FINANCE
CONTROL BOARD,
Present: Chairman Christopher Gabrieli, Mayor Charles V. Ryan, Robert Nunes, James Morton, City Council President Kateri Walsh, City Clerk Wayman Lee
Public Comment
Chairman Chris Gabrieli: My apologies to those of you who’ve been I appreciate your time for matters that require that amount of time on . I think you’ll hear some of those during the course of this meeting. We have a lot on the agenda today and look forward to getting into all of that. Before we do, we’ll start as we always do with speak-out. Mr. Lee?
City Clerk Wayman Lee: Our first speaker is Lois Smith.
Lois Smith:
Thank you and, Mr. Chairman Gabrieli and Mayor Ryan, control board
members, And, Mayor Ryan, you will be
missed, believe me. And I just wanted to
say that the decision to extend or deny School Superintendent Burke’s contract
is in your hands. The Springfield
Financial Control Board will decide what happens to 27,000 school
children. With continuing failure in the
city’s schools, there appears to be only one way to correct the educational
system. We must bring a new team of
players into the school administration starting at the top. We absolutely must apply techniques that are
successful in areas with demographics similar to
It is almost laughable to use MCAS scores as the measure of growth, success or failures. Students who don’t take the tenth grade MCAS test aren’t counted. And still we fail. The 51% drop-out rate is what we really have to look at. If they’ve dropped out before they take the tenth grade MCAS test, they aren’t even counted.
There’re many issues that pinpoint
the deficiencies in
Can this, after six tedious years under our present school superintendent be on the road to success?
Our first
obligation is to protect the health and safety of our children and next to educate them. Exercise mandated in our elementary schools
is a bare 15 minutes a day. Energetic
little children fight to stay awake, focus on studies, fidget and misbehave
resulting from being stuffed in their seats and being made to sit still for
seven hours of rigid school curriculum (and I do mean rigid) spelled out to the
moment, schools suggesting seeing a doctor for ADHD drugs; doctors prescribe it
without brain scans, resulting in consistent misdiagnosis of ADHD. We’re drugging little children with
methamphet
I’ve
researched ten simple things that could be implemented in schools. It would turn around the horrific truancy
problems, drop-out problems, failure-to-make-college-acceptance problems and,
most of all, cause teachers to want to stay in
I hope you
will do the right thing and immediately begin a search for a new
superintendent. I have talked with
experts who are willing to help in a search for a new superintendent. These are successful people with successful
schools. A group from this city will
tour a KIPP school in January (I’m going). I respectfully request to be part of
an impartial team to search and review applicants. As ms. Pepe said at the last school committee
meeting, that she and other candidates should not be part of a search or vote
on a new candidate as they each have f
Let me
leave you with one analogy.
I leave you with this thought: a new impartial committee. I want to participate. I respectfully ask to do that, and a new superintendent and a total reform and a reduction in administrative staff in that district. Thank you for listening to me.
WL: Our next speaker: Russell Denver.
Russell Denver:
Happy Holidays to the board.
Mayor Ryan, thank you for all your hard work. The citizens appreciate it. Thank you very much. I’m here to speak on the residential setting
of the tax rate and would ask that you reject the recommendation from Mayor
Ryan and the action of the city council yesterday. We believe that that action will further
deteriorate the business environment here in the city of
Very simple mathematics: the three
fastest growing business communities in
WL: Tim Rooke.
City Councilor Tim Rooke: Mr. Chairman, fellow members, Mayor Ryan and
President Walsh. I’m really here for a
simple reason and that is to thank Mayor Ryan for the leadership and the
responsible decisions you’ve made over the past four years to put
School Committeewoman Antonette Pepe: Good afternoon, everyone. I want to speak about a letter that was sent
to the governor by the school committee members. I was never notified nor consulted about this
letter. Neither was Mayor Ryan who is
chairperson of the school committee, but yet school committee members signed
this letter in protest of the control board’s action that you will make a
decision on Dr. Burke’s contract. The
part that bothered me—we have a mayor that wasn’t even consulted, myself...and
yet they allowed Chris Collins who hasn’t been sworn in, to sign this
document. they never asked Mayor-elect
Domenic Sarno; he never got a call either.
So my problems are is this: I did call the governor’s office and I said
to the governor...I told him exactly why none of us should be selecting or
voting on the contract of the superintendent being that we all have f
Secondly, how dare they say the MCAS scores are up? I asked the governor to take a look at the truancy. In one school from September to November, 10,000 times the kids were truant, in one school. In four schools, the number was 29,000. Last year the numbers were in the thousands. Let’s talk about also the students entering ninth grade and how many get to twelfth grade so how many percentages of twelfth graders are actually graduating? Half of them? So what have we got, 350, out of how many that entered and how many without a certificate of attainment?
So when this control board makes a decision today, I hope that decision is to do a search and I hope that decision is to undermine and upsert[sic] the authority of the school committee, because I think first of all the school committee acts independently when they don’t include the boss of all bosses which is the mayor in a decision like this. And how dare they justify what has gone on in this system for so many years. Look at the top heaviness of the administration. And before you renew any more contracts, please look at the people they are hiring, the people that are doing their jobs and not doing their jobs. That’s very important.
So I want to thank you very much
for taking this time out to hear what I had to say and I also want to like to
talk about the taxes a little bit. First
of all, my taxes have never decreased since I’ve owned They’ve consistently
gone up, sometimes at $400. at a clip one point. Secondly, we got hit with a trash fee. Third, the gas prices, the economy,
everything and it’s really taken its toll on the retired citizens. It’s taken its toll on the young f
CG: Thank you.
WL: Timothy Collins..
Timothy Collins:
Morning or good afternoon. Happy
holidays to everybody, Merry Christmas,
I’m here to talk about the
superintendent’s contract. The
Springfield Education Association, the superintendent and the current
administration have embarked on several collaborations, one of them with the Rennie
Institute. Paul Reville has been working
with us facilitating that even before he became chairman of the Board of
Education. I believe fruit has been
borne from that collaboration, that testament to that is actions of the Board
of Education this week. that should be
included, a continuation of that in the new contract. The superintendent and his administration has
committed to reviewing on an on-going basis the new teacher evaluation and
development system and jointly, collaboratively make any mid-course changes
that are needed. I think that needs to be included in the
contract for superintendent, especially since 1960 teachers are in their first
five years in the city of
Also the Romney finance control board in their draconian way of dealing with this in bargaining last time around, we didn’t have sufficient time to thoroughly discuss some things that we settled on, because we had to get raises for teachers and stop the bleeding. One of them is the scripted lesson plans, another is the salary schedule unlike any other salary schedule in the Commonwealth of Massachusetts and possibly in New England, that gives our teachers in their first 12 years only a step raise where every other teacher in the Commonwealth of Massachusetts...where we’re competing for teachers gets a step raise and a cost of living raise. Also, clearly defining the teacher leader position and the instructional leadership position. We have an agreement to do that with the current administration—that needs to be part of the contract as well.
I also think we need to revisit some of the actions of the school committee over the last few years: the Springfield Public Schools pupil progression plan, its course requirement for graduation for our high school students mandating that all our secondary schools go to block scheduling and some other issues. I think the superintendent’s contract ought to require a review of these things, because again, I don’t think sufficient discussion or they weren’t given their due diligence. I am convinced that input from the professionals, on line professionals that work in the school, was not part of those decisions.
I also want to say to you that I’m
concerned that I saw Mr. Connolly, a lawyer from Morgan Brown and Joy here in
So my major concern is the schools. We need to implant in the superintendent’s contract continuation of a collaboration that sees to it that the on line professionals have a voice in what we’re going to work on.
IU do want to correct the misnomer
here [sic] that’s been stated in the newspapers, the 50% drop-out rate. We have a high drop-out rate; it’s not
acceptable, but that actually a ninth grade graduation cohort rate which means that a student entering ninth grade at
Central High School who takes five years to graduate and get his diploma is
counted as a drop-out. A student who enters
WL: Victor Davilla.
Victor Davilla:
Good afternoon, Mr. Chairman, Mayor Ryan, Councilor Walsh, fellow
members. Good afternoon to all of you
and Feliz Navidad to all. My name is
Victor Davilla. The control board has
been an important tool in helping the city of
WL:
Russell Seelig.
Russell Seelig: Good
afternoon to all of you. My name is
Russell Seelig. I’m here to talk about
the Community Development Block Grant funding for fiscal year ’09 that begins
July 1 of next year. My understanding is
that the funding is in the range of $7million and is money that should be spent
in two development areas. It’s a
princely sum. My main emphasis is on the
reduction of blight and crime in the city...a little bit of economic
development as well. And I guess in
order for economic development to be a reality, for those businesses now in
And I’m asking the control board to influence the spending of some of
the $7million specifically for greater emphasis on blight reduction. There are two subjects. One is graffiti and the other is boarded up
vacant houses, both of which detract significantly when they’re present. There’s now an active graffiti remediation
program within community development in
Boarded up housing, another issue that gives an appearance of blight in
the city, and we’re likely to see more of them before this mortgage crisis is
over. They’re also a blight on
neighborhoods, and there’s probably not much that the city can do in terms of
proliferation of boarded up houses, but it’s important that they remain secure
and that their sidewalks are free of snow and ice in the wintertime and that
they are not made into dumping grounds.
I’m suggesting that some of the CDBG $7million be allocated for at least
a half time and maybe a full time exterior housing inspector who would have the
responsibility of writing up delinquent property owners and reducing the
blighting effect of these properties.
Many of these properties are in Community Development areas.
Boarded up properties are also a crime magnet as indicated in an article
that you have. It’s an editorial from The New York Times dated
Thank you very much for your time.
WL: Our next speaker is Matt Szafranski.
Matt Szafranski:
I’d like to begin by saying thank you, Mr. Mayor, for your dedication
and service. You have been a model of
integrity in the city that has been in bad need of it for a long time, and I
trust that history will remember you for your service as a model. It appears once again that our state is
preparing itself for lower revenues. It
will not be long before this begins to effect
WL: Public speak-out...go right into...
Control Board Meeting
CG: Thank you very much. Mr. Lisauskas, I guess we’re starting with approval of the minutes, I believe.
**MINUTES APPROVED UNANIMOUSLY.
Executive Director Steve Lisauskas: Thank you, Mr. Chairman. Before we begin, there is a tradition of the control board that we present a plaque to out-going members in appreciation of their service to both the city and to the Commonwealth. This meeting is the last control meeting for Mayor Ryan and for President Walsh. Their service has been substantial and beneficial to both the taxpayers of the city, the city itself and to the Commonwealth. In recognition of their service, I would like to present both of them a plaque in appreciation; it reads: Presented to Charles V. Ryan and presented to Kateri B. Walsh in recognition and appreciation of your outstanding and dedicated service to the Springfield Finance Control Board. [Standing ovation.]
And if I
might beg the board’s forgiveness for just one moment, I also have the...on
behalf of the board, the distinct pleasure and, frankly, the honor to present
another small token of [reads] appreciation for his service to Mayor Charles V.
Ryan for his service to the people of this great city, a service which has
spanned five decades and has made an invaluable and indelible mark and an
incredible contribution to the city, to the quality of life and to the people
of Springfield. His eldership and vision
and his dedication in the reconstruction of the city and rebuilding its
finances has taken
This print which I’d like to present now ran in Harper’s Weekly in1891.
CVR: I remember it well. [laughter]
SL: It is a profile that the magazine ran of Springfield, and I would like to read the inscription on behalf of the board if I may: “Presented this, the 20th day of December 2007, with deep appreciation from the members of the Springfield Finance Control Board and staff who have had the pleasure of serving with Charles V. Ryan, a statesman whose unparalleled service to the people of Springfield and dedication to building a city government that is honest, fair, and effective serve as an inspiration to us all.” Thank you. [Standing ovation.]
CG: Mr. Lisauskas, are you available for Christmas shopping more broadly? You’ve done a fine job there; I am way behind. [Laughter]
SL: I have some availability on Saturday if you’d like.
Robert Nunes:
Thank you, Mr. Chairman. I would
like to take this opportunity to offer my heartfelt thanks to Mayor Ryan for
his years of service to the residents of
I have
often said to my friends back home in
CVR: Thank you
so much. I’m not sure whether there’s
any more of this. Let me just say that it’s been just a great privilege. It’s everything I ever hoped that government
could be, and I want to say to you, Bob, a mayor who I have great respect for,
six term mayor of
Whether it was the old board or the new board, we have adults who make decisions based on the data and the facts before them without recrimination, without politicking it, without getting even with anybody, but just because it’s in the best interest of the city. Why can’t it always be that way? Why can’t our boards and commissions always do it that way? Because look at the progress we can make when we do it in that fashion rather than another way.
But your words of affection and appreciation. Bob, mean a great deal to me, because they really symbolize...you know, we never knew each other until you walked in this building some seven months ago, but our friendship has been quick and instant, and I think a significant mutual respect. James I’ve known for some years and admire him so much. Chris is one of my heroes. And then you r predecessors on the board—it’s been a special time. Kateri , you and Domenic and Tim and Jose, each one of the representatives of the council, they’ve been precious.
And so it’s all a learning experience. It’s all something on a journey toward...our goal has got to be good government. We’ve got 150,000 people who count on us to do things the right way, the intelligent way and the responsible way, and I’m just hoping that some of this.... Control board isn’t here forever. Control board’s on a short leash right now, but when this all goes away, I’m just hoping that the men and women who represent this city on the school committee and in the city council will understand that for a brief time there was something that worked here, and that was noble and fine and did a great deal of good for the people of Springfield. That’s our ultimate and fundamental obligation.
