REGULAR SESSION

 

MARCH 21, 2022

 

At a REGULAR SESSION of the Town Council of the Town of South Kingstown, County of Washington, in the State of Rhode Island, held at the Town Hall, in and for said Town on the 21^st day of March 2022 at 7:00 PM.

 

PRESENT:     Rory H. McEntee, President

Abel G. Collins, Vice President

Deborah D. Bergner

Deborah J. Kelso

Jessica L. Rose

 

 

1.         A.        PLEDGE OF ALLEGIANCE TO THE FLAG

 

The Pledge of Allegiance to the flag is given.

 

B.        LAND ACKNOWLEDGEMENT STATEMENT

 

The Land Acknowledgement Statement is read.

 

2.         ROLL CALL

 

Roll Call is taken and all members are present.

 

3.         NEW BUSINESS

 

A.        A motion is made by Council Vice President Collins, seconded by Councilwoman Bergner to appoint James M. Manni as the Town Manager for the Town of South Kingstown effective May 2, 2022.

 

Council Vice President Collins thanks all applicants who came forward during the search for a new Town Manager, and comments that we have ended up with a great candidate here in James Manni, whose reputation precedes him, and welcomes Mr. Manni to the Town Hall. 

 

Councilwoman Bergner also welcomes Mr. Manni to the Town Hall, and notes that he has the leadership, integrity and experience to help South Kingstown move forward, and we look forward to having him join the Town.

 

Council President McEntee comments that we are lucky to have Mr. Manni and are excited for him to begin, we look forward to working closely with him to create progress for this Town going into the future.

 

A roll call vote is taken, and it is

 

UNANIMOUSLY VOTED: to appoint James M. Manni as the Town Manager for the Town of South Kingstown effective May 2, 2022.

 

B.        Michael Ursillo, Town Solicitor reviews the Town Manager’s Employment Agreement, which is for a three year term pursuant to the Town Charter, and includes severance provisions. Salary will be $170,000 per year, however it will be adjusted to match the salary of the Superintendent of Schools. The contract includes an annual performance evaluation, and benefits similar to the Town’s non-union employees. It is noted that there is a new provision for 80 hours of management leave. The Town Manager will participate in the RI public employees Retirement Program.

 

Discussion ensues relative to how the salary match to the School Superintendent would be addressed.

 

A roll call vote is taken, and it is

 

UNANIMOUSLY VOTED: to approve the prospective Town Manager’s Employment Agreement, and authorize the Town Council President to execute the agreement and all personnel action documents; as further described in a Confidential Memorandum from the Town Solicitor to the Town Council dated March 17, 2022 and entitled “Town Manager Employment Agreement.”

 

James M. Manni is present and gives an acceptance speech, noting that his appointment as Town Manager is a great honor and he appreciates the Town Council’s vote of confidence.  

 

C.        Theresa Murphy, Interim Town Manager reviews the Town Manager’s Proposed Municipal Budget Program for FY 2022-2023. At the Council’s request, potential amendments have also been drafted for the Council’s consideration. As presented, the budget includes a 2.26% increase in the tax levy, a decrease in the property tax rate from $14.45 to $11.02 as a result of the full property revaluation, staffing for a third paramedic unit at the six month point, reallocation of facilities personnel expenses, and funding for two community resource officers in the Police Department. The proposed budget carries a property tax levy of $75,745,061.

 

Discussion ensues relative to the 23.74% change in the tax rate due to the property revaluation. It is noted that 37% of residential properties will see no tax increase.

 

The Interim Town Manager introduces Rosalie Bouchard, who is serving as the Interim Finance Director.

 

Mrs. Murphy reviews the summary by fund of expenditures in the total amount of $102,546,998, and revenues in the total amount of $102,559,453. The School Fund comprises 72.92% and the General Fund 24.08% of the total.

 

Five options for reductions to the budget are presented. Option #1 is to adopt the Town Manager’s Proposed Budget with no amendments.

 

Option #2 would reduce the budget by $189,176 resulting in a property tax rate of $10.99, or a 2% tax levy increase. Reductions would be realized through healthcare savings in the amount of $74,176, reducing Other Post Employment Benefits (OPEB) contributions by $85,000, reducing the Town Council Contingency by $10,000, and reducing Planning Department Professional Services by $20,000.

 

Option #3 would include all reductions in Option #2, plus a reduction in the Debt Service Fund allocation of $150,000, resulting in a net reduction of $339,176. The tax levy increase would be 1.8%, and the property tax rate would be $10.97.

 

Discussion ensues relative to the Debt Service Fund being a tool for planning for existing and future debt, it should be kept level to avoid larger increases. The Interim Finance Director notes that at the end of this fiscal year the Debt Service Fund balance will be approximately $1.7 million.

 

Discussion ensues regarding interest rate increases affecting borrowing, and the increase in costs and services for projects.

 

Option #4 would include all reductions in Option #3, plus increasing the use of Unassigned Fund Balance transfer (UFB) by $120,208 for a total budget reduction of $459,384. This option would result in an increase in the tax levy of 1.64%, and a property tax rate of $10.95.

