HARMONY FIRE DISTRICT

P.O. Box 360 – 194 Putnam Pike

Harmony, R.I.  02829

 

 

 

The regularly scheduled monthly meeting of the Harmony Fire District Executive Board was held at the Harmony Fire Station on Wednesday, April 25, 2007.

 

Present:     Chief Stuart Pearson; Moderator - Raymond Fogarty, Jr.;

        Treasurer - Sandra Owens; Tax Collector - Kimberly Barber; 

        Clerk - Ann Dahlquist; Attorney - Fred Mason, Jr.;

        Board Members - Louise Michaels & James Richards

                  Retired Deputy Chief George Kain

                 

Absent:      Board Members - Milton Huston & Steven Sette

 

Moderator Fogarty called the meeting to order at 7:10 PM.  He asked for approval of the minutes from the March 20th meeting.  Louise made a motion to accept the minutes.  Jim seconded the motion.  The motion carried.

 

The board is in receipt of a letter of resignation from Steven Sette. (copies were distributed to all in attendance)  Besides his obligation of being on the town council, Steve has been traveling extensively and unable to attend meetings regularly.  Jim made a motion to accept the resignation.  Louise seconded the motion, with regrets.  Ray requested that a letter be sent from the board to Steve, thanking him for his years of service to the district.

 

The board also received a letter of interest to join from Retired Deputy Chief George Kain.  (copies were distributed to all in attendance)   Since an executive session was not called, George was given the option to be present during the consideration of his appointment.  He opted to stay.  Ray felt George’s department history would be an asset to board. The combination of old and new faces on the board should make a good blend.  The Chief stated that he and George have had a very good, professional working relationship over the past eight years.  He looks forward to working together with him on many projects. Louise stated that she looks forward to having George on the board.  It will be nice to have someone on the board with a different outlook, one from the fire service standpoint.  She believes George will have a lot to offer.  Jim stated he has no objection to the appointment.  A discussion followed regarding if the appointment would require a special election.   Ray said this would be an appointment by the board to fill the vacant seat for it’s remaining term.  (Steve was elected June 2006 for a 3 year term)  Louise made a motion to appoint George to fill Steve’s vacant seat on the executive board.  Jim seconded the motion.  The motion carried. 

 

Treasurer’s Report:

Sandy presented reports for the months of February and March.  Beginning balance February 1st $210,905.41 and the ending balance March 31st $169,591.20.  There were no expenses out of the ordinary to report.  A copy of the March expense report had already been given to the Chief, so he could review what was left in the budget for any upcoming expenses.

 

Cash flow amounts for the third party billing revenue seem to be in line with previous years.  It seems to be averaging about $4,600.00 per/month for the 9-month period of July 1, 2006 through February 28, 2007. 

 

Also the transition to QuickBooks accounting software is coming along good.  There are a few small adjustments to make here and there, but it is a step way beyond what we had been doing.  Our auditor Jeff Malo should be very pleased with the changes we have made.  The checks are automated now, which is a lot less time consuming and looks a lot more professional.  (An example was shown to the board)  Our chart of accounts will look a little different with QuickBooks also.  A consolidation of the training accounts was made to avoid the confusion we had by having two (2) separate accounts in prior years.  Any revenue that comes in will go there. (incident report/smoke detection/blue print fees) 

 

Ray asked if we have been receiving the state auto tax revenue as scheduled.  Sandy stated that we have been getting it in approximately October, February, May and August (4 times per/year).  He asked if we have been tracking it?  She said that we have a car tax figure (revenue) of about $25,000.00, so there will be one more installment in May of around $8,000.  He asked if by looking at our cash balance to date and the expenditures that we need for April, May and June, does she think that we will be OK?  She thinks that with the remaining tax revenue to be collected we should make it. 

 

George made a motion to accept both the February and March reports.  Louise seconded it.  The motion carried.

 

On behalf of the board, Ray welcomed Kim to her first board meeting.  He said he has heard nothing but good things about her since she has started.  The Chief stated it has really been a pleasure with her coming on board, a nice fit.  We have been getting along quite well, bumping ideas and thoughts off of each other for the near future and the upcoming 2007-2008 fiscal year. We can’t wait to get started on some of the projects.  She has some fantastic ideas moving forward, to make things a little bit easier and more efficient.  That is one thing we like to see, ways to make everyone’s job easier and less stressful.

 

Ray said that before we hear the Tax Collector’s report he would like to take the time to thank Sandy.  With Lynna Williams having left the position of Tax Collector so quickly, she filled in at that position for a long period of time.  He personally appreciated it to know the district was in good hands in the interim.  There was an ovation, after which everyone agreed she definitely deserved more than a round of applause for the work that she did.

