HomeMy Public PortalAboutFiscal Year 2021 Budget Message TOWN OF WATERTOWN
1630 Office of the Town Manager
Administration Building
149 Main Street
Watertown,MA 02472
Phone: 617-972-6465
www.watertown-ma.gov
Michael J. Driscoll
Town Manager
TO: Honorable Town Council C_
FROM: Michael J. Driscoll, Town Manager
DATE: June 8, 2020
SUBJECT: FISCAL YEAR 2021 BUDGET
Pursuant to the provisions of the Watertown Home Rule Charter, I herewith present the Submitted Budget for the Fiscal Year July 1,
2020 through June 30, 2021.
In accordance with Town Council Resolution 2019-56 regarding the Fiscal Year 2021 Budget Process,the Fiscal Year 2021
Preliminary Budget Overview was presented to the Honorable Town Council on October 8, 2019. The Overview included a review of
the Town's financial condition, Revenue and Expenditure Forecasts and other information relevant to the budget process. The
Revenue and Expenditure Forecasts indicated a projected surplus of$556,829. During the overview, I stated we must:
• Continue to strive to provide the highest level of essential services possible with the most efficient utilization of resources.
• Ensure annual costs of all operations be funded on an annual basis from current revenues.
• Not defer maintenance and/or recognition of costs of capital equipment, facilities and infrastructure to future years.
• Remain focused on achieving the long-term goal of sound financial management and fiscal stability.
• Present a budget based on sound business practices.
Additionally, my Forecast Section remarks on October 8, 2019 outlined the various initiatives that have been accomplished over the
last twenty-six (26)years including examples of an aggressive Capital Improvement Program related to reinvesting in the
infrastructure of our community.
Two initiatives of note is the Town is on the verge of having a fully funded Retirement System on July 1, 2020 and a long range
funding plan has been created beginning in Fiscal Year 2020 for addressing the unfunded Other Post-Employment Benefits (OPEB)
Liability.
The second initiative is the Building for the Future. Building for the Future is a comprehensive, forward-looking initiative to address
learning, operational and capacity improvements for all school facilities.
The high school and three elementary schools were identified as high priorities; and therefore, steps are being taken to advance the
continued development of both projects simultaneously, with the high school potentially on a path for MSBA assistance and the
elementary schools on a non MSBA path. A timeline was presented whereby the potential Three Elementary Schools Project
estimated at $170 Million could be completed prior to the high school construction.
At the Fiscal Year 2021 Preliminary Budget Overview presentation, I reviewed the plan whereby financing of the Three Elementary
Schools Project estimated at$170 Million was included in the Debt and Interest Forecast, all of this to be done within the confines of
Proposition 2'/z and all of this to be done without the need to request debt exclusion financing from the taxpayers of Watertown.
Additionally, I indicated that if the cost of the Three Elementary Schools Project was higher than originally estimated, we would move
monies from the projected OPEB appropriations to address the need for additional funding.
During the Overview presentation, I stated the School Building Committee has been working tirelessly to review conceptual design
options for the three elementary schools in an effort to ultimately select a preferred design option that is in the best interests of the
Town, the taxpayers and the successful education of our children.
On January 23, 2019, the School Building Committee adopted a conceptual and schematic design that includes all-new construction of
the Hosmer and Cunniff Schools and comprehensive renovations and additions to the Lowell School. The proposed projects create
modern, forward-thinking facilities and associated site amenities that meet the educational, neighborhood, energy efficiency, and
recreational goals established through a public process of meetings and forums. These projects are part of a long-term vision of
providing outstanding education,recreation, and healthy neighborhoods throughout Watertown and will serve the Town for many
decades. The approximately $170 million cost estimate includes the total project costs representative of the buildings, sitework,
furniture,technology, and all associated costs of the completed and occupied facilities.
2
On January 31, 2019, I recommended moving forward with the School Building Committee's endorsed conceptual and schematic
design and included funding of$170,000,000 for the Three Elementary Schools Project in the Proposed Fiscal Year 2020-2024
Capital Improvement Program; and all of this project is to be done within the confines of Proposition 21/2.
I am very pleased that both of these proposed initiatives, having a fully funded Retirement System on July 1, 2020 and a long-range
funding plan for addressing the unfunded Other Post-Employment Benefits (OPEB)Liability and the financing of the Three
Elementary Schools Project within the confines of Proposition 2 %2 were incorporated in the Fiscal Year 2020 Budget and funding of
these initiatives is continued in the Fiscal Year 2021 Budget.
Lastly, the following budget issues were also identified as areas of concern:
• Collective Bargaining
• Uncertainty of Future Local Aid
• Economy Driven Revenues
• Capital Improvement Program
• Insurance and Employee Benefits
• Shared/Regionalized Services
• Departmental Operating Budgets
Subsequent to the Fiscal Year 2021 Preliminary Budget Overview Presentation, in accordance with Section 5-1 of the Watertown Home
Rule Charter and the previously mentioned Town Council Resolution on the Fiscal Year 2021 Budget Process,the Honorable Town
Council met several times and developed Fiscal Year 2021 Budget Policy Guidelines that were subsequently adopted on November 26,
2019.
The following are the top two priorities of the ranked Cost-Savings/Revenues Guidelines and the top seven priorities of the ranked
Program Enhancements/Expenditures Guidelines:
• Continue to proceed with the guidelines of the Strategic Framework for Economic Development, with the long-term goal to
promote a diversified and growing tax base.
• Continue pursuing mitigation monies and/or other measures for larger scale projects.
• Enhance the capabilities of the Town Manager's office with consideration given to creating a Deputy Town Manager position
as previously recommended in the Division of Local Services' Financial Management Review, with responsibilities to include
managing communication content and enhancing public engagement, and other duties as assigned.
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• Continue support for Building for the Future Initiative funding in collaboration with the School Building Committee, for the
Three Elementary Schools project, and for the MSBA High School project with proposed debt exclusion funding in
conjunction with outreach efforts to the community by the School Committee.
• Improve the operational efficiency, flexibility, and capacity of the Public Works Department to meet the Town's growing
needs to manage contractors, respond to work order requests, oversee development projects,plan and implement infrastructure
improvements, improve communications to residents about road construction, comply with the MassDEP 2030 Solid Waste
Management Plan, and maintain complete streets infrastructure. Consider what technology platforms are needed to support the
Department.
• Consider the recommendations of the Town-wide Information Technology Assessment to review the acquisition, distribution,
and management of IT resources, including staffing levels and positions required to support the Town's IT environment,
improve the functionality of the Town's website, and improve communications with residents.
• Continue to work collaboratively with the Watertown Public Schools to develop a comprehensive multi-year educational
budget that assures sustainable funding for our schools and the successful education of our children. Seek to accommodate the
Manager's forecast 5% school operating budget increase for FY21, subject to preparation of budget requests by the School
Committee, and subject to the validation of revenue and expenditure assumptions in the October 8, 2019 Preliminary Budget
Overview. Conduct further review to examine the sustainability of 5% increases in FY22 and beyond.
• Continue to work with the Watertown Transportation Management Association to identify sustainable sources of funding,
including tax revenue if needed, for the pilot shuttle bus program.
• Move forward with funding to develop the Watertown Climate and Energy Master Plan.
COVID-19 Pandemic
We are living in an unprecedented time where our world, our nation and our community, is faced with the threat of an international
pandemic known as COVID-19.
As you are aware, on March 1 Oth, Governor Baker declared a State of Emergency in Massachusetts to support the Commonwealth's
response to the outbreak of Coronavirus. The state of emergency allowed the Commonwealth to take certain actions that may be
necessary to manage the coronavirus outbreak.
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On March 15th, Governor Baker announced additional preventative measures to stem the outbreak of coronavirus in the
Commonwealth including the closing of schools and the shutting down of all restaurants and bars for on-premise consumption.
On March 20, Governor Baker issued an Order requiring all businesses and other organizations that do not provide "COVID-19
Essential Services" close their physical workplace and facilities to workers, customers and the public; and gatherings of more than 10
people are prohibited throughout the Commonwealth.
Given all of the above, since mid-March our schools have been closed and have been providing continuous remote learning; Town
Hall, the Library,the Senior Center and recreational facilities have been closed to the public.
On May 18th, the Baker-Polito administration released"Reopening Massachusetts", which details a four-phased strategy to
responsibly reopen businesses and activities over the next few months while continuing to fight COVID-19.
As of June 7th, COVID-19 numbers are as follows:
The Massachusetts Department of Public Health is reporting that as of June 7, 2020 there are:
• 103,436 cases statewide
• 22,754 Middlesex County
• 7,316 deaths statewide
For more state data,visit www.mass.P-ov/coronavirus.
Watertown has a total of 396 confirmed cases of COVID-19 and 343 community members have recovered from the virus. Four Town
employees have had confirmed cases. Two of those employees are back to work. Watertown has recorded twenty-three COVID-19
fatalities. Our thoughts go out to the families as they mourn the loss of their loved one.
Watertown COVID-19 Case a e Distributions
70�F
` 0- and Unknown/no
d.. 69 ovge recorded
19 52 84 51 58 57 74 1 396
1 There is a difference between the Commonwealth's reported numbers and what the Watertown Board of Health can confirm through the Massachusetts Virtual
Epidemiologic Network(MAVEN).
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Fiscal Year 2021 Budget Delay
Given the uncertainty of revenues including state aid for the upcoming fiscal year as a result of COVID-19, on April 14th the
Honorable Town Council voted to delay the submission of the Fiscal Year 2021 Budget from April 281h to a date to be determined.
Senator Will Brownsberger had provided the following on April 1 Oth, "The consuming challenge that the legislature must soon
confront is budgeting for the next fiscal year. With the economy in free fall, state revenues are in free fall. Normally by now, both the
House and the Senate would be well along in developing proposed budgets. We have had to restart the budget process from the
beginning. It will be weeks before we can tell municipalities how much money they can plan on in state aid or begin to shape plans
for state programs."
Fiscal Year 2021 Lost Revenue and the "CARES Act"
Although the Town has not been informed as to how much State Aid will be forthcoming, it is necessary to submit the Fiscal Year
2021 Budget, which begins on July 1, 2020.
The following is a summary of lost revenue related to COVID-19 for Fiscal Year 2021:
State Aid $2,640,612 (20% reduction)
Local Receipts $13K049
TOTAL: $4,004,661
The federal Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act") includes funds for Massachusetts governments
to use to pay costs incurred in responding to the COVID-19 outbreak. The Town has been informed Watertown would be eligible for
$3,169,982 that could be distributed in Fiscal Year 2020 and 2021.
Under federal law, eligible uses of the "CARES Act" monies must meet three conditions. They must be:
1. "Necessary expenditures incurred due to the public health emergency with respect to ... COVID-19"
a. Funds may not be used to substitute for lost revenue
2.Not budgeted as of March 27, 2020 when the CARES Act was enacted
a. May not supplant state or municipal spending
3. Incurred on or after March 1, 2020, up to December 30, 2020
I have spoken to Senator Brownsberger, Representative Hecht and Representative Lawn and respectfully requested their assistance in
advocating our Federal delegation to amend the "CARES Act"to allow for these monies to be available for COVID-19 revenue
shortfalls.
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FISCAL YEAR 2021 BUDGET HIGHLIGHTS
No Layoffs
Although there is COVID-19 related reductions in State Aid and Local Receipts totaling $4,004,661,the Submitted Fiscal Year 2021
Budget contains no layoffs of Town and School employees.
• Funding of the Three Elementary Schools Project
As a result of aggressive funding of the Retirement System, financing of the $170,000,000 for the Three Elementary Schools Project
continues in Fiscal Year 2021 and all of this project will be done within the confines of Proposition 2 %. The Fiscal Year 2021
Budget includes $6,473,376 for debt service related to this project. Borrowing for this project is being done in phases and
$64,000,000 is scheduled to be borrowing in July or August 2020 as part of tomorrow night's Proposed Loan Order totaling
$103,455,000.
• Fully funded Retirement System as of July 1, 2020
As a result of aggressive funding of the Retirement System and based on the current Watertown Contributory Retirement Board's
Funding Schedule,the Town's Unfunded Pension Liability will be fully funded as of July 1, 2020. The Fiscal Year 2021 Budget
includes $14,588,179 for the Pension appropriation.
• Funding Plan to Address the Unfunded (OPEB) Liability
As a result of aggressive funding of the Retirement System, the Unfunded Other Post-Employment Benefits (OPEB) Liability of
$115,370,918 will be addressed with the continued implementation of a Funding Plan through Fiscal Year 2029 when the OPEB
Liability is projected to be fully funded. The Fiscal Year 2021 Budget includes $2,379,017 for the OPEB appropriation.
• Initial Funding of Information Technology Assessment Recommendations
As a follow-up to the Honorable Town Council's Budget Policy Guideline, funding has been included in the Submitted Fiscal Year
2021 Budget to begin addressing IT staffing needs and website content managements as outlined in the Town-wide Information
Technology Assessment.
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The following is a list of continued program initiatives that are contained within the Fiscal Year 2021 Budget submission:
• Very Strong Commitment to Education
• Enhanced Funding of Pension& OPEB Liability
• Community Policing including 52 Patrol Officers
• Fire Department Sworn Personnel Levels at 87
• Additional Resources for the Recreation Department
• Town Capital Projects Funding
• Roadway Reconstruction and Resurfacing Projects
• Sidewalk Repair& Replacement Program
• Tree Management& Street Tree Replanting Program
• Automated Trash Collection& Single Stream Recycling
• Participation in the Minuteman Household Product Facility
• Social Services Resource Program
• Community Wellness Program
• Children's Room, Friday Evenings & Year Round Weekend Library Hours
• Resources for Project Literacy &the HATCH Program
Bond Market
On November 7, 2013, Standard& Poor's Ratings Services, a municipal bond credit rating agency, upgraded the Town's long-term
rating from `AA+' to `AAA', the highest rating attainable. The rating agency cited the following factors in the bond upgrade:
• Very strong economy
• Very strong budgetary flexibility
• Strong budgetary performance
• Very strong liquidity
• Strong management conditions
• Very strong debt and contingent liability position, driven mostly by the town's low net direct debt, and plans to address its
unfunded pension and other postemployment benefits (OPEB) liabilities.
On March 30, 2016,the Town received competitive bids from bond underwriters for a$5,660,000 9-year General Obligation
Municipal Purpose Loan of 2016 bonds and a$1,706,800, 32-day Bond Anticipation Note issue. The winning bid on the bonds was a
net interest rate of 1.118%; and the winning bid on the notes was a net interest rate of.700%. Prior to the bond sale, Standard&
Poor's Rating Service affirmed the Town's "AAA" long-term bond rating and assigned its SP-1+to the notes. Both of these ratings
are the highest attainable.
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On April 13, 2017, Moody's Investor Services, another municipal bond credit rating agency, upgraded the Town's long-term rating
from Aa2 to Aal,the second highest rating attainable. The rating agency cited the following factors in the bond upgrade:
• Trend of structurally balanced operations driving healthy reserves
• Tax base expansion with above average wealth and income levels
• Aggressive funding of pension liability with an expected funding date of 2019
On January 18, 2018, the Town received competitive bids from bond underwriters for a$7,885,000 14-year General Obligation
Municipal Purpose Loan of 2018 bonds. The winning bid on the bonds was a net interest rate of 1.896%. Prior to the bond sale,
Standard& Poor's Rating Service affirmed the Town's "AAA" long-term bond rating.
On June 18, 2019,the Town received competitive bids from bond underwriters for a$4,835,000, 10-year General Obligation Bond
Issue. The winning bid on the bonds was an average interest rate of 1.384%. Prior to the bond sale, Standard & Poor's Rating Service
affirmed the Town's "AAA" long-term bond rating.
The Town will be going to the Bond Market later this month to finance infrastructure improvements totaling $17.7 Million; and in
July or August 2020 to finance $64,000,000 for the Three Elementary Schools Project related to tomorrow night's Proposed Loan
Order.
As indicated above, in Fiscal Years 2020 and 2021,the Town will continue to utilize bond monies to finance infrastructure
improvements and it is imperative to continue the Town's commitment to sound financial management and fiscal stability.
Given the projected increases in expenditures for Fiscal Year 2022 through Fiscal Year 2024 as well as the uncertainty of Local Aid
and Economy Driven Revenues,the size of significant items contained within the Capital Improvement Program, I respectfully urge
that all discussions and decisions regarding the Submitted Fiscal Year 2021 Budget take into consideration all of the above factors and
their impact on the budgets for the next several fiscal years.
Community Preservation Act (CPA)
The Community Preservation Act (Mass General Law Chapter 44B) was enacted by the state legislature in 2000. The law allows
municipalities within Massachusetts to raise monies through a surcharge, of up to 3% of the real estate tax levy, on real property. The
state, through its CPA Trust Fund, augments local CPA revenues annually. CPA funds may be used only to:
• Acquire, create and preserve open space
• Acquire, create, rehabilitate and preserve land for recreational use
• Acquire, rehabilitate and preserve historic resources, and
• Acquire, create, preserve and support community housing
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The Community Preservation Act with a 2% surcharge was approved by Watertown voters on November 8, 2016.
On June 26, 2018,the Honorable Town Council adopted Ordinance 42018-59 "An Ordinance Establishing A Community Preservation
Committee" (https://www.watertown-ma.Gov/DocumentCenterNiew/25895/2018-06-26--CPC-Ordinance-Sinned?bidld=)
As a follow-up, on December 7, 2018 a Request for Confirmation of 4 Watertown citizens was submitted to the Honorable Town
Council and these appointments were subsequently confirmed in January 2019.
The nine members of the Community Preservation Committee (CPC) are as follows:
Jonathan M. Bockian
Jason D. Cohen, Planning Board Designee
Robert F. Dirico, Board of Park Commissioners
Dennis J. Duff
Allen Gallagher, Housing Authority Designee
Mark Kraczkiewicz
Maria P. Rose, Conservation Commission Designee
Susan T. Steele, Historical Commission Designee
Elodia Thomas, Chair
The first meeting of the CPC was held on February 21, 2019 and there have been 17 meetings to date, including regularly scheduled
monthly meetings and special meetings. Additionally, there has been considerable community outreach with one well-attended public
forum, three stakeholders focus groups, an interactive engagement website, and a community survey.
The CPC initiated a required planning process on November 4, 2019. It is anticipated that the process will be completed in the fall of
2020, which will allow for CPA funding to be disseminated through a project review and approval process to be initiated in late 2020
or early 2021. The culmination of this process will result in the guidelines and criteria that will be used to make recommendations to
the Honorable Town Council regarding the utilization of CPA funds for Fiscal Years 2018, 2019, 2020 and 2021.
As a requirement, an annual budget is adopted in each year which requires a set-aside minimum of 10%to each of the three required
categories (housing,historic preservation, open space/recreation)with up to 5% of the total allowed for administration. The remainder
has been unassigned which allows for it to be used for any of the categories. Budgeting and accounting for the CPA funds will be
done within a Special Revolving Fund and is not included in the Fiscal Year 2021 Submitted Budget.
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Infrastructure Investment Incentive Program (I-Cubed)
On June 29, 2017,the Honorable Town Council held a Special Meeting and adopted an Order Relative to an Economic Development
Proposal ("EDP")to Finance Certain Public Infrastructure Improvements Related to the Arsenal on the Charles Project. The Order
can be viewed on the Town's website at:
htti-)://ma-watertown2.civic-olus.com/DocumentCenterNiew/22636.
On July 14, 2017, Watertown and Athena submitted a joint application to the Commonwealth for approval of the I-Cubed Projects
described in the EDP. The I-Cubed program was expected to provide up to $25 million of state funding to improve publicly-owned
infrastructure around Athena's Arsenal campus and would have been paid for by state tax revenues generated from the creation of jobs
at Athena in Watertown. Details regarding the program can be viewed on the Commonwealth's website at:
htt-D://www.mass.aov/anf/budget-taxes-and-procurement/cab-finance/i-cubed/overview-of-i-cubed.html.
As submitted to the Commonwealth, the joint application included ten projects that provided for roadway improvements, pedestrian
walkways, bicycle paths, sewer and stormwater facilities, as well as other infrastructure projects both on Town and DCR property.
The proposed improvements would have implemented a number of goals and objectives of the Town's Comprehensive Plan.
Between April and September of 2019, the Town and Athena discussed a potential amendment to the joint application that would have
allowed for the construction of six of the ten projects during Fiscal Year 2020. Prior to the completion of these discussions, however,
Athena announced that it had agreed to sell the Arsenal Campus to Alexandria Real Estate Equities. The property transferred on
December 18, 2019.
Currently, Alexandria is gathering information to submit to the Commonwealth to answer the threshold question whether any future
economic activity at the site could qualify for I-Cubed funding. If the answer is in the affirmative, Alexandria would then be required
to submit a new EDP to the Town for approval and subsequent submission to the Commonwealth.
State Aid
On October 8, 2019, during the Fiscal Year 2021 Preliminary Budget Overview Presentation, the Fiscal Year 2021 State Aid Revenue
amount was projected to be level funded at $13,205,612, which is the Fiscal Year 2020 amount.
As indicated earlier,the Fiscal Year 2021 State Aid is projected to be a 20% reduction from the Fiscal Year 2020 amount. Therefore,
the Fiscal Year 2021 State Aid is $10,'565,000, a decrease of$2,640,612 below the Fiscal Year 2020 amount. If the Fiscal Year 2021
State Aid Revenue changes adjustments will be made at that time.
The following tables titled "Fiscal Year 2010, 2011, 2012, 2013, 2014, 2015, 2016, 2017, 2018 , 2019, 2020 &2021 Budget
Presentation Summary"represent the background and the progression of the Fiscal Year 2021 Budget development. A chart is also
included on the fourteenth table outlining spending from Fiscal Year 2009 up to and including the Submitted Fiscal Year 2021
Budget.
