WEST WARWICK TOWN COUNCIL ACTING AS

SEWER COMMISSION

 

PUBLIC HEARING FOR FY23 WWTF PROPOSED BUDGET

 

MEETING MINUTES

 

DATE:  TUESDAY, APRIL 26, 2022     TIME:  6:00 P.M.

 

LOCATION:  TOWN COUNCIL CHAMBERS

1170 MAIN STREET

WEST WARWICK, RI  02893

 

 

A.   Meeting called to order at 6:10 p.m. by Town Council President Gosselin

 

B.   Roll Call

 

Members present:

Council President Gosselin

Council Vice President Williamson

Councilman Messier

Councilman Licciardi

Councilman Bourget

 

Participating communities:

Town of Coventry

Town of Scituate

City of Cranston

City of Warwick

Town of West Greenwich

 

C.   Quorum on record declared

 

D.    Proposed WWTF FY23 Budget

     

·   Mr. Corrente stated we had a reduction in the revenue for FY23.  To make it up on the expense side we have reduced our capitals projects request to balance the budget.

·   Mr. Chapdelaine stated our revised budget is $9,392,058 which is $282,500 less than our original budget request of $9,674,558.  This is a 1% decrease versus our current year approved budget.

·   We balanced our budget by reducing our capital funds for the year from $540,000 to $257,500.  If approved, the budget as proposed would not rely on sewer assessment revenue or unrestricted funds to balance the budget.

·   Mr. Chapdelaine stated at the last Public Hearing there were questions regarding how the proposed rate increase of $4.25 per 100 cf would impact multi-families and apartment complexes.  We researched Royal Mills, a six-family, a duplex and a single family.  These properties would see an average net increase of 7.7% of their annual usage bill.  We also researched Monsignor DeAngelis Manor and the net increase there would be 4.6%.

·   Mr. Chapdelaine stated there was also discussion about the WWTF saving money using Fusion.  We have ordered 26% less of one chemical and 31% less of another chemical this year versus last year.  We are trimming down our chemical usage but unfortunately, due to escalating cost of chemicals we’re not going to see that number reflected accurately in the budget.  However, if we were ordering the same quantity as last year our costs would have been increased by $16,381 over our current request.  Hopefully, this cost will eventually level off or decrease and we’ll see a monetary savings by using Fusion by reducing our chemical line item in future budgets.

·   Mr. Corrente stated we took the $282,500 reduction in revenue from the capital budget because it’s a tight budget and there was no where else to take it from.

·   Councilman Bourget asked if part of the increase in the FY23 overtime budget is due to overtime in the FY22 budget.  We were told it was due to staff shortages last year and the storm in January this year.  You’re fully staffed now and you’re still going up a lot in overtime.  Mr. Chapdelaine stated due to contractual agreements we do have to pay out a certain amount of overtime just to start the year.  Mr. Corrente said at the start of the year on July 1^st we will spend $62,177 on overtime due to our built-in contractual obligations.  This is before anybody calls in sick or takes vacation.  We are required to have someone there on all three shifts and all holidays.

·   Councilman Bourget stated you specifically said the January storm of this year is part of the reason the overtime budget is so high for next year.  Mr. Chapdelaine replied we can’t predict the weather.  We’re trying to be transparent and we’re planning for extra bodies to be prepared for snow storms, etc…  

·   Council President Gosselin said in FY2020 overtime was $107,718 and you were fully staffed and that was a hectic year with a lot of snow.  He understands that Covid hit in 2021 and 2022 but it’s going from $107,000 to $157,000.  You’re saying it’s due to contractual agreements but there’s always been contractual agreements and a $50,000 difference in a three-year span is a big chunk for 24 employees.  That would be $5,000 to $6,000 of overtime per person.  So, why the $50,000 increase?  Mr. Knott stated the Public Safety budgets are way overspent due to shortages and Covid, etc…  He thinks the Superintendent and his Office Manager are trying to do a more aggressive job in predicting reality.  In FY20 it was under $108,000, in FY21 it was $148,000, this year it was approved too low at $110,000, it’s projected at $157,000.  Hopefully, we don’t reach that since it has been scaling back over the last few weeks.  It’s a much more realistic projection.  We’ve had employee raises so the rates are going up and this is a more accurate prediction.  He hopes that the $144,000 ends up being high but he thinks it’s realistic.

·   Councilman Bourget said he understands the previous increases due to Covid and staff shortages but now you’re fully staffed and Covid is on its way out so he wonders is there are some abuses going on since we are looking at a rate increase for users.  Mr. Knott said the deficiency was the $110,000.  Councilman President Gosselin said you’re fully staffed now so with salaries going up you would think overtime would come down.  In 2020 when you were fully staffed salaries were $862,000.  This year it’s $997,000 and now it’s $1,072,000 so it went up drastically.  