 

Tax Collector’s Report:

Kim thanked everyone for all of the nice things they had said.  She stated that she would also like to personally thank Sandy for everything she did before she started. She could not imagine what she would have done if Sandy had not stepped in.  Sandy is a professional and it was sincerely appreciated.

 

As for her report, she stated that QuickBooks is up and running well.  Accounts payable checks have been printing fine and we have also started transferring the bank reconciliation’s to QB.  This will take a little bit of the load off of Sandy.  Sandy and I are working on integrating some of the old procedures with the QB style.  One thing in particular would be the Cash Flow and how it is prepared.  The way it was done before was on an actual basis, where QB uses accounts payable and things are put into the proper months where they are posted (dated)

 

Past due tax bills were mailed at the beginning of April (4/10/07).  They totaled approximately $24,000.00.  The tax sale warning letters were sent certified mail about a week after (4/19/07).  They totaled approximately $17,000.00.  Currently the balance left to collect, after people responded to the letters and made payments, is $34,473.03.  Ray asked how many properties that figure represents.  She stated she wasn’t sure of the exact count, she thinks about 150 +/-, but she does have the print out with her if he would like to see.  He said it wasn’t necessary.  The other question he had was when we would run our new bills.  Sandy stated she thought we had to have our tax sale before we do that.  She suggested that maybe in mid June we could have the tax sale.  Kim said that she has found out that there has been legislation passed that you have to give 90 days notice before a tax sale.  Therefore we need to contact Commonwealth Land and Title to find out what we need to do.  Sandy said she wasn’t really sure and this is where Kim would be on her own to find out how a tax sale is done.  Sandy asked if we needed to publish something in the paper 90 days in advance or if the certified letters we sent in April was considered the 90 days notice.  Kim said she didn’t know anything further, these are just some things she picked up by speaking with Angela Taylor (West Glocester District Tax Collector) today.  Ray asked Attorney Mason if he had any recollection about this.  He did not.  Ray said this is just another example of why we need some sort of written procedure manual for everything we do.  Sandy agreed that we really need it.  Louise asked Kim if the tax sale warning letters were sent registered or certified.  She said they were.  Louise said then that should be considered official notification.  Sandy said the tax sale would need to be in July then.  The Chief said that sounds more like the time they used to be done.  Sandy said, and Louise agreed, that with the change of the fiscal year and time of billing we should also change the time of the tax sale to June for next year.  Ray said we can not stop our billing for the tax sale though.  Everyone agreed that is not an option.

 

Ray would also like to see a sampling of the new tax bills to compare to last years and find out the dollar amount of change.  He thinks there should be a slight difference from last year, because of new evaluations even though our tax rate has not changed.  Kim stated that she learned through Angie that Glocester does a “drive by” reevaluation at 5 years (2005) and a complete reevaluation every 10 years (2010).  However the tax list that Harmony is billing from is dated 12/31/2005, so we would not have the new information until next years billing.  Harmony is actually 1 year behind the Town of Glocester and the other 2 Fire Districts with the data we bill from.  Since their bills go out in October, they are able to get the 12/31/2006 tax list when it is ready in June or July.  She thinks because she is billing from older information (i.e. Billing 6/2007 for property owned in 12/2005), that’s probably the reason why she gets so many returned bills in the mail and calls that the property was sold and billed to the wrong person.  But to just switch to the current tax list we would lose a whole year of tax revenue.  Another option would be to shift the billing cycle a couple of months each year until it is corrected.  Ray did not recommend to do either scenario, but look into it further because we are trying to be as standard as possible with the other districts.  Kim also mentioned that during her meeting with Angie she learned that West Glocester does a tax sale like Harmony, but Chepachet handles everything through Small Claims Court.  She would like to schedule a meeting with Pat Swenson, Chepachet Fire District Tax Collector, to learn more about this.  It was agreed that this information was important to know. 

 

Kim has also been working with Mike Recorvits via phone and e-mail to learn more about his custom Access Database program, so she can get the new tax bills prepared.  She also plans to go to the Glocester Town Hall and meeting with Vivian Valentine, Tax Assessor, and Jane Steere, Tax Collector, to get further information about updated addresses and sales of property.  This information will have to be looked up manually because the new tax list will not be ready until July.

Ray asked if we had ever done this before.  The Chief replied that the tax list we had was just gone through page by page and the properties identified.  Sandy said then we just used the old information.