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FISCAL YEAR 2010 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2009 FY 2010 FY 10
BUDGET BUDGET TO FY09
REVENUE:
TAXES $ 66,633,934 69.63% $ 68,870,136 72.40% $ 2,236,202 3.36%
STATE AID $ 12,929,784 13.51% $ 10,589,035 11.13% $ (2,340,749) -18.10%
LOCAL RECEIPTS $ 10,728,827 11.21% $ 10,174,489 10.70% $ (554,338) -5.17%
OTHER FINANCING SOURCES $ 5,400,486 5.64% $ 5,484,505 5.77% $ 84,019 1.56%
TOTAL REVENUE $ 95,693,031 100% $ 95,118,165 100% $ (574,866)
-0.60%
EXPENDITURES:
EDUCATION APPROPRIATION $ 31,846,000 33.28% $ 32,927,708 34.62% $ 1,081,708 3.40%
TOWN DEPTS. APPROPRIATIONS $ 27,526,586 28.77% $ 26,784,554 28.16% $ (742,032) -2.70%
WASTE DISPOSAL $ 3,117,793 3.26% $ 3,149,695 3.31% $ 31,902 1.02%
SNOW& ICE $ 1,756,001 1.84% $ 762,324 0.80% $ (993,677) -56.59%
STATE ASSESSMENTS $ 2,087,290 2.18% $ 2,251,870 2.37% $ 164,580 7.88%
PENSION COSTS $ 7,325,580 7.66% $ 7,645,088 8.04% $ 319,508 4.36%
INSURANCE & EMPLY. BENEFITS $ 13,353,713 13.95% $ 12,127,710 12.75% $ (1,226,003) -9.18%
DEBTAND INTEREST $ 6,345,007 6.63% $ 6,783,584 7.13% $ 438,577 6.91%
CAPITAL PROJECTS & OFU $ 2,335,061 2.44% $ 2,685,632 2.82% $ 350,571 15.01%
TOTAL EXPENDITURES $ 95,693,031 100% $ 95,118,165 100% $ (574,866)
-0.60%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
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FISCAL YEAR 2011 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2010 FY 2011 FY 11
BUDGET BUDGET TO FY 10
REVENUE:
TAXES $ 68,870,136 72.40% $ 71,404,348 73.82% $ 2,534,212 3.68%
STATE AID $ 10,589,035 11.13% $ 10,007,422 10.35% $ (581,613) -5.49%
LOCAL RECEIPTS $ 10,174,489 10.70% $ 10,190,648 10.53% $ 16,159 0.16%
OTHER FINANCING SOURCES $ 5,484,505 5.77% $ 5,131,289 5.30% $ (353,216) -6.44%
TOTAL REVENUE $ 95,118,165 100% $ 96,733,707 100% $ 1,615,542
1.70%
EXPENDITURES:
EDUCATION APPROPRIATION $ 32,927,708 34.62% $ 33,471,000 34.60% $ 543,292 1.65%
TOWN DEPTS. APPROPRIATIONS $ 26,784,554 28.16% $ 26,746,780 27.65% $ (37,774) -0.14%
WASTE DISPOSAL $ 3,149,695 3.31% $ 3,210,961 3.32% $ 61,266 1.95%
SNOW& ICE $ 762,324 0.80% $ 1,502,402 1.55% $ 740,078 97.08%
STATE ASSESSMENTS $ 2,251,870 2.37% $ 2,161,479 2.23% $ (90,391) -4.01%
PENSION COSTS $ 7,645,088 8.04% $ 8,498,329 8.79% $ 853,241 11.16%
INSURANCE & EMPLY. BENEFITS $ 12,127,710 12.75% $ 12,617,192 13.04% $ 489,482 4.04%
DEBTAND INTEREST $ 6,783,584 7.13% $ 6,943,336 7.18% $ 159,752 2.35%
CAPITAL PROJECTS & OFU $ 2,685,632 2.82% r$ 1,582,228 1.64% $ (1,103,404) -41.09%
TOTAL EXPENDITURES $ 95,118,165 100% $ 96,733,707 100% $ 1,615,542
1.70%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
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FISCAL YEAR 2012 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2011 FY 2012 FY 12
BUDGET BUDGET TO FY11
REVENUE:
TAXES $ 71,404,348 73.82% $ 74,139,036 73.99% $ 2,734,688 3.83%
STATE AID $ 10,007,422 10.35% $ 9,587,202 9.57% $ (420,220) -4.20%
LOCAL RECEIPTS $ 10,190,648 10.53% $ 11,182,499 11.16% $ 991,851 9.73%
OTHER FINANCING SOURCES $ 5,131,289 5.30% $ 5,287,263 5.28% $ 155,974 3.04%
TOTAL REVENUE $ 96,733,707 100% $ 100,196,000 100% $ 3,462,293
3.58%
EXPENDITURES:
EDUCATION APPROPRIATION $ 33,471,000 34.60% $ 34,140,000 34.07% $ 669,000 2.00%
TOWN DEPTS. APPROPRIATIONS $ 26,746,780 27.65% $ 27,504,055 27.45% $ 757,275 2.83%
WASTE DISPOSAL $ 3,210,961 3.32% $ 3,236,940 3.23% $ 25,979 0.81%
SNOW& ICE $ 1,502,402 1.55% $ 882,000 0.88% $ (620,402) -41.29%
STATE ASSESSMENTS $ 2,161,479 2.23% $ 2,211,377 2.21% $ 49,898 2.31%
PENSION COSTS $ 8,498,329 8.79% $ 8,822,766 8.81% $ 324,437 3.82%
INSURANCE & EMPLY. BENEFITS $ 12,617,192 13.04% $ 13,283,889 13.26% $ 666,697 5.28%
DEBTAND INTEREST $ 6,943,336 7.18% $ 7,163,595 7.15% $ 220,259 3.17%
CAPITAL PROJECTS & OFU $ 1,582,228 1.64% $ 2,951,378 2.95% $ 1,369,150 86.53%
TOTAL EXPENDITURES $ 96,733,707 100% $ 100,196,000 100% $ 3,462,293
3.58%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
14
FISCAL YEAR 2013 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2012 FY 2013 FY 13
BUDGET BUDGET TO FY12
REVENUE:
TAXES $ 74,139,036 73.99% $ 77,348,790 75.08% $ 3,209,754 4.33%
STATE AID $ 9,587,202 9.57% $ 10,109,449 9.81% $ 522,247 5.45%
LOCAL RECEIPTS $ 11,182,499 11.16% $ 10,081,517 9.79% $ (1,100,982) -9.85%
OTHER FINANCING SOURCES $ 5,287,263 5.28% $ 5,480,724 5.32% $ 193,461 3.66%
TOTAL REVENUE $ 100,196,000 100% $ 103,020,480 100% $ 2,824,480
2.82%
EXPENDITURES:
EDUCATION APPROPRIATION $ 34,140,000 34.07% $ 35,335,000 34.30% $ 1,195,000 3.50%
TOWN DEPTS. APPROPRIATIONS $ 27,504,055 27.45% $ 27,815,764 27.00% $ 311,709 1.13%
WASTE DISPOSAL $ 3,236,940 3.23% $ 2,721,926 2.64% $ (515,014) -15.91%
SNOW& ICE $ 882,000 0.88% $ 1,220,718 1.18% $ 338,718 38.40%
STATE ASSESSMENTS $ 2,211,377 2.21% $ 2,239,561 2.17% $ 28,184 1.27%
PENSION COSTS $ 8,822,766 8.81% $ 9,421,500 9.15% $ 598,734 6.79%
INSURANCE & EMPLY. BENEFITS $ 13,283,889 13.26% $ 12,765,490 12.39% $ (518,399) -3.90%
DEBTAND INTEREST $ 7,163,595 7.15% $ 6,825,486 6.63% $ (338,109) -4.72%
CAPITAL PROJECTS & OFU $ 2,951,378 2.95% $ 4,675,035 4.54% $ 1,723,657 58.40%
TOTAL EXPENDITURES $ 100,196,000 100% $ 103,020,480 100% $ 2,824,480
2.82%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
15
FISCAL YEAR 2014 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2013 FY 2014 FY 14
BUDGET BUDGET TO FY13
REVENUE:
TAXES $ 77,348,790 75.08% $ 81,642,981 75.45% $ 4,294,191 5.55%
STATE AID $ 10,109,449 9.81% $ 10,834,771 10.01% $ 725,322 7.17%
LOCAL RECEIPTS $ 10,081,517 9.79% $ 8,967,523 8.29% $ (1,113,994) -11.05%
OTHER FINANCING SOURCES $ 5,480,724 5.32% $ 6,761,096 6.25% $ 1,280,372 23.36%
TOTAL REVENUE $ 103,020,480 100% $ 108,206,371 100% $ 5,185,891
5.03%
EXPENDITURES:
EDUCATION APPROPRIATION $ 35,335,000 34.30% $ 36,675,000 33.89% $ 1,340,000 3.79%
EDUCATION 1 TIME CURRICULUM $ - 0.00% $ 210,000 0.19% $ 210,000
EDUCATION SUB-TOTAL $ 35,335,000 34.30% $ 36,885,000 34.09% $ 1,550,000 4.39%
TOWN DEPTS.APPROPRIATIONS $ 27,815,764 27.00% $ 27,853,938 25.74% $ 38,174 0.14%
WASTE DISPOSAL $ 2,721,926 2.64% $ 2,849,740 2.63% $ 127,814 4.70%
SNOW& ICE $ 1,220,718 1.18% $ 1,656,265 1.53% $ 435,547 35.68%
STATE ASSESSMENTS $ 2,239,561 2.17% $ 2,253,730 2.08% $ 14,169 0.63%
PENSION COSTS $ 9,421,500 9.15% $ 10,669,126 9.86% $ 1,247,626 13.24%
INSURANCE & EMPLY. BENEFITS $ 12,765,490 12.39% $ 13,881,480 12.83% $ 1,115,990 8.74%
DEBTAND INTEREST $ 6,825,486 6.63% $ 7,010,989 6.48% $ 185,503 2.72%
CAPITAL PROJECTS & OFU $ 4,675,035 4.54% $ 5,146,103 4.76% $ 471,068 10.08%
TOTAL EXPENDITURES $ 103,020,480 100% $ 108,206,371 100% $ 5,185,891
5.03%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
16
FISCAL YEAR 2015 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2014 FY 2015 FY 15
BUDGET BUDGET TO FY14
REVENUE:
TAXES $ 81,642,981 75.45% $ 85,765,298 75.24% $ 4,122,317 5.05%
STATE AID $ 10,834,771 10.01% $ 11,435,127 10.03% $ 600,356 5.54%
LOCAL RECEIPTS $ 8,967,523 8.29% $ 9,335,470 8.19% $ 367,947 4.10%
OTHER FINANCING SOURCES $ 6,761,096 6.25% $ 7,453,827 6.54% $ 692,731 10.25%
TOTAL REVENUE $ 108,206,371 100% $ 113,989,722 100% $ 5,783,351
5.34%
EXPENDITURES:
EDUCATION APPROPRIATION $ 36,675,000 33.89% $ 39,232,000 34.42% $ 2,557,000 6.97%
EDUCATION 1 TIME CURRICULUM $ 210,000 0.19% $ 750,000 0.66% $ 540,000 257.14%
EDUCATION SUB-TOTAL $ 36,885,000 34.09% $ 39,982,000 35.08% $ 3,097,000 8.40%
TOWN DEPTS. APPROPRIATIONS $ 27,853,938 25.74% $ 29,327,246 25.73% $ 1,473,308 5.29%
WASTE DISPOSAL $ 2,849,740 2.63% $ 2,958,335 2.60% $ 108,595 3.81%
SNOW& ICE $ 1,656,265 1.53% $ 2,248,918 1.97% $ 592,653 35.78%
STATE ASSESSMENTS $ 2,253,730 2.08% $ 2,435,346 2.14% $ 181,616 8.06%
PENSION COSTS $ 10,669,126 9.86% $ 12,309,391 10.80% $ 1,640,265 15.37%
INSURANCE & EMPLY. BENEFITS $ 13,881,480 12.83% $ 13,362,515 11.72% $ (518,965) -3.74%
DEBTAND INTEREST $ 7,010,989 6.48% $ 6,830,178 5.99% $ (180,811) -2.58%
CAPITAL PROJECTS & OFU $ 5,146,103 4.76% $ 4,535,793 3.98% $ (610,310) -11.86%
TOTAL EXPENDITURES $ 108,206,371 100% $ 113,989,722 100% $ 5,783,351
5.34%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
17
FISCAL YEAR 2016 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2015 FY 2016 FY 16
BUDGET BUDGET TOFY15
REVENUE:
TAXES $ 85,765,298 75.24% $ 90,000,507 73.50% $ 4,235,209 4.94%
STATE AID $ 11,435,127 10.03% $ 11,698,728 9.55% $ 263,601 2.31%
LOCAL RECEIPTS $ 9,335,470 8.19% $ 10,310,240 8.42% $ 974,770 10.44%
OTHER FINANCING SOURCES $ 7,453,827 6.54% $ 10,446,953 8.53% $ 2,993,126 40.16%
TOTAL REVENUE $ 113,989,722 100% $ 122,456,428 100% $ 8,466,706
7.43%
EXPENDITURES:
EDUCATION APPROPRIATION $ 39,232,000 34.42% $ 41,452,000 33.85% $ 2,220,000 5.66%
EDUCATION 1 TIME CURRICULUM $ 750,000 0.66% $ 375,000 0.31% $ (375,000) -50.00%
EDUCATION SUB-TOTAL $ 39,982,000 35.08% $ 41,827,000 34.16% $ 1,845,000 4.61%
TOWN DEPTS. APPROPRIATIONS $ 29,327,246 25.73% $ 35,335,251 28.86% $ 6,008,005 20.49%
WASTE DISPOSAL $ 2,958,335 2.60% $ 2,967,835 2.42% $ 9,500 0.32%
SNOW& ICE $ 2,248,918 1.97% $ 1,031,000 0.84% $ (1,217,918) -54.16%
STATE ASSESSMENTS $ 2,435,346 2.14% $ 2,448,681 2.00% $ 13,335 0.55%
PENSION COSTS $ 12,309,391 10.80% $ 13,851,481 11.31% $ 1,542,090 12.53%
INSURANCE & EMPLY. BENEFITS $ 13,362,515 11.72% $ 14,674,077 11.98% $ 1,311,562 9.82%
DEBTAND INTEREST $ 6,830,178 5.99% $ 7,498,434 6.12% $ 668,256 9.78%
CAPITAL PROJECTS & OFU $ 4,535,793 3.98% $ 2,822,669 2.31% $ (1,713,124) -37.77%
TOTAL EXPENDITURES $ 113,989,722 100% $ 122,456,428 100% $ 8,466,706
7.43%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
18
FISCAL YEAR 2017 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2016 FY 2017 FY 17
BUDGET BUDGET TO FY 16
REVENUE:
TAXES $ 90,000,507 73.50% $ 94,833,185 74.35% $ 4,832,678 5.37%
STATE AID $ 11,698,728 9.55% $ 12,110,620 9.50% $ 411,892 3.52%
LOCAL RECEIPTS $ 10,310,240 8.42% $ 12,338,014 9.67% $ 2,027,774 19.67%
OTHER FINANCING SOURCES $ 10,446,953 8.53% $ 8,264,097 6.48% $ (2,182,856) -20.89%
TOTAL REVENUE $ 122,456,428 100% $ 127,545,916 100% $ 5,089,488
4.16%
EXPENDITURES:
EDUCATION APPROPRIATION $ 41,452,000 33.85% $ 43,577,000 34.17% $ 2,125,000 5.13%
EDUCATION 1 TIME CURRICULUM $ 375,000 0.31% $ 375,000 0.29% $ - 0.00%
EDUCATION SUB-TOTAL $ 41,827,000 34.16% $ 43,952,000 34.46% $ 2,125,000 5.08%
TOWN DEPTS. APPROPRIATIONS $ 35,335,251 28.86% $ 33,236,580 26.06% $ (2,098,671) -5.94%
WASTE DISPOSAL $ 2,967,835 2.42% $ 3,062,052 2.40% $ 94,217 3.17%
SNOW& ICE $ 1,031,000 0.84% $ 1,902,277 1.49% $ 871,277 84.51%
STATE ASSESSMENTS $ 2,448,681 2.00% $ 2,515,878 1.97% $ 67,197 2.74%
PENSION COSTS $ 13,851,481 11.31% $ 15,401,884 12.08% $ 1,550,403 11.19%
INSURANCE & EMPLY. BENEFITS $ 14,674,077 11.98% $ 14,605,960 11.45% $ (68,117) -0.46%
DEBTAND INTEREST $ 7,498,434 6.12% $ 7,413,262 5.81% $ (85,172) -1.14%
CAPITAL PROJECTS & OFU $ 2,822,669 2.31% $ 5,456,023 4.28% $ 2,633,354 93.29%
TOTAL EXPENDITURES $ 122,456,428 100% $ 127,545,916 100% $ 5,089,488
4.16%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
19
FISCAL YEAR 2018 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2017 FY 2018 FY 18
BUDGET BUDGET TO FY 17
REVENUE:
TAXES $ 94,833,185 74.35% $ 100,290,991 75.66% $ 5,457,806 5.76%
STATE AID $ 12,110,620 9.50% $ 12,738,266 9.61% $ 627,646 5.18%
LOCAL RECEIPTS $ 12,338,014 9.67% $ 12,435,607 9.38% $ 97,593 0.79%
OTHER FINANCING SOURCES $ 8,264,097 6.48% $ 7,089,556 5.35% $ (1,174,541) -14.21%
TOTAL REVENUE $ 127,545,916 100% $ 132,554,420 100% $ 5,008,504
3.93%
EXPENDITURES:
EDUCATION APPROPRIATION $ 43,577,000 34.17% $ 45,551,858 34.36% $ 1,974,858 4.53%
EDUCATION 1 TIME CURRICULUM $ 375,000 0.29% $ - 0.00% $ (375,000) -100.00%
EDUCATION SUB-TOTAL $ 43,952,000 34.46% $ 45,551,858 34.36% $ 1,599,858 3.64%
TOWN DEPTS.APPROPRIATIONS $ 33,236,580 26.06% $ 35,072,051 26.46% $ 1,835,471 5.52%
WASTE DISPOSAL $ 3,062,052 2.40% $ 3,013,658 2.27% $ (48,394) -1.58%
SNOW& ICE $ 1,902,277 1.49% $ 1,874,736 1.41% $ (27,541) -1.45%
STATE ASSESSMENTS $ 2,515,878 1.97% $ 2,650,379 2.00% $ 134,501 5.35%
PENSION COSTS $ 15,401,884 12.08% $ 16,939,961 12.78% $ 1,538,077 9.99%
INSURANCE & EMPLY. BENEFITS $ 14,605,960 11.45% $ 14,771,601 11.14% $ 165,641 1.13%
DEBTAND INTEREST $ 7,413,262 5.81% $ 8,464,158 6.39% $ 1,050,896 14.18%
CAPITAL PROJECTS & OFU $ 5,456,023 4.28% $ 4,216,018 3.18% $ (1,240,005) -22.73%
TOTAL EXPENDITURES $ 127,545,916 100% $ 132,554,420 100% $ 5,008,504
3.93%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
20
FISCAL YEAR 2019 BUDGET PRESENTATION SUMMARY
FINAL FINAL VARIANCE
FY 2018 FY 2019 FY 19
BUDGET BUDGET TO FY 18
REVENUE:
TAXES $ 100,290,991 75.66% $ 108,548,765 76.32% $ 8,257,773 8.23%
STATE AID $ 12,738,266 9.61% $ 12,321,277 8.66% $ (416,989) -3.27%
LOCAL RECEIPTS $ 12,435,607 9.38% $ 12,828,643 9.02% $ 393,036 3.16%
OTHER FINANCING SOURCES $ 7,089,556 5.35% $ 8,525,380 5.99% $ 1,435,824 20.25%
TOTAL REVENUE $ 132,554,420 100% $ 142,224,065 100% $ 9,669,645
7.29%
EXPENDITURES:
EDUCATION APPROPRIATION $ 45,551,858 34.36% $ 48,039,451 33.78% $ 2,487,593 5.46%
TOWN DEPTS.APPROPRIATIONS $ 35,072,051 26.46% $ 37,004,507 26.02% $ 1,932,456 5.51%
WASTE DISPOSAL $ 3,013,658 2.27% $ 3,099,162 2.18% $ 85,504 2.84%
SNOW& ICE $ 1,874,736 1.41% $ 1,564,810 1.10% $ (309,926) -16.53%
STATE ASSESSMENTS $ 2,650,379 2.00% $ 2,613,656 1.84% $ (36,723) -1.39%
PENSION COSTS $ 16,939,961 12.78% $ 18,485,572 13.00% $ 1,545,611 9.12%
INSURANCE & EMPLY. BENEFITS $ 14,771,601 11.14% $ 15,254,735 10.73% $ 483,134 3.27%
DEBTAND INTEREST $ 8,464,158 6.39% $ 6,175,796 4.34% $ (2,288,362) -27.04%
CAPITAL PROJECTS $ 2,288,754 1.73% $ 5,759,059 4.05% $ 3,470,305 151.62%
OTHER FINANCING USES $ 1,904,191 1.44% $ 3,519,841 2.47% $ 1,615,650 84.85%
TOWN COUNCIL RESERVE $ 23,073 0.02% $ 707,476 0.50% $ 684,403 2966.25%
TOTAL EXPENDITURES $ 132,554,420 100% $ 142,224,065 100% $ 9,669,645
7.29%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
21
FISCAL YEAR 2020 BUDGET PRESENTATION SUMMARY
FINAL CURRENT VARIANCE
FY 2019 FY 2020 FY20
BUDGET BUDGET TO FY19
REVENUE:
TAXES $ 108,548,765 76.32% $ 116,106,127 77.45% $ 7,557,361 6.96%
STATE AID $ 12,321,277 8.67% $ 13,205,612 8.81% $ 884,335 7.18%
LOCAL RECEIPTS $ 12,828,643 9.02% $ 13,406,684 8.94% $ 578,041 4.51%
OTHER FINANCING SOURCES $ 8,525,380 5.99% $ 7,193,386 4.80% $ (1,331,994) -15.62%
TOTAL REVENUE $ 142,224,065 100.00% $ 149,911,809 100% $ 7,687,744
5.41%
EXPENDITURES:
EDUCATION APPROPRIATION $ 48,039,451 33.78% $ 50,441,424 33.65% $ 2,401,973 5.00%
TOWN DEPTS. APPROPRIATIONS $ 37,004,507 26.02% $ 39,049,134 26.05% $ 2,044,627 5.53%
WASTE DISPOSAL $ 3,099,162 2.18% $ 3,187,237 2.13% $ 88,075 2.84%
SNOW& ICE $ 1,564,810 1.10% $ 1,415,000 0.94% $ (149,810) -9.57%
STATE ASSESSMENTS $ 2,613,656 1.84% $ 2,717,478 1.81% $ 103,822 3.97%
PENSION COSTS $ 18,485,572 13.00% $ 21,196,816 14.14% $ 2,711,244 14.67%
INSURANCE & EMPLY. BENEFITS $ 15,254,735 10.73% $ 16,077,026 10.72% $ 822,291 5.39%
DEBTAND INTEREST $ 6,175,796 4.34% $ 9,764,794 6.51% $ 3,588,998 58.11%
CAPITAL PROJECTS $ 5,759,059 4.05% $ 2,458,303 1.64% $ (3,300,756) -57.31%
OTHER FINANCING USES $ 3,519,841 2.47% $ 884,968 0.59% $ (2,634,873) -74.86%
TOWN COUNCIL RESERVE $ 707,476 0.50% $ 2,719,629 1.81% $ 2,012,153 284.41%
TOTAL EXPENDITURES $ 142,224,065 100% $ 149,911,809 100% $ 7,687,744
5.41%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
22
FISCAL YEAR 2021 BUDGET PRESENTATION SUMMARY (PART 1)
CURRENT MANAGERS VARIANCE
FY 2020 PROPOSED FY21
BUDGET FY 2021 TO FY20
REVENUE:
TAXES $ 116,106,127 77.45% $ 122,210,655 80.17% $ 6,104,528 5.26%
STATE AID $ 13,205,612 8.81% $ 10,565,000 6.93% $ (2,640,612) -20.00%
LOCAL RECEIPTS $ 13,406,684 8.94% $ 12,042,635 7.90% $ (1,364,049) -10.17%
OTHER FINANCING SOURCES $ 7,193,386 4.80% $ 7,623,710 5.00% $ 430,324 5.98%
TOTAL REVENUE $ 149,911,809 100% $ 152,442,000 100% $ 2,530,191
1.69%
EXPENDITURES:
EDUCATION APPROPRIATION $ 50,441,424 33.65% $ 51,937,315 34.07% $ 1,495,891 2.97%
TOWN DEPTS. APPROPRIATIONS $ 39,049,134 26.05% $ 39,822,806 26.12% $ 773,672 1.98%
WASTE DISPOSAL $ 3,187,237 2.13% $ 3,388,265 2.22% $ 201,028 6.31%
SNOW& ICE $ 1,415,000 0.94% $ 1,500,000 0.98% $ 85,000 6.01%
STATE ASSESSMENTS $ 2,717,478 1.81% $ 2,816,632 1.85% $ 99,154 3.65%
PENSION COSTS $ 13,180,613 8.79% $ 14,588,179 9.57% $ 1,407,566 10.68%
OPEB $ 8,016,203 5.35% $ 2,379,017 1.56% $ (5,637,186)
INSURANCE & EMPLY. BENEFITS $ 16,077,026 10.72% $ 16,996,300 11.15% $ 919,274 5.72%
DEBTAND INTEREST $ 9,764,794 6.51% $ 15,497,818 10.17% $ 5,733,024 58.71%
CAPITAL PROJECTS $ 2,458,303 1.64% $ 1,809,600 1.19% $ (648,703) -26.39%
OTHER FINANCING USES $ 884,968 0.59% $ 331,068 0.22% $ (553,900) -62.59%
TOWN COUNCIL RESERVE $ 2,719,629 1.81% $ 1,375,000 0.90% $ (1,344,629) -49.44%
TOTAL EXPENDITURES $ 149,911,809 100% $ 152,442,000 100% $ 2,530,191
1.69%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
23
FISCAL YEAR 2021 BUDGET PRESENTATION SUMMARY (PART 2)
PRE-OVERVIEW OCT. 2019 MANAGERS VARIANCE
PROJECTED PROPOSED PROPOSED
FY 2021 FY 2021 TO PROJECTED
REVENUE:
TAXES $ 122,646,475 78.46% $ 122,210,655 80.17% $ (435,820) -0.36%
STATE AID $ 13,205,612 8.45% $ 10,565,000 6.93% $ (2,640,612) -20.00%
LOCAL RECEIPTS $ 13,829,488 8.85% $ 12,042,635 7.90% $ (1,786,853) -12.92%
OTHER FINANCING SOURCES $ 6,643,742 4.25% $ 7,623,710 5.00% $ 979,968 14.75%
TOTAL REVENUE $ 156,325,317 100% $ 152,442,000 100% $ (3,883,317)
-2.48%
EXPENDITURES:
EDUCATION APPROPRIATION $ 52,963,495 34.00% $ 51,937,315 34.07% $ (1,026,180) -1.94%
TOWN DEPTS. APPROPRIATIONS $ 39,476,794 25.34% $ 39,822,806 26.12% $ 346,012 0.88%
WASTE DISPOSAL $ 3,346,599 2.15% $ 3,388,265 2.22% $ 41,666 1.25%
SNOW& ICE $ 1,500,000 0.96% $ 1,500,000 0.98% $ - 0.00%
STATE ASSESSMENTS $ 2,799,450 1.80% $ 2,816,632 1.85% $ 17,182 0.61%
PENSION COSTS $ 14,625,789 9.39% $ 14,588,179 9.57% $ (37,610) -0.26%
OPEB $ 4,213,487 2.70% $ 2,379,017 1.56% $ (1,834,470) -43.54%
INSURANCE & EMPLY. BENEFITS $ 17,190,498 11.04% $ 16,996,300 11.15% $ (194,198) -1.13%
DEBTAND INTEREST $ 14,436,334 9.27% $ 15,497,818 10.17% $ 1,061,484 7.35%
CAPITAL PROJECTS $ 2,028,630 1.30% $ 1,809,600 1.19% $ (219,030) -10.80%
OTHER FINANCING USES $ 637,412 0.41% $ 331,068 0.22% $ (306,344) -48.06%
TOWN COUNCIL RESERVE $ 2,550,000 1.64% $ 1,375,000 0.90% $ (1,175,000) -46.08%
TOTAL EXPENDITURES $ 155,768,488 100% $ 152,442,000 100% $ (3,326,488)
-2.14%
PROJECTED SURPLUS/(DEFICIT) $ 556,829 $ - $ (556,829)
24
FISCAL YEAR 2021 BUDGET PRESENTATION SUMMARY (PART 3)
FINAL MANAGER"S VARIANCE VARIANCE AVERAGE
FY 2009 PROPOSED FY21 %FY21 ANNUAL %
BUDGET FY 2021 TO FY09 TO FY09 INC. OR DEC.
