Present:

• Jay Bikofsky, Chair
• Jim Balfanz
• Bill Vogt
• Diane Reuss
• Neil Holden
• Steve Shatz
• Cheryl Allen, Town Accountant
• Ericka Oleson, Town Treasurer/Collector
• Michael Canales, Town Administrator
• Joseph Collins and David Irwin, Adelson & Co auditors

1. Joseph Collins and David Irwin from Adelson & Co, auditors, presented their report.
2. Irwin went through the numbers in the thirty-plus page report. Following are highlights he termed important.
3. Capital expenditures (2021): Ford Explorer ($36,000); Main St lighting ($13,000); Highway Garage ($690,000); Bridges ($1.7 million); and pump station ($8000)
   T: $2,447,000
4. 4. Capital assets $32.9 million
   >Receivables: $683,000
   Accounts payable: $530,000
   Debt this year $1.3 million
   Debt year 2 — end of obligation $8.9 million
   Interest payment: $300,000
   Retirement (The Stockbridge proportional share): $464,000
5. Auditor said, “Most important for Town to know, we have more put aside than the expected obligations.”
   1. Town has funds put aside that are restricted (that is voted or granted for a specific project or purpose) estimated $2.2 million (specific amount not mentioned)
   2. Free cash ($2.6 million)
   3. Stabilization ($2.1 million)
   4. CPC (amount not mentioned)
      T: $6.9 million
6. In one section it appeared obligations were higher than income: $12.6 million income; $13.2 million expenses. However, the apparent $600,000 deficit is actually a function of the overlap of years — no real deficit
7. There is a place in budget where it appears there was “deficit spending” — illegal in the Commonwealth — that is, Town cannot spend money not appropriated by the people at Town Meeting, borrowed, or granted. However, the Sewer and Water spending without approval at Town Meeting was actually a missed vote at Town Meeting 2020 which was corrected by a vote at Town Meeting 2021.
8. Vogt objected to the 7% anticipated growth as too high. This account and the actuary who anticipated 7% may have been part of the Berkshire County Retirement System. Shatz suggested Vogt write a memo outlining his objection.
9. Town has an investment account; auditors recommend Town have an Investment Policy that is within Commonwealth guidelines “An investment policy to assure only invest as allowed by law.” Vogt said it appeared the auditors were suggesting SB produce the policy, but Vogt said, “I don’t believe the SB is competent to produce an investment policy. This body should be doing it.”
10. Shatz offered to work on it with Town Accountant to produce policy. Vogt offered to work on it as well; however, Shatz said, no, Vogt should work on writing the memo re: 7%.
11. Real Estate tax and Personal property tax collection is “outstanding”
    1. Collection of real estate tax ($8.7 million) is 97.5%
    2. Uncollected Real Estate tax did go up to $240,000 — Chair mentioned it was 30 properties, however, $104,000 of $240,000 “is DeSisto” according to the auditors. Chair seemed to correct that and say it was not the Patrick Sheehan/DeSisto property
    3. Collection of Personal Property tax is 99%
12. Discussion about the large amount of money in the Sewer and Water fund.
    1. Canales explained there was a mandatory study and action plan in process that would spend a large amount of that.
    2. See March 15 issue of SU “Notes from Water and Sewer Commission” Commonwealth requires an Inflow and Infiltration Study (I & I). In Phase 1 & 2 discovered Stockbridge has almost 50% infiltration. Phase 4 correcting the problem — very expensive
13. Motion to accept the auditor’s report as written, passed
14. Minutes could not be approved as no longer a quorum (Shatz and others left after auditor’s report)
15. General discussion about budget requests:
    1. Police: $118,000 for fulltime officer
    2. Highway: $607,000 for equipment
    3. Fire: $960,000 for fire engine plus other expenses.
    4. Reuss said she was shocked by Fire Department budget request
    5. Chair said remember the Fire Chief’s contract is up in July
16. Discussion about school budget
    1. Suggestion to invite a rep of schools in for chat
    2. Stockbridge has 118 students in the school (up by 7 students)
    3. Our cost could rise $456,000 — what is our cost per student?
    4. Does the old contract allow us to decline or negotiate?

Meeting adjourned