 

In closing her report Kim wanted to personally thank everyone for the floral arrangement her and her family had received at the time of her grandmother Edith Paquette’s passing last week.  It was sincerely appreciated and totally unexpected. 

 

Sandy stated that she would like to see a list of uncollectable accounts, trailers for example with a very small bill of approximately $5.00 or businesses that are no longer in operation.  We do not know how these things were handled in the past, but we do need to know.  Ray stated that an official procedure will need to be put in place to handle how recommendations for write-offs will be dealt with. 

 

George asked about the trailers. Is there some way we could notify the registry they are in arrears to prevent them from re-registering, like we used to do with autos in the past?  Kim replied that these are believed to be, for the most part, trailers that are permanently placed and not registered.  He then asked if there should possibly be minimum tax imposed.  Sandy stated that we have to bill everything at the tax rate of $1.20 per/thousand.  The Chief said that maybe after Kim is through researching everything at the town hall and with the other district tax collectors, she will possibly have more information for the board on how to address these subjects.

 

Ray asked when Kim thought the tax bills would be ready to be mailed.  She said they should be sent out approximately mid-June, payable in July. Sandy agreed.  Ray asked when the annual meeting would be this year.  Sandy said the first Saturday in June (6/2/2007).  The reason he asked is he would like to have the information to present to the taxpayers at the meeting to tell them how much their tax bills would increase. Sandy said, perhaps we could test some of our own bills to make the comparison.  Kim interjected to remind them that their bills would not change, because we are billing from the tax list dated 12/31/2005 and our tax rate has stayed the same.  Any changes in evaluation due to the “drive-by’ re-evaluation will take place on the 12/31/2006 tax list.  Ray said his concern was setting the tax rate for next year at the annual meeting.  If the evaluations go up say 23% on the 12/31/2006 tax list, that will affect how we set the tax rate.  Kim suggested when she contacts the people at town hall she could ask for a couple of the new records, perhaps of board members, so they can do the analysis.  Sandy stated that we have never reset the tax rate based on a mid-evaluation.  Ray said that they have never had that procedure before, only the 10-year, that’s why. This has been something that he has always wanted to do, to make it more precise as to why we set the rate at what we do.  Sandy said that it has always been a lot of guesswork.  Ray said that is exactly what we are trying to eliminate.   

 

Ray also said that we have to talk about what Kim needs to do in May to prepare for the annual meeting June 2nd.  Sandy said yes, the notices need to be posted and published.  The Chief said that we have already looked up the election information, regarding who on the board is up for election.  We are prepared with the notice information and we are looking into getting the sign for the roadside.  Ray said we also need to review the voters roll so many days before the meeting.  Kim will need to go back to the charter and look up the specific requirements.  She stated she would read the minutes and notices from last years monthly and annual meetings to hopefully get further direction.  The Chief said we also need to contact someone to come here and monitor the ballot box Friday night and Saturday morning.  Louise stated they can not be related to people running or members of the crew.  He replied, the Gagnon’s have done it the last 3 years and have done a great job.  Ray said we also need to post the warrant, including the names of the people running.  Louise agreed saying that there would be no by-law changes so there would be no further information needed on the warrant.  Ray stated that we should also post the budget a week before the meeting, it is not part of the charter to do so, but should be done as a courtesy.  The Chief requested that we schedule a meeting to discuss the budget next month.  Ray suggested that at our next monthly meeting, we should double our time. A discussion followed to determine the date and it was decided to be on May 17th from 7-9:00 PM, which would allow an opportunity for a follow-up meeting, if necessary, before the annual meeting. 

 

Ray and the Chief have also discussed the need to change the monthly meeting back to the 3rd Thursday of the Month at 7:00 PM.  It had been changed to Wednesday to accommodate Steve whose Town Council meetings were also scheduled on Thursday evenings. Since he is no longer on the board, the schedule should revert back to eliminate the confusion it has caused, especially with the general public.  Ray asked Kim to make up a calendar of meetings for the next fiscal year July 1, 2007 - June 30, 2008.  Omitting December and August. 