 

Discussion ensues relative to the current level of UFB being at 18%, with the new budget that would be reduced to 16.68% at year end. By June 30, 2023 that balance could be down to 15.18% if the UFB transfer remains constant. Discussion ensues relative to the use of the UFB.  The Interim Town Manager estimates a surplus of $225,000 at year end, compared to a more typical $1 million surplus.

 

Option #5 would include all reductions in Option #4 plus unidentified reductions of $1.2 million to level fund the budget, for a total budget reduction of $1,677,126. This option would mean a zero percent increase in the tax levy over FY 2021-2022, and an overall decrease of $.25 in the property tax rate from $11.02 to $10.77.

 

Councilwoman Kelso notes that community resource officers are covered by a federally funded program for the first two years.

 

Councilwoman Bergner proposes to eliminate the Town’s mobile app. The Interim Town Manager notes that would result in a savings of about $5,000.

 

Council President McEntee comments on the budgeting surplus, noting that revenues are conservatively estimated.

 

Councilwoman Kelso notes that requests for funding from outside agencies has increased. The Interim Town Manager reports that $214,000 was requested, and $187,000 was proposed. The Town Council must decide whether to increase funding by $27,000 to cover the additional requests.  

 

Councilwoman Bergner comments that American Rescue Plan Act (ARPA) funds may be available for some of the agencies requesting support.

 

Council Vice President Collins comments that ARPA funding is for specific needs, and notes that the Chris Collins Foundation will qualify for other grants such as the opioid settlement funds. He indicates his support for the South County History Center request.

 

Discussion ensues relative to transferring funds from the Town Council Contingency to meet the additional agency requests.

 

Councilwoman Bergner discusses the increased costs of living, and states that the Town needs to look at reducing expenditures.

 

Council Vice President Collins notes that the proposed budget includes some cuts in expenditures, but they can look at some additional measures.

 

Councilwoman Kelso notes that the budget has been level funded for the past 3 years, with no tax increases. This budget is pretty realistic. The Town is also facing increases from inflation. Citizens value Town services and don’t want them cut. Mrs. Kelso is in favor of reducing the OPEB contribution and using some of the Town Council Contingency Fund.

 

Discussion ensues relative to Option #5 being the only one that cuts Town services, property tax increases, the fiscal responsibility of reducing the Debt Service Fund or increasing use of the Unassigned Fund Balance, and potential savings from future school closures.

 

Discussion ensues concerning the difference in tax rates proposed by the reduction options and the effect on property owners. 

 

Council President McEntee invites residents to come forward with comments.

 

David Cote is present and congratulates James Manni on his appointment as Town Manager, and comments on declining education and zero based budgeting.

 

Roland Benjamin is present and congratulates James Manni on his appointment as Town Manager, expresses concerns with spending increases, and comments on the Maintenance of Effort requirement for the School funding, noting that schools are reducing personnel then refunding those positions with federal funds.

 

Councilwoman Bergner notes that the Emergency Medical Services facility project doesn’t add to planned spending, as the Town will utilize ARPA funds.

 

Greg Sweet is present and comments on businesses having financial difficulties due to COVID, with some customers unable to pay their bills.  

 

Dorald Beasley is present and comments on the cost of South Kingstown schools in comparison to similar sized districts.

 

Council President McEntee comments on the Town Council’s obligation to keep taxes as low as possible, and indicates his support for Reduction Option #3 without impacting services.

 

Council Vice President Collins speaks in support of Option #3, with a reduction of the Town Council Contingency Fund to reallocate $20,000 to Planning Professional Services.

 

Discussion ensues relative to eliminating the Town mobile app for a reduction of about $5,000, level funding the South Kingstown Housing Authority at $18,000, and either level funding the Chris Collins Foundation at $10,000 or reducing their allocation to $5,000.

 

Councilwoman Rose favors Option #4 to be as conservative as possible.

 

Councilwoman Bergner states that Option #4 is preferable, but also look for cuts in operating costs.

 

Council President McEntee supports Option #3 with staff to look for additional cuts that can be made without affecting the ability to provide services.

 

Councilwomen Bergner and Rose agree that staff should look for cuts up to $120,000.  

 

Council Vice President Collins makes a motion to adopt the Town Manager’s Proposed Budget for FY 2022-2023 with amendments presented in Reduction Option #3, and including funding the South County History Center request of $15,000, reducing the Town Council Contingency Fund by $39,000, restoring the Planning Professional Services in the amount of $20,000, eliminating the Town mobile app for a savings of $4,995, and reducing funding for the Chris Collins Foundation to $5,000. The motion is seconded by Councilwoman Kelso.

 

Discussion ensues relative to staff seeking additional reductions to the budget.

 

A roll call vote is taken, and it is

 

UNANIMOUSLY VOTED: to adopt the FY2022-2023 Town Council Preliminary Budget as proposed in the Interim Town Manager’s FY2022-2023 Proposed Budget, with amendments as presented, as follows:

 

 

 

 

 

UNANIMOUSLY VOTED: to adjourn at 8:52 PM.

 

Susan M. Flynn, CMC

Town Clerk