And so I...you’re very, very nice to do this. I’m going to have to buy a bigger house for all these plaques, but it’s been a...it’s been a great trip and now I’ll go and do some other things with a lot of people I love very, very much and who I really haven’t paid enough attention to over the last few years. God bless you all and thank you so much for these honors. [Standing ovation]
CG: Well, I would only add that something that I never would have thought of as an inspiration to me in a moment of public opportunity to speak is in the minutes of the last meeting where member...it says member “Nunes remarked that he agreed with everything member Morton had said and he had nothing to add.” So please add to the minutes member Gabrieli, Chairman Gabrieli, agrees with everything that has been said by member Nunes, Mr. Lisauskas and others. Thank you for the opportunity to serve with you. I look forward to the opportunity to continue to provide that service in the spirit you just said with your successors. But it has been a[n] action packed period of time great learnings for me, great inspiration for me personally I know that’s how... Don’t mean to steal your thunder [indicates James Morton]....so speak for yourself, Mr. Morton.
James Morton: If I could have 30 to 60 seconds, I’ve worked for you, Mr. Mayor, and it was an honor. I now find myself working side-by-side with you, and it is an honor. When history is told, I hope that it includes the true history of our city under your leadership. You’ve done great things for all of us and we’re lucky to have had you as mayor during this really challenging time. Our future is incredibly brighter because of the hard work that you have done and the leadership that you’ve shown. You know we couldn’t be in a better position than we are right now at this moment in this time in our history. And a lot of that has to be credited directly to you, because you have been the leader of this city. Despite the presence of the control board or not, you were always the leader of our city, and where we are today has a lot to do with you. And if you can be described in a single word...in a signal word, it would be integrity, and that’s what you’ve brought to city government. And I respect you for it and have deep love and admiration for you, one man to another.
CVR: Thank you.
City Council President Kateri Walsh: I’d certainly like to add to that, to concur
with everything that has been said here today about the Mayor. Certainly, James, when you think of
integrity, you think of Charles Ryan not only in his career in the law, but his
career as a public servant. But I’d like
to add a different perspective. What I
like so much about the Mayor was his f
CVR: You’ve worn me down. [laughter]
CVR: Thank you. We got to get going on this agenda?
CG: Let’s go to the agenda. You would have wanted it that way. [laughter]
Update: Police
Commissioner Selection Committee
SL: Yes. Thank you, Mr. Chairman. The first item of business on the agenda after approval of the minutes is an update regarding the police commissioner selection committee. The members of the committee...just wanted to provide an update for all the members of the board. There has been some significant due diligence done, some significant work done, to identify five members of the committee, as you know, Mr. Chairman.
The five
members of the...who have been selected as members of the committee are
Mayor-elect Domenic Sarno (who’s here with us today); Dr. Lucie Lewis, a member
of the community who’s a senior level college administrator. (With education, of course, serving as one of
the most important businesses, if you will, in
The first of the two public safety
experts will be Chief Alan DeNaro. Chief
DeNaro is the current police chief in
And the fifth member is a gentleman by the name of Tom Robbins. Mr. Robbins is the retired superintendent and colonel of the Massachusetts State Police. He has decades of law enforcement experience that have given him both a breadth and a depth of experience and will make the membership of the committee...I think he can bring a real strength to it.
As a note, we have already received
a number of applications from the position...for the position...of police
commissioner. We have focused regionally,
but in the age of the internet, of course, we’re receiving applications from
other areas as well, and two of the applicants right now actually are senior
level managers from the largest and most diverse cities in
CG: Thank you very much. I’m pleased that we’ve been able to put together what I think is an excellent committee very quickly. I thank Mr. Morton for agreeing to chair it. It’s a very, very important process, and I think his link to this committee as well as his independence of thought and judgment will be essential, and I thank him for that. (It’s not as if there’s not plenty of time already spent on this work.) I think in having Dr. Lewis as a member of this community join in, of course, Mayor-elect Sarno electing to serve in his own capacity will give a strong voice locally. I believe the two police...experienced people we’ve been [unintelligible] to the table will bring technical expertise. We are very determined to stick to this February 28 goal. I congratulate you on getting an advertisement up even before the committee was selected so we have candidates, and I’ve discussed with Mr. Morton the processes we hope to go through staffed by you and the staff of the control board to move this along on that pace and to make sure that Mr. Fitchet who is a...automatically a finalist as well as any other finalist developed from the pool are properly assessed, publicly interviewed, and we make....get a recommendation to this control board by that deadline. I look forward to getting that done. Public safety remains crucial here. Thank you for expediting that work.
Questions from any of the members? I’d also, just for the record, remind that members of the control board not on the committee are welcome to find ways to participate in the process as we requested the last time, so whether those are current or....subsequent.
KW: I’d just like to...are we voting on this?
CG: No vote, just an update.
KW: I would just like to say that I’m opposed to the need for a selection committee. I believe we already have a candidate that we need, and that I believe that our city ordinances allow the mayor to be the appointing authority. Do you want the plaque back?
SL: No.
CG: Yes. [laughter] From what I read in the paper, you’re trying to expedite my plaque. [laughter] Next item?
KW: Don’t believe everything you read.
CG: That’s true.
Vote on Contract Extension: Eaton Planning
SL: The next item on the agenda, item IV, is a vote on contract extension for Eaton Planning.
Economic Development Director David Panagore: Mr. Mayor and board members. And, Mayor, thank you very much for the...my opportunity to serve with you over the past three and a half years. It’s been a tremendous experience. Thank you.
Board members, what we have before you this morning...or this afternoon now...is a request to amend a contract with Eaton Planning. For the past approximately two years, we’ve been engaged in a modernization and revision of the city’s zoning code. This is a comprehensive revision of a zoning code that substantially exists in a similar form entered into probably for the last 50 years to create modern items such as a single use table to modernize the zoning to provide for site plan review and other activities. There’s been a 17 member public committee made up of neighborhood people, business leaders, lawyers, planners. They’ve met for over 900 hours over the past two years and more than 20 to...about 25 sessions (depending on how you count it). They’ve been led in this endeavor by Eaton Planning and Chris Eaton, and she’s basically been spending the last two years working on this zoning.
We have funded their work, Eaton Planning’s work, through $110,000. worth of state grants, state technical assistance grants. We’ve extended...originally we got $90,000. from the state, but because they...in two grants (and they normally don’t award two grants, but they believe in our project.) They added an additional $20,000. to that in this past year. This work, given the size of the undertaking, requires more time and, in order to have an appropriate public process, we want to make sure over the next say, five or six months, that there’s appropriate time to bring this before the public, to have the public digest it, to provide public meetings and public comments. And the contract entered into under the provisions of Chapter 30B, the state procurement law, provides limitations on how much you can extend a contract. It does not contemplate circumstances such as these where you get into, essentially, what is a pin-hole of a project. (You begin to dig into something and discover there is a tremendous amount of work in cleaning up that needs to do. There are far more rooms up in the attic that need cleaning.)
Every week right now, the planning department spends approximately six hours on finalizing the nits and the gnats, because you need to cross the “t’s” and dot the “i’s” in any planning process, because zoning personifies the law of unintended consequences. If you push down one place, it pops up some place else.
So in that regard, we’re before the board requesting $38,500. in addition to...oh, $20,000 in addition to the $110,000. currently existent to the contract. These would be from city funds from the planning department. They currently exist. With these additional funds, we’d be able to go public with this project. The board has the authority to enter into this under Section 9B of Chapter 169 which provides the authority to the board to enter into sole source contracts and would be an amendment to the existing contract for Eaton Planning. We ask the board’s approval on this, and I’m prepared to answer any questions you may have.
JM: What’s the amount that you’re looking for?
DP: $20,000. on top of the...there’s an existing $110,000. $20,000.
KW: May I ask
you, at this point in time, how this study impacts any zoning responsibilities
or authority of the
DP: It’s in draft form right now. The responsibilities of the city council...what we’ve attempted to do is to expedite the process, to provide site planning review at a technical level, to provide some site planning review in permitting by the planning board, and to maintain with the city council those projects of citywide high impact basis that, by their nature, would wind up in that body. (No matter what, you would find those projects there.) So it would be a shared authority between the bodies, but, again, it would...but again, it’s in draft form as developed by the committee, and it will be brought before the public for full review.
In no sense can I indicate that that is a final form or a final decision. In the end result, it will be what would be enacted that would be the law. Right now, it’s just a policy discussion.
CVR: David, did you indicate in your remarks how long it is...how many years has it been since a revision of this scope has happened of our zoning ordinance?
DP: Since it was originally passed, there was a major revision in the early 70s. There was some revisions of the residential codes in the mid-80s. But in terms of the entire zoning code, it has never actually happened. It has been, in that sense, a sedimentary. And so every layer just gets keep being added on top and when we not want a new zoning area, we just throw a new zoning area in. So the way the sections relate....
Modern code is now based around the idea of the look and the feel—it’s called “form-based code,” because what you’re most concerned about is not necessarily what happens inside the building, but you’re concerned about the impacts on the street (how many cars arrive, how far it’s set back from the street, what’s the look and the feel of your public realm). And we would be bringing those aspects to the zoning to preserve our neighborhoods, to allow for our industrial parks, but then as well to simplify it for developers. Right now, if you’re doing development in this city and you have a project, you cannot find a single place in our zoning code to look and ask whether your project is allowed. You need to flip between code sections repeatedly. Creating a use table alone would be a tremendous asset.
CVR: Well, I think it’s wonderful that we’ve gone this far really. I think the state’s been very good to us on this, front-ending this. And so some $30,000. I think is what you’re looking for now, and that’s going to get us to the finish line, is it?
DP: Yes, and I do apologize. I did misread. You are absolutely correct, Mr. Morton, it is actually...$20,000. was the amendment and I was right when I spoke the first time: $38,500. I do apologize.
CVR: But that will get us to the finish line.
DP. That will get us to the finish line.
CVR: That’s excellent.
**
Update – Litigation
SL: Thank you
. The next item on the agenda is update
regarding litigation. As members of the
board know, the city enters into a license agreement with a company, in this
case Comcast, to provide cable television services in
That review
of the contract (it was a very fulsome review of the contract) has found what
we believe to be substantial areas of non-compliance on the part of
Comcast. We believe that Comcast is passing
along to customers in
The city is planning to initiate
litigation on behalf of cable subscribers of
CVR: I’d like to add to that. There’s no question about it. The documentation is very clear that when Mayor Albano, representing the city, entered into this contract...some seven years ago, is it?
It was clear that certain costs would not be passed through to the subscribers, meaning the 30,000 or 40,000 households that pay the ever-increasing cost of cable television. It’s a clear as the nose on your face, and yet it came to our attention some six or eight months ago with the help of counsel that we had engaged to begin to advise us looking forward to a re-upping of the contract some two or three years from now that we had this very, very serious problem.
We have met two or three times with representatives of Comcast to no avail, and this is a very, very serious problem, because with 93A implications which really means unfair business practices which allows for the treble damages. And we felt we had no alternative in light of their refusal to satisfactorily come forward in a compromise negotiation, but to move forward. I would think also that, as the city, some two and a half or three years from now, looks at who it’s going to make a long-term cable contract with that, really, the conduct of Comcast in this situation is going to be a very, very relevant factor. So it’s a serious matter, and I think that we’re doing the responsible thing in moving forward in this lawsuit.
SL: Thank you very much.
Vote on Appropriation
–
SL: The next
item on the agenda is a vote on an appropriation for the
DP: Board chairman,
Mr. Mayor, council president, board members.
You have before you executive order 1220-06. In addition to that, a aerial of the site of
the
The board request before you would
facilitate the creation of a resource center on
This would represent the city’s commitment to the project of $2million to the project. The...there’s been on-going work with Friends of the Homeless. Bill Miller, the executive director of Friends of the Homeless is here as is our project manager, Gerry McCafferty...the...to answer any questions you may have. Bill and Gerry have been working very closely together, and over the past several weeks, we have been negotiating a land disposition agreement. The proposed site is city land. This would be subject to a land disposition agreement where the city would have effective controls over the design, pieces of the layout, your general requirements for the development project. They’re on about the fourth revision of the draft of the land disposition agreement, and they are down to the nits and gnats right now.
The state is looking forward to being...to seeing a proposal being made by February for the low-income tax credits, so timely action by this board would allow us to build...to be able to come before the state with the financial commitments in place. We would also be providing this funding on an on-going basis as the construction progresses. The cooperative relationship with the Springfield Housing Authority...again utilizing all the tools we have available working with the Springfield Housing Authority, we would hope to be able to work with them to be able to provide funding. We are continuing to work out that relationship right now. Project management services would be through...for the city, would be available through...under Gerry McCafferty’s auspices. And I’ve been working directly with Friends of the Homeless and Bill Miller to ensure that the project management leadership team at Friends of the Homeless is of the finest quality. And I come before you today having met personally with a number of the candidates and potential people on their team and can say that they have put in place a best of brand team.
With that, I come before you this morning to answer any questions and to request funding of $2million towards the development of a homeless resource center in Springfield as part of the Mayor’s strategy for ending homeless in the community.
CVR: Mr.
Chairman, this is a red letter day and one we’ve been pointing to for a long
time. Within two weeks of [my] taking
office in January of 2004, two men froze to death here in the city of
I can’t tell you how grateful the city is to Governor Patrick’s initiative and leadership in providing $2million. And this again was a negotiation; this was a back and forth because we felt that, responsibly, we could and should put in the $2million you’re asking for today, but we knew we needed more help, because we had to get to $5million or $6million. And so we challenged the state to come up with $2million. The governor met that challenge, and then it’s very important to acknowledge and understand that the business community of this city is raising a fifth million dollars. And I can tell you, and it’s up to the people who are running the campaign to give whatever details that might be asked for, but that’s going very, very successfully, and I anticipate...I’m very optimistic that that’s going to...that’s going to happen also.
