickerman Park.: RESULT: APPROVED 191543 - Requesting approval of the preliminary architectural design of a new public library in Union Square, authorization for the Library Board of Trustees to apply for a MA Public Library Construction Program grant, and approval to accept and expend the grant, contingent on the receipt of funding and the appropriation of matching funds.: Ms. Lamboy discussed an opportunity for the city to apply for grand funding to be used to evaluate the city’s library needs. A discussion followed about possibly locating a new library in Union Square, perhaps through a public/private partnership. The total cost would be $46.7 million with the city possibly being reimbursed up to $13 million. The city will be seeking $19.6 million by next year or, as an alternative, could be placed on a waiting list for the project. Chairman Heuston inquired if the city could downsize by eliminating the Traffic and Parking building and the City Hall Annex and possibly realize a revenue gain by their sale. Alderman White’s motion that the City Solicitor provide the Committee on Finance with a written communication regarding this item and the process involved for applying for grant funds, was approved. Chairman Heuston’s motion that the Chief Financial Officer and the Executive Director of the Office of Strategic Planning and Community Development create a business/financial plan on the matter of building a new library, detailing how revenues would be earmarked and providing a feasibility study and secure financial analysis to the Committee on Finance, within 90 days, was approved RESULT: APPROVED