The Chief has been working with Kim to get her health insurance established. Our agent, Ted Larson of USI, has given us a breakdown of the different Blue Cross policies and they have quoted the prices for her particular family.  While waiting for the Blue Cross Group to be established, Ted recommended a temporary policy to bridge the gap, effective for 1 month, and the Chief has purchased that. The Chief’s recommendation of coverage was for the top tier Blue Cross Healthmate Coast-to-Coast policy at the quoted monthly billing rate of $1,002.42.  Louise asked if this was paid entirely by the District or if there was an employee co-pay.  Ray said it was paid by the District and there is no co-pay at this time.  George asked if this would be the permanent rate, since there was a notation on the quote saying it could be adjusted.  Everyone agreed that Blue Cross rates can always fluctuate without much notice. The Chief stated that we had been paying approximately $19,000.00 for the last employee, as a comparison.  As for the dental portion of Kim’s health insurance, which is a separate expense, the Delta Dental group was already established, so it was just transferred from the old employee to the new. Jim made a motion to accept the top tier Blue Cross Healthmate Coast to Coast policy for Kim at $1,004.42 per/month.  It was seconded by Louise.  The motion carried.

 

Chief’s Report:

Engine 22 is out for repair due to an oil leak in the front cover.  This is a capital expense.  Ray asked what the estimate for the repair was.  The Chief stated approximately $3,500.00

 

The phone service in Rescue 2 has been upgraded to from analog to digital.

 

Kim and I have been working on what needs to upgraded in her office.  One thing that we would like to do in the very near future would be purchasing a new laserjet printer/scanner.  Another thing we have been discussing is calling Shred-it to come and dispose of old tax documents.  Kim has been looking into retention schedules to see what the requirements are.

 

Deputy Chief Michael Segee started today at the Deputy State Fire Marshal’s class.  He will be attending the class 2 days per/week for 6 weeks.

 

Currently our plan review fees for new construction are set at $30.00, as of July when the legislation is passed they will increase to approximately $75.00. 

 

The crew has been doing live burns 2 nights per/week (Mondays and Wednesdays) at a property donated to us on Pine Ledge Road.  It is a valuable tool for learning how to fight live fires, the best training you can get.

 

We have had 2 new applicants.  One has just started, Charles Tasca, from Philips Lane.  Another gentleman just came in, he is a Retired North Providence Police Officer, from Austin Avenue and is already trained.

 

Ray asked the Chief if the capital improvement item for the boiler room – clean air would be complete by June 30th.  He said it would be.  He has been holding off on the capital improvements to the end of the budget, because that was the way it had always been done in the past.  But now that he knows the cash flow is not a problem, he is ready to move forward with them.  These include the boiler room – clean air, aed’s (on order), and computerized software (ready to go).  Sandy stated that if the money is not all spent before the end of the fiscal year, it does carry over. 

 

Ray stated that an example of a capital expense he wants to address next year is the message board in the break room that is not up to fire code.  The board has talked about it before and he feels it is something that needs to be acted on.  He then asked the Chief to start considering what capital items he will be interested in for the upcoming fiscal year.  He also wants to develop a strategic plan to follow, with a procedures manual as part of it. He thinks someone needs to be put in charge of establishing it.  They would have to review how other departments do things and involve the officers, crew and public as part of the process.  It also has to be made sure of, that it does not become cumbersome and a burden to the staff that works here full-time.  At the end of the process a document should be produced that is useful and applicable to our department.  The strategic plan may cost about $2,500.00 to facilitate over the course of the next year.  But he guarantees that we will either save money or make more money through ideas that we will pick-up from other places, like alternative revenue generators for non-profits and public entities like ours.  He thinks it is going to become more and more critical, because any way we can create additional revenue without taxing the people more is something we try to do, but at the same time we want to keep up with the standards.

 

Ray said one of the things we don’t want to do is with Kim being new and some of these things changing, to just start to throw everything at her and have her become overwhelmed.  We did that in the facility when the Chief first started, the place was a mess.  Everyone agreed that now it is basically a brand new building.  Ray stated that we paid for it all cash and not a dime of interest was paid.  Sandy said we only have the one original loan that we still owe on.  George asked how many years we still owe on that.  Sandy said until approximately 2030.  The Chief stated that the board had looked into the loan when he first came on board.  Sandy said the interest rate on it is extremely low.  Louise added that it had been decided at that time to just let it go for that reason.  Ray said that because it is a 40-year loan, we will probably end up paying twice as much as we would have if it had been a 15 or 30-year.  Sandy said that was what the people had voted for at the time.  Louise said at the time they were concerned about keeping the tax base as low as possible though and asking the people to kick in a little bit more instead of a large amount was what they thought was the best thing to do.

 

Old Business:  None

 

New Business:  Addressed throughout reports

 

Committee Reports:  None

 

George made a motion to adjourn.  The motion was seconded by Jim.  The motion carried.

 

The April meeting of the Harmony Fire District Executive Board was adjourned at 8:15 pm.

 

The next meeting of the Executive Board will be Thursday May 17, 2007 at 7:00 pm at the fire station.