FINANCE COMMITTEE MEETING

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1 FINANCE COMMITTEE MEETING Tuesday, May 4, :00 pm, Council Chambers Agenda 1. Call to order 2. Pledge of Allegiance 3. Approval of the Minutes- 4/20/10 4. Review/Signing of the Expenditure Warrant. 5. Remove from Table: Changing dial tone vendor 6. Discussion/Approval: Award bid for pavement marking (G. Casavant) 7. Discussion/Approval: Extension of paving contract (G. Casavant) 8. Discussion/Approval: Availability of parcel 8-1, possibility to add to Clifford Park (B. Durkin, Open Space Committee) 9. Discussion: Refinancing of bonds (B. Mills) 10. Discussion: Removing fee-related items from ordinances (B. Mills) 11. Outstanding Issues List 12. Other Business 13. Adjournment Committee members: Council President Bob Mills, Chair Mayor Joanne Twomey City Manager John Bubier Councilor Clement Fleurent Councilor Raymond Gagnon Finance Director Curt Koehler

2 FINANCE COMMITTEE MEETING MINUTES May 4 th, 2010 Council President Mills called the meeting to order at 6:00pm with all present. The Pledge of Allegiance was said. Motion was made by Councilor Gagnon to approve the minutes of April 20 th, 2010 as printed, seconded by Councilor Fleurent. All in favor. The Expenditure warrant is available for review/signing until Wed at 5pm. A Motion was made to remove from the Table: Changing dial tone vendor, by Councilor Gagnon and seconded by Councilor Fleurent. Approved 4-0. Mr. Koehler said there were no formal bids since the last meeting, so an RFP will be written up which will be advertised for this program. Councilor Gagnon asked if we just need to wait for the RFP. Mr. Koehler said the bids will come back sometime, it may not be back in time for the next Finance meeting, probably back in the first week of June. Councilor Gagnon asked about the bids, Mr. Koehler said they were quotes not bids. The RFP will be posted on the website. The Mayor asked what the difference between a bid and a quote. Mr. Koehler said the quote could be gotten off the phone. The Mayor said it is very hard to believe that we were led to believe that they were quotes Mr. Gerlach and GWI were talking about, we were ready to go on this. Mr. Lawler with Xatel, spoke and said he was on the phone with Mr. Gerlach to give a quote. Their quote would have saved the City $9, He proceeded to tell the committee about his quote he gave in. The Mayor told Mr. Lawler what she would like Mr. Lawler to tell the committee is who called him and what was the procedure. The Mayor wanted to know if Mr. Lawler was under the impression that this was just a quote over the phone, or were told this was an actual bid? Mr. Lawler said that Mr. Gerlach had contacted him and set up a meeting and met in his office, and we discussed the proposal verbally. Mr. Lawler quickly came up with his pricing and submitted it. Then he submitted an official bid to his office. Mr. Gerlach wondered how Mr. Lawler could be so competitive. Mr. Lawler told the committee a few areas that mattered. They are less than a block away, no local loop charge, saving some fees there. No transport fees. They are within a ¼ mile of City Hall. The Mayor said she is having a problem with the way this went down at the last Finance Committee meeting, we were not told they were only quotes, they were bids the vote was taken and everything was ready to go with it. Now we are hearing something different. Councilor Gagnon asked Mr. Lawler if he was the sole owner, Mr. Lawler said he is the CEO which is a LLC in the State of Maine. Councilor Bourke is an employee of Xatel. The Mayor said this committee had taken a vote on the lowest

3 bid on the numbers we were given, and no body objected, that it was numbers and that we had to go to RFP. We either have a set of rules and bidding procedures or we don t, that is the problem she is having right now. Councilor Fleurent asked how many years the quote is valid? Proposal has no time limit and is based on Mr. Lawler s discretion. He is a little bit baffled and has never seen this type of thing before. Council President Mills suggested that we table this to the next meeting and have an executive session with the City attorney and IT dept. He thanked Mr. Lawler. Bil Moriarity is a customer of Xatel. He went on to explain that he was there when the phone call came in to Mr. Lawler from Mr. Gerlach to quote on the proposal. He called for the Mayor, and Council President, and the Council later on to investigate the IT dept and find out if deals were made behind the City s back. Mayor Twomey responded that Mr. Moriarity was out of order and she will not go there. Councilor Gagnon made the Motion to table this subject to the next Council meeting seconded by Councilor Fleurent. 3-1, Mayor opposed. Council President Mills said we have a bit more homework to do on this. DISCUSSION/APPROVAL: Award bid for pavement marking (G. Casavant) Award a contract for the pavement marking, the center lines. We went out to bid and advertised in the paper, and on the website. The spreadsheet that the committee has in the packet is a summary of the bid results. This job is a unit cost contract with pricing per linear foot. We pay for what we actually get painted. The low bidder is Poirier guidelines. Councilor Gagnon made a Motion to award the bid to Poirier Guidelines for the sum of $19,890.00, seconded by Councilor Fleurent. Councilor Fleurent asked if we had used this company before, Mr. Casavant said yes. They did it last year. Councilor Fleurent asked where the company was from. Mr. Casavant said MA. No local contractors bid, Mr. Casavant said it was advertised locally, but for the amount they need done, no local companies bid. All in favor, 4-0. DISCUSSION/APPROVAL: Extension of paving contract (G. Casavant) Request to extend Dayton Sand & Gravel s contract. They have been our contractor for a number of years. Mr. Casavant feels very comfortable with this company; he stated if he has any problems, he can be sitting in the office with the owner to discuss the problem. The price offered by DS&G is lower than all the prices bid on the GPCOG bidding: $59.00 per ton, in place. Councilor Gagnon made the Motion to award the extension of the contract to DS&G for the price of $59.00 per ton, seconded by Councilor Fleurent. Mr. Casavant said all these prices a liquid asphalt escalator and de-escalator, not ceiling or cellar price. Councilor Fleurent asked if there was a limit, Mr. Casavant said no. DISCUSSION/APPROVAL: Availability of parcel 8-1, possibility to add to Clifford Park (B. Durkin, Open Space Committee) Mr. Durkin explained to the