REVENUE:
TAXES $ 66,633,934 69.63% $ 122,210,655 80.17% $ 55,576,721 83.41% 6.95%
STATE AID $ 12,929,784 13.51% $ 10,565,000 6.93% $ (2,364,784) -18.29% -1.52%
LOCAL RECEIPTS $ 10,728,827 11.21% $ 12,042,635 7.90% $ 1,313,808 12.25% 1.02%
OTHER FINANCING SOURCES $ 5,400,486 5.64% $ 7,623,710 5.00% $ 2,223,224 41.17% 3.43%
TOTAL REVENUE $ 95,693,031 100% $ 152,442,000 100% $ 56,748,969
59.30%
EXPENDITURES:
EDUCATION APPROPRIATION $ 31,846,000 33.28% $ 51,937,315 34.07% $ 20,091,315 63.09% 5.26%
TOWN DEPTS.APPROPRIATIONS $ 27,526,586 28.77% $ 39,822,806 26.12% $ 12,296,220 44.67% 3.72%
WASTE DISPOSAL $ 3,117,793 3.26% $ 3,388,265 2.22% $ 270,472 8.68% 0.72%
SNOW& ICE $ 1,756,001 1.84% $ 1,500,000 0.98% $ (256,001) -14.58% -1.21%
STATE ASSESSMENTS $ 2,087,290 2.18% $ 2,816,632 1.85% $ 729,342 34.94% 2.91%
PENSION COSTS $ 7,325,580 7.66% $ 14,588,179 9.57% $ 7,262,599 99.14% 8.26%
OPEB $ - 0.00% $ 2,379,017 1.56% $ 2,379,017 0.00%
INSURANCE & EMPLY. BENEFITS $ 13,353,713 13.95% $ 16,996,300 11.15% $ 3,642,587 27.28% 2.27%
DEBTAND INTEREST $ 6,345,007 6.63% $ 15,497,818 10.17% $ 9,152,811 144.25% 12.02%
CAPITAL PROJECTS $ 1,220,638 1.28% $ 1,809,600 1.19% $ 588,962 48.25% 4.02%
OTHER FINANCING USES $ 316,500 0.33% $ 331,068 0.22% $ 14,568 4.60% 0.38%
TOWN COUNCIL RESERVE $ 23,362 0.02% $ 1,375,000 0.90% $ 1,351,638 5785.63% 482.14%
GOVERNOR'S MID YEAR 9C CUT $ 774,561 0.81% $ - 0.00% $ 774,561 -100.00% -8.33%
TOTAL EXPENDITURES $ 95,693,031 100% $ 152,442,000 100% $ 56,748,969
59.30%
PROJECTED SURPLUS/(DEFICIT) $ - $ - $ -
25
FINANCIAL HIGHLIGHTS
The Submitted Fiscal Year 2021 Budget includes Revenues and Expenditures each totaling $152,442,000, which represents an
increase of$2,530,191 and a 1.69% increase from the Fiscal Year 2020 Revised Budget. For comparison purposes,the following is a
summary of the increases/decrease along with the related percentages from Fiscal Year 2010 through the Submitted Fiscal Year 2021
Budget.
Fiscal Year Dollar Increase/Decrease Percentage Increase/Decrease
2010 ($574,866) (.60%)
2011 $ 1,615,542 1.70%
2012 $ 3,462,293 3.58%
2013 $ 2,824,480 2.82%
2014 $ 5,185,891 5.03%
2015 $ 5,783,351 5.34%
2016 $ 8,466,706 7.43%
2017 $ 5,089,488 4.16%
2018 $ 5,008,504 3.93%
2019 $ 9,669,645 7.29%
2020 $ 7,687,744 5.41%
2021 $ 2,530,191 1.69%
TOTAL $56,748,969 59.30%(4.94%12 year average)
The charts on pages 12 through 25 of this message further outline the above mentioned changes.
The Submitted Fiscal Year 2021 Budget fully utilizes the local property tax and includes estimated New Growth of$3,100,000. Real
& Personal Property Taxes of$122,210,655 represents 80.17% of the Fiscal Year 2021 revenues.
The Watertown real estate market remained strong through Fiscal Year 2020. With the onset of COVID-19, the Chairman of the
Board of Assessors anticipates residential property values will cease appreciating and buyer competition will dwindle as potential
homebuyers grow concerned about employment and finances. Bidding wars will cease and average marketing time will return to a
historical norm of 90+- days. Supply and demand will no longer be out of balance. Dependent on the length of time of the disruption
from COVID-19, median sale prices of all classes of residential property should stabilize and possibly soften. Apartment rents should
stabilize and rental concessions may become more prominent to attract and maintain tenants.
Uncertainty surrounds the commercial and industrial market. With retail stores systemic decline with on-line shopping experiences,
the trend of marketing for retail tenants that provide experiences (dining, movie, fitness, etc.) has emerged. With social distancing, the
ability to attract, sign and maintain these tenants may prove difficult. Life Science remains a bright spot with the hope of a timely
26
vaccine or treatment, but venture funding for startups may dry up. Stimulus should help soften the decline and with interest rates near
zero, any slowdown may be short lived. Watertown continues to be a desirable place to live, work and enjoy leisure activities.
The following chart titled "Community Comparison for Fiscal Year 2020" shows the Town's average residential tax with the 24%
residential exemption adopted by the Honorable Town Council in comparison to six surrounding communities.
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COMMUNITY COMPARISON
For Fiscal Year 2020
FISCAL YEAR 2020
RES COMM Share of Value AVE RES AVE
TAX TAX RES CIP 2014 2015 2016 2017 2018 2019 2020 RES VALUE RES EXEMPT. RES
MUNICIPALITY RATE RATE % % SHIFT SHIFT SHIFT SHIFTSHIFT SHIFT SHIFT FY2020 EXEMPT. SAVINGS TAX
IBELMONT $11.00 $11.00 94.90 5.10 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $1,071,143 no $- $ 11,783
NEWTON $10.44 $19.92 82.50 17.50 1.74 1.74 1.75 1.75 1.75 1.75 1.75 $1,076,931 no $- $ 11,243
�ARLINGTON $11.06 $11.06 94.55 5.45 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $775,682 no $- $ 8,579
�WATERTOWN $12.14 $22.53 79.23 20.77 1.75 1.75 1.75 1.75 1.75 1.75 1.75 $723;586 24% $2,108 $ 6,676
�CAMBRIDGE $5.75 $12.68 58.84 41.16 1.69 1.70 1.73 1.71 1.66 1.64 1.59 $1,371,052 30% $2,365 $ 5,518
�BOSTON $10.56 $24.92 65.73 34.27 1.75 1.75 1.75 1.75 1.75 1.75 1.75 $779,164 35% $2,880 $ 5,348
IWALTHAM $11.95 $24.36 66.49 33.51 1.75 1.75 1.75 1.75 1.75 1.75 1.75 $611,123 35% $2,556 $4,747
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Local Receipts and Other Financing Sources
Revenues include a projected decrease in"Local Receipts" of$1,364,049 below the Fiscal Year 2020 revised level. The significant
changes in this category, as compared to the Fiscal Year 2020 revised budget, are as follows:
Motor Vehicle Excise ($435,000)
Medicaid Reimbursement ($320,000)
Ambulance Fees ($250,000)
Hotel Excise ($175,000)
Meals Excise ($137,500)
Revenues include a projected increase in"Other Financing Sources" of$430,324 above the Fiscal Year 2020 revised level, primarily
as a result of utilization of an additional $1,250,000 of Free Cash and reductions of$621,500 from the Collective Bargaining
Stabilization Fund and$100,000 from the Parking Meter Fund.
The changes in revenues, as compared to the Fiscal Year 2020 Revised Budget, are summarized as follows:
Real and Personal Property Taxes $ 6,104,528
State Aid ($ 2,640,612)
Local Receipts ($ 1,364,049)
Other Financing Sources $ 430,324
The significant changes in expenditures, as compared to the Fiscal Year 2020 Revised Budget, are as follows:
Debt Service (Three Elementary Schools Project) $ 5,492,183
Other Post-Employment Benefits (OPEB) ($ 5,637,186)
Education Appropriation $ 1,495,891
Pension $ 1,407,566
Debt Service (Streets & Sidewalks Improvements) $ 967,520
Insurance &Employee Benefits $ 919,274_
Public Buildings Department $ 532,468
Town Hall Maintenance ($ 346,016)
Information Technology $ 395,724
Waste Disposal $ 201,028
Town Council Reserve ($ 1,344,629)
Permanent Debt& Interest ($ 1,338,227)
Capital Projects ($ 648,703)
Transfer to Capital Project Stabilization Fund ($ 500,000)
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CAPITAL IMPROVEMENT PROGRAM
Pursuant to the provisions of the Watertown Home Rule Charter and the Town Council Resolution on the Fiscal Year 2021 Budget
Process, the Proposed Fiscal Year 2021-2025 Capital Improvement Program (CIP) was submitted to the Honorable Town Council on
February 4, 2020.
The Council's Committee on Budget and Fiscal Oversight met several times thereafter developing conceptual recommendations for
presentation to the Honorable Town Council for their review and adoption. On March 10, 2020,the Honorable Town Council adopted
twenty-eight (28) conceptual recommendations on the Fiscal Year 2021-2025 CIP as memorialized in the following excerpt from the
Committee minutes:
The conceptual recommendations are as follows:
1. Confirm the prior recommendation to proceed with the FYI proposed loan order for $900,000 for Moxley Park Courts
Renovations & Lighting (Design @ 100,000, Construction @ 800,000), subject to the condition that the Recreation
Department shall hold community meetings to develop a design proposal and have one or more informational presentations
to the Town Council.
2. Confirm the prior recommendation to proceed with the FY17 proposed loan order for $950,000 for improvements to the
Casey Park baseball area(Design @ 100,000, Construction @ 850,000), subject to the condition that the Recreation
Department shall hold community meetings to develop a design proposal and have one or more informational presentations
to the Town Council.
3. Confirm the prior recommendation to proceed with the FY17 loan order for Victory Field Phase 2 for$3,000,000 in
accordance with the Final Report of the Ad Hoc Committee on Victory Field Phase 2 dated June 28, 2018 as approved by
the Town Council on August 14, 2018, subject to the outcome of the High School Feasibility Study.
4. Regarding the FYI proposed loan order for$900,000 for the Filippello Park field lights and scoreboard upgrades,
which went out to bid in 2019 without first having an informational presentation to the Town Council:
• Recommend updating the loan order estimate from $900,000 to $1,320,825 to match the low bid plus CDM Smith
fees and contingency.
• Recommend proceeding with the loan order after making an informational presentation to the Town Council
including the review of plans and specifications.
5. Confirm the prior recommendation to proceed with the FYI proposed loan order for $385,000 for Administration
Building for asphalt roof shingle replacement,painting, and carpet.
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I
6. Confirm the prior recommendation to proceed with the FY18 proposed loan order for $325,000 for the Community Path
Design from Saltonstall Park to Taylor St, subject to coordination with the parking meter upgrades in the municipal parking
lots, which may require additional monies; and policy guidance from the Public Works Committee.
7. Confirm the prior recommendation to proceed with the FY19 proposed loan order for $877,000 for Public Works
Equipment consisting of:
• Highway Skid Steer @ 65,000
• Highway 48,000 GVW Dump Truck @ 243,000
• Snow&Ice 6 Wheel Combo Body Truck @ 265,000
• Snow& Ice Front Loader Blower Attachment @ 205,000
• Parks/Forestry Farm Tractor @ 75,000
• Parks/Forestry Infield Groomer @ 24,000
8. Confirm the prior recommendation to proceed with the FY19 proposed loan order for $300,000 for the Saltonstall Park
lighting improvements subject to the condition that the Recreation Department shall hold community meetings to develop a
design proposal and have one or more informational presentations to the Town Council.
9. Confirm the prior recommendation to proceed with the FY19 proposed loan order for $215,000 for Administration
Building Improvements consisting of:
• Fire Alarm System replacement @ 85,000
• Air Conditioning and Plumbing upgrades @ 130,000
10. Confirm the prior recommendation to proceed the prior recommendation to proceed with the FY19 proposed loan order for
$155,000 for Fire Station Improvements consisting of the following; however the East Station improvements may require
additional money subsequent to further review by the on-call architect:
• East Station HVAC and Plumbing upgrades @ 120,000
• Main Station apparatus bay floor recoating @ 35,000
11. Concur with the Police Department's decision to remove the request for the FY19 proposed loan order for $64,400 for
Police Department Equipment consisting of Installation of 1.5 miles of communication cable, as this work was already
performed using existing departmental capital money.
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12. Concur with the decision to move the following items for proposed FY20 loan orders to FY21 or FY22:
• Administration Building Improvements HVAC $1,100,000 to FY22 (was $1,055,000)
• Public Works equipment $590,000 to FY21
i. Highway Service Flatbed @ 85,000
ii. Snow& Ice 6 Wheel Salter @ 260,000
iii. Cemetery Off-road 4x4 Utility Vehicle @ 30,000
iv. Property &Buildings Sign Truck @ 120,000
v. Property & Buildings Garage Door Replacement @ 95,000
• Underground duct for utilities $300,000 to FY21
• Police Department radio equipment $1,167,000 to FY21 (was $175,900 CIP line 71,replaces CIP line 72 at
$1,060,500)
• Fire Department radio equipment$535,000 to FY21 (was $170,000 CIP line 51, replaces CIP line 52 at$486,000)
• Saltonstall Park gazebo $ 90,000 to FY21
13. For the "Building for the Future" Three Elementary Schools Project: endorse the revised borrowing plan of$75,000,000
in FY20, $60,000,000 in FY22, and$35,000,000 in FY23 within the confines of Proposition 21/2; and proceed with the
remaining FY20 proposed loan order for$58,478,109 (consisting of$75,000,000 minus prior loan orders of$12,441,016
for Design Services and $4,080,875 for the Owner's Project Manager.)
14. Confirm the prior recommendation to proceed with the FY20 proposed loan order for $4,300,000 for renovations of
Arsenal Park, subject to the condition that the Department of Community Development& Planning in conjunction with
the Conservation Commission and Recreation Department, shall hold community meetings to develop a design proposal
and have one or more informational presentations to the Town Council; and further shall be subject to the condition that
the Community Choice Grant, developer mitigation, and proposed I-Cubed funds will offset a portion of the costs.
15. Proceed with the FY20 proposed loan order for $3,000,000 for the Community Path Construction from Linear
Park to Taylor St, subject to the design process outlined in recommendation 46 above.
16. Proceed with the FY20 proposed loan order for$1,500,000 for the Connector Roads/Longer Streets Improvements in
accordance with the Public Works Committee report approved by the Town Council on September 10, 2019.
17. Proceed with FY20 proposed loan orders or transfer of funds for Various School Improvements in the Middle School for
$484,000 consisting:
• Remodel bathrooms @ 94,000 (reduced from$99,000)
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• Remodel men's locker room and bathrooms @ 295,000 (with an additional $253,000 coming from redirected
school capital funds previously appropriated)
• Design services to replace the boilers @$95,000
18. Proceed with the FY20 proposed loan order for Fire Station Improvements for$165,000 consisting of the following;
however the East Station improvements may require additional money subsequent to further review by the on-call
architect:
• East Station painting/carpet/lighting @ 115,000
• Main Station interior painting @ 50,000
19. Proceed with the FY20 proposed loan order for Police Station Improvements for $125,600 consisting of exterior
painting.
20. Proceed with the FY20 proposed loan order or a transfer of funds for Skating Arena Improvements for $45,000
consisting of:
• Security system upgrade @ 25,000
• Re-venting of dehumidification system @ 20,000
21. For the "Building for the Future" High School Project: endorse increasing the total estimate from $157,000,000 to
$200,000,000 to include related costs, to be funded with an estimated $50,000,000 from the MSBA grant program, and an
estimated $150,000,000 from a proposed debt-exclusion vote in calendar year 2021.
22. Proceed with the School Department's FY21 capital appropriation request of$2,829,000 for projects as shown in the
CIP as follows:
• $255,000 for various items to be funded with tax revenues.
• A Proposed Loan Order for Various School Improvements in the Middle School for$874,000 consisting of:
i. Remodel bathrooms @ 120,000
ii. Third floor air-conditioning @ 101,000
iii. Cafeteria air-conditioning @ 600,000
iv. Design of a new fire protection system @ 53,000
• A Proposed Loan Order for Boiler Replacement in the Middle School for$1,700,000, with approximately 48%to
be funded with a grant from the MSBA Accelerated Repair Program if the application is approved.
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23. Refer to the Public Works Committee, for policy guidance,plans for the FY21 $2,500,000 loan order (FY21 CIP Lines 292
& 298) for local road construction projects in the summer of 2021,plus plans for the FY21 $1,500,000 loan order for
connector roads/longer street projects (FY21 CIP Line 293), in accordance with Resolution 2013-76 Watertown's Ongoing
Capital Project Budget Guidelines.
24. Proceed with the FY20 MWRA Sewer Inflow& Infiltration Local Financial Assistance Program for $1,050,000 consisting
of a$787,500 grant and a $262,500 interest-free loan order; plus proceed with the FY20 MWRA Local Water System
Assistance Program $500,000 interest-free loan order to replace outdated unlined cast iron water mains.
25. Confirm the prior recommendation to proceed with the FY19 proposed Sewer Enterprise Fund loan order for$270,000 for a
Heavy-duty Crane; and the prior recommendation to proceed with the FYI proposed Water Enterprise Fund loan order for
$60,000 for a Utility Truck.
26. Concur with the decision to move the following items for proposed FY20 loan orders to FY21:
• Sewer Enterprise Fund Street Sweeper @ 250,000
• Water Enterprise Fund Utility Truck @ 60,000
27. Concur with the recommendation to change the Mt Auburn Street reconstruction estimate in FY22 from $15M to $21M
based on the 25% design submitted to MassDOT (CIP line 289).
28. Concur with the Town Manager's recommendation for the Town Council to continue discussion on the following items:
• Reuse of Town Buildings (Former North Branch Library & Former Police Station)
• Record Storage Management& related issues
• Department of Public Works Staging Areas
• Acquisition of Land for open Space and/or Recreation use.
4 ACTION ITEM- Councilor Donato made a motion, seconded by Councilor Kounelis, to ask the Town Council to adopt the
above 28 conceptual recommendations. Voted 3-0
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Finally,the Committee reviewed the summary of the current proposed FY2021 capital spending as of February 10, 2020, based on
the updated revenue and expenditure forecasts which were first presented at the October 8, 2019 Preliminary Budget Overview.
The "Building for the Future" FY21 capital spending is as follows:
Principal &Interest-Elem School Feasibility 258,000
Principal-Elem School Design 626,016
Est. Interest-Elem School Design 559,846
Principal-Elem School OPM 205,875
Est. Interest-Elem School OPM 183,639
Principal-HS Feasibility Study 80,000
Est. Interest-HS Feasibility Study 72,000
Principal-Elem School Construction 1 of 3 2,923,905
Est. Interest-Elem School Construction 1 of 3 2,565,727
Total Building for the Future debt service 7,475,008
The revised total FY21 estimated capital spending would be $18,609,445.
a) Based on the revised FY21 revenue projections of$156,722,730, the total proposed FY21 capital spending would be
11.87% of the budget, or 7.10%without the "Building for the Future"initiative.
b) Based on the revised FY21 expenditure assumptions of$156,208,469, the total proposed FY21 capital spending would be
11.91% of the budget, or 7.13%without the "Building for the Future"initiative.
4 ACTION ITEM.- Councilor Kounelis made a motion, seconded by Councilor Donato, to ask the Town Council to recommend
that the Town Manager maintain the FY2021 capital spending so that it does not exceed 8% of the submitted FY2021 operating
budget in order to meet the Town Council's Budget Policy Guideline that the Town should seek to make capital expenditures
(including debt and exclusive of the school Building for the Future Initiative funding and enterprise funds) equal to at least 7.5-
8% of the operating budget. Voted 3-0
The Submitted Fiscal Year 2021-2025 Capital Improvement Program is included within the Submitted Fiscal Year 2021 Budget and
incorporates all of these adopted conceptual recommendations.
The Honorable Town Council's Ongoing Budget Policy Guideline I.B. reads as follows: "Capital Expenditures: In order to maintain
and improve infrastructure, facilities and equipment,the Town should seek to make annual capital expenditures (including debt and
exclusive of the school Building for the Future Initiative funding and Enterprise Funds) equals to at least 7.5 —8% of the operating
budget." Capital Expenditures is 7.28% of the Fiscal Year 2021 Budget.
35
The Fiscal Year 2021-2025 General Fund CIP totals $524,150,500,which represents an increase of$21,054,000 from the Fiscal
Year 2020-2024 CIP. Potential renovation/reconstruction of school facilities totaling $353,500,000 is included as a subcategory
in the Fiscal Year 2021-2025 Capital Improvement Program, which is an increase of$26,500,000 from the Fiscal Year 2020-
2025 CIP. Projects included in the potential renovation/reconstruction of school facilities are further outlined in the "Building
for the Future" section of this correspondence and are as follows:
• Three Elementary Schools Project $153,500,000
• High School Project $200,000,000
$353,500,000
The bonding requirement for the Fiscal Year 2021-2025 CIP is $210,160,600 and the Street and Sidewalk bonds of$55,735,800
listed in Fiscal Year 2025 are not included in the bonding requirement.
The funding source of$6,570,000 of the CIP has not been determined. The following are the projects/items with the funding
source to be determined (TBD).
