SMITHFIELD TOWN COUNCIL
BUDGET WORK SESSION
SMITHFIELD TOWN HALL
TUESDAY, JULY 7, 2020
AT 5:00 P.M.
Present: Town Council President Suzanna L. Alba
Town Council Vice-President T. Michael Lawton
Town Council Member Dina T. Cerra
Town Council Member Sean M. Kilduff
Town Council Member Maxine A. Cavanagh
Town Manager Randy R. Rossi
Town Solicitor Anthony Gallone, Esq.
Town Clerk Carol A. Aquilante
Council President Alba calls the Tuesday, July 7, 2020 Smithfield Town Council Work Session to order at 5:00 p.m.
Town Council President Alba offers a prayer.
Town Council President Alba conducts a salute to the flag.
The following is the opening remarks of Council President Alba:
This year and the budget process has been one of the most challenging in recent history. We are grateful for all the hard work from the Directors and Managers who have continued to work hard through this year’s budget process with a focus on minimizing the impact to taxpayers while working to maintain quality levels of service. A major component that helped in creating the fiscal year 2021 budget was the willingness of our bargaining units and town-wide staff for accepting concessions and pay freezes for the upcoming year. This budget is a true reflection on the community as a whole coming together to help everyone through a difficult time.
This funding proposal incorporates NO TAX RATE INCREASE while phasing in the veteran’s tax exemption from $8,000 to $10,000. From an expenditure standpoint the increase in Municipal Funding of $967,613 is due primarily to changes in reporting for enterprise fund expenditures, increased pension contributions and benefit cost. The balance of the increase is associated with the increase in debt service payments ($653,880) for the Elementary School Reconfiguration Project and capital improvements which includes the replacement of the Esmond Mill Bridge and the town-wide Street Light Replacement Program.
Revenues projections for the Fiscal Year 2021 budget were very difficult due to the impact of the COVID-19 Pandemic, but by using a combination of the Governor’s budget and various revenue models we were able to develop a conservative plan without adding any additional burden to the taxpayers.
A community needs to seek and develop innovative ideas for strategic planning and business forecasting. New ideas for consideration and possible adoption need to be at the forefront of a viable municipal and school system. One example of this is the implementation of the town-wide Street Light Replacement program. This program will convert all of the street lights in Town to LED lights providing more efficient lighting and will significantly reduce the Town’s annual street lighting costs.
Major municipal highlights of the Fiscal Year 2020-2021 budget include the following:
· NO TAX RATE INCREASE!
· Debt Service increased by $653,800.
· Level Funding of Town’s Appropriation to the School Department’s Budget
· Board of Canvassers increased by $32,000 due to account for the upcoming primary and general election.
· Post-Employment Benefits Trust Contribution is being maintained at $250,000.
· Veteran’s Tax Exemption increasing from $8,000 to $10,000.
1. Discuss Departmental Budget Requests for Fiscal Year 2020-2021.
Randy Rossi, Town Manager and the Smithfield Town Council members, review “Town of Smithfield General Fund – Expenditures – Summary by Department – FY 2020 Appropriation to FY 2021 Requested” as of July 7, 2020. Town Manager Rossi explains that the budget was put together so as not to go back to our tax payers once again for an increase in taxes. We understand how difficult this time as been for everyone and continues to be to the residents of Smithfield. Town Manager Rossi further explains that the main part of the budget is that all of the level of services will be maintained. Road improvements, drainage projects and infrastructure needs, numerous capital projects requirements on the bonding aspect minimizing the amount were are looking at issuing the debt in the September time frame. Many things came down to every single director and manager to help get their budgets to a point of not having a tax increase.
Town Manager Rossi states that the Town Council members are welcome to ask any questions of the directors that in attendance this evening.
Council member Killduff refers to Exhibit – C – Page 3 – Departmental Revenue. Council member Killduff asks about the increase in the Enterprise Fund – Sewer and Water. Town Manager Rossi explains that there are certain components that are rolling up and they had to change the way the reporting for the Enterprise Fund. The additional revenue coming through as well for sewer and water were from different studies about developing the rates and the indirect cost sharing for those two entities. There is an increase on the expenditure side as well as the revenue side.
Council member Killduff also asks what year were are into the grant.
Chief Robert Seltzer replies that we are in year two (2) of the grant.
Council member Cavanagh asks about number eleven (11), were is the payment to the Town of Lincoln for the animal shelter.
Town Manager Rossi replies that it is in the maintenance line item in the roll-up. In the detail budget item #562 building maintenance and supplies for $13,000 (Tri-Community Animal Shelter).
Council member Cavanagh also asks about grant money is available for COVID-19.
Todd Manni, EMA Director explains that he is in the process of monitoring grant through FEMA with relation to the COVID-19 virus.
Council member Cavanagh asks about the legislation help with the sidewalks for the children during the school year.