·   Councilman Licciardi asked if we still have floaters.  Mr. Chapdelaine replied we have spare operators.  Councilman Licciardi said in the past floaters were used to fill in any position if someone was out in order to cut overtime.  Mr. Chapdelaine said we have an employee out right now and someone has signed into that position for a two-month period.  So, long term yes, we post the position and fill it in with another employee but if someone is just taking a week off we fill it in with overtime.  Councilman Licciardi asked if we’re using the staff in the most efficient way.  Mr. Chapdelaine replied contractually with the union, a job needs to be posted for a certain amount of time before someone can be put into that position so we can’t really fill vacation time without paying overtime.  Councilman Licciardi said if overtime is available fine, but are we just creating overtime.  Council Vice President Williamson said overtime is necessary and it needs to managed by the Superintendent and the Assistant Superintendent with oversight by the Town Manager.  They’ve researched it and that’s what they think it will be but we challenge Mr. Chapdelaine and his team to make sure it comes in under that.  She said this is the first time in years that we’ve had a Superintendent, an Assistant Superintendent and an Office Manager in place to work together which has probably contributed to some of the issues down there.  She said a lot of time went into putting this budget together and it is not a license to spend $144,000 in overtime.  She expects, barring some unforeseen circumstances, that they might come in under that.  Councilman Bourget said he still thinks the number is too high.

·   Councilman Licciardi brought up the Admin. Fees and asked Mr. Chapdelaine if he could take over some of the tasks that are paid for in Admin. Fees.  Mr. Chapdelaine replied if we start taking on these other tasks we’ll have to start hiring additional staff.  He thinks the Finance Director did a great job researching the Admin. Fees and what other communities are doing as well.  Councilman Licciardi replied it’s a rate increase for us and when everyone doing work for the sewer department gets a raise everything involving that person is going to increase year after year.  Does that mean we’re going to have a rate increase every year?  Council President Gosselin said he disagrees.  As they’re paying the Tax Collector to do the work for them, that money is coming into our budget.  If they didn’t pay we would lose that revenue in our budget then we’d have to figure out how to get that $361,000.  He thinks we get more sewer tax payers than taxpayers in general because revenue is generated by unit.

·   Council Vice President Williamson said in FY2020 the overtime percentage of the salaries was 12.5%.  The projected in this budget is 13.4%.  That’s less than a 1% increase.  The projection for year-end, 6/30/22, is 15.8% so it is a reduction percentage wise based on salaries.  She would still like to see them come in under $144,000.

·   Councilman Licciardi asked Mr. Chapdelaine if employees on duty call if there is an issue.  He replied no, per the contract they call the Chief of Operations.  Councilman Licciardi asked if there is a charge for that call.  Mr. Chapdelaine replied yes, there’s a one-hour charge.  Councilman Licciardi asked if that was for every call.  Mr. Chapdelaine replied within that one-hour period, no, outside that one-hour period, yes.  Councilman Licciardi said in the recent past these calls would go to the Assistant Superintendent or the Superintendent which avoided the overtime.  Mr. Chapdelaine said based on the contract the Chief of Operations should be receiving that phone call first.  Mr. Knott stated we did look into that.  It resulted in a grievance with a filing for arbitration.  There is a note to address it in the future. 

 

E.   Public Comment

 

·   Derek Read of 62 Andrews Avenue asked who writes, signs and reads the contracts.  He said they sound very in favor of the labor versus the taxpayers.  Council Vice President Williamson replied it is a process that has taken many years to get where it has gotten.  There have been concessions and gains and it will take equally as long to get it to where it should be. 

·   Mr. Read said if he can be guaranteed thousands of dollars in overtime, where can he get an application.  Council Vice President Williamson said you cannot be guaranteed thousands of dollars in overtime.  When salaries go up, it’s a percentage of salary.

·   Mr. Read said if you budget the $144,000 in and they don’t go down will there be repercussions.  Council Vice President Williamson replied that would be for the Town Manager to discuss with the Superintendent.  Mr. Read asked if we’re going to track it.  Council Vice President Williamson replied absolutely.  Council President Gosselin said yes, we get monthly reports.

·   Mr. Read said who runs the department, at the last hearing you said there’s zero money in the bank.  Council Vice President Williamson said that’s incorrect.  Mr. Corrente stated there’s a little over 3.2 million in our unrestricted funds right now which is low.  Council Vice President Williamson said we have taken from that savings account over the last several years to balance the budget and that is not a practice that we can continue.  This budget does not do that, for the first time in many years.

·   Mr. Read said this community keeps growing in size and now we’re going to pay more money to sewer.  At what point do we stop adding to this facility and how much more can the facility take?  Council Vice President Williamson replied there is capacity.  It is an enterprise fund, it’s run as a business and they pay Admin. Fees to use services from the Town.

·   Mr. Read asked when the contract comes back up.  Council Vice President Williamson replied three years.  Mr. Read asked if we’ll be pulling the reins back.  Council Vice President Williamson said in the last two negotiations they have been.  Council President Gosselin said negotiations are a give and take and for the most part they’ve been giving and we’ve been taking.

·   Council Vice President Williamson said this budget is an increase but it’s $27 for the average user for the year.  Councilman Licciardi asked what is an average user.  Mr. Corrente replied the billing clerk calculated the average consumption as 6000 cf.  Mr. Read asked if that is residential, commercial and industrial.  Mr. Corrente replied residential.

     

F.   Adjourn

 

A motion to adjourn was made by Councilman Messier and seconded by Council Vice President Williamson.  All in favor, none opposed and unanimously voted to accept.

 

 

 

 

 

To view this meeting go to:

https://www.youtube.com/channel/UC6a5AKkU_XWQPoV26Xmc0qA