• Former Police Facility Renovation/Reuse $ 4,800,000
• Former North Branch Renovation/Reuse $ 1,100,000
• Multi-Service Center Renovation $ 500,000
• Information Technology Improvements $ 170,000
TOTAL: $ 6,570,000
Fiscal Year 2016 Proposed Loan Order
As previously stated, on March 10, 2020 the Honorable Town Council adopted twenty-eight (28) conceptual recommendations
on the Fiscal Year 2021-2025 CIP.
Conceptual recommendation#1 reads as follows:
• Confirm the prior recommendation to proceed with the FYI proposed loan order for$900,000 for Moxley Park
Courts Renovations & Lighting (Design @ 100,000, Construction @ 800,000), subject to the condition that the
Recreation Department shall hold community meetings to develop a design proposal and have one or more
informational presentations to the Town Council.
A Proposed Loan Order will be brought forward for this item.
• Moxley Park Courts Renovation&Lighting $900,000
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Fiscal Year 2017 Proposed Loan Orders
The Honorable Town Council's conceptual recommendation#2 and#3 on the Fiscal Year 2021-2025 CIP reads as follows:
• Confirm the prior recommendation to proceed with the FYI proposed loan order for$950,000 for improvements
to the Casey Park baseball area(Design @ 100,000, Construction @ 850,000), subject to the condition that the
Recreation Department shall hold community meetings to develop a design proposal and have one or more
informational presentations to the Town Council.
• Confirm the prior recommendation to proceed with the FYI loan order for Victory Field Phase 2 for $3,000,000
in accordance with the Final Report of the Ad Hoc Committee on Victory Field Phase 2 dated June 28, 2018 as
approved by the Town Council on August 14, 2018, subject to the outcome of the High School Feasibility Study.
On June 25, 2019,the Honorable Town Council approved a transfer of funds totaling $284,500 in order to move forward with
the design of Victory Field Phase 2.
Proposed Loan Orders will be brought forward for these items.
• Casey Park Improvements $ 950,000
• Victory Field Improvements (Phase II) $ 3,000,000
TOTAL: $ 3,950,000
Fiscal Year 2018 Proposed Loan Orders
As you recall,the Fiscal Year 2020 Budget Message dated April 23, 2019 stated Proposed Loan Orders would be brought
forward for various Capital items contained in the Fiscal Year 2018 CIP. The acquisition of the proposed items is consistent
with one of the Honorable Town Council's priorities of not deferring maintenance and/or recognition of costs of capital
equipment, facilities and infrastructure to future years. The items that were to be included in the Proposed Loan Orders are as
follows:
• Filippello Field Lights & Scoreboard $ 900,000
• Administration Building Improvements $ 385,000
• Community Path Design $ 325,000
• Library Improvements $ 120,000
TOTAL: $ 1,730,000
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The above mentioned Library Improvements (sliding doors project) was bid and the low bidder was significantly higher than the
projected $120,000. On May 14, 2019, the Honorable Town Council approved a transfer of funds totaling $242,916 in order to
move forward with these library improvements.
The Honorable Town Council's conceptual recommendation#4 on the Fiscal Year 2021-2025 CIP reads as follows:
• Regarding the FY18 proposed loan order for $900,000 for the Filippello Park field lights and scoreboard upgrades,which went
out to bid in 2019 without first having an informational presentation to the Town Council:
1. Recommend updating the loan order estimate from $900,000 to $1,320,825 to match the low bid plus CDM Smith
fees and contingency.
2. Recommend proceeding with the loan order after making an informational presentation the Town Council including the
review of plans and specifications.
As a follow-up to that conceptual recommendation, an Informational Presentation on this project was held at the March 10cn
Town Council Meeting. On April 141h,the Honorable Town Council approved a Proposed Loan Order totaling $1,301,825 to
fund the Filippello Field Lights and Scoreboard Upgrades Project contained in the Fiscal Year 2018 CIP.
The following is a revised list of items contained in the Fiscal Year 2018 CIP. Proposed Loan Orders will be brought forward
for these items.
• Administration Building Improvements $ 385,000
• Community Path Design $ 325,000
TOTAL: $ 710,000
Fiscal Year 2019 Proposed Loan Orders
As you recall,the Fiscal Year 2020 Budget Message dated April 23, 2019 stated Proposed Loan Orders or Transfer of Funds
requests will be brought forward for various Capital items contained in the Fiscal Year 2019 CIP. The acquisition of the
proposed items is consistent with one of the Honorable Town Council's priorities of not deferring maintenance and/or
recognition of costs of capital equipment, facilities and infrastructure to future years. The items that were to be included in
Proposed Loan Orders or Transfer of Funds requests are as follows:
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• Street& Sidewalk Improvements $ 2,500,000
• Elementary Schools Building Project—Plan& Design $ 1,500,000
• Public Works Equipment $ 877,000
• Various School Improvements $ 593,000
• Saltonstall Park Improvements $ 300,000
• Underground Duct for Utilities $ 300,000
• Police Department Equipment $ 247,400
• Administration Building Improvements $ 215,000
• Fire Station Improvements $ 155,000
• Skating Arena Improvements $ 25,000
TOTAL: $ 6,712,400
The Proposed Fiscal Year 2019 CIP item of$1,500,000 for the Three Elementary Schools Project- Plan& Design will be
included with the Fiscal Year 2020 Capital Improvement Program borrowing.
As a follow-up to the Honorable Town Council's conceptual recommendation#11 on the Fiscal Year 2020-2024 Capital
Improvement Program, on April 9, 2019 the Honorable Town Council approved a Loan Order totaling $288,000 for renovations
to the girls' locker rooms and bathrooms at the Middle School.
On May 14, 2019,the Honorable Town Council approved a transfer of funds totaling $182,950 in order to move forward with
the replacement of the Mobile Data System.
On July 9, 2019,the Honorable Town Council approved a transfer of funds totaling $25,000 in order to fund the replacement of
the Skating Arena Public Address System.
On September 10, 2019, the Honorable Town Council approved a Proposed Loan Order totaling $2,500,000 to fund street &
sidewalk improvements contained in the Fiscal Year 2019 CIP.
As a follow-up to the Honorable Town Council's adoption of conceptual recommendations on the Fiscal Year 2021-2025
Capital Improvement Program, the following is a revised list of items contained in the Fiscal Year 2019 CIP. Proposed Loan
Orders will be brought forward for these Capital Items.
• Public Works Equipment $ 877,000
• Saltonstall Park Improvements $ 300,000
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• Administration Building Improvements $ 215,000
• Fire Station Improvements $ 155A0
TOTAL: $ 1,547,000
Fiscal Year 2020 Proposed Loan Orders
As you recall,the Fiscal Year 2020 Budget Message dated April 23, 2019 stated Proposed Loan Orders will be brought forward
for various Capital items contained in the Fiscal Year 2020 CIP. The acquisition of the proposed items is consistent with one of
the Honorable Town Council's priorities of not deferring maintenance and/or recognition of costs of capital equipment, facilities
and infrastructure to future years. The items that were to be included in the Proposed Loan Orders are as follows:
• Three Elementary Schools Project $35,000,000
• Arsenal Park Renovations* $ 4,550,000
• Community Path Construction—Taylor to Linear $ 3,000,000
• Street& Sidewalk Improvements $ 2,500,000
• High School Building Project** $ 2,500,000
• Connector Roads/Longer Streets Improvements $ 1,500,000
• Fire Department Ladder Truck $ 1,100,000
• Administration Building Improvements $ 1,055,000
• Various School Improvements $ 694,000
• Public Works Equipment $ 590,000
• Underground Duct for Utilities $ 300,000
• Firefighters Protective Gear $ 276,600
• Public Buildings Equipment $ 209,500
• Police Department Equipment $ 175,900
• Fire Department Equipment $ 170,000
• Fire Stations Improvements $ 165,000
• Police Station Improvements $ 125,600
• Skating Arena Improvements $ 91,000
• Saltonstall Park Gazebo $ 90,000
• Library Improvements $ 80,000
• Senior Center Improvements $ 50,000
• Elections Voting Booths $ 43.200
TOTAL: $54,265,800
*Developer Mitigation&Proposed I-Cubed Funds will offset some of the cost
**Assumes Debt Exclusion Financing
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On June 25, 2019, the Honorable Town Council approved a Proposed Loan Order totaling $12,441,016 in order to fund
Amendment#1 to the Contract for Designer Services for the Elementary Schools Building Project with AD Architects LLC to
include the Scope of Services associated with Design Development through Completion phases.
On July 9, 2019,the Honorable Town Council approved a transfer of funds totaling $250,000 to move forward with the design
of Arsenal Park Renovations.
On July 9, 2019, the Honorable Town Council also approved a transfer of funds totaling $42,048 to fund the replacement of the
election voting booths.
On September 10, 2019, the Honorable Town Council approved a Proposed Loan Order totaling $1,100,000 to fund the
acquisition of a new Ladder Truck to replace the 2005 Ladder One.
On September 10, 2019, the Honorable Town Council also approved a Proposed Loan Order totaling $4,080,875 for Owner's
Project Management Services (OPM) with Hill International related to the design, construction, addition to and/or renovation of
the Three Elementary Schools.
On September 10, 2019, the Honorable Town Council also approved a transfer of funds totaling $176,600 to fund the remaining
amount needed for the acquisition of a second set of Firefighter protective gear. Previously, the Town's legislative delegation
requested $100,000 be included in the Commonwealth's Fiscal Year 2020 Budget to offset the acquisition of the Firefighter
protective gear.
On September 10, 2019, the Honorable Town Council also approved a transfer of funds totaling $72,603 to fund the acquisition
of two Department of Public Buildings' maintenance vehicles.
On October 22, 2019,the Honorable Town Council approved a transfer of funds totaling $80,000 in order to move forward with
the replacement of the Middle School classroom laminate floors.
The Proposed Fiscal Year 2020 CIP of$2,500,000 for the High School Building Project will be included with the Fiscal Year
2021 Capital Improvement Program borrowing.
The following Fiscal Year 2020 CIP items have been moved to Fiscal Year 2021 CIP:
• Administration Building Improvements
• Public Works equipment
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• Underground duct for utilities
• Police Department equipment
• Fire Department equipment
• Saltonstall Park gazebo
On February 25, 2020,the Honorable Town Council approved a Proposed Loan Order totaling $2,500,000 to fund Street and
Sidewalk Improvements contained in the Fiscal Year 2020 CIP.
On April 14, 2020, the Honorable Town Council approved a Transfer of Funds totaling $94,000 in order to move forward with
the remodeling of two Middle School bathrooms.
On April 28, 2020,the Honorable Town Council approved a Proposed Loan Order totaling $295,000 in order to move with the
remodeling of the Middle School men's locker room.
On April 28, 2020,the Honorable Town Council also approved a Transfer of Funds totaling $45,000 to move forward with
Skating Arena Improvements.
The borrowing for the Three Elementary Schools Project has been moved to the Fiscal Year 2021 CIP.
As a follow-up to the Honorable Town Council's adoption of the conceptual recommendations on the Fiscal Year 2021-2025
Capital Improvement Program, the following is a revised list of items contained in the Fiscal Year 2020 CIP:
• Community Path Construction—Taylor to Linear $ 3,000,000
• Arsenal Park Renovations (Phase A)* $ 1,600,000
• Connector Roads/Longer Streets Improvements $ 1,500,000
• Fire Stations Improvements $ 165,000
• Police Station Improvements $ 125,600
• Various School Improvements $ 95,000
TOTAL: $ 6,485,600
*Arsenal Park Renovations will be done in two phases with$2,700,000 included in the Fiscal Year 2021 CIP. Developer Mitigation&Proposed I-Cubed Funds will
offset some of the cost.
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School Capital Projects
The Fiscal Year 2021-2025 CIP includes funding of various school improvements totaling $377,824,000 over the next five fiscal
years. The breakdown of these improvements are as follows:
• 3 Elementary Schools Project* $153,500,000
• High School & Related Costs** $200,000,000
• School to be determined (High School) $ 13,267,000
• Bond Remodeling (Middle, Phillips) $ 9,281,000
• Tax Revenue (various school buildings) $ 1,276,000
• Technology (various school buildings) $ 500,000
TOTAL: $377,824,000
*Renovation/Reconstruction
**Proposed Debt Exclusion
If the High School Project moves forward,the improvements of"School to be determined"totaling $13,267,000 would be
removed from the Fiscal Year 2021-2025 CIP.
The following is the breakdown of the School Capital Projects included in the Fiscal Year 2021 Capital Improvement Program.
• Three Elementary Schools Project $ 64,000,000
• High School Building Project* $ 7,500,000
• Middle School $ 2,639,000
• High School $ 145,000
• District $ 130,000
• Phillips $ 15,000
TOTAL: $ 74,429,000
*Assumes Debt Exclusion Funding
Building for the Future Initiative—Three Elementary Schools Project
On March 13, 2017,the Honorable School Committee approved the award of a contract to AD Architects, LLC to assist with
moving forward with the Building for the Future Initiative. Building for the Future is a comprehensive, forward-looking
initiative to address learning, operational and capacity improvements for all school facilities.
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On July 27, 2017, the Honorable Town Council and the Honorable School Committee held a joint meeting in order to have a
presentation by AD Architects LLC on their formal recommendations related to the Building for the Future Initiative. The
following is an excerpt from the joint meeting minutes:
PROJECT PRIORITY
1. The elementary schools and the high school have top priority and that the middle school is less
crowded than any of these schools; therefore, it should be considered for renovation after the high
school is completed.
2. The High School,being the single largest project, should continue to seek MSBA funding and that the
Statement of Interest(SOI) should list the needs on a priority basis and identify them clearly. The
revised SOI should help with obtaining the grant.
3. If the High School were accepted as an MSBA project,their timeline would not allow construction to
begin until 2021.
4. If the Town were to fund the Elementary School project independently of the MSBA grant program,
construction could be completed prior to the High School construction in 2021.
Given the three elementary schools and the high school were identified as high priorities, steps were taken to advance the
continued development of both projects simultaneously, with the elementary schools project on a non MSBA path and the high
school potentially on a path for MSBA assistance. A timeline was presented whereby the potential Elementary Schools Project
estimated at$80 million- $120 million could be completed prior to the beginning of the High School construction.
The potential renovation/reconstruction of school facilities was included as a subcategory in the Fiscal Year 2019-2023 Capital
Improvement Program and included the following projects:
• 3 Elementary Schools Project $125,100,000
• High School Project $158, 0000
$283,700,000
As indicated during the Fiscal Year 2019 Preliminary Budget Overview Presentation on October 9, 2017 and subsequently
formalized in the Honorable Town Council's Fiscal Year 2019 Budget Policy Guideline II. A., funding of the Elementary
Schools Project is included in the Debt and Interest Forecast and all of this project is to be done within the confines of
Proposition 2 1/2.
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The projected High School Project would be funded with a debt exclusion financing and a grant from the Massachusetts School
Building Authority (MSBA) and the breakdown of the projected financing is as follows:
• Debt Exclusion $ 82,472,000
• MSBA $ 76,128,000
$158,600,000
On October 24, 2017, the Honorable Town Council approved a transfer of funds totaling $149,996 for Owner's Project Manager
Services (OPM) for the evaluation of potential solutions and schematic design phases of the Three Elementary Schools Project.
On December 12, 2017, the Honorable Town Council approved a Proposed Loan Order totaling $1,378,599 for the purpose of
paying costs of Designer Services for the design, construction, addition to and/or renovation of the three elementary schools.
Given all of the above, it was necessary to move forward with the establishment of a School Building Committee. Thirteen(13)
appointments to the Committee were made in March 2018 including the Honorable Town Council President Mark Sideris, Town
Council Vice President Vincent Piccirilli, School Committee Chairman John Portz and School Committee member Lindsay
Mosca. The Committee is the representative of the Town in all dealings with the architect including but not limited to the
following: development and review of conceptual design options and the selection of a preferred design option,preparation of
all design, construction, and bidding documents, supervision of public bidding process, award of contract to successful bidder,
compliance with the program and time requirements of the Town, evaluation of the quality, appropriateness and functional
attributes of the architect's solution or proposal, periodic meetings with the architect and builder to assure compliance as the
project moves forward, review of all change orders during the construction phase, and all other powers and duties as are
necessary and appropriate.
As indicated during the Fiscal Year 2020 Preliminary Budget Overview presentation on October 9, 2018,the Town was much
closer in moving forward with two initiatives, fully funded retirement system and OPEB Liability funding; and financing of the
three Elementary Schools Project within the confines of Proposition 2 %2. Additionally,the Fiscal Year 2019 New Growth was
$2.6 million over the original budget and these monies have been earmarked to fund Pension Costs, Other Post- Employment
Benefits (OPEB) and the 3 Elementary Schools Project.
On December 11, 2018,the Honorable Town Council adopted and ranked the Fiscal Year 2020 Budget Policy Guidelines. The
top ranked Fiscal Year 2020 Budget Policy Guideline II.A. reads as follows: Continue to develop Building for the Future
Initiative funding in collaboration with the School Building Committee; for the Three Elementary Schools project by
formalizing the proposal to use funds redirected from the retirement appropriation when the pension fund is fully funded while
also paying down the OPEB liability; and for the MSBA High School project with the proposed debt exclusion funding.
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During the Fiscal Year 2020 Preliminary Budget Overview presentation, I indicated the School Building Committee has been
working tirelessly to review conceptual design options for the three elementary schools in an effort to ultimately select a
preferred design option that is in the best interests of the Town, the taxpayers and the successful education of our children.
To that end,the School Building Committee had met twenty (20)times starting on March 14, 2018; and held 3 community
forums at each of the elementary schools in November 2018 to receive feedback on the various conceptual design options.
On January 8, 2019,the Honorable Town Council approved a modification to the Resolution on the Fiscal Year 2020 Budget
Process. The submission date of the Fiscal Year 2020-20204 Capital Improvement Program was moved from January 22"d to
January 31, 2019 in order to consider the School Building Committee's actions at their January 23, 2019 meeting.
On January 23, 2019,the School Building Committee adopted the following motions:
Motion 1: That the School Building Committee formally endorses and refers the conceptual and schematic design and cost
estimate, as presented tonight(January 23, 2019)to the Town Manager for his consideration. (Unanimously voted)
Motion 2: That the School Building Committee authorizes the Chair, along with representatives from AD and Daedalus, to
meet with the Town Manager to discuss the design and cost of the project as just referred. (Unanimously voted)
The endorsed conceptual and schematic design includes all-new construction of the Hosmer and Cunniff Schools and
comprehensive renovations and additions to the Lowell School. The proposed projects create modern, forward-thinking facilities
and associated site amenities that meet the educational, neighborhood, energy efficiency, and recreational goals established
through a public process of meetings and forums. These projects are part of a long-term vision of providing outstanding
education, recreation, and healthy neighborhoods throughout Watertown and will serve the Town for many decades. The
approximately $170 million cost estimate includes the total project costs representative of the buildings, sitework, furniture,
technology, and all associated costs of the completed and occupied facilities.
On January 31, 2019, I respectfully recommended moving forward with the School Building Committee's endorsed conceptual
and schematic design. Funding of$170,000,000 for the Three Elementary Schools Project was included in the Proposed Fiscal
Year 2020-2024 Capital Improvement Program and all of this project is to be done within the confines of Proposition 2 1/2.
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The Honorable Town Council's Fiscal Year 2020-2024 Capital Improvement Program conceptual recommendation#18 reads as
follows:
• Concur with the decision to proceed with the "Building for the Future" initiative of$170,000,000 for the Three
Elementary Schools Project funding within the confines of Proposition 2%2, and not proceed with the $5,304,000
for renovation projects for the Cunniff, Hosmer, and Lowell schools shown in the FY2020-2024 CIP as NB
(included in New Building) or RB (included in Renovated Building).
As a follow up to that conceptual recommendation and in accordance with the Honorable Town Council's Fiscal Year 2020
Budget Policy Guideline II.A, the following was the timeline for borrowing $170,000,000 for the Three Elementary Schools
Project as outlined in the Fiscal Year 2020 Budget Message dated April 23, 2019:
Fiscal Year 2020 $ 35,000,000
Fiscal Year 2021 $ 45,000,000
Fiscal Year 2022 $ 45,000,000
Fiscal Year 2023 $ 45,000,000
$170,000,000
The School Building Committee working with AD Architects LLC has completed the following phases related to the Three
Elementary Schools Project:
• Schematic Design Phase - Completed in February 2019
• Design Development Phase - Completed March— September 2019
• Construction Document Phase—Ongoing Completion Date March 2020
• Construction Contractor Bidding— Scheduled for Spring 2020
After significant discussions with the School Committee, School Building Committee and Town Council,the Town will be
leasing Saint Jude School, Waltham beginning on July 1, 2020 through June 30, 2023 for swing space for the Three Elementary
Schools Project. This decision will allow the Cunniff and Lowell Schools to be completed two years earlier than originally
proj ected!
The Cunniff and Hosmer Schools were bid as a single collective package in order to receive the most competitive pricing and to
ensure the two schools will receive the same building systems and materials; and allow for management of a single contractor
for these two projects.
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Tomorrow night,the Honorable Town Council will hold a Public Hearing and Vote on a Proposed Loan Order totaling
$103,455,000 in order to move forward with the construction of a new Hosmer and Cunniff Elementary Schools Project.
During this Summer,the Hosmer PK-5 School will consolidate into the"Z-shaped"building. The Hosmer Preschool Program
(5 classrooms) will move to the Phillips Building,which will necessitate the Facilities Department relocating to another property
in Watertown that will be rented during the construction of the Three Elementary Schools Project. Additional discussions will
need to be held regarding the associated costs of these changes in location.
Construction will begin at the Cunniff and Hosmer during this Summer and the Cunniff School will be completed by the end of
calendar year 2021; and the Hosmer School will be completed by the Summer of 2022.
Construction will begin at the Lowell School during the Summer of 2022 and will be completed by the end of calendar year
2023.
Given the leasing of Saint Jude's and the acceleration of the Cunniff and Lowell Schools Project with completion dates two
years earlier than originally projected, the following is the revised timeline for borrowing $170,000,000 for the Three
Elementary Schools Project:
Fiscal Year 2020 $ 16,521,891
Fiscal Year 2021 $ 64,000,000
Fiscal Year 2022 $ 46,000,000
Fiscal Year 2023 $ 43,478,109
$170,000,000
As stated many times in the past couple of years, as a result of the aggressive funding of the Retirement System,
financing of the$170,000,000 for the Three Elementary Schools Project will be done within the confines of Proposition
21/2.
Massachusetts School Building Authority Core Program -High School
On March 28, 2017,the Honorable Town Council approved the submission of a Core Program Statement of Interest to the
Massachusetts School Building Authority (MSBA). As indicated on the MSBA website, the Core Program is primarily for
projects beyond the scope of the Accelerated Repair Program, including extensive repairs, renovations, addition/renovations,
and new school construction. The Core Program in question is the High School and this was the fourth year of submission of a
Statement of Interest.
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On December 13, 2017, the MSBA Board of Directors voted to invite the Statement of Interest(the "SOI") for the High School
into the MSBA's Eligibility Period. The 270-day Eligibility Period formalizes and streamlines the beginning of the MSBA's
grant approval process and benefits the Town by providing a definitive schedule for the completion of preliminary requirements,
assisting with the determination of financial and community readiness, and identifying needs for planning and budgeting.
Successful completion of all activities in the Eligibility Period will allow the Town to be eligible for an MSBA invitation to
Feasibility Study. Invitation into the Eligibility Period is not an invitation to Feasibility Study. Moving forward in the MSBA's
process requires collaboration with the MSBA, and an invitation to Feasibility Study will require a further vote of the MSBA
Board of Directors. To qualify for any funding from the MSBA, local communities must follow the MSBA's statute and
regulations, which require MSBA partnership and approval at each step of the process. The Town's Eligibility Period
commenced on April 2"d and concluded on December 28, 2018.
On March 15, 2018, the Honorable Town Council adopted twenty-seven(27) conceptual recommendations on the Fiscal Year
2019-2023 CIP.