So you put it all together and you
put it under the leadership of Gerry McCafferty who’s done yeoman service and
Bill Miller and Bob Carroll and so many others up at the Friends of the
Homeless, and it’s a new day. And it’s
one that to me, we have a responsibility to worry about the humanitarian
concerns of this community. We didn’t
write the script around here, but we have to be responsive. And this, along with our Housing First
strategy, takes us a long way to dealing satisfactorily with a population that
is significantly underprivileged, but have been really forced to be
nomads. They vacate the shelter at 6:30
or 7:00 in the morning and you can’t come back in the door until 6:00 or 7:00
at night in the dead of winter. This is
not...this is not the way it’s supposed to be.
So I’m proud as a citizen of
KW: I second that.
CG: Any discussion?
RN: Do you have a time frame scheduled?
DP: Gerry[McCafferty], could you speak to that?
Gerry McCafferty: [speaking from the audience] We expect, provided all funding is in place, we expect ground breaking in the spring with an opening about a year and several months from now.
CG: From now or from then?
GMc: From now, so we’re looking at February, March of 2009 to open.
JM: Is there anyone here from the business community that can talk about their efforts?
GMc: [looking around the room] There is not. I can speak to some of that. I think they’re waiting to release themselves some of the fund raising they’ve done, but I believe they’re more than half way to the $1million mark. In addition, I think they are securing financing---some of this will be coming in terms of pledges, and they’re in the process of securing financing to get the $1million into the project now so that the pledges can be paid out over years.
DP: Under the leadership of Bob Schwartz of Peter Pan Bus Lines and Peter Straley, CEO of New England Health...Health New England.
CVR: And at least in the early stages, the generosity of Baystate Medical and Health New England has been outstanding, and so you have to have a pace setter in all of these things. They certainly fill the definition of pace setter in this drive for $1million. Yeah.
CG: I want to join in with you, Mayor, in saying this is one of the first issues that this new membership took up. And I do feel that both the city’s leadership and yours in setting out this goal to work something that is truly a public responsibility to address with both, as you say, humanitarian and, I believe, public safety and economic redevelopment benefits to the city, and it was certainly a fine moment when the state elected to match it and the private sector stepped up to a significant amount and it is a pleasure to have the financial capability to make this kind of investment and I’m enthusiastic to “third” your motion.
KW: Mr. Chairman, I’d like to ask a question. I mean February 2009 seems a long way off for...as the Mayor said...forced to be nomads. I mean is there....is there some other plan in place for temporary shelters so people do not have to be out on the street all day?
GMc: We have an existing day shelter. It’s very small and over-crowded and really doesn’t give us the opportunity to do the kinds of services we should be doing, and there are many people who don’t want to go there because it’s crowded, so we’re doing the best we can for this year, but are very much looking forward to this new facility opening.
KW: Thank you.
**MOTION PASSES UNANIMOUSLY.
Vote on Appropriation - Elimination of Liability from 2003 Furlough
SL: If Solicitor Pikula will please join me. The next item on the agenda is the 2003 furlough or repayment of the 2003 furlough. As the board is aware, in 2003, the city was clearly in financial distress and was required to take a number of actions to attempt to staunch the financial losses, one of which was a significant number of layoffs and another of which was to create a voluntary furlough program under which employees were entitled to or were allowed to delay two weeks of compensation for....(there are three different plans,)...but for, generally speaking, three weeks of vacation or other forms of compensation. So before you in122007 is an order requesting an appropriation to eliminate some of that furlough liability and, Ed, did you want to speak on it?
City Solicitor Ed Pikula: Sure. I could speak a little bit about this. The furlough plan was put into effect in 2003 when we faced a severe cuts from the Commonwealth’s aid that was being provided. What employees were faced with was a choice of two options. Option 1 was: “You’re going to work for two weeks without pay, but we will pay you when you separate from employment” or (and this is where we’re at now) “[You’re going to work for two weeks without pay, but we will pay you] when we have sufficient funds to pay you at the rate you’re making then.” Option 2 was: “Work two weeks, not get paid, but you can have three weeks of vacation,” and the problem was you had to use up that vacation by....and the deadline’s coming up the end of June 2008. So there’s a window to use those three weeks. This vote will eliminate the liability as to the Option 1. The people that have Option 2 would still have available whatever vacation they may have, that’s not being bought out. The only thing that’s happening here is to remove that liability from the books for the furlough pay that people have deferred.
[Turning to SL] Do you know the amount?
SL: I’m sorry, $169,092.22.
**MOTION PASSES UNANIMOUSLY.
Confirmation of
Appropriation – Putnam Project
SL: Thank you
very much. The next item on the agenda
is confirmation of appropriation of the Putnam Project. As the board may recall, in November of last
year, the control board (the prior control board) authorized the expenditure,
the issuance of bonds to finance a number of municipal projects, one of which
was the construction...the city’s share of the construction cost of the
The Massachusetts School Building Authority has indicated their preference that they would like a separate appropriation of that money just to make sure that we’re able to...this is part of making...entering into an agreement with the Commonwealth for their 90% reimbursement for the project. The one note, the original bond issuance for this project was $12million. The requested appropriation is $12.1million, still coming from the bond fund. The Commonwealth was able to provide us some additional reimbursement, so we have to match that additional reimbursement with $100,000. Ninety cents on the dollar is pretty good reimbursement, obviously. So my recommendation is that we do need...that the control board authorize the $12.1million appropriation as requested in order 1220-08.
**MOTION PASSES UNANIMOUSLY.
Vote on Construction
Management at Risk Method of Construction for
SL: Thank you
very much. The next item on the agenda
also relates to the Putnam project, and I would ask that Kathy Breck and Rita
Coppola please step to the mic. It is
with regard to the construction...adoption of a construction manager at risk
construction method for the
CG: Good afternoon.
Director of
And what it involves, basically, is that the city is allowed to pre-qualify a G[eneral] C[ontractor], if you will, for the project. It’s a benefit for us is, because we don’t have to go with the lowest bid on many projects, and projects such as this $120million to have to be bound by the lowest bid sometimes is not always in our best interest. So in this particular method, we bring the construction manager management at risk company on board during the design process, so that individual company is able to work with the architect which is also a benefit for the city, because we’ve got different eyes looking at the project. We’ve got construction eyes as well as architectural eyes and, of course, the owner looking at the project.
And then at some point mutually agreed upon by the architect, the owner and the CMR, as they call it, something called a “guaranteed maximum price” is set. And that’s an agreed upon price that the construction manager at risk company gives to the owner based upon...the law says it has to be set at least 60% point, but, in our benefit, we’re hoping to set it more at the 90% point of design, 95% even, so that we have a really good, firm G[uaranteed] M[aximum] P[rice] set by the CMR. That being the case, we feel comfortable at that point, the 90%, 95%, that we’ve got a really good handle on the budget.
And then what happens is the construction manager at risk company, who has all along been working with the designer, now becomes our GC for that agreed upon price. He, that company, then along with the owner and the architect pre-qualify subcontractors. Once again, to our benefit because we’re not having to select the low bidder. So these are sort of the benefits to it, and like I said, a project of this magnitude is something that we feel very important to do by this method. The Mass. School Building Authority encourages the use of this method, and that’s another very important point to bring up since they are funding 90% of this project. So I don’t know if Kathy has anything to add to that.
KB: Well, in the executive order that the board is being asked to review today, there are specific items that we would ask the board to approve in order to file our application with the Inspector General’s office for approval to use this method of construction for the project. And those are set out in order 122009 under the “now therefore.” The first bullet is that the finance control board would authorize the city to enter into a contract with a construction manager at risk firm for the Putnam project. The second bullet item is to approve the construction management plan which I hope is attached to the order, and that should be attached as Exhibit A. And that’s a plan that Ms. Coppola has worked very carefully with the city’s construction manager to put together, and it’s required by the Inspector General’s office as part of the application process, and that’s another thing that the board needs to approve in order for us to submit our application.
And then there are certain findings. In item 3, the board is being asked to make certain findings as to why this method would be a good method for this project and why the city would like to move forward with it. For the very reasons that Ms. Coppola’s explained: being able to pre-qualify and select the construction management at risk firm on the basis of their experience, their reputation, record of controlling costs, and not simply by the lowest bid; that the construction manager at risk will be able to provide pre-construction services during the design phase (which is fantastic for the city and, hopefully, will avoid a lot of costly re-design issues down the road).
We do have this opportunity to set the guaranteed maximum price; it’s a snap-shot in time; it’s the price as of the moment it’s set. Things may change down the road, but it’s an advantage to the city to have that. We can send certain packages of the work out to bid earlier than others to try to keep an accelerated scheduled for the project (if it’s a long-term project). We can monitor and audit the construction costs since it’s an open book, open price method of construction. It will foster a spirit of cooperation between the city, the architect, the construction firm and the contractors, because everyone’s got some ownership of the project. And last, but not least, the Mass. School Building Authority does encourage these.
So we’d ask the board to approve the executive order and this will enable the city, once we have our architect under contract which, hopefully, will be happening very soon to submit our application to the state. And, if there are any questions?
CVR: You indicated that the School Building Commission had voted for this?
RC: Yes, in a June meeting they voted on this.
CVR: Yeah. Would you...
KB: I think that following a presentation that you attended.
CVR: Up at
KB: Yes.
CVR: OK, fine. Let me ask you a question. I mean I certainly endorse what we’re doing, but I think, in the interest of full disclosure, what is the down side if any? I mean, how could anything go wrong or is this just all up-side, a win-win-win or is there a risk that these folks [indicates the control board] should know about?
RC: In my opinion, Mayor, the...there are certainly more up-sides than down. Let me say that first. The down side could come if we set what they are terming the “guaranteed maximum price,” if we set that too soon, and I just want to make sure that everybody understands what that is. Guaranteed maximum price...like I said...according to the law and you can set it at 60% must---the design must be at least 60%, OK.
CVR: Right. Well, won’t you have control over that?
RC: We do; we have say in that. Yes.
KB: The city will decide when they can...
CVR: So it’s nothing that’s going to...
RC: That’s exactly right, yes, the city ill decide.
CVR: That’s not going to happen over your objections.
RC: It will not, but, however, if it...I’m trying to answer a more general question of a down-side to this process. The...what we have learned one of the down-sides could be if that GMP is set too early, you do not get a good feeling. We do not anticipate doing that.
Kathy and I attended a conference recently with regard to this, and, in that conference, the moderator basically sort of emphasized to the crowd that you really should set it as late as possible.
No, I...I can’t think myself of a down-side to tell you the truth...of, for a project of this magnitude.
KB: Under a traditional system of bidding, you do have the pool of subcontractors sharpening their pencils and trying to get the lowest bid possible to submit and then you have the general contractors who....that need to select from that pool of sub-bidders and then they’re trying to sharpen their pencils and put in the best...their lowest bid.
But what I’ve found...I’ve been counsel for the School Building Commission for about 17 years, almost 18 years, give or take a few, and what usually has happened in our school building projects is that the bid price is not the project price. There’s always change orders and things that come up that weren’t anticipated or the contractor finds gaps in the design. That is always costly.
CVR: Yeah.
KB: You know, you have to add back in, so that what’s great about this process is that they’re working as a team, the designer is designing the project and the construction manager at risk is working with the designer to help with value engineering, constructability reviews, looking at different materials, and maybe phasing and sequencing of work to try to get a project that the contractor can make a profit on, but a legitimate profit and not an exorbitant amount of money, but the city gets to look at the books and find out exactly what it’s costing. And we may the construction manager the cost of the construction plus a fee that will be in the contract.
CVR: Rita, do you have any data that will...or anecdotes as to how widespread this method of construction is whether in the public sector or in the private sector?
RC: Well, in the private sector, it is being used quite frequently, yes. The public sector, it’s something fairly new. D[ivision] of C[apital] A[sset] M[anagement] does use it on a fairly regular basis, and DCAM has shared with us their success in using it. But the private sector...yes, it’s used quite often with a lot of success. Our...the architect that we have chosen for Putnam has used this process in the private sector, and they have also heralded the success of many of their projects with this CMR.
CVR: Good.
CG: We have 90% school building assistance.
CVR: Yes, on this project.
RC: That’s correct.
CG: About $220million.
RC: $121million....$121, yes.
CG: I assume the dilemma in part is, since the goal here is to get a true price, not a low bid that could get moved up and the construction managers at risk above that price. I assume the dilemma is as the spec gets developed, they may come back and say it’s more than $120million to get the technical vocational high school we want.
RC: Well, Mr. Chairman, just keep in mind that the $121million is the project cost. It does include the architect, OK? Right now, we have set a preliminary budget of $95million for the construction (which he has done), and we have directed our architect to submit his fee based on a $95million construction (which he has done) and we do anticipate that after the study phase, he returns the study phase to us with regard to, you know, the footprint could go here, it could go here, we recommend keeping this wing, but not this wing, whatever the choices might be and the School Building Commission votes on, that dollar amount, that $95million might change, yes. The architect has shared with us thus far that, in their opinion, they do not feel the $95million is sufficient, but they’re going to design to that, so...
KB: And they’ll be doing cost estimates at every phase to try to do a reality check to make sure the design will come in within our budget.
CG: I assume that’s...that by-play between the design and the costs, as opposed to happening, in a sense, over time as the cost potentially ascends over the original bids, happens in the design process, right?
RC: Yeah, you know...yes, and that’s a good point to bring up, because one of the really positive points about the CMR is that the...of course, as you may know, we do have an owner’s project manager for this project.... But the owner’s project manager, the architect, and the CMR are required to come up with cost estimates, three different, independent cost estimates in each phase that get compared against each other. So it’s... it is very good, because instead of the architect doing it sort of in a vacuum, putting it out to bid and then the bids coming in possibly too high, we have the G...the general contractor right in on the design phase and they can do their own cost estimates and then at that point say to the architect and the owner “Hey, you guys are way off on this line item” or, “You know, we think we can do this better here.” So it’s a real cooperative, positive effect that I think, at the end of the project, we’re going to reap the benefit (the owner will).
