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HomeMy WebLinkAbout2012-07-16 Finance Committee Minutes FINANCE COMMITTEE July 16, 2012 Immediately Following B.E.&D. Committee Minutes Councilors: Sprague, Gratwick, Durgin, Blanchette, Weston, Gallant, Longo, Hawes and Baldacci, Staff: Cyr, Conlow, Little, Wardwell, Moore and Dawes Others: 1. Bids/Purchasing a. Outer Hammond Resurfacing – Engineering – Gardner Construction - $327,719 Finance Director Cyr explained that this area of Outer Hammond would be resurfaced as a BACTS Project – which is funded with 90% state money (ie: federal money passed down through the state) The recommendation is to award to the low bidder; Gardner Enterprises for $327,719. A motion was made, seconded and approved. b. Annual Paving Program – Public Works – Lane Construction - $1,548,015 Motion was made to move Staff Recommendation to award bid to Lane Construction. It was Seconded and approved. c. Request to Waive Bid Process – Fleet Equipment Cyr stated that two pieces of equipment that were identified for replacement were a grader and a loader. We have a lease purchase option in our budget. Recently the State of Maine completed a bid process for loaders and graders. We, as a municipality can “piggyback” on their contracts ie: we purchase the equipment for the same price as the state. A motion was made, seconded and approved. d. Financial Software Project – SunGard and Harris(Trio) Tax Collector David Little said that the City’s current Software was purchased in 1994. The Council appropriated $300,000 in the 2012 Budget to update this software. They have been discussing and testing product choices with various software companies. After careful consideration, it is recommended to award the bid to SunGard in the amount of $263,000 which is below budget. This price includes integrating the GIS data, training services, data transferring, licensing fees, maintenance and conversion, SQL formatting for communication and interfacing, and all custom programming currently in place. Cyr made it clear that the two different products (SunGard and Trio) will easily interface with one another. The conversion will start with core systems such as Accounting, Payroll, and Budget Functions beginning on January 1 2013, then roll out other modules one by one. Baldacci made a motion to move staff recommendation, Gallant seconded and it was approved. 2. Update on Upcoming Bond Issue Cyr explained that last Friday the “street notices” and preliminary official statement went out for the bonds related to the Arena Project. After detailed review, Cyr said that we now have the ability to bond up to $56.5 million dollars on a tax exempt basis. We maximized our ability to issue tax exempt bonds which lowers our overall interest costs related to this project. (projected at 3.75%) We will not be issuing any form of taxable bonds. The public sale is st scheduled for July 31. The annual debt service is $3.2 million made up of the $2.4 - $2.5 million from gaming at Hollywood slots, and $750,000 from downtown TIF funds. (the TIF funds could be increased in the future if necessary) Committee adjourned at 7:04p.m.