Conceptual recommendation#22 reads as follows:
• That the Administration continue to develop financially prudent financing for the"Building for the Future"
initiative for funding of the 3 Elementary School Project within the confines of Proposition 21/2; and the proposed
debt-exclusion funding of the MSBA High School Project.
On October 3, 2018, the School Building Committee unanimously approved a motion to request the Town Manager move
forward with funding of$1,600,000 for the Feasibility Study and Schematic Design Phase for the Watertown High School
Project.
On November 13, 2018,the Honorable Town Council approved a Proposed Loan Order totaling $1,600,000 as a follow-up to
the School Building Committee's request and in accordance with the above mentioned conceptual recommendation.
On December 12, 2018, the Massachusetts School Building Authority (MSBA)voted to invite the Town to partner with the
MSBA in conducting a Feasibility Study for the Watertown High School.
During the Feasibility Study phase, the Town and the MSBA will partner pursuant to the terms of the Feasibility Study
Agreement to find the most fiscally responsible and educationally appropriate solution to the problems identified at the
Watertown High School. The Feasibility Study, which will be conducted pursuant to the MSBA's regulations and policies,
requires the Town to work with the MSBA on the procurement of an Owner's Project Manager and Designer, which will help
bring the Town's Feasibility Study to fruition.
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Subsequent to the submission of the Fiscal Year 2020-2024 Capital Improvement Program on January 31, 2019, on March 12tn
the Honorable Town Council adopted 29 conceptual recommendations including#19 which reads as follows:
• Concur with the decision to proceed with the "Building for the Future" initiative using proposed debt-exclusion
funding of the MSBA High School Project for$157,000,000, and not proceed with the $14,177,000 for renovation
projects for the high school shown in the FY2020-2024 CIP as STBD (School to Be Determined).
On May 8, 2019,the MSBA approved the Town's selection of Compass Project Management as the Owner's Project Manager
(OPM) for the High School Project. Subsequently, a contract totaling $343,926 was executed for these OPM services.
On September 17, 2019, the MSBA Designer Selection Panel (DSP) voted AD Architects LLC as the first-ranked firm for
designer services for the High School Project. The DSP determined that AD Architects LLC possesses the requisite skills and
experience for this project, particularly in light of their extensive experience in the design and construction of schools in
Massachusetts. The DSP indicated the Town should take the appropriate local steps necessary to award the contract for designer
services. Subsequently, a contract totaling $1,131,900 was executed.
The School Building Committee working with AD Architects LLC has been working on the MSBA"Feasibility and Schematic"
process which is broken down into three phases:
1. Preliminary Design Program
2. Preferred Schematic Study & Report(Submission February 2021)
3. Schematic Design (Submission October 2021)
The Preliminary Design Program documentation was be submitted to the MSBA in February 2020 for their approval to proceed
to the next step, Preferred Schematic Study and Report.
After completion of the above-mentioned three phases,the Town would then be seeking a Debt Exclusion vote in calendar year
2021.
The Honorable Town Council's Fiscal Year 2021 Budget Policy Guideline II.B. reads as follows:
• Continue support for Building for the Future Initiative funding in collaboration with the School Building
Committee, for the Three Elementary Schools project, and for the MSBA High School project with proposed debt
exclusion funding in conjunction with outreach efforts to the community by the School Committee.
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As a follow-up to that Budget Policy Guideline, $200,000,000 has been included in the Fiscal Year 2021-2025 Capital
Improvement Program for the High School &related costs with a funding source of a Proposed Debt-Exclusion and a MSBA
Grant.
Fiscal Year 2021 Proposed Loan Orders
During Fiscal Year 2021, Proposed Loan Orders will be brought forward for various Capital items contained in the Fiscal Year 2021
CIP. The acquisition of the proposed items is consistent with one of the Honorable Town Council's priorities of not deferring
maintenance and/or recognition of costs of capital equipment, facilities and infrastructure to future years. The items that will be
included in the Proposed Loan Orders are as follows:
Three Elementary Schools Project $64,000,000
High School Building Project* $ 7,500,000
Arsenal Park Renovations(Phase B)** $ 2,700,000
Various School Improvements $ 2,574,000
Street& Sidewalk Improvements $ 2,500,000
Connector Roads/Longer Streets Improvements $ 1,500,000
Police Radio System Replacement $ 1,167,000
Public Works Equipment $ 590,000
Information Technology $ 575,000
Fire Radio System Replacement $ 535,000
Skating Arena Improvements $ 444,000
Filippello Spray Park Renovation $ 400,000
Emergency Ambulance Vehicle $ 355,000
Underground Duct for Utilities $ 300,000
Administration Building Improvements $ 130,000
Saltonstall Park Gazebo $ 90,000
Library Improvements $ 75,000
Public Buildings Equipment $ 60,000
Fire Station Improvements $ 41.600
TOTAL: $85,536,600
*Assumes Debt Exclusion Financing
**Developer Mitigation&Proposed I-Cubed Funds will offset some of the cost
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Street and Sidewalk Improvements
Street and sidewalk maintenance is one of the top priorities in the Honorable Town Council's Fiscal Years 2009 through 2021
Budget Policy Guidelines. Within the Fiscal Year 2021-2025 CIP, $107,525,200 is designated for street and sidewalk
improvements. The Fiscal Year 2021 General Fund Budget includes $1,114,600 to augment projected Chapter 90 monies.
Beginning in Fiscal Year 1999 and including Fiscal Year 2021, the Honorable Town Council has approved $16,269,844 for the
Street and Sidewalk Improvements appropriation, an average of$707,385 for each of the twenty-three fiscal years.
Beginning in Fiscal Year 2013 and continuing through Fiscal Year 2017, the Honorable Town Council authorized four(4) Loan
Orders totaling $13,100,000 to fund Street and Sidewalk Improvements.
On September 26, 2017, the Honorable Town Council approved a Proposed Loan Order totaling $975,000 to fund Street and
Sidewalk Improvements related to the Common Street Project(Mt. Auburn to Orchard Street).
On June 5, 2018 the Honorable Town Council approved a Proposed Loan Order totaling $2,500,000 to fund street and sidewalk
improvements contained in the Fiscal Year 2018 CIP.
On September 10, 2019, the Honorable Town Council approved a Proposed Loan Order totaling $2,500,000 to fund street and
sidewalk improvements contained in the Fiscal Year 2019 CIP.
As previously stated, on February 25, 2020 the Honorable Town Council approved a Proposed Loan Order totaling $2,500,000
to fund street and sidewalk improvements completed in the Fiscal Year 2020 CIP.
As a follow-up to an adopted conceptual recommendation on the Fiscal Year 2019-2023, Fiscal Year 2020-2024 and Fiscal Year
2021-2025 Capital Improvement Programs, a Proposed Loan Order for$325,000 will be brought forward for the community
path design from Saltonstall Park to Taylor Street, subject to coordination with the parking meter upgrades in the municipal
parking lots, which may require additional monies; and policy guidance from Town Council's Public Works Committee.
In accordance with an Action Item adopted by the Honorable Town Council at their January 8, 2019 Town Council Meeting,
five future Loan Orders totaling $7,500,000 for"collective roads and longer streets"have been included in the Proposed Fiscal
Year 2021-2025 Capital Improvement Program.
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Five future Loan Orders for Street and Sidewalk Improvements totaling $20,900,000 are included in the Proposed Fiscal Year
2021-2025 CIP. The following is the schedule of Proposed Loan Orders for Street and Sidewalk Improvements:
Fiscal Year 2021 $ 4,300,000
Fiscal Year 2022 $ 4,000,000
Fiscal Year 2023 $ 4,300,000
Fiscal Year 2024 $ 4,000,000
Fiscal Year 2025 $ 4,300,000
TOTAL: $20,900,000
In summary, beginning in Fiscal Year 2013 and continuing through Fiscal Year 2025,the Honorable Town Council has or is
planning on authorizing loan orders for Street and Sidewalk Improvements totaling $47,900,000 over the thirteen fiscal years, all
within the confines of Proposition 2 %2.
Monument Restoration
Funding of$50,000 was included in the Fiscal Year 2013 Budget to move forward with restoring the various monuments around
Town to their appropriate condition for the remembrance of the various people or events that are being recognized.
The Conservation staff, working with the Historic Commission, Historic Society, and citizens, have completed the restoration of
the vandalized and damaged monuments in various locations around Town, consistent with the initial intent of these funds.
Estimates were secured for preservation work at the Arlington Street Cemetery. It was also discovered that there may be grant
funds available for this work, if the location is on the National Historic Register. In order to leverage existing dollars,the Town
is pursuing National Historic Register designation. The Town is currently working with a consultant to help process such an
application for the Town's two historic cemeteries. The designation would then be followed up with grant applications and
contracting with a preservationist to utilize these funds to repair and preserve as many resources as possible in the Town's two
historic cemeteries.
Annual funding of$15,000 has been included in the Proposed Fiscal Year 2021-2025 CIP to allow for the above mentioned
efforts to continue and provide for regular upkeep and maintenance of Town monuments.
Capital Projects Stabilization Fund
As you recall and as stated in the Fiscal Year 2019 Budget Message dated May 1, 2018, the original North East Solid Waste
Committee Agreement (NESWC) expired in September 2005 and the Town has executed three Post 2005 Agreements through
Fiscal Year 2020. As a result of these actions and the foresight the Town had in funding the significant costs of the NESWC
Agreement, transfers of$500,000 annually from the Capital Projects Stabilization Fund began in Fiscal Year 2006 and will
continue through Fiscal Year 2020.
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In order to continue the annual transfer of$500,000 beyond Fiscal Year 2020, we looked for opportunities to make transfers to
this Stabilization Fund in an effort to support Capital Projects.
On July 10, 2018, the Honorable Town Council appropriated $500,000 to this Stabilization Fund in order to continue the annual
transfer of$500,000 through Fiscal Year 2021.
On October 23, 2018,the Honorable Town Council approved a Proposed Amendment to the Fiscal Year 2019 Budget that
included an appropriation of$500,000 to this stabilization fund in order to continue the annual transfer of$500,000 through
Fiscal Year 2022.
On June 25, 2019,the Honorable Town Council appropriated$500,000 to this Stabilization Fund in order to continue the annual
transfer of$500,000 through Fiscal Year 2023.
On November 12, 2019, the Honorable Town Council approved a Proposed Amendment to the Fiscal Year 2020 Budget that
included an appropriation of$500,000 to this stabilization fund in order to continue the annual transfer of$500,000 through
Fiscal Year 2024.
In order to continue the annual transfer beyond Fiscal Year 2024, we will look for opportunities to make transfers to this
Stabilization Fund in an effort to support capital projects.
WATER AND SEWER ENTERPRISE BUDGETS
In Fiscal Year 1999,the Town Council established the Water and Sewer Enterprise Funds. The Town Council adopted a three-tiered
rate structure to equitably charge each class of customer, encourages conservation, minimizes low income and elderly charges and
provides capital improvement funds.
The continued utilization of enterprise funds will allow us to demonstrate which portions of the total cost of services are recovered
through user charges versus the tax levy. The surplus or retained earnings, if any, will remain with the fund either to develop reserve
funds for system improvements or to offset future rate increases.
The Fiscal Year 2021 Water and Sewer Enterprise Budgets total $19,070,250, which is a decrease of$270,652 from the Fiscal Year
2020 amount of$19,340,902. The Fiscal Year 2020 Budget included funding of eighteen(18) full-time employees. Funding has been
included for a Management Analyst to assist the Department of Public Works with items related to Town Council's Fiscal Year 2021
Budget Policy Guideline II.H. and Ongoing Capital Project Budget Guidelines.
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In accordance with the related conceptual recommendation on the Fiscal Year 2015-2019 CIP, retained earnings of$1,000,000 (water
$500,000 & sewer$500,000) had been included in the Fiscal Year 2015 Water and Sewer Enterprise Fund Budgets in order to address
unbudgeted and undiscovered water main, sewer and storm drain work in coordination with the upcoming Belmont Street
Reconstruction and other projects.
Retained earnings of an additional $1,000,000 (water$500,000 & sewer $500,000) had been included in the Fiscal Year 2016 Water
and Sewer Enterprise Fund Budgets in order to continue addressing water-sewer-stormwater infrastructure in coordination with
upcoming street construction projects.
Retained earnings of an additional $500,000 (water $250,000 & sewer $250,000)had been included in the Fiscal Year 2017 Water and
Sewer Enterprise Fund Budgets in order to continue addressing water-sewer-stormwater infrastructure in coordination with upcoming
street construction projects.
Retained earnings of an additional $1,000,000 (water$500,000 & sewer$500,000)had been included in the Fiscal Year 2018 Water
and Sewer Enterprise Fund Budgets in order to continue addressing water-sewer-stormwater infrastructure in coordination with
upcoming street construction projects; and to fund the development of a Phase 2 MS4 Permit Management Plan and Phosphorous
Control Plan.
Retained earnings of an additional $500,000 (water$250,000 & sewer $250,000) had been included in the Fiscal Year 2019 Water and
Sewer Enterprise Fund Budgets in order to continue addressing water-sewer-stormwater infrastructure in coordination with upcoming
street construction projects.
Retained earnings of an additional $500,000 had been included in the Fiscal Year 2020 Water Enterprise Fund Budget in order to
continue addressing water infrastructure in coordination with upcoming street construction projects; and to continue funding efforts to
further develop and manage the Phase 2 MS4 Permit Management Plan and Phosphorous Control Plan.
Retained earnings of an additional $250,000 has been included in the Fiscal Year 2021 Water Enterprise Fund Budget in order to
continue addressing water-sewer-stormwater infrastructure in coordination with upcoming street construction projects.
The required Massachusetts Water Resources Authority (MWRA) assessments for Fiscal Year 2021 is $10,584,009, which is a
decrease of$50,326 from the Fiscal Year 2020 budgeted assessments.
The Town is currently working with a consultant to review actual and projected consumption data in Fiscal Year 2020 as well as
projected revenues and rates for Fiscal Year 2021. Furthermore, the review also includes an examination of the Town's rate-setting
policy objectives and cost-recovery and retention goals; a detailed review of the Town's existing rate structure and charges coupled
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with a comparison to neighboring communities rates'; a review of the planned water and sewer capital improvements projects and the
financing assumptions associated with said projects; further examination of projected costs of water and sewer operations using"base
year" and"rate year" assumption scenarios as well as a refinement of indirect cost allocation methodology; and, a review of non-meter
revenue requirements in an attempt to identify any structural deficiencies that may be evident with non-meter revenue generation.
The Fiscal Year 2021 Water and Sewer rates will incorporate the results of the analysis and recommendations, for which a final report
will be prepared,to better reflect the recovery of costs for the Water and Sewer Enterprise Funds. It is anticipated the proposed Fiscal
Year 2021 Water and Sewer rates will be presented to the Honorable Town Council prior to consideration of the Submitted Fiscal
Year 2021 Budget.
Water and Sewer Enterprise Funds Capital Improvement Program (CIP)
The proposed Fiscal Year 2021-2025 Water and Sewer Enterprise Funds CIP totals $24,170,000 and is attached in this
document.
Stormwater Infrastructure Improvements of$36,050,000 are included in the same document with the funding source "to be
determined"(TBD)to support design and construction of future projects targeting phosphorus removal to comply with the
Town's NPDES permit, issued by the EPA. The Permit requires specific phosphorus reduction targets be met over a 20-year
timeframe as part of a Phosphorus Control Plan. To date, the Town has begun compiling information related to existing
phosphorus removal activities and is also participating in a technical assistance grant from EPA related to nutrient removal
(including phosphorus). Several phosphorus control elements have been included in recent capital projects using existing
funding sources.
Nevertheless, elements of the NPDES permit have been under litigation, including several that could impact the timing and
specific requirements of the Phosphorus Control Plan. Until such litigation is complete, an accurate assessment of the projected
cost of compliance with the phosphorus removal requirements will be difficult. As additional information becomes available,
future budgets will refine cost estimates. As indicated in the Fiscal Year 2016 Budget Message, and in accordance with Town
Council's Budget Policy Guideline, a determination of how to fund future stormwater infrastructure improvements will be
undertaken. Options exist including the creation of a stormwater utility, which could be set up as an Enterprise Fund (as the
City of Newton has done); or financing could be established through the General Fund.
On June 25, 2019,the Honorable Town Council approved a Proposed Loan Order totaling $1,050,000 utilizing monies from the
MWRA Inflow and Infiltration I/I Local Financial Assistance Program which consists of a$787,500 grant(75%) and a
$262,500 interest free loan(25%)payable over five years.
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On June 25, 2019,the Honorable Town Council also approved a proposed interest free Loan Order totaling $500,000 utilizing
monies from the MWRA Local Water System Assistance Program(LWSAP). This program provides funds for replacing
outdated unlined cast iron water mains in the Town's distribution system which will improve system water quality and increase
system pressures and flows.
Included in the Fiscal Year 2020 Enterprise Funds CIP is the utilization of$1,050,000 from the MWRA Inflow and Infiltration
I/I Local Financial Assistance Program which consists of a$787,500 grant (75%) and a$262,500 interest free loan (25%)
payable over five years. A Proposed Loan Order will be brought forward for this project.
A proposed interest free Loan Order totaling $500,000 will also be brought forward utilizing monies from the MWRA Local
Water System Assistance Program (LWSAP). As indicated above, this program provides funds for replacing outdated unlined
cast iron water mains in the Town's distribution system which will improve system water quality and increase system pressures
and flows.
The utility truck and heavy crane totaling $330,000 contained in the Fiscal Year 2019 CIP will be included in a future Loan
Order.
The Council's Committee on Public Works will be exploring options for the Department of Public Works' proposed
replacement of Town-wide residential water meters.
In Fiscal Years 2020 and 2021, The Department of Public Works will be undertaking multiple projects throughout the Town
utilizing previously appropriated capital funds. The various projects are related to the following:
• Inflow and Infiltration Removal
• Sewer and Drain Replacement&Relining
• Water System Improvements
• Water Main Replacements
All of the work to the water, sewer and drain systems directly impacts the Water and Sewer rates. Interest free loans and
outright grants will enable the Town to perform necessary work with little or minimal impact on the rate payers.
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DEPARTMENTAL BUDGET OVERVIEW
Division of Local Services—Financial Management Review
The Division of Local Services performed a full financial management review(FMR) of the Town in August 2013 as their records
indicated Watertown was one of the remaining Massachusetts towns that had never received the review.
Their comprehensive financial management reviews offer analysis of financial procedures and the effectiveness of checks and
balances; and assess the impact of technology and government structure on municipal operations. The Division of Local Services
indicated their recommendations often serve as a blue print for resolving issues and achieving long-term stability.
The Primary Recommendations of the FMR were to create a Deputy Town Manager position and to consider organizing a Finance
Department,preferably run by the proposed Deputy Manager.
The Council's Committee on Personnel and Town Organization met several times on these two primary recommendations. The
Committee agreed that"adding new senior management positions may be the best long term approach; it is not realistic in the current
financial environment and identifying two department heads to assist the Town Manager would be preferable."
The following motion was adopted by the Honorable Town Council at their April 8, 2014 meeting: "allow the Manager to identify an
existing department head who would be given additional responsibility, authority, and compensation, to assist the Manager with
various general management tasks and special projects."
As a follow-up, in July 2014 Steven Magoon was appointed Assistant Town Manager and continues to serve as the Director of
Community Development and Planning as well.
The Committee on Personnel and Town Organization had asked the Personnel Director to "draft a sample job description that
would combine the existing Town Auditor position and the additional responsibilities of Assistant Town Manager for Finance
overseen by the Town Council and Town Manager, respectively."
The following motion was adopted by the Honorable Town Council at their January 13, 2015 meeting: allow the Manager to
appoint the Town Auditor as Assistant Town Manager for Finance, to oversee and monitor all financial management staff, assist
with budget preparation, and undertake other financial responsibilities as assigned by the Manager. The matter will be reported
back to the Town Council in one year and reevaluated if the Council so chooses.
As a follow-up, in January 2015 Thomas J. Tracy was appointed Assistant Town Manager for Finance and continues to serve as
the Town Auditor as well.
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The top priority of the Honorable Town Council's Fiscal Year 2021 ranked Program Enhancement/Expenditures Budget Policy
Guideline is II.A. and reads as follows:
• Enhance the capabilities of the Town Manager's office with consideration given to creating a Deputy Town Manager position
as previously recommended in the Division of Local Services' Financial Management Review, with responsibilities to include
managing communication content and enhancing public engagement, and other duties as assigned.
Given the impacts of COVID-19 on the Commonwealth's and Town's Budgets, funding of this guideline, along with many of the
Honorable Town Council's Fiscal Year 2021 Budget Policy Guidelines, has not been included in the Submitted Fiscal Year 2021
Budget.
General Government
The Submitted Fiscal Year 2021 Budget appropriation is $6,716,547 a projected increase of$544,390 over the Fiscal Year 2020
Revised Appropriation. The Fiscal Year 2020 Budget included funding of fifty (50) full time and seven(7) part time employees
within the fifteen (15) General Government departments. Funding has been included for two positions in the Information Technology
Department. Therefore, the Fiscal Year 2021 Budget includes funding of fifty-two (52) full time and seven(7) part time employees
within the fourteen(14) General Government departments as Town Hall Maintenance has been merged with the Fiscal Year 2021
Department of Public Buildings budget.
The Town Council Reserve Fund of$1,375,000 is a decrease of$1,344,629 over the current Fiscal Year 2020 revised appropriation
and provides for unforeseen/additional needs and collective bargaining.
Elections
During Fiscal Year 2021, the Election Commission is scheduled to conduct the following election exercises:
Preliminary Election- Tuesday September 1, 2020
State Election - Tuesday November 3, 2020
Funding has been included to have polls open from 7:OOAM-8:OOPM.
Community Development & Planning
In accordance with several of the Honorable Town Council's Fiscal Years 2018 through 2021 Budget Policy Guidelines, the
Community Development and Planning Department will continue implementation of key recommendations of the Comprehensive
Plan. The Plan deals with a broad spectrum of issues and encourages the Town government and its citizens to work in concert towards
common goals.
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Long range plan implementation includes continuing to promote a diversified and growing tax base through implementation of the
Strategic Framework for Economic Development, (Budget Policy Guideline I.A.) which envisioned a hotel, new restaurants, and a
long term goal to increase Town revenue. One hotel is complete and another is under construction, as well as restaurants, office and
retail space. Economic development efforts will also encourage investment and redevelopment of abandoned or underutilized
properties in Town, including Town facilities (Fiscal Year 2021 Budget Policy Guideline II.O.) Recent events have put much of the
future expectations in doubt,however Watertown is well positioned to continue to see economic growth in several sectors, most
notably through the continued development of bio laboratory space.
Honorable Town Council's Fiscal Year 2021 Budget Policy Guidelines I. C. is related to pursuing grants, and II G. refers to moving
forward with funding to develop the Watertown Climate and Energy Plan. The Department continues to pursue grants, including a
current pending application for Phase II of the Municipal Vulnerability Preparedness (MVP) program. This grant will provide funding
for both consultant services to create the Climate and Energy Plan that will guide the Town in preparation for the impacts of climate
change and implementation of some initial actions.
Honorable Town Council's Fiscal Year 2021 Budget Policy Guidelines I. E. is related to upgrading the Town's parking payment
technology. The adopted Parking Management Plan for Watertown Square and Coolidge Square is now moving into the
implementation phase. The next step will be the installation of new parking meter technology and the institution of demand related
pricing of metered spaces.
Honorable Town Council's Fiscal Year 2021 Budget Policy Guidelines II. F. is related to the Transportation Management Association
(TMA) and the creation of a Pilot Shuttle Bus Program. The Town staff continues to work with the TMA and its members on a
number of activities designed to reduce single occupant vehicle travel. Staff is working diligently with a number of private entities
and have established service for a number of entities in the Arsenal Street corridor, and received a grant to establish service in the
Pleasant Street corridor. The goal is to provide robust shuttle service that supports the residents and employees of development
projects that are required to participate,those who are not required but may benefit from this service and the general public as well.
The Pleasant Street service should be started this winter, to coincide with the expected return of rush hour traffic.