CVR: One of the speed traps that I think that goes into the thinking on behalf of this is that in the, let’s say, five to ten to twelve years ago, a series of schools were built. The overall experience was very, very bad in that there were enormous change orders so that you thought you were here and all of a sudden it was there. And your friend Tim Rooke is extremely eloquent on that, because it’s bothered him and he was in the city government for most of that time and felt that it was just plain out of control. So I do think that this, especially with the architect and the contractor working together and getting as far down the field as they possibly can, is going to, at least theoretically, eliminate the danger of some of that. But I think it’s something that the city government’s got to be enormously vigilant about, because school after school, after school, we got burned, and it cost us a tremendous amount of money.
RC: Mmm hmm. And we don’t anticipate that happening. Yeah.
CG: Mr. Morton?
JM: Do you have any thoughts on how we’re going to go about selecting this construction manager? What’s the process?
KB: There’s a
statutory process that applications through.
There’s a very detailed process set out in the general laws for the
pre-qualification that’s actually a two-phase process. First, there’s a pre-qualification process
that general contractors that who’d be interested in participating submit their
qualifications on a standard form. And
it’s a very thorough...it asks about their financials; it asks about their experience,
you know, their...on similar projects, their personnel. (Rita’s probably more f
JM: OK. Thank you.
KB: So it’s not a process that we’re creating ourselves, and it’s not arbitrary or capricious. And the same thing holds true for the subcontractors. They have to be pre-qualified and they go through this process as well, the two-phase process.
JM: Thank you.
KW: I have a
question, Mr. Chairman. Can you point to
a school where this was done? Is there
another municipality that has done this or is
KB: I think
KW:
RN: No.
KB: It’s only been in place in the past couple of years, so there are very few projects.
RC: Not many.
KB: Right, there are very few projects that would have had the opportunity to use it.
CVR: Well, I think you mentioned before that DCAM is doing it, so that...
KB: Yes.
CVR: [to KW] which is of course really the building authority for the state.
RC: Pretty regularly.
KB: And also the state school...public school building authority...the colleges.
RC: That’s right. The colleges. Yeah
KB: I’m not sure what it’s called. I apologize, but they have used it.
RC: That’s correct.
KB: ...for many years under their own legislation. It just wasn’t available for cities and towns to use until very recently.
KW: Mr. Chairman, I think I should state that I am a member of the Springfield School Building Committee and I have previously voted on this in an affirmative action.
**MOTION PASSES UNANIMOUSLY..
Vote to Accept Grant
Funds for Police Department
SL: Thank you,
Mr. Chairman. The next item is a vote to
accept grants for the police department.
Executive order 122010 functionally does two things. It accepts two categories of grants: Byrne Memorial
Task Force grant in the sum of $110,000., the governor’s highway safety grant
for the sum of $112,000. and, just as we saw earlier with the appropriation for
the
CVR: So moved.
KW: Can I ask what the other two grants are for?
SL: Sure. Actually Patrolman Elliot, would join me up at the front?
CVR: Sergeant Elliot?
SL: Sergeant, sorry.
CVR: Yeah. Oh, I’m sorry, not sergeant.
KW: Well, I can figure out what the minutes police hiring initiative is, but just for clarification, if you could explain to me what the other two are for?
Patrolman Brian Elliot: The task force grant is a drug enforcement
collaboration between the District Attorney’s office, our department, the
Holyoke Police Department...there’s several agencies involved...the drug
enforcement agency as well. Without
giving specific details in deployment, it’s money that purchases overtime,
hardware, software, various equipment that they use (surveillance equipment and
so forth). And the highway safety, it’s
$112,000. that Governor Deval Patrick has made available through the Executive
KW: Thank you.
BE: Thank you.
KW: Good Luck.
**MOTION PASSES UNANIMOUSLY.
Vote on Residential Factor for Fiscal Year 2008
SL: I’d would note that every time I see Patrolman Elliot, we’re getting to accept and spend somebody else’s money, so I hope to see you again soon, Brian.
The next item on the agenda is the vote on the residential tax factor for 2008. If the assessor, Steve O’Malley would join me. As the...the control board has...the setting of the tax rate...the tax rate hearing has traditionally, under the control period, been conducted by the control b-...by the city council with the control board setting the residential factor, which is the allocation of taxes between the commercial/industrial and residential tax bases. Steve is here to give you a presentation on the tax rate and on the...and the shift in the residential factor as well.
SO’M: Thank you. Good morning, Mr. Chairman, Mayor Ryan, President Walsh, members of the commission[sic]. What we’ve tried to do in this presentation is to outline for you the three components that go into establishing this classified tax rate.
In the
first page that you look at in your presentation after the... [On the PowerPoint slide] We’ve compared the
total valuations for the city of
On the next page, we break down those increases in both dollars and as a percentage over the previous year. So we went up about $260million in residential value (or a 4.5% increase over the previous year). And we went up about $113million (or about 6 .8%) increase in value [in industrial/commercial value].
Once they’ve been certified by the
state, we need next to determine what our levy limit is for the current fiscal
year. This number’s made up of two main
components: our previous year’s levy limit times 2.5% (that $145million that we
raised last year times 2.5% is about $4million as you can see in the numbers at
the bottom box [of the slide]) plus our new growth number which is also about
$4million. New growth in the city of
The total of that allowable levy increase
over our previous year is about $8million or a levy for fiscal year 2008 of
$153,506,032. Now we have to determine
how we’re going to break down the tax rate.
The city of
We also consider in the city of
There are, as you see, three pages from an overall tax rate of about $19.99 which would be a residential factor of 1 and a commercial factor of 1. We are recommending that we go to the same 14% gap between the two or bring the residential portion of the levy down to about 63% which, on the last page underlined in red, you see that number at a commercial factor of 1.63, a residential rate of 81.532, and that results in a 63% of the total levy coming from the residential class down from what would be 77% if it were a residential...if there were no classification. That results in tax rates of $16.03 and a commercial/industrial and personal property tax rate of $32.04.
CVR: $16.04?
SO’M: $16.03 and $32.04. On the next...as you see, we compare that to the previous years, fiscal year 07, when we had a residential rate of $16.04 and a commercial rate of $31.91. The shift factor this year, as I said, would be 81.5382. The commercial shift would be 1.64. The residential share of the levy would be 63%, and the commercial/industrial and personal share of the levy would be about 37%.
The last
one is a comparison of the average single f
CVR: Mr. O’Malley, you gave us a figure two or three days ago when you met with Mr. Lisauskas and me, and I think the board and the audience would be very interested in it. You gave us a figure of 10 to 12 years ago...what was the gross value of all of our taxable properties, something in the $3billion area?
SO’M: Yeah, we were about, I think, in 1990 before the real estate boom...
CVR: I thought it was more like 1993, 1994...
SO’M: It might have been that.
CVR: It’s gone from let’s say $3.5billion to close to...
SO’M: Correct; we’ve almost doubled our...
CVR: Close to $8billion, isn’t it?
SO’M: We’ve almost doubled our total over the previous year.
CVR: It’s an astounding growth, and a lot of that was done in our bad years here, so, you know, I think the interesting and the encouraging thing to me is there’s a base on which we can rebuild.
SO’M: Yes. We still are underneath our...we still are underneath our levy limit.
CVR: Oh I understand that. I understand that.
SO’M: So, we’re not...we have bumped it...in the past we have bumped up against that levy...that levy ceiling.
CVR: OK.
CG: Member Nunes.
RN: Mr. Chairman, Mr. Lisauskas, new growth has been certified at $4million. What did you estimate in the fiscal year 08 budget?
SL: I believe it was approximately $2.5million.
RN: Thank you.
JM: Mr. Chairman. Were you here during the presentation made by Russ Denver earlier?
SO’M: Yes.
JM: What would your response be to his comments?
SO’M: I would expect nothing else from the president of the Chamber of Commerce than to recommend that we not classify the tax rate. I was a member of the board of assessors...I’m a retread; I’ve come back to this job after a few years off. But I was a member of the board when we did the first original classification of the tax rate back in fiscal 1983, and it’s the same tune, just a different singer. But, you know, you can either...real estate tax [unintelligible] is taxes are a regressive tax, and you can’t make everybody happy. I wish there was a magic number I could present to the commission that would make both the residential property owners happy and the commercial and industrial personal property owners happy... I’ve...don’t know what that number is and I know that my fellow assessors throughout the commonwealth—nobody’s ever hit on that number. You just can’t make everybody happy.
CG: Leaving aside the general question of whether to have separate rates or not, I’m just curious what discussion if any there was about...there’s actually a choice here to slightly lower the residential rate and then moving up the residential rate despite the fact the commercial...
SO’M: We’re
well towards the bottom of that scale that’s available to us, but, as I said,
it’s been the tradition in the city of
CVR: I would say this, at least an eight or nine year history of similar judgments or decisions as we’re asking for right now. That there’s an imbalance we certainly understand and can accept that everybody would be happier if the business and commercial rate was lower. By the same token, we’re trying to achieve the medium--not the happy medium, because it’s not happy for anybody--but the unhappy medium, but trying to be fair to and weighing it both. And this is consistent with what we’ve been doing now for some periods of time in at least two straight administrations.
KW: I’d like
to bring up some of the points that were mentioned at the
SO’M: Yes. We, quite frankly, we should have accomplished this goal of being able to set a tax rate much earlier in the year. We ran up against a significant problem which was that this was a reeval[uation] year plus we installed this year a new software program, a gamma system, which slowed the process down somewhat and the time line of getting it....we...it’s commitment on the board of assessors to get this task done much earlier in the next fiscal year. So that if it’s nec...if the council wishes to hold committee hearings or to do a road show in the neighborhoods with this, there’ll be more than adequate time for council to do that. We’re required by law to hold a public hearing, and that was what we did yesterday.
KW: I was
interested in you sharing your comments that you made about your concerns about
the mortgage... mortgages today that you today just made yesterday about the
city of
SO’M: You mean the sub prime market rate?
KW: Yes.
SO’M:
We...we’ve always had foreclosures in almost every market and in...with
the relationship of the sub prime mortgage market in a number of councilors
raised the question about, you know, that we’re seeing this crisis in financing
and it’s driven by this sub prime market.
They only represent, in the
KW: Thank you.
CG: Mr. Nunes.
RN: Mr. Chairman, I’ve been advised by the city solicitor that I should not vote on this issue due to my position within the Department of Revenue
CG: They always [unintelligible] the tax man.
CVR: So it’s your fault. [laughter]
RN: I do what I’m told.
**MOTION PASSES WITH 4 VOTES, RN abstaining.
Discussion of
Delegated Authority
SL: Item
number XII on the agenda, discussion and approval of control board staffing and
compensation. As the board members are
well aware, the ultimate goal of the control board is to restore home rule for
the residents of
The prior control board authorized the creation of such a position. We have not, of course, acted upon that prior authorization, but I ask you today for your approval in creating and filling that position which would be known as a position of “project manager.” The proposed salary for that project manager position would fall in the range of $60,000. to $70,000.
[Unintelligible comment from a board member]
SL: Sure, sure
OK. And the second item under this with
regard to control board compensation.
It’s a request for a raise for one of the members of the control board
staff. As you know, the chief
development officer for the city, David Panagore, is both a control board
employee and a critical part of our management team. David’s Herculean efforts resulted in the
retention of Performance Food Groups in
I ask you permission to increase Mr. Panagore’s salary by $10,000. to $115,000. This is of course...it has been some time since his last adjustment, so this is a part cost-of-living, but much more so and very much a reflection of his hard work and the fruitful work he has had on behalf of the taxpayers of Springfield. He is, as I mentioned, an invaluable member of our team, and I would ask for your approval of both his salary adjustment and the authorization to create and fill the position of project manager.
CG: I would
just comment that these are recommendations I favor. I think we’re all mindful, particularly those
of us who are governor’s appointees and don’t necessarily live in
RN: I want to make it part of the record that these...that this new position and the increase is not part of the city budget.
SL: That’s correct. It’s not part of the city’s budget. Thank you, sir.
RN: It’s the control board budget.
SL: Yes, sir.
RN: Funded by the Commonwealth.
SL: Yes, sir. Thank you.
KW: I’d like
to make a few comments, Mayor. First or
all, I think we need to be mindful of what Chairman Gabrieli said. We’ve got to be cautious with the money. Now this is money that the citizens of
SL: Not for the costs incurred, but in the next six months, yes, for the costs thereafter may be costs borne by the Commonwealth directly.
KW: Since the
control board has an end date in sight, I do not think you should be adding
more personnel. I don’t disagree that
Dave Panagore...I think he’s done an excellent job. However, I think to have a salary increase
goes against the grain of what is happening for everybody in the city of
And also I have to say that I
remain concerned about this word “governance” and what “governance” really means
and what the whole purpose of this “governance” is, and I certainly believe in
the integrity of the people that I have served with on the control board, and
it has been a pleasure serving with you.
But the government in the city of
SL: And I
think to that point, Ma’m, the...one of the reasons for the need for this
position is just as you highlight that that has to be...that that needs to be a
locally driven process. And the control
board has a great deal of experience and understanding of the municipal
operations, but the future of government in
KW: And I’d
might as well go one step forward and say I’m opposed to a city manager. I
SL: Thank you.
CG: Any other discussion?
