Franklin Matters: Finance Committee approves recommended capital budget & gets the insights on the "hold harmless" liability the Town faces (video)

The Finance Committee met as scheduled on Wednesday, January 15, 2025. 7 of the 9 members were present in Council Chambers.

Many of the Town department leaders were present and participating as needed. School Superintendent Lucas Giguere participated as did Interim School Business Administrator Jana Melotti along with consultant Dr Bob Dutch.

The Franklin TV video is available for replay -> https://www.youtube.com/live/yzii8AGsv7k?&t=234

The agenda doc also contains supporting information -> https://www.franklinma.gov/sites/g/files/vyhlif10036/f/agendas/finance_committee_meeting_agenda_-_january_15_2025.pdf

Quick recap

Town Administrator Jamie Hellen walking the committee thru the memo on the capital budget https://www.franklinma.gov/sites/g/files/vyhlif10036/f/uploads/04a._fy25_capital_improvement_plan_memo.pdf

Many clarification questions on what for when, as well as possible reallocation of the recommendation
Chart on free cash is for information purposes
First resolution on use of free cash for the capital budget resulted in a discussion around amending the amount and creating a technology stabilization fund but ultimately that did not get amended and it was approved as proposed by a 7-0-2 (7 for, 2 absent) vote
Second resolution on funding from the enterprise accounts was approved as recommended with the same 7-0-2 vote

Now to the Opioid settlement funds. Memo https://www.franklinma.gov/sites/g/files/vyhlif10036/f/uploads/5a._opioid_settlement_funds.pdf and the Resolution for approval https://www.franklinma.gov/sites/g/files/vyhlif10036/f/uploads/5b._1_-_resolution_25-02_-_opioid_funding.pdf

After explanation of the current funding and a look at future funds coming (approx. $1.2M) the vote to approve the resolution passed 7-0-2

Now to the "hold harmless" topic for Chapter 70 school funding. State house news article references a commission to look at school funding https://www.franklinma.gov/sites/g/files/vyhlif10036/f/uploads/6b._with_new_term_dawning_spilka_eyes_k-12_funding_reform_primary_care_overhaul_senate_statehousenews.com_.pdf

We are currently getting $12m over what the school funding formula calls for. We are the
2nd largest hold harmless (Boston #1) A change to the formula takes time. Jamie has been warning of this for some years.
Approximately 18-20m of town costs for school functions go to the net school spending. accounting to determine the per pupil spending calculation. ** $27m for FY 2024 fiscal year is actual. Confirmed that 24, 25 and 27 for last 3 years
Long and complex discussion around the possible review of the formula
Folks see the buildings going up but the population has been flat. Great quote from Jamie (to clip later) on the wealth growth and the hold harmless getting worse unless we choose to pay more

My notes in one PDF -> https://drive.google.com/file/d/1ArVXe5jDOAsetxonq0voW2eKTSe_XWN3/view?usp=drive_link