Honorable Town Council's Fiscal Year 2021 Budget Policy Guidelines II. N. is related to implementing the anticipated Public Arts
Plan and identify funding sources. Staff, working with the Public Arts Committee, and through a grant from MAPC, is preparing a
Public Arts Master Plan. It is envisioned that this Plan will address a number of needs, among which is to make recommendations
regarding an organizational structure, funding sources, and decision making process to effectively administer a Public Art Program for
the community. The adoption process has suffered from the pandemic, but is expected to be completed shortly with recommendations
for implementation.
The Department is working with a consultant to develop a new Bicycle and Pedestrian Plan. The Comprehensive Plan recommends
the Town update the 2002 Bicycle Transportation Plan in keeping with current recommendations to improve bicycle and pedestrian
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facilities as a means to decrease single occupancy vehicle travel, reduce pollution, and promote healthy transportation options. The
preparation of the Bicycle and Pedestrian Plan is expected to be completed within this calendar year.
Honorable Town Council's Fiscal Year 2020 Budget Policy Guidelines II. K.reads as follows: Enhance the capabilities of the
Department of Community Development and Planning by adding resources and/or redeploying additional resources.
Since Fiscal Year 2017 through Fiscal Year 2020, funding has been included for the following new positions:
• Assistant Building Inspector
• Transportation Planner
• Code Enforcement Officer
• Senior Environmental Planner
• Part Time Principal Account Clerk
It is expected that the Department will be fully staffed soon for the first time in years, which will provide the ability to implement a
number of the priorities of the Council without staff having to cover for other responsibilities.
The Honorable Town Council's Fiscal Year 2021 Budget Policy Guidelines II.I. and II.N. reads as follows:
• Enhance the capabilities of the Department of Community Development and Planning by adding
resources and/or redeploying additional resources.
• Implement the anticipated Public Art plan and identify funding sources.
As a follow-up to these guidelines, Steven Magoon, Community Development&Planning Director/Assistant Town Manager
requested additional funding for the following items:
• Planner
• Public Art Funding
Given the impacts of COVID-19 on the Commonwealth's and the Town's Budgets, these additional funding requests were not
considered for inclusion in the Submitted Fiscal Year 2021 Budget.
Open Space and Recreation Plan
The Honorable Town Council adopted the Open Space and Recreation Plan (the Plan) in April 2015. A review of the
recommendations of the Plan for implementation is ongoing. Goal 1 of the Plan is to "Improve the amount, accessibility, and
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condition of Watertown's Recreational Resources"; and Objective 1-1 is to "Acquire open space, particularly spaces that would
enhance and leverage existing resources in under-represented sections of the Town." Given that Goal and Objective,the Honorable
Town Council made a joint referral to the Council's Human Services and Economic Development Committees to develop an open
space prioritization conceptual recommendation.
As a follow-up to the above mentioned goal and objective, on October 25, 2016 the Honorable Town Council approved a Resolution
to acquire property known as 10 Winter Street by Eminent Domain for parking and open space purposes. The acquisition of this
property represents an opportunity to implement several goals of the Open Space and Recreation Plan and Comprehensive Plan
including the furtherance of the Community Path through the central portion of the Town.
Further, the Town Council's Committee on Human Services met with the Conservation Commission in Executive Session to prioritize
proposals for possible open space acquisition. The Town Council will be meeting in Executive Session to further discuss this
endeavor.
The Honorable Town Council's conceptual recommendation#28 on the Fiscal Year 2021-2025 CIP, which was adopted on March 10,
2020, reads as follows:
• Concur with the Town Manager's recommendation for the Town Council to continue discussion on the following items:
• Reuse of Town Buildings (Former North Branch Library & Former Police Station)
• Record Storage Management& related issues
• Department of Public Works Staging Areas
• Acquisition of Land for open Space and/or Recreation use.
As a follow-up, a budgetary plan to meet the identified need for acquisition of land for open space and/or recreational use will be
developed subsequent to final policy direction by the Honorable Town Council and input from the Community Preservation
Committee in accordance with Fiscal Year 2021 Policy Guideline II.K.
Information Technology
The Submitted Fiscal Year 2020 appropriation for the Information Technology Department was $795,583, which was an increase of
$50,576 over the Fiscal Year 2019 Budget. Funding was continued to augment services by sharing of a current school employee.
Honorable Town Council's Fiscal Year 2019 Budget Policy Guideline II.G. reads as follows: "Move forward with a Town-wide
Information Technology Assessment to review the acquisition, distribution, and management of IT resources, including staffing levels
and positions required to support the Town's IT environment, improve the functionality of the Town's website, and
improve communications with residents."
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As a follow-up to that Budget Policy Guideline, on March 26, 2019,the Honorable Town Council approved a transfer of funds
totaling $61,500 in order to move forward with a Town-wide Information Technology Assessment.
On November 26, 2019, the Honorable Town Council adopted the Fiscal Year 2021 Budget Policy Guidelines and Policy Guideline
II.D. reads as follows:
• Consider the recommendations of the Town-wide Information Technology Assessment to review the acquisition, distribution,
and management of IT resources, including staffing levels and positions required to support the Town's IT environment,
improve the functionality of the Town's website, and improve communications with residents.
On December 23, 2019, copies of the IT Assessment conducted by plante moran were forwarded to the Honorable Town Council for
their information and review. The following are excerpts from the 99 page IT Assessment:
1.4 Foundational Opportunities
Seven foundational opportunities were identified that represent a commonality among many discrete observations made throughout
the IT assessment process. The foundational opportunities are:
1. Enhance IT Governance
2. Document standards, policies, andprocedures
3. Address IT staffing needs
4. Formalize website content management procedures
5. Pursue platform modernization including self-service and workflow automation
6. Improve the help desk approach and tools
7. Establish service level agreements
The observations (contributing factors) and the associated recommended actions have been aggregated to
depict the full scope of the efforts that are necessary to address the gaps and opportunities.
1.4.3 Address IT staffing needs
Challenges were identified relative to the adequacy of the competencies and staffing levels necessary to move the Town and the
Schools forward and adopt new emerging and innovative technologies. Overall, both the Town and Schools are IT support
organizations are understaffed in comparison to their industry IT staffing benchmarks. Having skilled and well-trained IT staff are an
asset to the Town.
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Proper training not only helps to improve the level of IT service,but is also a key component of employee retention and job
satisfaction.
Recommended Actions
• Restructure the Town's IT department to better align with Town needs
• Evaluate long-term IT staffing levels to address business needs
• Develop a business continuity plan
• Establish a formal IT staff training and professional development plan
• Strategically leverage external vendors to address skills gaps
1.4.4 Website content management
One of the most common areas of concern expressed by Town stakeholders was the website functionality and the perceived lack of
control regarding the Town's website and social media content. While departments have autonomy to deploy their sites how they see
fit, there was frustration across departments around lack of formal policies and procedures for the operation of the Town website and
social media sites.
Recommended Actions
• Adopt a social media strategy
• Formalize process and staffing for Website content management
As indicated earlier and as a follow-up to the Honorable Town Council's Budget Policy Guideline II.D., funding has been included in
the Submitted Fiscal Year 2021 Budget to begin addressing IT staffing needs and website content management with the following
positions and additional resources:
• Chief Information Officer
• IT Infrastructure Leader
• Website and Social Media Leader
• Increased Funding of Contracted Services
• Increased Funding of Equipment Replacement
Therefore, given all of the above, the Submitted Fiscal Year 2021 appropriation for the Information Technology Department is
$1,193,498, which is an increase of$395,724 over the Revised Fiscal Year 2020 Budget.
As indicated earlier, Information Technology Improvements totaling $575,000 from the Fiscal Year 2021 CIP will be included in
future Loan Orders and/or transfer of funds requests.
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Department of Public Buildings
The Honorable Town Council Fiscal Year 2018 Budget Policy Guideline II. J. read as follows:
Continue discussion with the School Department on consolidating town and school facilities maintenance departments into a single
town department in accordance with M.G.L Chapter 71 Section 37M.
On September 25, 2017, Dr. Deanne Galdston, Superintendent of Schools and I appointed Lori Kabel to the new position of Director
of Public Buildings.
The Honorable Town Council's Fiscal Year 2019 Budget Policy Guideline II.G. read as follows:
Finalize the structure and role of the new school/town Facilities Director with the School Department for consolidating town and
school facilities maintenance departments into a single town department in accordance with M.G.L Chapter 71 Section 37M.
The Fiscal Year 2019 Budget included funding of a Department of Public Buildings and the recommended appropriation was
$297,000. The following were the proposed positions in this department:
• Facilities Assistant (50% funding—50% funding in School Budget)
• Energy Manager/Maintenance Supervisor
• Supervisor of Custodians
• Preventative Maintenance Technician
• Carpenter
The Fiscal Year 2019 School Budget and various other Town Departments' Budgets included funding related to the proposed
Department of Public Buildings as well.
A Memorandum of Agreement between the Honorable School Committee and Honorable Town Council agreeing to the creation of a
joint municipal and school facilities department in accordance with Massachusetts General Laws Chapter 71, Section 37M was
executed in July 2018.
In accordance with Fiscal Year 2020 Budget Policy Guideline II.N., the structure and performance of the new Public Buildings
Department will be reviewed and monitored.
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The Fiscal Year 2021 appropriation is $1,013,656 and is $532,468 above the Fiscal Year 2020 Budget as the Town Hall Maintenance
Budget of$346,016 has been merged with the Fiscal Year 2021 Department of Public Buildings Budget.
The Fiscal Year 2020 School Budget and various other Town Department's Budgets includes funding related to the Department of
Public Buildings. Discussions will continue on how best to proceed in merging these related funds from other departments into the
Department of Public Buildings Budget.
State and County Charges
The Fiscal Year 2021 State and County Charges Appropriation is $2,816,632,which is an increase of$99,154 over the Revised Fiscal
Year 2020 Budget. The MBTA Assessment of$2,415,906 represents 86% of this appropriation.
Retirement Benefits
As indicated earlier, Standard& Poor's Rating Services and Moody's Investor Services cited the Town's plans to address its
Unfunded Pension and Other Post-Employment Benefits (OPEB) liabilities as one of the factors in the Town's bond upgrades.
As of January 1, 2019,the Unfunded Pension Liability of the Retirement System was $24,573,231, a decrease of$41,957,107 from
the Unfunded Pension Liability of$66,530,338 as of January 1, 2010.
The Council's Budget Ongoing Policy Guideline I. C. is related to Pension Liability and Other Post-Employment Benefits and reads in
part as follows: In order to achieve long term financial stability, meet the Town's obligation to its employees and retirees, and
maintain favorable bond ratings, the Council,the Retirement Board and Town Manager will work to address the Town's unfunded
pension liability and other post-employment benefits (OPEB).
Given the size of the unfunded pension liability and the above mentioned Budget Policy Guideline, annual funding of an Unfunded
Pension Liability Paydown account was implemented with funding of$250,000 included in the Fiscal Year 2013 Budget.
On July 17, 2012, the Honorable Town Council established the Unfunded Pension Liability Paydown Stabilization Fund and
appropriated $750,000 into said fund. That action allowed an appropriation of$250,000 to the Unfunded Pension Liability Paydown
account in Fiscal Years 2014, 2015 and 2016.
On July 16, 2013,the Honorable Town Council appropriated another $750,000 into said fund. That action will allow an appropriation
of$250,000 to the Unfunded Pension Liability Paydown Account in Fiscal Years 2017, 2018 and 2019, when the Unfunded Pension
Liability is expected to be paid in full.
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The Town's strong commitment to address the Unfunded Pension Liability is evidenced by the Pension Appropriation increasing by
$11,159,992 from Fiscal Year 2009, which is a 152.34% increase or an annual average increase of 15.23% over the last ten fiscal
years.
The Watertown Contributory Retirement Board's (WCRB) Funding Schedule as of January 1, 2018 had the Retirement System being
fully funded on July 1, 2019.
During the presentation of the Fiscal Year 2020 Preliminary Budget Overview on October 8, 2018, I indicated the Town is on the
verge of having a fully funded retirement system on July 1, 2019 and we were proposing a long range funding plan commencing in
Fiscal Year 2020 for addressing the Unfunded Other Post-Employment Benefits (OPEB) Liability. The projected Fiscal Year 2020
Pension appropriation was $8,088,176, a decrease of$10,397,396 from the Fiscal Year 2019 appropriation. Subsequent to the
Overview and upon further reflection on the Pension Trust's market return of-4.7% in calendar year 2018, n additional appropriation
of$5,000,000 was recommended to the Unfunded Pension Liability Paydown account in Fiscal Year 2020 to address concerns with
the calendar year 2018 performance.
The funding level of the Pension appropriation for Fiscal Year 2020 was $13,180,613, which is a decrease of$5,304,959 over the
Fiscal Year 2019 appropriation.
The Watertown Contributory Retirement Board had a funding schedule review conducted as of January 1, 2019. This funding
schedule was approved by the Public Employee Retirement Administration Commission(PERAC) and has the Retirement System
being fully funded on July 1, 2020.
Therefore,the recommend funding level of the Pension appropriation for Fiscal Year 2021 is $14,588,179, which is an increase of
$1,407,566 over the Fiscal Year 2020 appropriation.
The Retirement System had a market return of 18.6% in calendar year 2019, and is currently conducting a funding schedule review as
of January 1, 2020. That being said, given the uncertainty of the financial market as a result of the COVID-19 pandemic, funding of
the Retirement System will need to be monitored.
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The following are the projected funding levels of the Pension appropriation for Fiscal Years 2021 - 2024 including the
increase/decrease for each fiscal year.
Projected
Appropriation Variance
Fiscal Year 2021 $ 14,588,179 $1,407,566
Fiscal Year 2022 $ 1,008,276 ($13,579,903)
Fiscal Year 2023 $ 1,018,337 $10,061
Fiscal Year 2024 $ 766,944 ($ 251,393)
Other Post-Employment Benefits (OPEB)
On July 10, 2007,the Honorable Town Council voted to establish an Other Post-Employment Benefits (OPEB) Stabilization Fund and
transferred an initial $864,710 into this fund as a first step in the development of a plan to address the Town's OPEB obligation.
On July 8, 2008, The Honorable Town Council transferred an additional $151,987 to the OPEB Stabilization Fund.
An OPEB Trust Fund will be established and monies previously appropriated to the OPEB Stabilization Fund will be converted to the
Trust Fund in accordance with the Town Council Ongoing Budget Policy Guideline.
The Town engaged Sherman Actuarial Services, LLC to prepare an actuarial valuation of the post-retirement benefits program as of
June 30, 2015. The Town provided employee data and premium information.
The purpose of the valuation was to analyze the current funded position of the Town's postretirement benefits program, determine the
level of contributions necessary to assure sound funding and provide reporting and disclosure information for financial statements,
governmental agencies and other interested parties. This valuation report contains information required by the Government
Accounting Standards Board's Statements Nos. 43 and 45, respectively entitled"Financial Reporting for Postemployment Benefit
Plans Other Than Pension Plans" and"Accounting and Financial Reporting by Employers for Post-employment Benefits Other Than
Pensions."
According to GASB principles, if the benefits are not pre-funded,the rate earned by the General Asset Account must be used.
Liabilities have been determined on a pay-as-you-go basis using a discount rate between 3.5% - 3.75%.
The unfunded actuarial liability decreased from$163,903,670 to $132,944,757 from 2013 to 2015, based on a 3.5% discount rate. The
primary drivers for the decrease were fewer participants in the plan, less than expected increases in premium costs and retirees
electing less expensive plan options.
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The Actuarial Valuation Report of the Town of Watertown Post- Retirement Benefits Plan as of June 30, 2015 was referred to the
Committee on Budget and Fiscal Oversight at the March 8, 2016 Town Council Meeting.
On December 12, 2016, Daniel Sherman, Sherman Actuarial Services, LLC, met with the Council's Committee on Budget and Fiscal
Oversight regarding Other Post- Employment Benefits (OPEB)recommendations. The following is an excerpt from the Committee
minutes:
Moving forward, four steps were identified:
1. The current pension assumptions were based on the 1/l/2015 Actuarial Valuation. A new valuation will be done effective
1/l/17, and will be completed in April or May. The Committee will reexamine assumptions of the FY2020 pension savings
when this new data is available.
2. Mr. Sherman identified some minor problems with Chapter 218 of the Acts of 2016, as described in his email November 16,
2016 (attachment B). It was his recommendation to wait until these issues are fixed before voting to establish an OPEB Trust
Fund under this section of the law. Representative Hecht stated that he would take the action to follow up on a legislative
solution.
3. The composition of the Board of Trustees is something that needs further examination considering the range of options
available. The Committee will be looking at best practices in other communities, and will study this further before making a
recommendation.
4. Determining the length of the funding schedule is critical. The current OPEB assumptions were based on the 6/30/2015
Actuarial Valuation. A new valuation will be done effective 6/30/2017, and will be completed in August. The Committee
requested that Mr. Sherman include a range of potential funding schedules in the report,to allow discussion on options moving
forward.
The Committee will reconvene on this topic when new information is available.
The Town engaged Sherman Actuarial Services, LLC to prepare an actuarial valuation of their post-retirement benefits program as of
June 30, 2017. The Town provided employee data and premium information.
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The unfunded actuarial liability decreased from$132,944,757 to $122,602,207 from 2015 to 2017, based on a 3.75% discount rate.
The primary drivers for the decrease were fewer participants in the plan, less than expected increases in premium costs and retirees
electing less expensive plan options.
The Actuarial Valuation Report of the Town of Watertown Post- Retirement Benefits Plan as of June 30, 2017 was submitted to the
Honorable Town Council for their review and consideration.
On December 10, 2018, Daniel Sherman, Sherman Actuarial Services, LLC met with the Council's Committee on Budget and Fiscal
Oversight(BFO)to review options for an Other Post Employment Benefit(OPEB) Trust Fund and to make recommendations to the
Town Council.
On January 22, 2019, as a follow up to recommendations from the BFO, the Honorable Town Council adopted an Order Establishing
the Watertown OPEB Trust Fund by adopting M.G.L. Chapter 32B Section 20, designated the Town Treasurer to be the Trustee of the
Fund: and approved the use of M.G.L Chapter 203C,the Massachusetts Prudent Investor Act to invest OPEB Trust Funds.
Additionally,the Honorable Town Council adopted an action item requesting the Administration develop an Investment Policy
Statement for the OPEB Trust Fund and establish a Funding Plan to address the Unfunded OPEB Liability.
As a follow up to the request for a Funding Plan, the following was the projected Funding Plan to address the Unfunded OPEB
Liability:
Fiscal Year 2020 $ 8,016,203
Fiscal Year 2021 $16,772,287
Fiscal Year 2022 $12,637,298
Fiscal Year 2023 $ 8,605,156
Fiscal Year 2024 $ 5,675.446
Fiscal Year 2025 $ 6,235,899
Fiscal Year 2026 $ 6,798,315
Fiscal Year 2027 $ 7,362,836
Fiscal Year 2028 $ 7,929,610
Fiscal Year 2029 $ 7,074,222
Total $87,107,272
As indicated in the Fiscal Year 2020 Budget Message, the above mentioned OPEB Funding Plan over the next ten(10) fiscal years is
projected to result in the OPEB Liability being fully funded. The projected OPEB Funding Plan may be adjusted to address any issue
that may arise with the Pension Trust and the upcoming June 30, 2019 actuarial valuation of the post-retirement benefits program.
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The Town engaged Sherman Actuarial Services, LLC to prepare an actuarial valuation of the post-retirement benefits program as of
June 30, 2019. The Town provided employee data and premium information.
The unfunded actuarial liability decreased from$122,602,207 to $115,370,918 from 2017 to 2019, based on a 3.75% discount rate.
The primary drivers for the decrease were fewer participants in the plan, less than expected increases in premium costs and retirees
electing less expensive plan options.
The recommended funding level of the OPEB appropriation for Fiscal Year 2021 is $2,379,017, which is a decrease of$5,637,186
over the Fiscal Year 2020 appropriation.
The following are the projected funding levels of the OPEB appropriation for Fiscal Years 2021-2024 including the increase/decrease
for each Fiscal Year.
Projected
Appropriation Variance
Fiscal Year 2021 $ 2,379,017 ($ 5,637,186)
Fiscal Year 2022 $ 13,677,996 $11,298,979
Fiscal Year 2023 $ 9,598,528 ($ 4,079,468)
Fiscal Year 2024 $ 7,042,271 ($ 2,556,257)
The Town will be having an actuarial valuation of the Post Retirement Benefit Program as of June 30, 2020. Subsequent to the
actuarial valuation being completed, the OPEB Funding Plan will be adjusted to address any issue with the Pension Trust.
Insurance and Employee Benefits
The Town was one of 11 Massachusetts communities joining the Commonwealth of Massachusetts Group Insurance Commission in
Fiscal Year 2010. A Memorandum of Agreement was executed with the Public Employee Committee transferring the Town's group
health insurance coverage to the Group Insurance Commission beginning July 1, 2009 and continuing through June 30, 2015.
Pursuant to the provisions of the Memorandum of Agreement, the Town and the Public Employee Committee entered into
negotiations in February 2014 for a successor to the 2009-2015 agreement.
In May 2014, a Memorandum of Agreement was executed with the various member groups of the Public Employee Committee
continuing the Town's group health coverage under the Group Insurance Commission through June 30, 2021.
This decision allows the Town to continue providing quality health insurance to its employees and retirees. Additionally,the Town
has been the beneficiary of the Group Insurance Commission's proven track record of cost containment and stability, as evidenced in
the chart on page 25 of this message. The Fiscal Year 2021 appropriation of$16,996,300 for"Insurance & Employee Benefits" is
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$3,642,587 higher than the Fiscal Year 2009 appropriation of$13,353,713, some twelve fiscal years ago and is a 27.28% increase over
that time period or an annual average of 2.27%. This track record will continue to greatly assist in the development of future budgets,
while striving to provide the highest level of essential services to the citizens of Watertown while utilizing the taxpayers' dollars as
effectively as possible.
The Submitted Fiscal Year 2021 Budget for the Town's cost of Health Insurance is $14,365,186, an increase of$858,539 over the
revised Fiscal Year 2020 Budget. The chart below reflects the Town's obligations for Employees and Retirees Health Insurance in
Fiscal Year 2021.
FY 20 FY 21
Revised Proposed
Budget Budget Variance
Town Health Ins. $ 3,835,734 $ 4,118,293 $ 282,559
School Health Ins. $ 5,202,813 $ 5,598,293 $ 395,480
Retiree Health Ins. $ 3,876,500 $ 3,995,000 $ 118,500
Medicare Part B Reimb. $ 570,000 $ 632,000 $ 62,000
PEC Related Fees $ 21,600 $ 21,600 $ -
Total $13,506,647 $14,365,186 $ 858,539
Lastly,pursuant to the provisions of the Memorandum of Agreement,the Town and the Public Employee Committee will meet to
discuss the upcoming expiration of the parties' agreement and an extension beyond its current June 30, 2021 expiration.
Public Safety
One of the top priorities of the Honorable Town Council's Fiscal Year 2012 Budget Policy Guidelines was related to Public Safety, in
that Police, Fire and Dispatch together represent the Town's biggest expenditure after Education and an examination of how to best
deliver the level of service citizens want more effectively should be undertaken.
To that end, an RFP was issued seeking proposals to conduct a Public Safety Study. The objective of the Public Safety Study was to
perform an assessment of the Fire Department and Police Department, including Dispatch Operations and identify opportunities for
improvements in efficiency and cost effectiveness of operations to meet service needs for Watertown. Comparison of the Watertown
public safety operations with similar communities and identify possible options for changes in organization, operations or mutual aid
relationships, or consolidation of any duplicated services that improve cost effective delivery of public safety service would be
considered.
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The Public Safety Study was completed and in accordance with their Budget Policy Guidelines,the Honorable Town Council
proceeded with a review of the Public Safety Study recommendations to determine how best deliver the level of service citizens want,
more efficiently.
Police
The Fiscal Year 2020 Budget includes funding of seventy (70) uniformed Police Officers including fifty two (52) Patrol Officers, nine
(9) dispatchers, four (4) civilian employees and crossing guards for various locations throughout the Town.