JM: Very
briefly, I would
CVR: I’d like
to[unintelligible] upon what James Morton is saying. I think Dave Panagore has been...it’s
just....one of the inner circle in what has been accomplished around here. I can’t say enough good things about
him. His intelligence, his tenacity, his
work ethic, his skill. This is the best that
CG: I would echo that and simply say as an example just to be [unintelligible] when I think about value in return, I don’t believe we’d be getting an extra million dollars from the state of Massachusetts for the homeless shelter which would either obligate us...the homeless resource center...to put up a million dollars more as a city or not have one. So I think that’s a small example, and, you know, I think kind of return on investment is one I would always counsel. So any other comments or questions otherwise I’d seek a vote for it.
**MOTION PASSES 4 to 1, KW voting no.
Discussion of Delegated Authority
SL: Item XIII on the agenda. At the last meeting of the control board, the control board requested that I put together a memorandum summarizing the delegation of authority from the control board both to the mayor and the executive director of the control board. Before you is that memorandum, and just to summarize it in brief:
The control board, under Chapter 169 of the Acts of 2004 has the ability to exercise the powers and duties of the mayor, the city council, the school committee and all relevant boards and commissions of city government. The control board in a series of actions through 2004 and subsequent to that has delegated certain powers and duties for the administrative efficacy of the city to the mayor, to the executive director, generally speaking, working in concert. And that has been a very close working relationship between my predecessor, Phil Puccia, and Mayor Ryan and a close working relationship between myself and Mayor Ryan, and as well, I think, a productive one as well.
As we look forward, the question arises with regard to the continued delegation of that authority, and the memorandum before you proposes a continued delegation of that authority in the same manner in which it has been administered to date.
In the area of contracts, the current and proposed continued delegation of authority is for contracts below $500,000.—or, excuse me--$500,000. or below to be signed by the mayor. And contracts above that amount, $500,000.01 and above to be executed by the chairman on behalf of the board. There have been a series of different reporting relationships with regard to these contracts. Even on the...many of the small dollar contracts, Mayor Ryan and I and Mayor Ryan and Phil Puccia had meetings to discuss both the services and the contract and the procurement that underlay both.
CVR: And propriety.
SL: And propriety. Thank you. And...yes...and that is proposed to continue. As we will have a new mayor and myself as executive director, we propose again to continue that. The relationship of that reporting would propose to be formalized as it was with Mayor Ryan and I. It was formalized at times verbally, oftentimes, viewing the written record, and this would continue that review of written record from the departments to ensure propriety, appropriate processes, etc. are followed. As this is a delegated authority of the control board, the control board has control and review and so provide a record for the board to review as we have now just to ensure that the processes are handled appropriately.
Budget transfers
to date have historically been by the executive director under delegated
authority of the control board. I
propose that that continue. These are
transfers among existing line items. The
expenditure of grant funds has again been a cooperative working relationship
between the mayor and executive director, particularly under Community Development
Block Grant funds. We, as the board
knows, have engaged a study of the city and school department grant operations,
which is yielding some very interesting preliminary results, and we’ll present
those final results to you about ways to greatly improve all aspects of grant
management in
Development activities have been a...have been the responsibility of the control board and in specific of our chief development officer David Panagore. The city’s history of diffuse leadership and management of economic development when you juxtapose it related to the centralized leadership and management that we have now which has produced, as we discussed just a moment ago, some very substantial and positive results, it would appear prudent to continue that delegation of authority and that the chief development officer remain the central, single administrative agency for chief development...development issues and bringing them to the control board as is appropriate.
With regard to personnel, in 2004, the control board delegated to the mayor and the executive director acting together the ability to...or the authority to appoint all mayoral appointees. That goes from department heads and cabinet heads on down. The order specifically references all mayoral appointees. My proposal is that that continue. It has worked well. It has worked effectively, and I see working with Mayor-elect Sarno (soon to be Mayor Sarno) we have thus far developed a very close working relationship, and I’m sure that that will continue to be productive one.
Negotiations and re-organizations under the personnel have been the...been delegated to the executive director. I propose that that continue. And boards and commissions: as you all know that important functions in city government are conducted by volunteer boards and commissions. There are a number of them with very substantial authority such as the Springfield Redevelopment Authority, the Parking Authority, the Housing Authority, the License Commission, the School Building Commission. Those decisions on appointments have been...I know this was the case with the mayor and my predecessor Phil Puccia as well as myself. We had significant consultation with regard to the appointments to boards and commissions and I would propose that that cooperative relationship, that that joint relationship for appointments to boards and commissions continue as well.
RN: Mr. Chairman, to summarize, nothing has changed.
SL: That’s correct. Yes. Thank you.
CVR: I want to congratulate you. That’s an excellent summary of...on half a dozen different areas of relationship.
SL: Thank you, Mayor. Thank you..
KW: And all that’s consistent with the authority of Chapter 169?
SL: Yes it is. It’s all the authority being...it’s some of the authority that the control board exercises, but it’s the delegated authority under Chapter 169, that’s correct.
KW: And that would have been my question, too, that nothing is changing.
SL: No, nothing is changing.
CG: [unintelligible]
SL: If you would like to accept the results of that report.
CG: I think
that, you know, in initially asking you to do this, Mr. Lisauskas, what I
wanted to make sure was (you know many of us are new). Certainly the three of us [CG, RN and JM],
came in with an on-going process here.
And, you know, 169 I think clearly gives this control board vast
authority over financial and personnel decisions in the city of
I thought it was very important that...I thought it was very helpful to me (to be honest, a couple of these things, I wasn’t clear about...that we make sure it be clear and in writing and done before the end of this current mayoralty, so that all of us were clear that we understood them and you’re in a position to convey them accurately to the Mayor-elect, so that we can continue the successful mutual relationship, both during this period and after 18 months from now. So thank you for...in a busy time, putting this together and, obviously, we look forward to working with Mayor-elect Sarno in the same convivial manner we hope as we’ve been able to work with Mayor Ryan. Thank you for that report.
Presentation Regarding Free Cash
SL: Thank
you. The next item on the agenda is a presentation
of free cash. Just as some background: as
the members of the board certainly know, free cash as I think a commissioner of
Department of Revenue many years ago said “is neither ‘free’ nor ‘cash,’” but
it is...generally speaking...you can think of it as operating cash left over at
the end of the year, generally speaking generated through sound financial
management on the expense side as well as on the revenue side. And some particular highlights in
CVR: -$37million. It was -$52 before. Then it went to -$37. We started at -$37million.
SL: Yes. Thank you.
So -$37million, I believe in 04 when the control board began. By the time the control board arrived, the
city was projecting a substantial multi-million dollar deficit as well. Hard decisions based on good management and
administrative principals and techniques have brought us to a very different
place in a short period of time. The
city posted free cash surpluses in FY 2005.
Again looking at 2004 where it was -$37million. Prior to that negative in the
$50millions...negative in the $50millions.
In 2005 posted a $6.8million free cash surplus and last year posted a
$17.3million free cash surplus. This
remarkable turnaround is a reflection of hard work and sacrifice on the parts
of many, but also truly a reflection of, I think, how the city was managed
prior. In a few short years, the control
board and city have begun to improve the finances from very substantial
surpluses...substantial deficits to strong surpluses, even after making
substantial capital improvement investments, investments in school books and
other operating and capital items. Good
management has facilitated these financial improvements, but equally as
important, service improvements have been going on and, as I mentioned before,
capital investments that meet the city’s...that are designed to meet the
community’s needs. The...I’ll share with
you the free cash number this year, and I would ask as we do, that you keep a
few things in mind. First, the city owes
the commonwealth $52million in its trust fund loan which at the present time
must be repaid in five years. The city...the
lottery aid picture is not a rosy one.
Information coming from the state treasurer’s office is the possibility
of a 2% reduction in lottery aid which would result in a $1million recurring
reduction in aid to the city of
The...in the years that the commonwealth experiences financial problems, which I believe is approximately every seventh year or so, state aids cuts typically follow, last for an average of three years and cost an average of $11million per year. That is...for a total of $33million over those three year periods. So there is a need for some substantial financial reserves to be able to weather those storms. And that substantial number is a reflection of the city’s very strong reliance on state aid to fund its operating and school department budget.
As we look to our new free cash (and it is a large number), we need to remember the context above, the $52million trust fund loan, the potential of eroding revenue conditions, the very substantial financial needs of...of the capital needs of the city (approximately $420million), the city’s substantial unfunded pension mandate...unfunded pension liability of about $450million, and the fact that as a matter of prudence, the city should have approximately 10%of its budget in reserve....approximately $50million to $57million. This would allow the city to weather any of the financial storms that it could certainly project in the immediate term while addressing strategic needs such as the addition of new police officers, investment in schools and other things that in prior years have resulted in direct layoffs.
The number for the free cash certification...the free cash certification that we received just today from the Department of Revenue is $30, 453,077. That’s $30,453,077.
[unintelligible exchange]
CVR: And we want to thank Mr. Nunes...well, you were the messenger. But that’s a total of better than $54million in the last three fiscal years contrasted to a 16 year drought with no money and running it into the ground to -$37million when we started. So you get rid of the -$37million and you add $54million to it: a pretty good day’s work.
SL: It is, and
it’s certainly a reflection, Mayor, of the very hard work of a number of
municipal officials, including our CFO Mary Tzambazakis, our budget and finance
director TJ Plante, and our city auditor
CVR: You’re absolutely right. I’m very proud of that result.
SL: I will...
CVR: Now you’re going to give us the bad news.
SL: I can bring to the control board in January a recommendation with regard to the use of this money, both desegregations into reserves, potential use for capital and potential use for other purposes as well. I’ll bring that to the board in January if that would be convenient for you.
CG: I think
that would be very good. Obviously, it
does reflect, to put it in simple terms, the fact that
SL: Thank you. I’ll have that for you in January.
CVR: I think the other thing we should comment on: you said we owe $52million, but just to reinforce this for the audience that’s here: $20million of that came, what, nine months ago, and it was clearly designated for potential future development, sitting somewhere in the bank, and there are no specific allocations for that money right now; that’s to be determined gong forward. And it’s conceivable that it won’t be spent at all.
So the first $30million was essentially spent; $21million of the $30million was spent to balance the first year’s budget, the 04 budget which I anticipate would be out of balance by $20million and, as you know, we came within a hair’s breadth of getting a $20million grant (that finally disappeared, a circumstance we don’t need to go into) and it turned into a $52million loan. But...so, of the $30million we’ve actually spent, $21million was to take the 04 budget which was under water the day we got here. And so...but I’m not sure that... I have some feeling that it may be that you’re not going to spend that last $20million. Or, if you do spend it, you’re not going to spend the whole thing, because, again, the whole world has changed financially for us from the time we first began.
SL: Yes. Thank you. Shall I proceed to the next item on the agenda or...?
Appropriation of Free Cash to Special Stabilization Reserve Fund
CG: The item we’ve added from executive session. That’s probably appropriate.
Unknown Speaker: Are we doing item XV?.
CVR: Where did the $13,925,000. order come in?
SL: Thank you, Mayor.
CVR: Are you at that point now?
SL: I am, yes. As we look at the city having positive cash position for the first time in many years, one of the things that the city does is...
CVR: This is on the CDO?
SL: Yes, sir.
CVR: OK.
SL: ..invest its cash. And we have been made aware recently of the fact one of the city’s investment firms is Merrill Lynch. And Merrill Lynch has invested the city in a number of investment vehicles with the city’s cash. And one of those investment vehicles is a mortgage-backed security known as a “collateralized debt obligation” or a CDO. By way of background, Chapter 44, Section 55 of Massachusetts General Laws provides the investments...legal...lays out the legal investments for cities and towns. And it is a appropriately restrictive list, generally speaking includes certificates of deposit, treasury bills and notes, and other governmental bonds.
We have discovered that Merrill
Lynch has invested the city outside of that legal list of investments, and that
investment has become...we are...Merrill Lynch reports that that investment is
impaired and substantially impaired.
There is no market for that investment at this point in time. It is $13.925million investment. Merrill Lynch estimates its value at
$1.2million. I would note that that
estimate is just that—an estimate; there is not market for the investment, so
there is...it’s difficult to guesstimate what the actual value of that
investment would be. It’s a
mortgage-backed security; they report to us that the mortgages are performing,
but we have that as an issue and a concern.
We have engaged...the control board has engaged the services of Goulston
and
CG: I’d like
to make a...thank you. I’d like to try to make this clear, and I want to be
careful in my selection of words given that [unintelligible] the litigation
[unintelligible] pursuing here.
Approximately $14million of the city’s cash, managed by three different
firms, but in this case in particular managed by Merrill Lynch, has been
reported recently by Merrill Lynch to be significantly impaired in its
value. That is to say that they would
estimate it at about 10%; that is a loss of as much as $12million. We as a control board, obviously, are shocked
and disappointed, retained as you mentioned Goulston and
We have also, in the process of that, gone and sought the advice and help of the attorney general’s office, and their conclusions, I think, are similar to the city solicitor’s, to Goulston’s and to our own. And those are that at this point it would appear that Merrill Lynch is very much in the wrong here, and that we can reasonably take action to recover the city’s money. Whether that action ends up being by private action, by the attorney general’s action, by both or other, you know, is yet to be determined.
As I’ve mentioned, since this is a subject of potentially significant litigation, I feel it’s important to emphasize real limits on what I think we can go into in detail on some of this, because what’s important for us to do here is get this cash back. Now with strong management overall the city, strong cash reserves the city mean suppose there’s no immediate issue to the city, but we take very seriously our obligations to hold Merrill accountable for the city’s hard-earned cash reserves.
