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HomeMy WebLinkAbout2020-11-12 CapProCom Minutes for November 12,2020,adopted Dec. 17 , ,_ __o;�pNTUC tom 3�� ��, Town of Nantucket N1 rt, %(�;� Capital Program Committee EEC I8 a ' i^• 4 r �y �oqp p�j www.nantucket-ma.gov �flATjE Members: Stephen Welch (Chair),Pete Kaizer (vice chair),Richard Hussey (Secretary), Christy Kickham, Peter McEachern,Jason Bridges,Kristie Ferrantella MINUTES Thursday, November 12,2020 This meeting was held via remote participation using ZOOM and YouTube, Pursuant to Governor Baker's March 12, 2020 Order Regarding Open Meeting Law Called to order at 10:04 a.m. and Announcements made. Staff: Libby Gibson, Town Manager; Brian Turbitt, Director Finance; Richard Sears, Assistant Director Finance;Alexandria Penta, Financial Analyst;Terry Norton,Town Minutes Attending Members: Welch,Kaizer, Hussey,Kickham Absent Members: McEachern,Bridges,Ferrantella Documents used: Copy of minutes for October 1, 8, 15,22,&29, 2020;FY2022 CIP Requests Approval of Agenda: Motion Motion to Adopt the agenda. (made by: Kaizer) (seconded) Roll-call Vote Carried 4-0//Kaizer, Kickham, Husse ,Welch-a e I. PUBLIC COMMENTS None II. RORI WORKING SESSION 1. RORI Q&A &Review FY2022 Requests in Context of RORIs 2. Schedule completion Individual RORIs Discussion Welch — He doesn't have the ability to see who has or has not turned in their RORIs; he can tell not all RORIs have been submitted. Asked Mr. Sears to update the list of actual requests CapCom is actually reviewing. Sears—Thought the RORIs were only for FY2022 requests. He sent that. Welch—He wants to make sure all requests are being reviewed. What he has for RORI review, he can see the number of completed RORIs and on individual requests he can see the team input;he can't see who has not filled out the RORIs and send them a reminder. Wants to spend a little time noting a number of RORIs haven't been completed and there are a lot from last year. Kickham — He still has some to be completed; asked if completion would help the Joint meeting at all. Welch — No we won't collate any of this for the joint meeting, but we do need it by mid- December. We will need time to review them as a group before the final recommendation. Kickham — Asked if there is a way to make incomplete RORIs not count if not done by the deadline. Welch — He did them in 11/2 hour; this year we stacked up departments because we had reviewed a number of requests and didn't review RORIs at the meetings. Kickham—Asked if there is a way we can flag completed RORIs;right now, you have to click on them to know if you have completed one and make a separate note. Welch — That's a good idea; maybe there's a view for each person as to which have been completed. With respect to priorities, it is important for people not to feel overloaded as they do these. Kickham—Maybe on each meeting we discuss percentage from previous meetings and RORIs. Page 1 of 4 CapProCom Minutes for November 12,2020,adopted Dec. 17 Turbitt—When we look at them, there are a lot. We've talked with the developer to solve this problem to show members which ones are still open. There was a rush to make the system available before the Nov. 17th meeting, so this was set aside. Feels it might be done before the next CapCom meeting. Welch — Asked what the best way for the CapCom members might be to know which ones need completion as well as to edit. Kickham— Often your initial ratings are the most honest; thinks edit can make it hard to come up with firm numbers. Kaizer— Sometimes we get additional information at a later date after RORI was filled it and it might be nice to go back;he wouldn't put a lot of time in it and trusting initial judgements. Welch — The ability to edit is convenient and might come more into focus when we review input from previous meetings as a group. Asked for suggestions on how to approach outstanding RORIs. The sooner the better; it allows moving into the actual percentages. For the next meeting, we'll anticipate a continuance of the RORI workshop to field specific questions on requests. Kickham—Last year when we discussed percentages, it was very helpful to review the RORIs as a group and understand how others felt about each request. Welch — That's a good point. Next Thursday we will continue RORI Q&A. Asked Mr. Sears about status of tutorials for FinCom and Select Board. Sears —He hasn't been asked to do any. Welch — He was thinking people were using the print report button and were able to see the information in one place. We'll provide an update on our process at the Joint Meeting on FY2022 requests. Mr. Sears or Mr. Turbitt will represent the Town's position on specific requests, then we'll talk about broader more recent funding. III. UPDATE ON CIP REQUEST ACCESS Discussion None at this time. IV. FINANCE/TOWN MANAGER DISCUSSION RE. NOV. 17 JOINT MEETING Discussion Gibson — Town Administration has finished its RORI but not our prioritization. For this meeting, we will be expecting CapCom to bring the other boards up to speed on what has been accomplished to date. Will warn the others not to think the numbers are final. Turbitt—All information has been sent to participants for their review. Update will be on very- high level discussion on Free Cash and what can be allocated toward the 1% for the Tax Rate. One item of discussion will be an allocation for a PFAS capital project; the amount of that allocation time is unknown at this. Gibson—We are in