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Saturday, March 22, 2014

Templeton's fiscal future still unclear

Templeton's fiscal future still unclear

Eryn Dion
News Staff Writer


TEMPLETON — At Thursday’s Town Hall forum hosted by the Board of Selectmen, Interim Town Administrator Bob Markel delivered an update on the town’s financial situation — offering residents a mixed view of Templeton’s future.

Mr. Markel explained that the town’s financial future was still uncertain and the threat of state intervention was still very real.

According to Mr. Markel, the state Department of Revenue informed local officials that if the budget was not balanced and the gap not closed by the end of the month, they would file special legislation allowing the town to illegally run in a deficit.

“What could — and probably will — result from that, is some sort of controls will be implemented by the state,” Mr. Markel explained. “That could very well mean a control board.”

While residents have expressed that having a control board in power might provide better leadership, Mr. Markel insisted that it would be a “very bad thing” — giving the town notoriety across the state which could jeopardize their ability to draw in new employees.


“It will make it difficult to recruit and maintain people who will run the town well,” he said.

Currently, the town is in the process of hiring its first ever full-time Town Administrator, and will seek out candidates for Town Treasurer and Town Accountant positions in the coming months.

The process of state intervention — commonly known as receivership — is long and painful. The state will effectively control the town and school’s finances for the next five years, brushing aside elected officials and installing their own board.

Both the delay and estimated budget shortfall of around $300,000 were attributed to the town’s previous accountant and the circumstances surrounding recent departures.

Mr. Markel said the accountant used his own system that other financial officials were unfamiliar with and when he left at the start of budget preparations, they had inadequate data and an inaccurate budget forecast model.

Mr. Markel described work produced by the last financial team as “shoddy” — stating that he had never encountered books so “screwed up” in his three decades of government work.
“I’ve never seen anything like it,” Mr. Markel said.

The town’s general ledger was filled with errors, Mr. Markel said, which had to be uncovered and corrected before sending the records to the state — which has historically taken issue with Templeton’s numbers.

While the town is still struggling with the legacy of its late financial team, Mr. Markel assured residents that the new team in place is more than competent.

“I am confident that going forward the town will have good, if not excellent, financial management,” he commented.

After former Town Treasurer Dan Keeney’s dismissal earlier this month, Kate Myers — the selectmen’s former senior administrative assistant — was appointed acting treasurer until June 30.

Earlier this month, the town’s accountant, Fred Aponte, informed Mr. Markel he would be resigning effective March 28. Mr. Markel said he plans to move the town’s forensic accountant, Matt Angel, into the town accountant position on a temporary basis.

For Mr. Markel, the true test of the new finance officials is getting the Fiscal Year 2013 numbers accepted by the revenue department.

Mr. Markel was adamant that steps are being taken to restore the town government’s credibility to residents and show they take financial issues seriously. He cited the selling of delinquent tax titles, auction of foreclosed properties, the selling of the 252 Baldwinville Road property, and the condensing and restructuring of town offices as examples of the board’s commitment to solutions.

The Special Town Meeting to close the budget gap will be held on March 29 at 10 a.m. in the Middle School auditorium.

Voters will be presented with solutions to the budget crisis in the form of free cash, 5 percent municipal budget cuts and a Proposition 2 1/2 override figure — or a combination of those three. Residents will also have the opportunity to drain the $103,000 available in the town’s Stabilization Fund. Should voters reject an override, the town will likely not have the budget balanced in time to prevent state action. However if the override passes on town meeting floor, it will go to ballot at this year’s Annual Town Election.



5 comments:

  1. "Mr. Markel described work produced by the last financial team as “shoddy” — stating that he had never encountered books so “screwed up” in his three decades of government work."

    Says a lot about the town. SCREWED UP. So why should the town pass another override? So the town can continue to be screwed up with more money. I think that receivership will be the best answer for Templeton. The Town can not continue down this road. At least we will have consistant and accurate accounting for 5 years.

    VOTE NO FOR ANY OVERRIDE

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  2. It's easy to say the "R" word if you don't know what it will spell out for the Templeton taxpayers.
    One question to ask yourself is what would the tax rate the state sets be?
    People have stated over and over again the tax rate has been artificialy low for many years and we have been back filling the budget with surplus and stabilization funds way to long.
    Why wouldn't the state see this if the "R" word is reality?
    Many have been looking the other way and failed to speek up when this has been done.
    I know some in office have all along spoke up only to be belittled and told you don't know what your talking about.Just like the DOR report said in 2009 and Skelton crew ignored it. Thats why we need to get involved and fix the problems Templeton's prevoius leadership stuck us with. There are reasons we are in this mess and these are some of the biggest.
    Picking our leaders wisely can get us out of the mess were in,if we don't we could be in even more trouble. You don't like to hear overide but if we paid the tax rate we should have would we be where we are now?

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  3. DETFFI-
    Mr. Markel also said it would be a bad thing for the state to step in. It could be bad for many people.

    The voters, the citizens in town would have NO say in their government. Receivership could impact the school and its projects as well. It could result in the sale of the light department...without any input from anyone in town.

    Be careful what you wish for

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    Replies
    1. That why you have lawyers Mrs Farrell , please file for extension of time mR Markel warning or DOR threaten letter is very sign post you need act on , YES and by forwarding a notice and filing for time in court of law which is not unreasonable reflecting dead lines situation as this Love the idea .....bankruptcy and don't worry about control .... think about it ,,,, the sale you want to control ??/ of course you selectmen could purpose a question for the warrent list to the people in heart beat ,, why you do not is interesting to me >> a non binding informational or binding question asking for permission to sell the L&W as the law required if you get the vote your just won back many benefits for the people .. so DO IT sweet heart .. respectfully ,

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    2. I do not think the public is ready to hear about the sale of our "Light Co." I think they need to feel the pinch in their pockets, before they will listen. Too many people do not understand what the Light Commissioners have done to this town. This is not their fathers Light Company. Their father's company worked for the benefit of the town's people, a far stretch from what they do today. Oh by the way, I had a interesting meeting with Ms. Wilder and J. Columbus, as we are on the Committee to choose people to go to the Select. Board for the job of Administrator. Any way, I did not have my ass in the chair before Ginny informed me that they were going to clean up the mess !! She also informed me that they did not think the town offices should move into East Templeton, but should stay on Athol Road. I told her, that was not what I was there for, and we would not agree anyway, so why didn't we get down to the business of looking at resumes. John Columbus agreed with everything she said, and seemed surprised I did not get into a argument. For all of the years I have been kicking around, I have never seen this man at any meetings other than things that concern the schools. What will he do when he needs to actually stay through a whole meeting, instead of ducking out the door ?? So as things stand, it looks like the town will have a good fight on their hands, to get changes made unless the "school people" have more brains than to follow Echo Hill's lead. I would not be the least bit surprised if they hope 252 will still be standing, so they can cram another 40 year loan on the town. People do have short memories !! Bev..

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