CVR: I’d like
to make a few comments. First of all,
this is an extremely serious matter. It
came to my attention somewhere between two and three weeks ago when Ed Pikula
came to see me, because of a request he had gotten that day from the city
auditor,
And I’m old enough to have seen this happen two or three times. I’m a child of the Depression, and all my folks ever used to talk about in my adolescent years and teen-aged years was the bitter lessons of the Depression and yet I’ve seen two or three significant crashes and set-backs. And when you look at them, primarily and ordinarily, it happens because of the greed of men. Greed: you can’t get enough money. These are the richest part of our society. They pay annual bonuses that would dwarf the salaries of this whole room put together, and yet they can’t get enough money.
And so they went into a course of action several years ago evidently as we put the pieces back together to buttress up the market that was lending at high risk mortgage to people who, in many cases, were not going to be able to pay it back. They certainly weren’t able to pay it back if anything took a downturn. And then what happened here, the investment that Steve is talking about and that the chairman is referring to is an investment which is collateralized by a collection of these sub-prime mortgages.
Steve pointed out that under the law of Massachusetts, the interesting thing and God bless the legislature; they can irritate us and frustrate us sometimes, but they’re some smart people, and 100 years ago, they passed a law (and they’ve modified it, but it’s essentially the same law) and that is it allows cities and towns to only go as far as the legislature lets it go. And so we don’t have the power to do certain things, and when a city or town tries to do something that it doesn’t have the power to, it’s a nullity from day one. It’s like it never happened, because of the fact it’s null and void ab initio and what this.... In translating it to this situation, we can invest—we or Worcester or New Bedford or anybody else—can invest short-term money (and that’s what this is, short-term money) for no longer than 365 days because of the fact money has a value in and of itself, and it’s prudent and it’s wise and it’s intelligent to do so, but it can only be in certain very, very safe and restricted investments. And we don’t have the power to go buy Alaskan gold stocks or anything like that. It has to be federal government obligations or it has to be CDs [certificates of deposit] from banks or other financial institutions or it has to be money market accounts that are registered with the SEC [Securities and Exchange Commission], so there’s a...you’re circumscribed, and intelligently you’re circumscribed.
But what happened here is the investment that went was not within the permitted area. And the representations were made that it was, and they were continued representations, and they were false representations. Or let me put it even more colloquially, they were lying about the nature of these. And we have evidence that Merrill knew, knew the law that applied here, Chapter 44 Section 55; it’s not a mystery. If you’re in the business, you know this law. They knew they couldn’t do it and yet they did it.
Now, are we the only one that’s
been hurt? No, we’re not. We think we’re the tip of the iceberg. This is not something we---you can go to
Google and find out who else is invested.
But we know there’s company, because we’re talking of billions, hundreds
of billions of dollars, which right now when one investment bank after another
collectively are writing off bad debts from their own account. The treasurer of
I think that the good news is this
and I’m indebted to our chairman who, when we found out about this, got on it
immediately. He got in touch with some
skillful lawyers—one of them is still here, Mr. Rosensweig, in the rear of the
room--who have been on this case and for a good two or three weeks. These are experts in ...these are giants in
their field, and I couldn’t feel more comfortable . I’m an attorney; I kind of know the
territory. I couldn’t feel more
comfortable with the top notch talent that we have on our side. I’m also persuaded that the attorney general
of
But to me, there’s an irony here that if some poor people go and break into a 7ll and clean out the cash register, they’re going to jail as bad guys. But when you have people who can come and victimize pension funds, government entities, solitary investors or anything like that and get away with it because of the fact they wear expensive suits, something’s wrong. And so I hope that the attorney general pursues these people, lets them know that we aren’t going to take anything less than full redemption for an answer, because of the fact that we never should have been victimized in the first place.
And if Merrill Lynch wants to run
its businesses this way, then it’s high time that everybody else in
CG: Do you have a motion?
SL: I do, Mr. Chairman, the next item on the agenda, as Mayor Ryan indicated, is 122015 would segregate the value of that investment in a special stabilization reserve fund to ensure that that money is again [unintelligible]...
**MOTION PASSES UNANIMOUSLY.
Consideration of
Trust Fund Repayment Plan
SL: The next item on the agenda is the
consideration of trust fund repayment plan.
The control board at the last meeting authorized me to work with the
secretary of Administration and Finance to develop a repayment plan along the
five-year guidelines, the legal requirements...the five year legal requirements
for the trust fund authorized under Chapter 169 of the Acts of 2004. The proposal reflects the five-year repayment
plan that is required under law. The
five-year repayment plan is a shortened repayment plan and for a loan of
$52million, that’s quite a truncated period.
It would be of great assistance to the city of
So the repayment plan before you would disaggregate...would take the $32million that has currently been expended from the trust fund and break that up pro rata share over the five years of the repayment. So that’s $6.4million per year. In the last year, FY 2012, the city would repay the $20million in economic development stabilization reserve fund. That money is slated for repayment in 2012. If it is going to be expended, it has to develop a return on investment during the life of the loan. In this instance, it’s a five-year loan so if we can find investments that pay back (pay themselves off) in those five years, paying it in 2012 makes sense to...makes sense as a schedule, because we will have achieved that return on investment. If we’re not able to find those investments, then the money stays in the city’s accounts earning interest, costing us 0% and is then repaid in FY 2012. So, in summary, the repayment plan is for FY 2008, $6.4million; FY09, $6.4million; FY10, $6.4million; FY11, $6.4million and FY12 $26.4million (the combination of the two).
CVR: Mr.
Lisauskas, President Walsh, to her credit, has taken the initiative to work
primarily with Senator Buoniconti to look for a 20 year
schedule of repayment, and I think it’s important that nobody reach a
conclusion that because of the fact we’ve got this good news that we have today
that all of a sudden we’ve got money coming out our ears, we’re like Bet
I’m not saying that we shouldn’t repay the state, but I’m also aware of the fact that if we got the first $20million grant, that we were looking at a $20million grant and a $30million loan fund—if we got that, you know, we’d have very little to pay back right now. But I would hope that President Walsh and Mayor Sarno and all the rest of the people who are responsible for the future of this city would, in spite of your suggested repayment schedule, would redouble their efforts to try and get the cooperation of the legislative delegation to give us a pay-back year-by-year of something that is really quite easily digestible, and it pays back our obligation, it cleans the books, but by the same token, it leaves some money for not only the unforeseen difficulties that none of us can predict right now, but also, even in the absence of that, some ability to fund the kind of initiatives that we should be doing or the kind of catch up expenses that have been eliminated or ignored for just so long. I just think it’s prudent financial management if we can effect that.
I guess I’m talking more to my colleagues in the city government than I am to you, because they’re the ones who, along with the board, obviously, that have got to influence the legislative delegation that what I’m talking about makes some sense.
RN: Mr. Chairman, I would just ask that we revisit the schedule in June through the control board meeting in June prior to the first payment.
SL: Sure, absolutely.
CG I think earlier than that, but certainly no later than that.
RN: No later than June, sure.
CG: I think that’s part of this five-year plan that I brought up earlier is we have to recognize this blend of things. I certainly agree with the Mayor and have expressed to the legislature and the governor my judgment of the need for a longer repayment schedule. Mr. Morton, any comments?
JM: I agree with what’s been said.
CG: I didn’t mean to call on you.
KW: Mr.
Chairman, I certainly concur with what the Mayor had to say. I can assure that we will continue to fight
for the city of
SL: I, I don’t...I haven’t broached that issue with the legislative delegation. I would note that under 169, the control board is required to propose a repayment plan to the Secretary of Administration and Finance, so understanding our mutual interest in extending the term of the loan, we have to propose something based on the law that we have today. So I would hope that the control board’s endorsement of this or any other plan on a five-year basis would not be perceived as a preference toward five years.
KW: That’s my concern.
SL: Yeah. So I think we can...
CVR?: There’s a danger in that, though.
SL: My
conversations with the
CVR: Then why are we giving as our best shot a five-year payback?
CG: The law is five-year payback.
CVR: Oh, I know the law is. I know that’s what the law is. I understand that exactly, but when the overture from A& F was that we negotiate it, to me that...I mean that’s something in lieu of the law. In other words, you’re going in a different direction. Now if we’re saying that we’re going to go in essentially the same direction, because that’s what the law says...
CG: Well, no, Mayor, I don’t think the overture was...an “overture” might be generous. I think the order was we are not complying with the law.
CVR: Oh, I didn’t realize that was the communication.
CG: I believe that the communication was “Where is your five-year repayment schedule since you’re obliged under the law starting this fiscal year to make those payments,” and so...
CVR: Can’t we phrase this in a different way? Can’t we just come out and say we want a 20 year repayment?
KW: Why can’t it include the 20 year repayment that’s under negotiation in the legislature?
CVR: They turn that down, then we gotta do this.
SL: I think to do that...we’re not legally allowed to enter into an agreement for the twenty years. It has to be five. In my discussions (and I believe in the letter as well), it indicated that we would like to revisit...the board would like to revisit this issue if an extension is provided. A & F has agreed that that would be a prudent course of action, so that if we get a ten-year extension...a 15, 20 year extension—whatever the extension is-- they have agreed that we should resubmit a plan based on what the law is at that time. Unfortunately, that’s not the law at the time, and we can only enter into the agreement that we’re allowed to, a five year agreement.
KW: I...Mayor, this is great, we’re going out agreeing with each other that if you send this down, then I’m really concerned about the impact it will have, and, Mr. Chairman, do you have any sense or is it too soon for you to share anything that you may have learned from your relationship with the delegation about the 20 year repayment.
CG: Well, I
think I only know what you know, I think, President Walsh which there have been
expressions of
And I’ve had a chance to discuss this with the Mayor-elect as well. I don’t mean to put him on the spot; I know he feels as strongly as you do, Mayor, I think all of us do that a 20 year schedule feels fair and feasible....
CVR: How would it be to table this letter for...until your next meeting? I’m not going to be here, but it gives the new mayor a chance to weight in, it gives the...other people in the city government a chance to talk to the delegation, and I think it’s important to take their temperature. Now it may be that they’re going to not help us; well, if so, so be it. But by the same token, to just send this letter, I think you’ve kind of put yourself a little bit behind the eight-ball.
CG: Mr. Nunes has a comment.
RN: You’re under obligation to notify A and F by the end of the year what the repayment schedule will be?
SL: I’d have to take a look at 169; if I can get a copy, I’ll be able to. Ed Pikula, city solicitor, will check on that to continue the discussion.
RN: Again, we’re going to revisit this issue in the spring. The first payment will not be made until June 2008. And in the meantime, I think we can, you know, see what...see how the delegation feels, but I don’t see any harm in... If you need a vote...do you need a vote today to establish this schedule?
SL: Yes as it’s the control board’s scheduled pose, I would...
CVR: Well, why do you need a vote? Why do you need a vote today?
SL: I...my
comments were...we need a vote, and I think the Executive
CVR: Well, the statute says we’ve got to make the first 1/5 payment in 2008. We’ve got six months to go in 2008. Is there a separate statutory requirement that by Christmas of 2007 we’ve got to give them a schedule?
City Solicitor Ed Pikula: No.
CG: The Grinch provision. [laughter]
KW: What’s the difference in doing it in January?
EP: The only requirement is [reads] “any such repayment schedule proposed by the finance control board and approved by the Secretary for Administration and Finance shall begin in fiscal 2008.” But there is no time frame other than you have to make the payment.
CVR: We’ve got time on our side. I’m not saying that you put it in the deep freezer; you’ve got to come to grips with it, but [unintelligible] today.
KW: And why would it reflect the money that we haven’t spent?
CG: Well, we have to pay it back at some time.
RN: We have to pay it back.
KW: Right, but I mean all the money that you have spent; you just have the other in reserve. And that would certainly, if they’re not going to go for the 20 year extension, that would certainly lessen the payments.
CG: Well, we have the $20million. We’ve drawn down the $20million, so we have to pay it back.
CVR: Yeah. Give part of that back.
CG: So look, I’m perfectly comfortable with reflecting my understanding not taking a vote and reflecting back the fact that we’ve had extensive discussion of this. We understand our obligations and then, you know, we decided not to make this proposal, you know, here in December 2007. But I do want to say, I think, pretty clearly: you can’t finish fiscal 2008 absent a schedule and a payment [unintelligible].
CVR: Oh, you’re right.
CG: So, I’m
all for...I’m all for not this schedule, but it’s not under our jurisdiction. And I believe that [unintelligible] the
legislation you’re [KW] calling...we both seek was filed quite a long time ago.
So I think that we need to recognize
that unless we can get the action from
KW: The city council did meet with the author of the legislation, Senator Buoniconti, who did indicate to us that there...he felt very strongly there would be positive movement on it.
CVR: Yeah.
KW: So maybe by the spring hopefully?
CVR: I heard him say February, but...you know, there’s got to be that communication.
KW: So. hopefully, we’ll have a different [unintelligible]
CG: Perhaps we could pay them back in Merrill Lynch paper. [laughter]
Transfer of Property to Commonwealth
SL: Thank you.
The next item on the agenda is a transfer of property to the Commonwealth and,
as the board is very well aware, the governor, the Commonwealth has made a
substantial commitment to the city of Springfield in terms of its financial
commitment both in creating the control board and the trust fund loan as well
as in recent commitments by Governor Patrick to fund additional police officers
and to fund the homeless resource center.
As a continuation of that effort and that
Chief Development
SL: Oh, I’m
sorry. I’m the scrivener and it’s my
error it’s in there. So this would
transfer the property again known as
CVR: My
understanding is that you and the chairman have [unintelligible] in the
governor’s office and also the legislative leadership in the house and this
proposed transfer is [unintelligible] a reverter [unintelligible] no later than
SL: Yes, sir.