the middle of a PFAS risk assessment; we will have to deal with it in some manner, but at this time we don't know what "deal with" will entail. It might mean constructing a facility to treat PFAS or will have to treat areas,which is very expensive. If we have to remove soil, there is no place to take the removed soil. Turbitt — Funding through several mechanisms work for widening the corner of the Francis/Washington intersection. We had allocated $1m for facility upgrades to municipal buildings and plan to allocate that again in FY2022;we broached the idea that since it takes time to build up a significant amount of funding. Had a discussion with the Town Manager about allocating $750,000 a year to a debt service for a borrowing; if we were to do that at the 2021 ATM we would authorize a borrowing for to Capital to update, renovate, and make improvements to building without having to stop a project because the bid came in higher than anticipated. We could potentially borrow between $6.5m and $6.9m of an authorization. It doesn't mean today we would borrow that much; the facilities department would identify the number of projects they can get done in a year, and that would be the list that would utilize that funding. When I look at the $4.5m requested for this year and out-year requests, $1m is not going to get us where we can get done what needs to be done. If a bid comes in over,we have to Page 2 of 4 CapProCom Minutes for November 12,2020,adopted Dec. 17 find funding in other articles and move it over; we are in the beginning phases but want to advance this in FY2021. Welch—Asked if these are all items are to be mentioned at the November 17 meeting. Gibson—We would mention at the meeting but wanted to get feedback from CapCom. Welch — Suggested this could come in after the idea will be brought up after high-level preliminary Free Cash allocation. He thinks this could take up time. It would be helpful for CapCom to get a frame of reference on how Select Board and FinCom look at these. Kickham — As to facilities funding, it was mentioned the initial amount would be $750,000; asked if it would be helpful to fund at$7.5m. Turbitt — No; we would do the borrowing at ATM with no payment due until next year. Our intent is to start a project, fund it and complete it. Welch — It sounds as if this could be approached as a set amount submitted for authorization for borrowing;asked if it would be like a revolver or a set amount set out to have access to or go out to the market on an as needed basis. Turbitt—We would have access to the full borrowing after ATM; we would borrow on an as- needed basis. Welch—Confirmed this borrowing would not be intended as an alternate to Free Cash.Asked if it would be applied to buildings only. Turbitt—It is only intended for facilities. Welch — It would still be subject to approval by the associated boards and would be a draw- down for facilities work. On the higher Free Cash number, this number will provide information to inform recommendations, but nothing will substantially change until we have State info on final numbers. Turbitt — We have the State number to review and been told it is probably correct; it will not substantially change. However, we don't want to go with it until the State puts on the finishing touches. Welch — Subject to that there are other decisions to be made; all of which can be formed and shaped in December,but we won't know the information until early January 2021. Gibson — Mr. Turbitt and I might be able to work that into the Free Cash allocation on Tuesday,but we won't know which projects Capcom will recommend. Welch — If things are going to change between now and Tuesday, suggested Brian and Libby not to put themselves through the hassle. Hussey—On Francis/Union, asked when it was widened. Turbitt—This is to widen the Francis/Washington corner. Kickham—Asked what guidance the Town is getting on the PFAS. Turbitt — Have two contracts with CDM-Smith to do the initial risk assessment. Taking a measured and reasoned approach;it is a big project with a lot of publicity. Welch —Asked if there is a chance that there is a possibility for funding from State or Federal relief. Turbitt—Thinks it's too soon for that;it's still very early in the process for everyone. Welch — Asked if there is any obligation within the financial mechanism that will prohibit refunding. Turbitt — All the bonds are set so as not to impact our debt. If we were to receive State or Federal funding, we would hold that in reserve to buy down the debt. Doesn't think there is anything to impact the Town's ability to fund these projects. Sears—He has sent out information for the joint meeting to all members. Welch—Asked that he be sent a copy of that packet;he didn't receive his. Kickham—He hasn't gotten the invite for this meeting yet. Turbitt—That will be sent out the day of the meeting. Page 3 of 4 CapProCom Minutes for November 12,2020,adopted Dec. 17 V . O'FI IER BUSINESS 1. Green Sheet/Committee Reports a. None 2. Member Comments a. None 3. Date of the next meeting a. Tuesday,November 17,2020 at 1:00 p.m. b. Thursday,November 19,2020 at 10:00 a.m. VI. APPROVE MINUTES 1. October 1,2020 2. October 8,2020 3. October 15,2020 4. October 22,2020 5. October 29,2020 Motion No action taken. Roll-call Vote N/A Adjournment: Motion Motion to Approve at 10:59 p.m. (made by: Hussey) (seconded) Roll-call Vote Carried 4-0//Hussey,Kaizer,Kickham,and Welch-aye Submitted by: Terry L. Norton Page 4 of 4