Judy Paolucci, School Superintendent states that she is not sure about future legislation for sidewalks, however, she will be applying for the Walk Zone. Many families were being picked at the Walk Zone by the bus company this year, but, the new contract will not allow it. She further states that she will be looking for volunteers to help with the students during the year when walking to school.
Council member Cavanagh asks Town Manager Rossi to request the Town’s grant writer to research any further grants for a children’s Walk Zone to school.
Council member Killduff asks if there was a savings from last year’s transportation budget.
Superintendent Paolucci explains that although they spent less money this year on transportation, there is an increase in next year’s bus contract.
Rose Marie Cipriano, School Committee Chair, states that although we saved money on transportation, they were still under contract with the bus company and had to pay 50%. She would not want people mislead that there a great amount of money saved.
Council member Cavanagh asks was the contract reads for this year.
Superintendent Paolucci states that it was an overall 7% increase in transportation with fewer days of 180 will be a cost of 50%. Currently working on reduced capacity on the buses in order not to add another bus run.
Council President Alba asks Town Manager Rossi to discuss the commercial real estate in Town.
Town Manager Rossi explains that the increase in commercial is very gradual. He will continue get the message out to companies that are considering relocating to the Town of Smithfield.
Council President Alba asks Town Manager Rossi to notify the Town Council members of any future business wanting to come into Smithfield. Council President Alba also asks if any business have closed in Town.
Town Manager Rossi replies that he is not aware of any, other than the Greenville Inn.
Council President Alba inquiries about the tangible taxes and how they compare to other cities and towns.
Town Manager Rossi explains that the Town of Smithfield is ranked in the top five (5) highest tangible tax rate in the State.
Drew Manlove, Tax Assessor, the number one item the Town needs to do is to attract businesses into the Town, in order to lower the tax rate. The rate of return of on personal property taxes, because the higher the personal property taxes the less business are in Town, compared to surrounding towns.
Council member Kilduff asks what money was saved from the school department and the savings and retention amount.
Superintendent Paolucci states that there were some savings in the budget due to substitutes and the lunch program. Because of those savings they were able to do repairs to the tennis courts and purchase supplies for next year with the remaining fund balance.
Chair Cipriano states that there are supplies needed for next year which have increased in price.
Council member Cavanagh asks if the teachers union have agreed to a tax freeze this year.
Superintendent Paolucci states that replies that the NEA union body have agreed to no raises.
Council Vice-President Lawton has concerns regarding the level of improvement to our roads due to the COVID-19 virus.
Gene Allen, Department of Public Works Director, states that they would need to scale back on some of the major roads and that during some of the construction of the roads the gas company have agreed to do half of the road and the Town would complete the other half, which would reduce the cost as well as maintenance items.
Council Vice-President Lawton asks if the Board of Canvass budget needs to be increase more because of this year election and COVID-19.
Town Clerk Aquilante explains that her staff has had to put more over time in because of the Presidential Preference Primary mass mailing of absentee ballot applications. At this time she does not know if the Secretary of State’s Office will be doing a mass mailing again for the September Primary or November Election. She explains that she has discuss this with Town Manager Rossi, that if it does occur she reach out to the Town Hall employees to help process the applications, because it is a huge task for her staff. Town Clerk Aquilante further explains that her office processed 3,099 absentee ballot applications for the Presidential Preference Primary.
Council Vice-President Lawton asks the status of the libraries in Town.
Cynthia Muldach, East Smithfield Library Director, explains that she had to furlough some of her part-time staff, however, she hopes to be able to have them return to work at some point, they are also doing contactless pick-up and use of computers by appointment only and the library will be open on a part-time basis.
Dorothy Swain, Greenville Library Director, explains that she had no layoffs they have been open to the public on a part-time basis and curbside pick-up. Director Swain explains that the Strategic Plan of the library is trying to move forward by the board with a re-design.
Council President Alba states that in the future the Town Council need to meet with the library directors to discuss the future of the libraries.
Council President Alba thanks both directors for all they have done during this trying time as well as their creativity reaching out to our residents.
Council member Cavanagh asks about #45 Municipal Debt Service regarding of interest on the school bond.
Town Manager Rossi states that net increase in the debt service is $633,000 and budgeted $700,000 based on the best estimate of our financial advisor with issuing with the September time frame.
Town Manager Rossi states that based on the General Assembly Legislation and signed by the Governor this year’s budget will be handled completely different with a public hearing and Town Council adoption which will be held on July 21, 2020 at 7:00 p. m.by virtual meeting. This will be advertised in the Providence Journal on July 10, 2020 and will be on the website as well. Town Council will open the Public Hearing and make any adjustments as needed and approved.
There are no public comments.
Motion is made by Council member Kilduff, seconded by Council Vice-President Lawton, to adjourn the Work Session. Motion is approved by a unanimous 5/0 vote.
Meeting Adjourned at 5:47 P.M.
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Town Clerk