DP: And it
would be to secure funding by
CG: Just to refresh us all, Mr. Panagore, what’s the status of that right now? [unintelligible]
DP: That
building,
CG: So just to
comment on it...on your statements, Mayor Ryan, I have spoken to both the
governor’s office and to the legislative leadership. They’ve indicated that they share a high
priority for helping
DP: Along State Street with the development of the federal court house with the improvements adjacent to the Quadrangle, museums quadrangle, the public library, Mattoon Street and Elliot Street. It really is the final tooth in the development of the area. The redevelopment of that building would be the final crowning jewel in the region down by the new federal building.
CVR: I’m very happy to see it move forward. It’s been in limbo for some time, but not only does this indicate significant...not commitment, but certainly it’s more than ambiguity to move forward on this. But also that it’s a relatively short time frame, really is six and a half months from now and so we deed it today or authorize the deed today, and it will come back to us if by six and a half months (or whatever time is mutually extended). But there has to be evidence of financing, full capacity, not only an oral commitment, but really the financial underpinnings have got to be developed. So that’s progress; that’s moving forward. I’m delighted to see it and delighted to see that both the house and the governor are agreed on this kind of methodology to move forward.
**MOTION PASSES UNANIMOUSLY.
Discussion Regarding Contract: Superintendent of Schools
SL: The last item under regular business is a discussion regarding the contract for the superintendent of schools. As you are aware, there is obviously an employment agreement between the superintendent of schools and the school committee and, actually, it’s executed by the control board, so between the control board and the superintendent that has provisions in it that require that on or about December 1, the parties will meet to enter into discussions about extending that contract or entering into a new one.
We, the control board, did send a letter to the superintendent initiating those discussions, and we have...I have met with him on two occasions to discuss this issue and issues related to his contract. So there...while there is in his contract there is not a date certain that says the negotiations must be finished by March 15 or January 15, it is...there is a need to...a need for definition as to the way to move forward if we are to.... The attorneys need to get together to negotiate another contract, and you have to start fleshing out operational performance requirements for a contract or a need to take other action. The control board and/or the school committee would need to begin to take action in the immediate term to provide the opportunity for those discussions to occur or to provide the opportunity for a search and any other action that may be required. So I want to...this item is on the agenda to facilitate a discussion of the control board’s...the path the control board wishes to follow in this. We have met the contractual requirements to commence the discussions about extending or not. And we have made a substantial amount of headway in that regard, but it is a contract that is the control board’s to enter. And so it is put forward to the control board today in that vein.
CG: So at the end of this conversation, our discussion, I’m going to seek a vote of this control board to make a decision as to whether to conduct a search for a superintendent or to extend the contract. I think everyone’s aware that the school committee has discussed this in the past and more recently has strong feelings, has conveyed a letter, a believe there is a four to three majority in favor or a longer extension of Dr. Burke. I think that’s...I don’t know if they’ve actually formally voted, but I believe that’s what they’ve indicated. I have sought, on behalf of the control board, legal opinion to clarify what seems clear to me from the statute, but nonetheless I’m not a lawyer so lots of things seem clear to me that lawyers disagree on.
We do have that opinion that I think states pretty clearly (and I believe it’s your belief, too, Mayor, and I think it is the city solicitor’s as well) that it is the control board’s authority to make this decision. I think we take it all very seriously.
We believe education is absolutely
crucial to this city. We also wish
wherever possible to work very closely with local elected officials. On this matter, I believe local elected
officials disagree. I believe the
current Mayor in the past has expressed his opinion, the Mayor-elect has
expressed his opinion, I believe a number of members of the city council
present have done so as well, and I think the vote of four to three even
suggests on the school committee a close call.
I have, just to be clear for the record, asked for and we contracted
with a outside expertise for get a look at objectively what are the recent
history of MCAS performance as well as certain other measures such as drop-out
rates and the like. We were lucky enough
to get the services of probably the top person in
So I want to allow as much discussion as possible, but also recognizing that I look at us as having two priorities here: first and foremost and the one that’s our highest duty is to do what we think best for the success of the Springfield schools and for a group of students who face, in many cases, very high challenges. Secondly, an important but second priority, I think we want to show respect and gratitude to Dr. Burke who’s served the city for six years, and I think I know of few people who feel he deserves less than that.
So I will say that the motion that
I’d like to put on the floor is a motion that has several pieces to it, but the
piece that I think we should entertain the discussion on is the key piece, is
that in fact that the finance control board authorized the conducting of a
search for a new superintendent. I would
seek the
KW: I’d be
happy to start it off. I think this is a
very different animal than the search for the police commissioner. I think it’s very clear within the department
that’s qualified already been through a search and I was very disappointed, as
you know, that he was not named commissioner.
But I do think in the school department you should conduct a
search. I think there are many issues as
you mentioned and we all know besides the MCAS,
the truancy, the drop-out rate...but more importantly, when we began
public speak (and since this is my last meeting, I’d like to take credit for
that), but when we began public speak and you had under Chairman Gabrieli we
had the first meeting at STCC, I said to the chairman “Well, everybody that’s
going to come down here, they’re going to talk about public safety.” I was surprised that the majority of people
that came down to that meeting—I would say, you know, 18 out of 20, talked
about education. In all our public
speaks, education has been the top priority.
I think it’s very clear that there’s a sentiment in the city of
CG: Any other discussion?
CVR: Well, I’m glad to say something. I think that...
KW: Are you going to agree with me again?
CVR: No, I think that...yes, I am...I am. And I think that, you know, a lot of things are changing in the city. I don’t think anything is immune from being looked at, evaluated. I think one of the concerns that people have, I’ve always had, is that it’s clear that Dr. Burke has applied for other jobs from time to time, and what that says to me is that we have to make a decision whether or not change, if it’s going to occur, is going to occur on his timetable or the city’s timetable. And the process of a search for anything, let alone a school superintendent for a significant system like this (27,000 youngsters, 4500 employees, 2600 teachers, etc.) is a pretty complex thing. And I think that the downside is you don’t know what’s going to happen. You don’t know who you’re going to get. You can hypothesize that you’re going to get just the greatest educator from here to Vancouver, Canada, but the reality is that there’s a process and maybe the person who you’d love to have come here doesn’t...isn’t interested, isn’t going to apply. But by the same token, if you take that attitude, you’re never going to make a change and I don’t think that the school department has achieved its full potential.
And I’m certainly prepared to vote for the chairman’s motion. Beyond that, I would say this: that I value the positive attributes of Dr. Burke, his character, his dedication to the public school system. That should not be devalued in any way, shape or form. He’s given it his all, and until we know who’s out there or who the finalists are, it’s impossible to make a judgment as to whether or not we’re better off or worse off. And so I would...and I think it’s if we go for a search, but I would like to underscore, verbalize, the fact that I think it’s perfectly appropriate that if Dr. Burke wants to, that he become a candidate or...and I think that in the police chief or commissioner search, we’ve kind of talked about Deputy Fitchet being kind of a finalist. In other words, it’s Fitchet against the world. And it may very well be that Dr. Burke is entitled to that kind of treatment also...if he wants, if he wants. I have no idea how he’s going to receive the news of this vote, but it’s something that...it’s a hard decision to make.
I think that your predecessors
would have made this decision a year ago except by that time it was clear from
the signals from the new governor that probably the old control board wasn’t
gong to stay very long, and so they felt, I think wisely and prudently, that
they should not make a decision as significant as this, if in fact they were on
their way out of office...that really if there was going to be change, that
this was something that really should be done by their successors, and I think that
was the right thing to do. You’re
here. You’ve been here for seven or
eight months. You’ve gone through the learning
curve. You’ve got your feet on the
ground. You’re making your judgments
based on what you now know rather than what you’ve been told. And so I think
it’s the right thing to do. I intend to
CG: Mr. Morton.
JM: I also intend
to
CG: The full motion that I’d like to put in front of you has basically three parts. I just want to highlight what the other two are. I don’t know if you need me to repeat the first; I won’t unless you ask me to.
CVR: Do you want to move them?
CG: Well, I’d like to ask the whole group, because I think they’re related.
KW: [unintelligible]
CG: Well, if you want me to, but...
CVR: Only after we hear what you’ve got.
CG: ...[unintelligible] what they are
CVR: OK fine.
CG: Secondly, I’d like to clarify that the, because this is consistent with the policies given us earlier about the division of duty between the control board and city personnel that...but I think it’s particularly important if we’re about to go into a period where the superintendent is in his final period “that the executive director is clearly appointed...is authorized to appoint and set the terms and conditions of employment of personnel necessary for the effective management and operation of the school department” (which is in fact his authority now) and that “notwithstanding any prior delegation of authority the superintendent the hiring, firing of all school department positions other than teachers, paraprofessionals, vice-principals and principals” (that is to say above principal) “are subject to the approval of the executive director acting on behalf of the control board.”
And lastly, in relation to which makes (this last item may deserve its own motion, but I’ll put it on the table), there’s recently been discussion about the fact that there are hiring decisions being made above the level of principal that are brought to...or are potentially...or are subject to the 14 day notice period that we have to take action, and I would like the...to give the authority to the executive director to investigate any such hiring, including one recently made or offered, and if found to be inappropriate or not, the best choice to rescind that personnel action.” So those are...the last one’s a little unrelated, but related and it’s all on one page. ([to Mayor Ryan:] You’re smiling at me ) And I’d be happy to take those separately or together as you prefer.
CVR: Well, I don’t have any problem with what you’re saying there, but I think that it’s important to spell out and to hit head on one concern, otherwise if it [waves hand over CG’s papers]...
CG: Why don’t I do the first three, because I think...?
CVR: OK fine. All right.
CG: The first three are go ahead with the church, to authorize the chairman to appoint a committee of five (which I would bring back hopefully by the next meeting) and to hire an appropriate consultant. And secondly, to clarify that what is I believe the status as it is that positions above the level of principal are decisions that must be made jointly, but with the executive director and are subject to his review. Am I saying that part correctly, Steve?.
SL: That is the current authority, yes.
CVR: I had a different sense. I thought you were reserving to the superintendent those peculiarly educational hirings...
CG: Correct.
CVR: ...in other words, not office staff, not central office, things like that, but principals, teachers...
CG: Correct. Above principal, we’re actually giving specifically to the executive director for this period of time, correct?
CVR: Right and beyond that, it’s clearly the executive director’s decision.
SL: I think there may be a difference between “above principal” and “teachers, paraprofessionals. vice-principals and principals.” I think there may be administrators, for instance, in schools who don’t fall within that category. So I think the Mayor’s point of direct educational staff if you enunciate teachers, paraprofessionals, vice-principals and principals, that limits to direct educational and does not include...and that would place in the purview of the executive director administrative positions below principal. so I think that has been a question thus far.
CG: Thank you for the clarification.
KW: I just need clarification. What are you allowing the superintendent to decide? I’m a little unclear here. Anything to do with curriculum and instruction or, or...?
SL: The delegation as it exists right now says, I believe, that the superintendent has the authority to make day-to-day personnel decisions up to a head count of 4,320 and below the rank of principal. And that has led to a fair amount of questions as to what is below the rank of principal. Is an administrator in a school below the rank of principal if they report to the principal or are the, as an administrator, considered central office staff? So the question is if you enunciate “teachers, paraprofessionals, vice-principals and principals,” it’s limited to those direct educational people and does not involve the executive director in educational, pure educational, decisions, but rather would allow the executive director authorization in the administration and management and business positions inside of a school or centrally to review those decisions and act accordingly.
KW: Review with the superintendent or review on your own?
SL: I don’t know what the motion says, I’m sorry.
CVR: Is there a simpler way to state what you’re trying to get to
SL: It would be “subject to the approval of” so it would be working with...it would have to work with the superintendent.
KW: OK.
SL: So somebody would have to make the motion...make the movement and then it would be subject to the approval of the executive director working with and on behalf of the control board.
CVR: No problem with that?
CG: I think we’ve done a terrible job of explaining it, but I think we’re just clarifying all positions, outside of the four categories you described would require your [the executive director’s] authorization.
SL: Yes.
CG: As well as the superintendent’s.
SL: Yes. It’s my understanding, yes.
CVR: That’s your motion there just restated
CG: That’s my motion as best I could get out of...and then there... [laughter]
KW: Are there going to be other motions?
CG: No, I’m going to separate out the other motion, because I think people want some discussion on that.
CVR: OK, fine.
KW: I just
feel it’s appropriate for me to make a statement here, because I...we’re all
sort of dancing around it, but I do feel that this has...reflects on the
CG: That is what I was [unintelligible]
CG: Yeah. OK.
CG: This is just for the normal operation of the search and how to deal with normal operations [unintelligible].
CVR: I’d like to second the chairman’s motion as it’s been stated up to this point.
SL: So just to summarize, it would be to...
[unintelligible; laughter]
SL: OK.
KW: Just go with what you’ve got.
WL: Let’s see if I can summarize: Authorize the chairman to appoint a committee of five...and hire...with the use of a consultant..... Now, do you want to do the hiring and firing as separate to the [unintelligible]?
CG: [unintelligible] in the second one; that’s simplest. Do we all understand what that one is? Let’s do them one at a time, OK? Just the one you said.
WL: Which one we’re going to do, hiring and firing or just the search committee?
CG: The search including the consultant and the committee of five to conduct such search.
[Unknown member]: Very good.
WL: OK
RN: So moved.
**MOTION PASSES UNANIMOUSLY.
CG: Let me just comment as I should have said it before. I want to reiterate this: I think it’s clear when you study what’s going on here, that significant important progress has been made in specific areas over the last six years in spite of both very challenging fiscal and...situation as well as difficult labor negotiations and a lot of turn-over of teachers. I think there are a lot of things to be proud of in the system, and I understand why the school committee is divided in its feelings. I think this decision is as well-said by a couple of you a reflection on our desire to do the very, very best we can for the next period of time for Springfield, so I feel like I owe that to Dr. Burke based on the, all the work we’ve all done to put that clearly on the record from my perspective.