4 Committee what the advantages would be in acquiring the parcel within Clifford Park. It is a 55 acre parcel. The value is approximately $240, to $250, It is accessed at $349, and the owner has just paid his taxes on the property. For the past several years the owner has allowed the City right of way to it. The best way to handle this would be to buy this property outright, in their opinion. The owner would like to retain 5 acres near his house lot. Mr. Bubier said he could arrange to get together with the owner and Council President Mills and gather some more information to share at the next Finance meeting, or the first meeting in June. The Mayor said she would like to get the Economic Director involved as well. She will support the purchase of this, as Clifford Park is very well used. Council President Mills asked how much it would require as a deposit, $80, x 3 payments would be a rough estimate. Mr. Boutin is interested in selling it to the City, not to anyone else. Councilor Fleurent made the Motion to give the City Manager permission to negotiate with Mr. Boutin in the purchase of parcel 8-1. Councilor Fleurent amended the Motion to meet the first meeting in June, and to include Dan Stevenson and Frank Yattaw. Approved 3-1, Councilor Gagnon opposed. DISCUSSION: Refinancing of bonds (B. Mills) and DISCUSSION: Removing fee-related items from ordinances (B. Mills) Council President Mills said a couple of questions during the budget were asked about the refinancing of all the bonds. The other one brought up was removing all fee related permits from the ordinances, without going through an ordinance change. Mr. Koehler said as for our current bonds we have nothing else that is eligible for refinancing at this time. Most of our bonds are a piece of a bigger bond, through the Maine Municipal Bond Bank. He had an inquiry in regards to our Middle School bond, and they were looking to refinance that, and if they did the payments would be lower. The other bonds we sold, only two issues, one of which we just refinanced the other one is not eligible for a couple of years. You cannot refinance unless it says so in the covenant of the original bond. It usually gives a date as well. We have nothing eligible for ourselves right now. We did something similar in the ordinance with the ambulance fees. There is nothing really standard for things such as beach passes. You can look at it in two ways, either the Council likes the amount of oversight that they have and the way it is now, or they are willing to let it be a little simpler to change. Council President Mills asked the wishes of the Committee. Councilor Fleurent asked if not, would it have to go back to the Policy Committee, Council President Mills said yes. Mr. Koehler said putting it in a separate schedule from an ordinance, would take away the need for two readings and back and forth. It was decided to have it as a discussion at a future Committee meeting. Outstanding Issues List: None

5 Other Business: Council President Mills said a lot of members of the public have been asking about the RFP s and RFQ s, so he along with Jerry Gerlach have incorporated a link on the City s website, that will allow any member of the public to click on and see the information. Mr. Koehler said they are currently working on transferring 3 parcels to the Saco Valley Land Trust and 3 parcels to the Blandings Wildlife Sanctuary. He wondered will that need to go somewhere other than Council? Council President Mills brought everyone up to speed on this matter, saying that back in January, he, Mr. Koehler, Councilor Laverriere, Greg Tansley, and Bill Durkin sat down and discussed. Councilor Laverriere put together the list of properties that may be available. Mr. Koehler said they had identified parcels that were of interest of the concerned party. Both parties replied and said they would gladly accept the parcels. The best way to do this is by Municipal quit claim deed without covenant. These parcels were unknown owners but have been in the City s name for at least 20 years; should anyone in the future come out and say that is their land, it will be the responsibility of the people who have been given the land to deal with it. Motion to adjourn was made by CP Mills and seconded by Councilor Gagnon. Meeting adjourned at 7:00pm

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