Winchendon petitioners not allowed to speak at meeting on town deficit

Winchendon petitioners not allowed to speak at meeting on town deficit
By Paula J. Owen TELEGRAM  GAZETTE STAFF

WINCHENDON — A group that put together a petition for special town meeting Nov. 24 that requests selectmen terminate Town Manager James M. Kreidler Jr., or seek his resignation, was not allowed to speak at Thursday night's selectmen's meeting.

Board of Selectmen Chairman Fedor Berndt prefaced the meeting by saying the meeting must not lack order and those speaking must remain civil, respectful and follow basic rules or they would be removed.

Mr. Berndt referenced Monday night's selectmen's meeting when several residents questioned Mr. Kreidler about the timeline of events leading up to the cumulative deficit of $3.8 million the town is facing, asking what his role was in overseeing the budget and how it could go unnoticed for months.

Mr. Berndt said Thursday night those wishing to speak must first be recognized by the chairman or be placed on the agenda by going through the town manager's office.

He said all comments and questions must pertain to the deficit reduction plan.

The town is facing a $3.8 million deficit and selectmen approved a plan that they must submit to the state Department of Revenue that includes cuts to services and a $700,000 Proposition 2½ tax cap override — reduced from an $800,000 override request previously proposed — and $2.183 million in borrowing from the state that requires passage of deficit legislation.

Mr. Kreidler had put together a plan previously reducing the deficit by around $1.6 million by depleting the town's stabilization account, but the DOR would not allow it, he said.

If the $700,000 override passes, it would increase taxes $1.16 per $1,000 of property valuation annually, which would be be about a $232 annual increase for a $200,000 home.

The petition for Mr. Kreidler's termination was submitted Thursday afternoon. The deadline to submit articles was 8:15 p.m.

It asks "selectmen to take affirmative action terminating or otherwise removing the current Town Manager from his position, including but not limited to seeking and accepting the Town Manager's resignation or voting to terminate him, or act in relation thereto."

The nonbinding resolution goes on to say that Mr. Kreidler failed or refused to share information about the deficit — which he underestimated at $2.3 million — with selectmen immediately; that the deficit, according to auditors, was caused by various failures, including poor communication, inaccurate accounting, inaccurate reports and a significant problem with the town's financial software system resulting in permanently damaged records; and that the duties of the town manager include keeping the Board of Selectmen fully informed as to the financial condition and needs of the town, and assuring that full and complete records of the financial and administrative activities of the town are kept.

"The voters express their lack of confidence in the Town Manager and call upon him to resign," the petition says. "The voters seek affirmative action by the Board of Selectmen to achieve the Town Manager's resignation, or otherwise terminate him from his position forthwith."

The School Committee also submitted an article for town meeting that requests up to $50,000 for a forensic audit by the state. The article reads:

"To see if the Town will vote to raise and appropriate, borrow, transfer from available funds, or otherwise provide the sum of an amount not to exceed Fifty Thousand Dollars and zero cents ($50,000.00) for the purpose of an investigative/forensic audit to be conducted by the Office of the State Auditor, which shall include but not be limited to an audit of the Health Insurance Trust Fund, Special Revenue and Trust funds, and the financial accounting system operation, or act in relation thereto."

The School Committee said last week it wanted an investigation into "what really happened" to create the deficit. Money in the schools' revolving accounts is missing, school officials say.

Mr. Kreidler also said Thursday night that a town meeting vote to approve the override is not necessary and only needs to pass at a special election scheduled for Dec. 20. He recommended selectmen discuss the issue with voters at town meeting so they understand what they are voting on.

Selectmen will meet Monday night on the second floor of Town Hall.

Contact Paula Owen at powen@telegram.com.