OK second motion, why don’t you [SL] state it?
SL: The second motion would authorize the executive director to appoint and set the terms and conditions of employment for personnel necessary for the effective management and operation of the school department. Would you like me to continue?
CG: Is that in your opinion a restatement of what we...hang to that....Wayman? [To SL:] Are you restating what you think we just said up here about which jobs are jointly and which jobs are uniquely?
SL: No. that is...you had mentioned that briefly at the beginning. Why don’t you propose...lay out that motion.
SL: The...yes, OK.
CVR: It seems to go in a different direction than what we...what you were saying before.
CVR: I agree. I’m a little ...
CVR: What you’ve just said is all-inclusive...by you, all alone. Little confusing.
SL: My apologies, because I believe I misunderstood myself, so you didn’t actually miss anything, Mr. Clerk. The motion would be that the hiring, firing of all school department positions other than teachers, paraprofessionals, vice-principals and principals are subject to the review and approval of the executive director, acting on behalf of the control board.
CVR: Is that...Oh, I’ll make that motion.
RN: Second
KW: Isn’t that what we just did?
CG: No, that was the search.
KW: Of just the search OK.
CVR: No, we’ve done the search.
WL: This is on the hiring and firing the position of teacher, paraprofessional, vice- principal and principal be subject to the review and approval of the executive director under the authority of the chairman of the control board.
**MOTION PASSES UNANIMOUSLY.
KW: I reluctantly agree only because it’s the law. I don’t agree with it in principle, but I agree with it because it’s the law. I guess it’s a yes, a reluctant yes, small letters, please. [laughter]
CG: So, the third matter under...and I think you’d like to speak our on it, President Walsh.
KW: Yes. the third matter would concern the--and I’m
not sure what the status is...an individual on the
CVR: Yes.
KW: And
I...first of all, I don’t understand, and not that this is the place for the
discussion, why the individual couldn’t do both, why someone who is...who would
work in the school department can’t still stay on the
CVR: Well, I’d like to say something on this. I knew nothing about this until I read yesterday morning’s paper in spite of the fact that I’m chairman of the school committee. Dr. Burke never shared with me that he wanted to create a new position for an administrative head to run the International Baccalaureate program. I’m surprised at that. The article went on to say that he, after interviewing certain people, had recommended—and I am taking it just from the newspaper—recommended Councilor Mazza-Moriarty to fill this position.
I’m quite f
And you asked him for the paperwork and then I said I want to see the paperwork. When I read the paperwork, I saw that one of the unsuccessful applicants has her PhD in education and had run a program of this type, a Baccalaureate program, in another community for at least two years and that another applicant was a principal of longstanding, currently a principal, I believe, in Leominster, significant qualifications. And as I went, and I don’t know who the others, the list that you got only contained the top three evidently. And my reading of it is that she was less qualified than either one of the other two people I’m talking about. I don’t know the people.
I want to say this, that my relationship with Councilor Mazza is a very positive one. I like her as a person. I think she’s a valuable member of the city council. I think she’s thorough, she works hard, she’s concerned about the city and everything, but that’s not the issue here. The issue is whether or not we’re going to hire the most qualified person that we can find for any job, especially one that is as significant as this. And we’ve got to stop playing games around here. We’ve got a school department that really isn’t realizing its full potential. The Baccalaureate program is one of those things that was created at significant expense to make it a better system and a more enticing system. And so if we’re going indeed have an administrative head, it should be somebody who is extremely well-qualified.
And so I don’t know what your fourth paragraph was going to say, but I really felt constrained in my last meeting (and I’m unhappy to find myself in this position, because I don’t want Mazza-Moriarty to misinterpret it). My...is concerned with what we’re trying to accomplish around here and I just think that she’s not the most qualified on the list that I saw. Now maybe can be convinced later. I’m not going to be here, so, at the very least, I would hope that the executive director, under the authority, I guess, given you [SL] in the previous vote would reject that recommendation and to from there. You might want to call for a new process. I don’t think it would take that long. But, you know, I think especially when you have somebody who’s in the government and that person who’s in the government all of a sudden goes into a significant position at considerable money... And I think of the public, it’s very cynical about what we do in government anyway, sitting out there and saying “Oh God, there they go again.”
So, you know, let’s do it the right
way. And if, in fact...let the chips
fall where they may. If somebody’s got a
PhD, that’s worth something. If somebody
is recognized enough in the educational world to be a principal for a
significant amount of time in a major city in
KW: Interesting note to end on.
CG: Well my motion just to clarify, was, knowing that there were both public comments and member concerns about process and not even being entirely clear whether this is, as you say, Mayor, a recommendation, a hiring or whatever. The executive director clarifies with me that whether an action has been taken or only a recommendation made, in any case, that we have as a body a 14 day period to review any such decisions. And my recommendation was going to be that...my motion was going to be to simply say, to make clear that with regard to this particular action which is just a subset of all such decisions, that in the absence of enough information and, you know, on this particular thing to have an opinion of my own....
CVR: Including me.
CG: And you say the same thing. I mean...I...you know the councilor better than I do. I know her a bit, you know, but I have no notion of what...I don’t know the other people, I don’t know what the process really was. To simply vote to specifically, because I think Mr. Lisauskas felt it’s a little less clear that if she’s actually been already hired (or anyone has) that 14 day period then is a control board right, not necessarily an executive director’s. So I’m making clear that in this...that to the extent that we...it falls under that, we delegate to Mr. Lisauskas our authority as a group of five...to our powers as a group of five to look specifically at this hiring and take action as appropriate either to allow it to pass the hiring if it’s already been made (and that’s where I’m not clear on it) or if it hasn’t that if he finds that it wasn’t, you know, in the best interest something...you’ve raised, you know, real concerns about here, then to take that action. So, but to delegate to him our authority, because we’re not going to meet again within 14 days. And I don’t think...some of the members feel as I do that we don’t really want to be the hiring committee collectively for the school department for a position like this; we’re not qualified.
CVR: That’s why it’s being delegated.
CG: Correct. That’s why I propose it explicitly here today.
KW: Mr.
Chairman, I would be concerned that the hiring...if, if Councilor
Mazza-Moriarty has been hired, I don’t know if there’s a contract or not, I
would not like to see that rescinded and I don’t think it’s a deterrent to be
in government and move on to another position.
And you know how I feel about the hiring, so I vote to
CG: So the motion is to delegate to him that action, not...
KW: Well, someone’s already been hiring, I kind of think it’s a rotten thing to take it back, so...
CG: None of us are enthusiastic. We have this 14 day right, and I’m only asking for a motion to delegate our 14 day right, if it’s even relevant here, to Steve.
CVR: Do you have...would you read out the words?
CVR: [reads] “To delegate to the executive director the authority to alter or rescind any personnel action or decision of the superintendent within 14 days after receipt...after receipt of notice of such action or decision.” Yes, I’m doing it in general. Yes, that’s my motion. It’s a general motion elicited by this discussion, but it may come up at other moments.
**
CG: Again for the record, I just want to be clear. I’m not voting on whether I think the councilor is qualified or not. I don’t know. I don’t even know if she has the job. I’m only voting to delegate the authority we do clearly have broadly to you, Mr. Lisauskas, since the members of this group have expressed concerns about that and other situations. OK.
New Business; Job of Coordinator of Police Civilian Review
Board
CVR: I have one item under new business.
CG: Yes indeed. We have an item under new business.
KW: I think we’re
going to be here until 2008.
CG: I know.
CVR: Well, God, you know...
CG: Mayor, are you filibustering? [laughter]
CVR: It’s like a filibuster, right, hanging in there? What are your plans for tomorrow?
CG: We have one item, I believe, of new business.
CVR: Yeah and I’m sorry that Mayor Sarno isn’t here. He’s been here most of the day, and I think that’s been very helpful for all of us. But, again, I have to react to something I learned about in the press, and I’m troubled by it, because it has to do with the job of coordinator for the civilian review board which I think is an extremely important situation, and I’m not sure that the Mayor-elect has any realization that I think I personally have spent at least 100 hours on this issue in the last six to nine months. And city solicitor Pikula has at least equaled my time if not exceeded it. Commissioner Flynn was in on many of these meetings, too.
But to set the stage properly, over the last 10 or 15 years, the relationship between the minority community and the police department has not been one that we can really look back on with any great pride. There’s a volatility to this and a concern about it. And I think we’ve made significant progress. But it was clear when we went to the commissioner form rather than chief, and the then control board made a commitment, a public commitment, that as part of the change over that we would create a civilian review board. At the same time, we had a bad incident happen in the South End involving Mr. Greer, and a suit was brought up before the MCAD [Massachusetts Commission against Discrimination]. The pastors’ council weighed in; they felt very offended on behalf of the community, and out of the whole MCAD thing came the suggestion that we meet somewhere in the middle and as a part of a...in addition to a monetary settlement with Mr. Greer (which was substantial) that there really be an acceptance of the idea of a civilian review board. I think James Morton can speak eloquently to the history and to the significant importance of this. I buy into it totally.
And so what we tried to do, realizing this isn’t something you do on the back of an envelope...if we hired what we thought was the best expert in the United States of America, a Professor McDevitt who’s primarily based at Northeastern University and who has really done the leg work and the spade work on civilian review boards in many, many cities of the United States. And we brought him in here as our consultant and he worked with us painstakingly. And then we met with the pastors’ council and the MCAD staff and we were finally able to fashion it and finally ended up several months ago when I, using my power as mayor, enacted an executive order which spells all this out. The important thing...and I don’t believe that Domenic Sarno has ever seen this document—he’s free to see it, and I’d be delighted to share it with him, but it’s a big thick booklet that’s prepared by Professor McDevitt which talks about all of the aspects of the civilian review board, but with special emphasis on the identity or the necessity of a job as coordinator. Someone’s got to run this thing.
And I just
have in front of me a couple of paragraphs from that report having to do with
this job of coordinator of the civilian review board. He makes it very, very clear that this is the
lynchpin of the board. He goes so far as
to say that without a full-time,
full-time coordinator the chances of this being a successful enterprise for the
city of
And so I was very, very surprised
when I heard that the new mayor had indicated that as part of the new duties of
his new chief of staff, she would take over the, among other things, the
responsibilities of coordinator of the civilian review board. And that, as I understand is on the evening
television news, he was stating that the present occupant of that job, Melinda
Pellerin-Duck, would have no place in his administration. Well, first of all, that’s no way to let
somebody know that kind of news.
Secondly, my guess is he’s never read these words, but...and I have
enough confidence in his common sense and judgment to realize when he’s better
informed that he’s got to have a full-time coordinator. And I don’t think he has any idea how busy
he’s going to be and his chief of staff is going to be in trying to get on top
of a very, very dyn
And I’m saying that first of all,
Melinda Pellerin-Duck who’s been an employee—not only an employee--a treasured
employee of the city for 27 years, who was teacher of the year in Massachusetts
three years ago, honored with visits to the White House and to the governor’s
office and everything else. She was an
ambassador of
And so I’m hoping that...and I mean I’m glad to reach out to the new Mayor and I would like to have the executive director work with me on this. I would hope that the control board would stand behind the concept of a full-time coordinator. I’m not spending money for the sake of spending money. I ‘m spending money because of the fact that this job demands it. We have a department of 600 people, we spend $40million; this city can be off to the races very, very quickly if there isn’t the kind of respect in that police department that is entitled...that every single person, regardless of their race or color is entitled to. And I can’t think of a better person or a person who really is a better ambassador of our city than Ms.Duck. And I have great respect for the Mayor and also for Denise Jordan. I think she’s an outstanding woman; I think she’ll do a bang up job for him as chief of staff, but I don’t think either one of them really understood not only the demands that are going to be made upon that office, because it’s just pandemonium 24/7, and it’s not going to die down just because you got a new mayor. In fact, it will accentuate, and there’s a learning process somewhere in there, too.
But this is a very important thing
and I wanted to be able to voice it in front of the board and I was happy when
I saw the Mayor-elect here earlier, because I figured this was we could be really
essentially talking to each other. But I
have no pride of authorship. I’m
delighted to meet with him, but I am hoping that the would be some
I also am informed that there is no
city in the
JM: I’d like
to
We understand how volatile and fragile that relationship
is. It takes very little to tear it
down, and so anything that we can do to
CVR: I
appointed nine citizens to this board of three Caucasian, three
African-American, and three Hispanic. I think it’s an honor roll; I mean...and
I want to tell you that, in the last year or two, I haven’t had any
appointments to make that so caught the imagination of the people at large as
this. I was deluged with calls of
responsible, significant people from all walks of life saying, “I’d love to be
on there.” So I think the citizenry
understands how important this is, and I’m just very...Edgar Alejandro who many
of you know who was appointed by the commission (I didn’t make the Mayor pick
him the chairman). The commission
elected Edgar who was one of my appointees as a member as the chairman, an
outstanding person; you go on from there.
So the nine people are top drawer.
This is a rare opportunity for this city to get ahead of the curve on
something as volatile as and as important as our relations between the minority
community especially... and it’s not just the minority community. We have letters and complaints from citizens
of all walks of life, all colors who feel in some way that they have not been
treated respectfully or responsibly by the police department. There’s always two edges to the story. By the same token, this is a very serious
matter, and I am hoping for the
KW: Mr.
Chairman, it seems we’re going to be ending with some dicey matters here. Interesting a lot of the things we’ve
discussed haven’t been that controversial, but today, we’ve really tackled a
lot of subjects. But I do not disagree
with the need for a full-time coordinator for the civilian review board. (I’m also going to put in a plug for
Commissioner Fitchet who has the
CG: Any other new business?
**MEETING ADJOURNED.