In Fiscal Years 2009 and 2010, funding was eliminated for eight(8) Police Officer positions (4 in Fiscal Year 2009 and 4 in Fiscal
Year 2010). In Fiscal Years 2015, 2017, 2018, 2019 and 2020, five of the eight (8)positions were restored.
In an effort to restore three (3) of the eight (8) Police Officer positions, in 2015 the Police Department submitted an application to the
Office of Community Oriented Policing Services (COPS)requesting funding under the 2016 COPS Hiring Program (CHP).
The Fiscal Year 2015 COPS Hiring Program (CHP) was designed to advance public safety through community policing by addressing
the full-time sworn officer needs of law enforcement agencies nationwide. CHP provided funds directly to law enforcement agencies
to hire new and/or rehire career law enforcement officers, and to increase their community policing capacity and crime prevention
efforts.
Fiscal Year 2015 CHP grants provided up to 75 percent of the approved entry-level salaries and fringe benefits of full-time officers for
a 36-month grant period, with a minimum 25 percent local cash match requirement and a maximum federal share of$125,000 per
officer position. The COPS Office capped the number of officers that an agency could request through the FY2015 CHP program. All
agencies' requests were capped at no more than 5 percent of their actual sworn force strength as reported on the date of application.
At the conclusion of the 36 months of federal funding, grantees must retain all sworn officer positions awarded under the CHP grant
for a minimum of 12 months.
The Police Department was notified in October 2015 that their application was not among those selected for funding. Thirty three
(33) cities and towns from Massachusetts applied for the grant. The Police Department scored 8th out of the thirty three applicants. Of
the seven departments whom scored higher, four were awarded the grant and pledged to hire all of the grant positions as School
Resource Officers.
The U.S. Department of Justice Office of Community Oriented Policing Services (COPS Office) announced in April 2016 that the
application period for the Fiscal Year 2016 COPS Hiring Program(CHP) was open. The Fiscal Year 2016 COPS Hiring Program had
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an overarching emphasis on implementing the recommendations of President Barack Obama's Task Force on 211t Century Policing.
The Police Department submitted an application for this grant in June 2016.
The Police Department was notified in October 2016 that their application was not among those selected for funding. The Police
Department scored twelfth out of thirty-eight Massachusetts Departments that applied and only two of those departments who scored
higher than the Police Department were actually awarded the grant.
In accordance with Town Council's Fiscal Year 2018 Budget Policy Guideline II.L., the Police Department submitted an application
to the Office of Community Oriented Policing Services (COPS) requesting funding under the 2017 COPS Hiring Program.
The Police Department was notified in November 2017 that their application was not among those selected for funding. Thirty (30)
cities and towns from Massachusetts applied and only two cities were awarded this grant. The Police Department scored above
average for community policing commitment and proposed plan; and below average for crime & fiscal need.
The Submitted Fiscal Year 2020 Budget included funding of one (1) additional Police Officer above the Fiscal Year 2019 level. This
additional patrol officer has enabled the department to assign a detective fulltime to the Southern Middlesex County Drug Task Force
which has been beneficial to the department and our community.
In an effort to restore two (2) of the eight(8) Police Officer positions mentioned above,the Police Department submitted a"Request
for Additional Funding"totaling $190,174, of which $40,000 is related to Health Insurance and related benefits.
Given the impacts of COVID-19 on the Commonwealth's and Town's Budgets, this funding request was not considered for inclusion
in the Submitted Fiscal Year 2021 Budget.
Therefore, given all of the above, the Submitted Fiscal Year 2021 Budget includes funding of seventy (70)uniformed Police Officers
including fifty two (52) Patrol Officers, nine (9) dispatchers, four(4) civilian employees and crossing guards for various locations
throughout the Town.
The Submitted Fiscal Year 2021 appropriation is $10,308,183 and is $69,482 above the revised Fiscal Year 2020 Budget.
Monies for Proposed Fiscal Year 2020-2022 Collective Bargaining Agreements with the Police Association and Police Supervisors
have been included. If Agreements are not reached prior to the Honorable Town Council's consideration and action on the Submitted
Fiscal Year 2021 Budget, an Amendment will be brought forward moving those monies to Council Reserve.
The Police Department remains committed to expanding the Community Policing philosophy throughout the Department, with the
focus on creating more partnerships with the community;providing training to the Police Department on the 6 "Pillars" of the
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President's Task Force on 21 st Century Policing; and maintaining and enhancing the trust in Watertown Police Officers by all
members/groups in our community. The six Pillars are as follows:
1. Building Trust& Legitimacy
2. Policy & Oversight
3. Technology & Social Media
4. Community Policing & Crime Reduction
5. Training & Education
6. Officer Safety & Wellness
Additionally, in Fiscal Year 2021 the Police Department will join in partnership with the Communities for Restorative Justice
Program.
The Police Department will continue placing a School Resource Officer at the Middle and High School for the 2020-2021 school year
and will continue the Police Mountain Bicycle Program, a community policing initiative restored in Fiscal Year 2017.
Additionally, the Police Department, in conjunction with the Recreation Department, will continue their efforts to restore the "Cops &
Kids" Program and/or the"Police Athletic League."
Funding of supplies/services is $665,688 as Fiscal Year 2021 will be the tenth full year of occupancy at the new police station. The
additional funding request for the Vehicle Replacement Account has not been included. It is my intention to address the funding
request prior to the end of Fiscal Year 2020 utilizing available Police Department monies with the approval of the Honorable Town
Council.
Monies have been included in the Capital Improvement Program for building improvements/renovations related to the Facilities
Assessment Study and for the acquisition of radio infrastructure and specialized equipment.
As indicated earlier, Police equipment totaling $175,900 and $125,600 in Police Station Improvements from the Fiscal Year 2020 CIP
along with $1,167,000 for Radio System Replacement from the Fiscal Year 2021 CIP will be included in future Loan Orders and/or
transfer of funds requests.
Fire
As indicated in the Fiscal Year 2017 Budget Message, in an effort to improve the quality of life for the residents of Watertown,the
Fire Department was seeking to upgrade the level of care it currently provides from basic life support (BLS)to advanced life support
(ALS). Emergency medical technicians certified to the Paramedic level are required for this upgrade. The Public Safety Study
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identified two areas within the EMS system that needed further study. These were the number of vehicles dispatched to EMS calls
and overall response times to EMS calls. An upgrade to ALS by the Fire Department will address and correct both of these issues.
Previously, a third party ALS provider responded from their station outside the Town's limits along with the Fire Department to
deliver paramedics to a medical call. An upgrade to fire based ALS paramedics eliminates this need thereby reducing the number of
vehicles responding to a medical call and limiting the inherent risks associated with emergency response i.e.; vehicle accidents.
Additionally, since paramedics from the Fire Department will respond from within the Town the time paramedics first make patient
contact will be dramatically reduced thereby reducing overall response times.
An upgrade to fire based ALS has the value added benefit of positioning the department to be equipped to handle future changes in
health care delivery resulting from the Affordable Care Act, such as the inclusion of mobile health care delivered by paramedics. Two
bordering community's fire departments,the City of Cambridge and the Town of Belmont,have already upgraded their EMS delivery
systems to ALS. A similar upgrade of the Town's system will expand the Town's mutual aid relationship to include ALS.
As a follow up to seeking an upgrade of the Town's ambulance service license to an ALS level,the Town requested EMT Paramedic
Selective Certificate Lists from the Commonwealth's Human Resource Division and has hired twelve (12) paramedic/firefighters.
Additionally, funding of$95,000 from Free Cash was included in Fiscal Year 2016 to fund the start-up equipment required by the
Massachusetts Department of Public Health for ALS level ambulance license.
In September 2015, an Agreement was reached with the Firefighters Association for a seven year contract covering July 1, 2009—
June 30, 2016. Consistent with the above mentioned effort to improve the quality of life for the residents of Watertown, item#5 of
the Agreement reads in part as follows: "Union to agree to cooperate fully with the Town's implementation of ALS service, including
bargaining necessary changes to policies,procedures, rules and regulations and CBA provisions to ensure efficient and cost effective
ALS service."
During Fiscal 2016, required affiliation agreements were reached with the Town's medical control partners at Mount Auburn Hospital.
Emergency room physicians from Mount Auburn Hospital will provide medical control to the Town's paramedics who will operate in
the field through the hospital's emergency room physicians. In Fiscal Year 2017, backup agreements,training plans and quality
assurance/quality improvements (QA/QI) agreements were finalized to ensure the efficiency of the service and paramedic skills.
Upon completion of these tasks,the Department submitted its completed application to upgrade its ambulance service license to the
State Office of Emergency Services.
As a result of all the efforts above, the Watertown Fire Department began the Advanced Life Support ambulance service on February
7, 2017.
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The Fiscal Year 2019 Budget included funding of eighty seven (87) uniformed firefighters, of which four(4) are from the SAFER
Grant, and two (2) civilian positions operating from three stations providing fire/rescue ambulance service including Advanced Life
Support (ALS) services to all residents and visitors. The eighty seven(87) uniformed firefighters include the Fire Chief, four (4)
Deputy Chiefs, eight(8) Captains, fifteen(15) Lieutenants and fifty nine (59) firefighters.
In Fiscal Year 2009 through Fiscal Year 2011, funding was eliminated for nine (9) Firefighter positions (3 in Fiscal Year 2009, 2 in
Fiscal Year 2010 and 4 in Fiscal Year 2011).
In February 2014, the Fire Department was awarded a Fiscal Year 2013 Staffing for Adequate Fire and Emergency Response
(SAFER) Grant. The highlights of the grant were as follows:
• The grant award is $652,000, which will allow for the hiring of 4 firefighters for a period of two years (FY15 & 16).
• There are no matching funds requirements for this hiring grant.
• There is a 90 day recruitment period which begins when the appropriation is approved for award.
• The Town cannot layoff any firefighters during the two year period of performance.
• There is no obligation to retain the SAFER funded firefighters after the conclusion of the two year period of
performance for the Fiscal Year 2013 SAFER Award.
In Fiscal Year 2020, the Fire Chief requested additional funding for the following items
• Staff a Basic Life Support (BLS) ambulance and run 2 ambulances by increasing minimum staffing from 17 to 19 per shift.
• Create an Assistant Fire Chief position or upgrade Staff Services Officer to Assistant Fire Chief.
• Upgrade one Firefighter to a Lieutenant to provide assistance to fire prevention efforts related to development and department
technology.
• Increase health, safety and wellness of employees by expanding current program.
Monies were included in the Submitted Fiscal Year 2020 Fire Department Budget to fund all of these priorities.
The Fire Department was only able to staff the BLS ambulance, operating 2 ambulances from July 2019 to December 31, 2019. The
overtime monies approved to provide this service were exhausted after 6 months due to staffing issues during the fiscal year. Revenue
projections were on target, but the cost to run the enhanced ambulance service was more than anticipated.
In April 2020, an Agreement was reached with the Firefighters Association for a three-year contract covering July 1, 2019—June 30,
2022.
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Therefore, given all of the above, the Submitted Fiscal Year 2021 Budget includes funding of eighty seven(87) Firefighters and two
(2) civilian positions operating from three stations providing Basic Life Support(BLS) fire/rescue ambulance service and Advanced
Life Support (ALS) services to all residents and visitors. The eighty seven (87) uniformed firefighters include the Fire Chief, one
Assistant Fire Chief, four (4) Deputy Chiefs, seven (7) Captains, sixteen(16) Lieutenants and fifty eight (58) firefighters.
The Submitted Fiscal Year 2021 appropriation is $11,285,841 and is $26,083 above the revised Fiscal Year 2020 Budget of
$11,259,758.
Monies have been included in the Capital Improvement Program for building improvements/renovations related to the Facilities
Assessment Study and the acquisition of ALS ambulance medical equipment.
As indicated earlier, Fire Station improvements totaling $155,000 from the Fiscal Year 2019 CIP, $165,000 from the Fiscal Year 2020
CIP and$41,600 from the Fiscal Year 2021 CIP will be included in future Loan Orders. Additionally, Fire Department equipment
totaling $170,000 from the Fiscal Year 2020 CIP and $535,000 from the Fiscal Year 2021 CIP for Radio System Replacement will
also be included in future Loan Orders.
Department of Public Works
The recommended Fiscal Year 2021 Department of Public Works Budget, excluding Waste Disposal and Snow and Ice Removal
Budgets is $5,871,584, an increase of$102,711 over the revised Fiscal Year 2020 Department of Public Works Budget. The Fiscal
Year 2021 Department of Public Works Budget includes funding of thirty four (34) full time and one (1) part time employee in the
General Fund divisions which includes the Forestry Supervisor—Tree Warden position that was funded in Fiscal Year 2019 with
monies being reallocated from the Community Development& Planning Budget.
One of the top priorities of the Fiscal Years 2013 and 2014 Honorable Town Council Budget Policy Guidelines was to "examine the
staffing structure of the Public Works Department and implement changes to improve the ability to perform routine maintenance,
complete work order requests in a timely manner, and strengthen the capacity to supervise contractors."
Given this Budget Policy Guideline, the Town moved forward with a study,the primary focus being the future of service delivery.
The objective of the Department of Public Works Operations Study was to perform an assessment and identity opportunities for
improvements in efficiency and cost effectiveness of operations to meet service needs for Watertown.
Specific items to be addressed included, but were not limited to the following:
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• Evaluation of the Department's existing structure to determine if personnel and resources are being utilized in the most
efficient manner based on the mission of the Department, and whether the current configuration of divisions is
appropriate.
• Review the Department's capacity to handle an increasing volume of large and complex capital projects, and its ability
to respond to extraordinary circumstances and emergency situations.
• Evaluation of the efficiency and cost-effectiveness of in-house versus contracted services to include the management of
roads, intersections and sidewalks, sewer and water systems, athletic facilities and fields, public work buildings and
Town facilities, and others as appropriate
• Identification of potential service sharing or collaboration, both internally and externally.
• Evaluation of systems such as fleet management, pavement management, capital project management, works orders,
and preventive maintenance.
• Provide benchmarking analysis of public works operations vs. benchmarking against comparable communities as well
as leading practices in the field and to standards of efficiency and effectiveness developed in the industry.
The Department of Public Works' Fiscal Year 2021 Budget includes funding to support the Town Council's Fiscal Year 2021 Budget
Policy Guidelines as well as support for additional Town-wide priorities.
Town Council's Fiscal Year 2021 Budget Policy Guideline II. C. reads as follows: "Improve the operational efficiency, flexibility and
capacity of the Public Works Department to meet the Town's growing needs to manage contractors, respond to work order requests,
oversee development projects,plan and implement infrastructure improvements, improve communications to residents about road
construction, comply with MassDEP 2030 Solid Waste Management Plan, and maintain complete streets infrastructure. Consider what
technology platforms are needed to support the Department"
Consistent with that guideline,the Department continues to work with the Town's engineering consultant, Weston and Sampson, Inc.,
and the Massachusetts Department of Environmental Protection on a Sewer Collection System Capital Improvement Plan to meet
water system, sewer system and stormwater requirements. In 2018,the Department submitted an Inflow/Infiltration Control Plan to
the Massachusetts Department of Environmental Protection(MADEP) and requested compliance with 314 CMR 12.00, Operation,
Maintenance and Pretreatment Standards for Wastewater Treatment Works and Indirect Dischargers. The goal of the plan is to
develop a Capital Improvement Plan for the sanitary sewer system to identify and eliminate excessive inflow/infiltration sources.
During Fiscal Year 2020, the Department updated several areas of its web-page, including new sections related to "Frequently Asked
Questions." Copies of"Frequently Asked Questions" are distributed to residents in advance of certain capital projects, such as road
reconstruction and water main replacement. Furthermore,the Department will continue to make web-page updates and improvements
to improve the accuracy and efficiency of information disseminated and presented via the web.
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Town Council's Fiscal Year 2021 Budget Policy Guideline II. H. reads as follows: "Update the five year plan and funding schedule
for the integrated improvements of the Town's streets and sidewalks, water-sewer-stormwater infrastructure, and underground
utilities. The plan should show status of ongoing projects, identify future projects including those with no funding source, and include
upgrade of all water meters, identify sources of stormwater and sewage outflow to the Charles River, and coordination with water-
sewer-stormwater projects and underground utility projects."
• In Fiscal Year 2021,the Department will be updating its Pavement Management Plan, which was last issued in 2017. As part
of the work, an on-the-ground review of pavement conditions is performed Town-wide. The planning level document identifies
possible pavement rehabilitation methods and associated estimated costs and is used in developing the Town's road
reconstruction and preventative maintenance programs.
• The Town continues to implement its Stormwater Management Plan for compliance with its National Pollutant Discharge
Elimination System (NPDES)permit issued by the EPA in 2018. In Fiscal Year 2021, the Town will begin to evaluate and
develop a Phosphorus Control Plan to address nutrient issues in the Charles River. As part of the evaluation, planning level
costs will be developed for compliance with the numerical removal requirements of the permit.
• The Town continues to implement its Sewer System Capital Improvement Plan. In Fiscal Year 2020, multiple, large capital
improvements to the Town's sanitary sewer and storm drain systems to reduce sources of inflow into the sewer system and
reduce contamination in the drainage system were performed. The Department is in the process of developing the next sewer
and drain rehabilitation project as part of the plan and expects the progress to continue in earnest into Fiscal Year 2021.
Town Council's Fiscal Year 2021 Budget Policy Guideline II. J. reads as follows: "Continue to enhance the capabilities of the
Department of Public Works Forestry Department by adding resources and/or redeploying additional resources for improving
Watertown's public shade trees and increasing the Town's overall tree canopy by: (1) Developing a robust data collection process for
public shade trees in Watertown, and (2) Analyzing the data to determine an action plan and to seek collaboration and partnership
opportunities with community groups such as Trees for Watertown."
Consistent with that guideline, once again the Department will utilize funding included in the Fiscal Year 2021 Department of Public
Works—Forestry Budget to assist with quantifying the structure and form of the existing urban forest, evaluating potential planting
areas, increasing efforts to address vulnerabilities and the overall quality and scope of the urban canopy over time, and providing
additional site specific evaluations of existing soils at plant locations. Priority will be given to enhancing pruning efforts and
additional plantings in Fiscal Year 2021.
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The Department of Public Works will continue to work with Town departments in Fiscal Year 2021 to support Town-wide priorities
including but not limited to:
• Working with the Department of Community Development and Planning to review and assess recommendations put forth from
the Parking Management Plan study which will inform design of the next phase of the Community Path, connecting the eastern
segment to Saltonstall Park, via the municipal parking lot. The Plan will also address parking in the areas of Watertown Square
and Coolidge Square and will also look at parking policy and technology.
• Working with the Department of Community Development and Planning to further Arsenal Street corridor planning and
design, and for the Alexandria Real Estate Equities, Inc. and Arsenal Yards private development projects, and to continue
efforts surrounding Watertown Square development and improvements.
• Working with public safety departments to coordinate emergency management efforts and review infrastructure improvements
before projects begin.
Furthermore, the Department will continue efforts in Fiscal Year 2021 to collaborate and foster positive working relationships with
local agencies and organizations including the City of Cambridge to implement Complete Streets improvements to Belmont Street,
from Brimmer Street to Mount Auburn Street; with the MBTA to address a number of issues in Town, including bus stop locations
and signage on Arsenal Street,project planning for Mount Auburn Street, review of other transit issues in Town; and, MassDOT
District 6 to develop road safety pedestrian safety enhancements and safe routes to school projects.
The Fiscal Year 2021-2025 CIP includes a request for design and construction costs for the 2021 annual road program. The
Department will compile roads and other infrastructure for the Honorable Town Council to review and consider for funding in Fiscal
Year 2021.
Additionally, in Fiscal Year 2021 the Department will continue to support previously initiated efforts to manage,protect, and improve
the Town's infrastructure through participation in planning, design and construction of major projects including but not limited to:
Mt. Auburn Street Complete Streets Project:
The Department submitted a 25 percent design for the Mount Auburn Street project to the Massachusetts Department of
Transportation(MassDOT) in December 2019, based on the concept endorsed by the Honorable Town Council. An updated cost
estimate was developed to accompany the updated draft design. The project is now estimated at over $28 million dollars, due in part to
regional escalations in construction costs and costs associated with the Complete Streets and Massachusetts Bay Transportation
Authority (MBTA) catenary wire designs. The Department continues to work to meet the timeline of the Boston Region Metropolitan
Planning Organization (MPO) Fiscal Year 2022 and 2023 TIP Funding Schedule.
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Waverley Avenue Design:
$1.5 million is included in the Fiscal Year 2020 CIP for"long streets/collector reconstruction."At the recommendation of the
Department, the Honorable Town Council voted to proceed with a design of Waverley Avenue, from Orchard Street to the Town Line
at Belmont Street. The Department has begun collected important traffic and speed data, performed field survey work, and developing
conceptual designs. Design and project bidding are expected to be completed in Fiscal Year 2021.
Furthermore,throughout Fiscal Year 2021,the following major projects will continue to be designed and/ or constructed: Arsenal
Street Mitigation Projects, Belmont Street Redesign(w/Cambridge), Community Path Design, Complete Streets Prioritization Plan,
Pleasant Street Corridor Projects, and Watertown Square Improvements.
In Fiscal Year 2021, the Central Motors Division will continue to provide vehicle and equipment acquisition, replacement,
maintenance, repair, and fuel services to all Town departments. Technology and tool acquisition and training will remain a priority for
the Division allowing for more accurate and timely diagnostics and repairs as vehicle technology continues to advance.
In Fiscal Year 2020,the Property and Buildings Division performed numerous repairs of Town fire alarm and electrical systems and
expanded fire alarm cable in multiple areas. The Division also performed numerous repairs on the transportation management system
and supports the Traffic Commission through the installation of regulatory traffic management signs. The Division is also responsible
now for all street light maintenance and repair. In Fiscal Year 2019, the Department analyzed contractual expenses and service levels
associated with annual street light repair and maintenance. During Fiscal Year 2020, the Division responded to numerous work orders
for outages completing most repairs in less than 48 hours; where before the contracted vendor took an average to two weeks to
respond to and complete repairs. Over 22 major repairs and replacements to street lighting infrastructure have been completed to date.
In Fiscal Year 2021,the Parks Division will continue to perform all maintenance activities at 88 acres of Town grounds, parks and
recreational facilities consisting of 12 baseball fields, seven soccer fields, one field hockey field, one football field and two water
parks, including picnic tables, cookout grills and public rest rooms. Additionally,the Parks Division will continue to provide capital
improvement support the Recreation Division. Furthermore, the Division continues to review and implement improvements outlined
in the completed Ridegelawn Cemetery beautification plan. These projects are generally smaller scale projects that can be
implemented by Division staff over time as resources allow.
Despite the relatively small accumulation of most snow and ice events in Fiscal Year 2020, the Department managed persistent and
frequent non-accumulation precipitation events that resulted in many wet days and cold nights requiring much more treatment of
roadways for ice then in in recent years and subsequently significant salt use. The Department plans to continue to evaluate the
implementation of better and more innovative snow removal equipment, more efficient salt distribution controls, and more effective
and efficient ways to respond to winter weather events. The Fiscal Year 2021 Snow&Ice Removal appropriation is $1,500,000,
which is the original Fiscal Year 2020 appropriation and an increase of$85,000 over the revised Fiscal Year 2020 appropriation.
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The Department continues to work with solid waste and recycling,hauler Republic Services to address the significant challenges
facing every community in the area with regards to Single-Stream recycling. Single-Stream recycling allows for a more simplistic
approach to recycling for the customer but also presents greater challenges for disposal. With support from the Honorable Town
Council, Town Manager and the Community significant inroads were made in Fiscal Year 2020 with reducing violations and non-
pick-ups. Toward the end of Fiscal Year 2020, violations for curb-side recycling issues were noticeably fewer than in years past.
Furthermore,the Recycling Center at 76 Stanley Avenue opened in July 2013, and is operated by Republic Services, has continued to
operate on the same schedule to address recycling needs in excess of the Single-Stream recycling curbside collection.
The Third Amendment to the Wheelabrator Service Agreement will become effective on July 1, 2020. This Amendment extends the
service provided by Wheelabrator for an additional five years, through Fiscal Year 2025. This agreement ensures the Town has solid
waste disposal service for another five years.
Given all of the above, the Fiscal Year 2021 Waste Disposal appropriation is $3,388,265, which is $201,028 above the Fiscal Year
2020 appropriation and$151,325 more than the Fiscal Year 2012 appropriation of$3,236,940, some nine (9) fiscal years ago.
The Department will continue to pursue grants and supplemental funding sources in Fiscal Year 2021 to support development of green
infrastructure and environmentally friendly retrofit projects throughout the Town.
As indicated earlier, Department of Public Works equipment totaling $877,000 from the Fiscal Year 2019 CIP and$590,000 from the
Fiscal Year 2021 CIP will be included in future Loan Orders.
A budgetary plan to meet the identified need for Public Works staging space will be developed subsequent to final Honorable Town
Council policy direction in accordance with Fiscal Year 2021 Budget Policy Guideline II.M.
Health and Human Services (Health, Council on Aging and Veterans' Services)
The Fiscal Year 2017 Budget included funding of ten(10) full time and four (4) part time employees in the three (3) Health and
Human Services Departments (Health, Council on Aging and Veterans' Services).
Honorable Town Council's Fiscal Year 2018 Budget Policy Guideline II. H. read as follows: "Enhance the capabilities of the Health
Department to strengthen programs directed at community wellness in collaboration with the Senior Center and Recreation
Department."
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Given the above mentioned Budget Policy Guideline,the Fiscal Year 2018 Budget included funding of eleven (11) full time and four
(4)part time employees in the three (3) Health and Human Services Departments as funding was included for a Community Wellness
Program Manager in the Health Department.
The Community Wellness Program Manager is staffed and responsible for the coordination,promotion and implementation of
community wellness education and programs that address community health priorities and leading healthy aging community efforts.
Funding has been included to support programs involving healthy living and healthy aging initiatives.
Funding has been continued for both Environmental and Community Health Services towards fulfillment of the mission of the Health
Department "to protect and promote health, prevent disease and disability, and access and improve the health status of the
community."
Environmental health programs include mandates such as food protection, enforcement of housing code standards, swimming pools
and recreational camps, tanning and body art,public health nuisance investigation, rabies and animal control, and other programs such
as household hazardous and medical waste collection, mosquito control,hen and honeybee permitting, and geese control. The
adoption of rDNA/Biotechnology regulations and an updated Noise Ordinance will add new areas of responsibility for the
environmental health unit. The Health Department is also engaged in reviewing and developing new strategies to address climate
change and environmental health impact on the community.
Community health program services include communicable disease control, health promotion and education, participation in and
support of collaborative efforts such as healthy living programs, substance use prevention, youth and family support,hoarding
remediation and clutter reduction support, and tobacco control. The COVID-19 pandemic has added significant responsibilities and
challenges for the Health Department in responding to this global Public Health crisis. Watertown had to face the challenges of
contact tracing, suppressing the spread of COVID-19 in the community and preparing for a new normal that addresses the control of
the spread of COVID-19.
Planned services for Fiscal Year 2021 include the continuation of full-time social services resource hours to provide residents of
Watertown and their families a single access point to a wide variety of social services as well as assessment, information and referral,
short-term intervention and follow-up as necessary.
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Additionally, work continues on projects such as implementing the findings of the community health needs assessment, modification
of Board of Health regulations, implementation of rDNA Biotechnology regulations and the Noise Ordinance, Hazardous Materials
Regulations, and Irrigation Wells, training restaurants and food service establishments on the requirements of the recently updated
105CMR590 that adopted the 2013 Food Code. Funding from the Fiscal Year 2019 Information Technology Budget allowed for
coordination and implementation of the Health Department modules for the Town's GIS system which allows for automation of health
inspections and enhanced communication with business owners.
The Health Department continues to participate in Public Health Emergency Preparedness activities and training, and with State
funding, is working on a"first in the area" reunification plan for mass casualty events.
Grant funding has been secured through the Marshall Home Fund"Compassionate Connections" Grant, the Lee Manillo Fund,
Watertown Community Foundation, Mt. Auburn Hospital, Watertown Savings Bank and State Emergency Preparedness Funding for
assistance with decluttering and social work, in-home management for hoarders, community health and wellness activities, substance
use disorder support, and public health emergency preparedness, and SNAP fund matching at the Farmers market.
On October 13, 2015, the Honorable Town Council proclaimed our community as a Purple Heart Community, honoring the service
and sacrifice of our Nation's men and women in uniform that were wounded or killed by the enemy while serving to protect the
freedoms enjoyed by all Americans.
The Town recognizes August 7th annually as Purple Heart Day, and urges the people and organizations of Watertown to display the
American Flag as well as other public expressions of recognition of our Purple Heart recipients.
The Veterans' Services Department is performing a thorough process to update and identify benefits for the Veteran community.
With input from Veterans and Veterans organizations,the Veterans' Services Officer is undergoing a listening session to identify
priorities for future Veterans memorials in our community. Increased funding of the Veterans Benefits account over the original
Fiscal Year 2019 appropriation has been continued as a result of successful outreach efforts.
Veterans' Services remained open and available during the COVID-19 pandemic. Benefit claims went uninterrupted and were
processed though fax, email, and other alternative methods in accordance with social distancing guidelines. Other initiatives included
food drop offs; donations of soap and hand sanitizer; and phone call check ins on a regular basis. In addition to day to day operations,
Veterans' Services partnered with Watertown Community Access TV to record an interview series for Memorial Day, which included
Veterans and other community members to outline the importance of Memorial Day.
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Honorable Town Council's Fiscal Year 2019 Budget Policy Guideline II. I. read as follows: "Continue to enhance the capabilities of
the Senior Center to strengthen the programming directed at seniors." Given that Budget Policy Guideline,the Director of Senior
Services requested additional funding for the following items:
• Part time Program Services Assistant
• Increased Hours to make Case Worker a full time position
• Additional Day of Bus Service for Seniors
Monies were included in the Submitted Fiscal Year 2019 Council on Aging Budget to fund all of these priorities.
Given all of the above,the Fiscal Year 2019 Budget included funding of twelve (12) full time and four (4)part time employees in the
three (3) Health and Human Services Departments (Health, Council on Aging and Veterans' Services).
On January 31, 2018,the Council's Committee on Rules and Ordinances voted to recommend to the Town Council an increase to the
real estate tax exemption amount a senior can earn through the Property Tax Work-Off Program. On February 27, 2018, the
Honorable Town Council adopted the proposed increase; and applicants who meet eligibility guidelines will be able to earn up to
$1,500 for work in a Town Department beginning in Fiscal Year 2019. The Director of Senior Services worked with the Personnel
Director and other Department Heads to develop jobs that match skill sets of applicants and Town needs. The Property Tax Work-off
Program will continue to be funded through an abatement process utilizing the overlay account.
The Honorable Town Council approved two changes to the Tax Deferral Program for seniors beginning in Fiscal Year 2020. The first
change is to reduce the interest rate for tax deferrals from 8%to 4%; and the second change is to increase the gross receipt limit to the
maximum allowance amount under Massachusetts General Law.
On June 15, 2018,the Council on Aging celebrated the Senior Center's 25th anniversary with a party for seniors and the community at
Hibernian Hall.
Due to the continuous development of program offerings to meet the diverse needs of senior visitors, monies were included in the
Fiscal Year 2020 Budget to bring the Program Coordinator position to full-time status. The increased hours would allow more time to
develop programs to address mental health and wellness, grief support, caregiver issues, and cultural events such as the Armenian
Morning held on April 10, 2019.
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In Fiscal Year 2020, the Council on Aging/Senior Center made additional building improvements that included replacing the carpeting
throughout the building and installing automatic door openers for both restrooms. The conference room was also converted to the Case
Worker's office so visitors could meet with the Case Worker in a private, welcoming setting, located close to the front entry.
In March, COVID-19 eliminated the way the Council on Aging/Senior Center provided programs and shuttle bus services to seniors,
but outreach continued by all staff with phone calls made for well-being checks, and letters, cards and monthly Watertown Senior
News publications sent to many residents to help reduce isolation. Throughout the pandemic, staff was always available to answer
calls and e-mails to address needs of residents and to provide supportive resource information. Programs moved to a Zoom format in
May 2020, offering exercise classes, art classes, and public safety coffees in this new format to help residents stay connected and
engaged.
Throughout the COVID-19 pandemic,the Watertown Food Pantry continued operating to serve residents in need, more than doubling
its operation. Extraordinary offers for assistance with both cash and food donations and volunteerism from the community helped the
food pantry to continue operating at an efficient and generous manner for all who needed assistance.
Given all of the above,the Fiscal Year 2021 Budget includes funding of thirteen(13) full-time and three (3) part-time employees in
the three (3) Health and Human Services Departments (Health, Council on Aging and Veterans' Services).
Recreation & John A Ryan Skating Arena
In accordance with Watertown Home Rule Charter, Section 6-2 Reorganization Plans by Administrative Code, a Reorganization Plan,
was submitted in the Fiscal Year 2015 Budget Message that had the John A. Ryan Skating Arena Department be consolidated with the
Recreation Department.
This Reorganization Plan was submitted as a follow up to the Council's Committee on Personal & Town Organization request to bring
proposals forward for department combinations that would reduce the number of direct reports.
In Fiscal Year 2021, the Recreation Budget of$372,301 and the John A. Ryan Skating Arena Budget of$467,695 are listed separately
in the Submitted Fiscal Year 2021 Budget document.
The John A. Ryan Skating Arena Staffing levels of two (2) full time employees and seasonal staff have also been maintained.
The Fiscal Year 2020 Recreation Budget includes funding of four(4) full time employees and season staff as funding has been
continued for a Recreation Supervisor as a second shift employee to assist the Department in their efforts to offer more program
opportunities for middle school and high school students; and to work collaboratively with the Health Department and Senior Center
on strengthening programs directed at community wellness in accordance with Fiscal Year 2018 Budget Policy Guideline II. H.
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As indicated earlier, the Recreation Department, in conjunction with the Police Department, will continue their efforts to restore the
Cops & Kids Program and/or the Police Athletic League. The two movie nights have been very popular and are an example of the
collaboration between the two departments.
The Recreation Department offered continued and new programs for the adult population during the winter months including co-ed
volleyball, women's basketball and pickleball.
The new Recreation specific website at www.recreation.watertown-ma.2ov,Notify me along with social media platforms have been
great communication tools to share recreation news and notes.
The COVID-19 pandemic has caused the Town to cancel all recreation programs and close the Town's recreational facilities since the
middle of March 2020.
Given the COVID-19 pandemic and as a follow-up to a recommendation from the Recreation Director and Director of Public Health,
Camp Pequossette is cancelled for the 2020 season out of an abundance of caution to protect the health and safety of the camp
participants and staff. Although Camp Pequossette will be cancelled, the Recreation Department is researching creative ways to offer
passive and active recreational program opportunities for this summer that would adhere to the Governor's Phase IV requirements.
As also indicated earlier, the following improvements will be included in future loan orders:
Victory Field Improvements (Phase II) $ 3,000,000
Arsenal Park Renovations (Phase B) $ 2,700,000
Arsenal Park Renovations (Phase A) $ 1,600,000
Casey Park Improvements $ 950,000
Moxley Courts Renovation& Lighting $ 900,000
Skating Arena Improvements $ 535,500
Filippello Spray Park Renovation $ 400,000
Saltonstall Park Improvements $ 300,000
Saltonstall Park Gazebo $ 90,000
Total: $10,475,500
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Library
Usage of the library continues to rise since the expansion and renovation in 2006. Circulation in Fiscal Year 2019 of physical
materials and electronic downloads was 679,797 and library visits averaged over 36,000 per month. Library programs were attended
by 47,383 participants. The study rooms were booked over,5,400 times and the meeting rooms were booked over 2,000 times during
the year.
In Fiscal Year 2019,the Library Director and the Library Board of Trustees requested additional funding for the following items:
• Local History Preservation Project
• Historical Map Restoration
Funding of these two priorities is a logical extension of the historical map project that was funded in Fiscal Year 2017. Some of the
library's best examples of maps and historical photographs were repaired, preserved, and are on display in the hallway opposite the
Watertown Savings Bank Room. The library is also showcasing Watertown's history with displays on interactive digital panels—one
on each floor of the library. The content is updated regularly with interesting and informative content. The 1856 map that is the
subject of this year's request for additional funding needs extensive repair. Once repaired, it will also be framed, mounted, and made
accessible to the public. The Local History Collection Preservation Project will provide much needed assistance with the local history
collection in general. The Town's treasured materials will be organized, conserved, and re-packaged; saving them for future
generations.
Monies were included in the Submitted Fiscal Year 2019 Library Budget to fund both of these priorities.
In Fiscal Year 2020,the Library Director and the Library Board of Trustees requested additional funding for the following items:
• Library Programming
• Part-time Hatch Assistant
• Local History Collection Preservation Project Year 2
Monies were included in the Submitted Fiscal Year 2020 Library Budget to fund all of these priorities.
Programming has been a core service of the library for a very long time but has never been funded through the operating budget, but
rather from donations, grants, and the Building Fund. The amount requested is not the entire programming budget and the library will
continue to rely on outside sources for programming but funding this request recognizes the importance of it for the library and the
community.
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Hatch is thriving under its full-time coordinator. In Fiscal Year 2019, over 5,000 people visited Hatch, over 400 programs have been
held and hours of operation have been expanded. The part-time Hatch Assistant has performed various tasks including customer
service, troubleshooting of equipment, administrative duties and allow for additional hours of operation.
The Local History Collection Preservation Project Year 2 is a logical extension of the work that began in Fiscal Year 2017 with the
Map Restoration Project. The library is striving to make local history materials more accessible and the second year of the
Preservation Project has resulted in more finding aids and digitally accessible materials.
In Fiscal Year 2021,the Library Director and the Library Board of Trustees requested additional funding for the following items:
• Part-time Local History Librarian
• Community Outreach Librarian
• Additional electronic materials
Monies have been included in the Submitted Fiscal Year 2021 Library Budget to fund the Part-time Local History Librarian.
Funding for a permanent part-time local history librarian is a logical extension of the historical projects that began in Fiscal Year 2017
with the preservation and restoration of the library's historical maps. Funding continued in the following years for additional
preservation of maps and then for two years of a temporary archival and historical librarian who did extensive work on the collections.
Much has been accomplished since Fiscal Year 2017 and it is important for this work to continue in order to preserve and provide
access to the Town's treasured historical resources for generations to come.
The recommended funding level for Fiscal Year 2021 of$3,233,367 is in compliance with the Municipal Appropriation Requirement
(MAR) set by the Massachusetts Board of Library Commissioners and is $78,145 above the revised Fiscal Year 2020 Budget. This
certification allows the Town to receive the Library Incentive Grant,the Municipal Equalization Grant,the Non-Resident Circulation
Offset Grant,the Public Library Grant and be eligible for any State and Federal Grants. Additionally, certification enables Watertown
residents to borrow materials from any other certified library in Massachusetts and the Library to be a member of the Minuteman
Library Network.
As a follow-up to a request from the Library Director and the Library Board of Trustees, late fees will be eliminated beginning on July
I"for past and future borrowing of materials. There is mounting evidence that late fees pose a barrier to utilizing the library's
resources for some in the community and is not a deterrent. There is also evidence that once a library goes fine free, materials that
have been kept out overdue are returning to libraries and that library usage increases. The library will enforce a policy that blocks
cards with items overdue for an extended period and will continue to collect the replacement cost for lost and unreturned items.
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Prior to COVID-19,the library had been open more hours per week than any other library building in the Commonwealth, including
Friday hours to 7:OOPM, expanded Saturday hours in the summer and Sunday hours year round.
During the closure of the library due to COVID-19, collections and services have been shifted in order to meet the needs of the
community through different methods. Immediately after closing, funds were used to buy additional digital resources and that
collection continues to be built up significantly. Virtual programs were added soon after, including story hour via Facebook live and
adult programs via Zoom. At this time, there are multiple virtual programs being held daily for all ages. Beginning on May 1 lth,the
library began offering contactless curbside pickup of materials. Library patrons call with their orders and pickups are done three times
per week. Each of these efforts have proven to be very popular and will continue during and after the phased reopening.
Monies have been included in the Capital Improvement Program for building improvements/renovations related to the Facilities
Assessment Study.
As indicated earlier, Library Improvements totaling $75,000 from the Fiscal Year 2021 CIP will be included in future Loan Orders
and/or transfer of funds requests.
Education
Two of the top priorities of the Program Enhancements/Expenditures section of the Honorable Town Council's Fiscal Year 2021
Budget Policy Guidelines that were adopted on November 26, 2019 reads as follows:
• 1I. B. Continue support for Building for the Future Initiative funding in collaboration with the School Committee, for the Three
Elementary Schools project, and for the MSBA High School project with proposed debt exclusion funding in conjunction with
outreach efforts to the community by the School Committee.
• II. E. Continue to work collaboratively with the Watertown Public Schools to develop a comprehensive multi-year educational
budget that assures sustainable funding for our schools and the successful education of our children. Seek to accommodate the
Manager's forecast 5% school operating budget increase for FY21, subject to preparation of budget requests by the
School Committee, and subject to the validation of revenue and expenditure assumptions in the October 8, 2019 Preliminary
Budget Overview. Conduct further review to examine the sustainability of 5% increases in FY22 and beyond.
Dr. Deanne Galdston, Superintendent of Schools presented the Fiscal Year 2021 Superintendent's Recommended Budget of
$52,963,495, an increase of$2,522,071 or 5% over the Fiscal Year 2020 Budget to the Honorable School Committee at their April 13,
2020 meeting. The 173 page document can be viewed on the Watertown Public Schools website, www.watertown.kl2.ma.us.
An excerpt from Dr. Galdston's message to the Watertown Community reads as follows: "This budget was developed collaboratively
with school and district administrators, curriculum and program coordinators and the School Committee. The process required that
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every participant to consider the needs of our students, identify outcomes that could be expected from any new resource, and be
creative in using the resources available.
According to our mission, Watertown Public Schools is committed to preparing each child in Watertown for life by engaging them in
a ollallenainv and mPanincrfiil -rIiµrat;nn xz7ithin an in'l':s'.17P, dyvPrSP rnmmiµnii-y (liir 7;Q;r%n fnr all of niter gtiµµl-nte ;g to hP incp;r.—A to
explore and shape the world around them. The Fiscal Year 2021 budget was developed to support the actualization of our mission,
vision, and our four strategic objectives:
• Establish systems and structures that ensure all WPS students receive what they need to develop and achieve their full
academic, social, and emotional potential.
• Support instructional excellence by building and implementing a cohesive, coherent, and aligned educational program that
promotes high expectations, authorship and student agency.
• Foster caring and collaborative relationships among and within schools, families, and community members.
• Build educationally appropriate,joyful learning environments, working with the School Building Committee,that support the
WPS mission and vision.
The FY2021 Superintendent's Recommended Budget document provides detailed information about how the District developed the
budget which was grounded in continuous improvement and a commitment to the success of all students in Watertown. While its
impact to the FY21 budget is minimal, Watertown is well on its way to actualizing the Building for the Future initiative. Construction
for the new Hosmer and Cunniff Elementary Schools begins in the summer of 2020, with the target date for completion of the Cunniff
being January 2022, and the Hosmer in August 2022. We will continue through the Feasibility Study for Watertown High School
through early winter of 2021. Watertown's children will soon benefit from the advantages that a 21 st century learning environment
will provide.
We appreciate the generosity of the town leaders and the taxpayers of Watertown in the level of financial support provided to our
school system. We take our fiduciary responsibility seriously and understand the trust that has been placed on our schools to maximize
the funding that has been provided to us from the Town. WPS greatly appreciates the support of the community, and assures our
commitment to the success of our schools."
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Given the impacts of COVID-19 on the Commonwealth's and Town's Budgets, on June 1"the Honorable School Committee
considered adjustments totaling $1,026,180 from the Superintendent's Recommended Budget of$52,963,495. The Honorable School
Committee unanimously adopted a revised Fiscal Year 2021 Budget of$51,937,315.
As indicated earlier, the Submitted Fiscal Year 2021 School Health Insurance appropriation is $5,598,293, an increase of$395,480
above the revised Fiscal Year 2020 level. Included within the School Health Insurance appropriation are monies related to projected
staffing in Fiscal Year 2021.
The Submitted Fiscal Year 2021 Budget continues the Town's very strong commitment to education. The recommended funding
level for Fiscal Year 2021 is $51,937,315, which is the Honorable School Committee's adopted budget and an increase of$1,495,891
over the Fiscal Year 2020 appropriation.
The Town's strong commitment to education is further evidenced by the chart on page 25 which shows the Education appropriation
increased by $20,091,315 from Fiscal Year 2009, while all other Town Departments' appropriations increased by $12,296,220 over
the same time period.
The above-mentioned increase of$20,091,315 does not include the $1,000,000 the Honorable Town Council appropriated in Fiscal
Years 2009 and 2010 for the School's Technology Plan and the $1,710,000 for One-Time Curriculum Initiatives appropriated from
Fiscal Year 2014 through Fiscal Year 2017.
Funding has been continued for the Schools' use of lighting at the artificial turf multi-purpose field at Victory Field and utilization of
the John A. Ryan Skating Arena.
Building for the Future Initiative
The Honorable Town Council's Fiscal Year 2021-2025 Capital Improvement Program conceptual recommendation#13 reads as
follows:
For the"Building for the Future" Three Elementary Schools Project: endorse the revised borrowing plan of$75,000,000 in FY20,
$60,000,000 in FY22, and $35,000,000 in FY23 within the confines of Proposition 2'/2; and proceed with the remaining FY20
proposed loan order for $58,478,109 (consisting of$75,000,000 minus prior loan orders of$12,441,016 for Design Services and
$4,080,875 for the Owner's Project Manager.)
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As a result of timing issues with going to the Bond Market,the following is the revised timeline for borrowing $170,000,000 for the
Three Elementary Schools Project:
Fiscal Year 2020 $ 16,521,891
Fiscal Year 2021 $ 64,000,000
Fiscal Year 2022 $ 46,000,000
Fiscal Year 2023 $ 41478,109
$170,000,000
The following is the projected debt service for the first five (5) fiscal years for the Three Elementary Schools Project:
Fiscal Year 2020 $ 981,193
Fiscal Year 2021 $ 6,473,376
Fiscal Year 2022 $ 8,754,300
Fiscal Year 2023 $ 12,823,707
Fiscal Year 2024 $ 15,631,357
Expenditure Forecast
Lastly, the Expenditure Forecast included within the Submitted Fiscal Year 2021 Budget document has Departmental Expenditures
projected to increase 2.5% annually from Fiscal Year 2022 through Fiscal Year 2024. The Education appropriation is projected to
increase 3.5% annually from Fiscal Year 2022 through Fiscal Year 2024.
We look forward to continue working collaboratively with the Watertown Public Schools to develop a comprehensive multi-year
Education Budget that assures sustainable funding for our schools and the successful education of our children.
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CLOSING
The goal of this administration and all of the Town departments is to provide the highest level of services to the citizens of Watertown
while utilizing the taxpayers' dollars as efficiently as possible. The submitted budget is balanced and based on sound business
practices.
I believe the Submitted Fiscal Year 2021 Budget focuses on achieving the long-term goal of sound financial management and fiscal
stability.
I would like to thank the department heads and other staff for their invaluable assistance in developing the budget. I look forward to
working with the Honorable Town Council in finalizing the Fiscal Year 2021 Budget.
As indicated earlier, we are living in an unprecedented time where our world, our nation and our community, is faced with the threat
of an international pandemic known as COVID-19.
All of our Town employees are incredibly committed to ensuring the Town can safely meet the needs of our community while we are
also protecting our employees' safety. All departments have implemented vigorous social distancing and hygiene protocols. I am so
grateful for all of our employees' efforts under difficult circumstances.
The members of the Honorable Town Council continue to be available to help all residents and to provide updates/information to
protect the health and safety of all the residents of Watertown.
I want to thank all of the members of our community for your cooperation and efforts to date; and for your continued actions to limit
the spread of COVID-19.
Watertown is a resilient community and we are all in this together. We will continue to support each other and stay strong, Watertown
Strong!
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