Please Read COMMONWEALTH OF MASSACHUSETTS TOWN OF DUXBURY SPECIAL TOWN MEETING WARRANT SATURDAY, MARCH 14, 2020 AT 9:10 A.M. DUXBURY SCHOOLS PERFORMING ARTS CENTER 73 ALDEN STREET     Plymouth, SS Greetings: To either of the Constables of the Town of Duxbury, in said County: In the name of the Commonwealth of Massachusetts you are directed to NOTIFY and WARN the INHABITANTS OF THE TOWN OF DUXBURY, qualified to vote in elections and in Town affairs, to meet in the Duxbury Schools Performing Arts Center, 73 Alden Street, in said Duxbury on SATURDAY, the FOURTEENTH day of MARCH, 2020, next, at 9:10 A.M. for a SPECIAL TOWN MEETING, for the transaction of any business that may legally come before said meeting:     Page 2 of 9  ARTICLE 1 – SUPPLEMENTAL APPROPRIATIONS To see if the Town will transfer from available funds sums of money to supplement appropriations previously voted under Article 5 at the Annual Town Meeting of March 9, 2019, for the Fiscal Year beginning July 1, 2019, for various Town Departments; or take any action in relation thereto. Proposed by the Board of Selectmen/Town Manager Explanation: The purpose of this article is to supplement a number of line items in the current fiscal year’s budget (FY20) in order to fund a number of additional expenses associated with various Town Departments. Recommendations: Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend ARTICLE 2 – UNPAID BILLS To see if the Town will transfer from available funds, a sum of money to pay unpaid bills of a previous year, as follows: Line # 1 2 3 4 5 Vendor Duxbury Clipper Ricoh Municipal Graphics Ricoh Tiger Towing Department Planning Central Buildings Police Municipal Services Vehicle Maintenance Amount $40.00 $46.36 $1,790.00 $91.74 $250.00 ; or take any action in relation thereto. Proposed by the Town Manager Explanation: These funds are needed to pay for bills received after the close of Fiscal Year 2020. Requires a 9/10 vote. Recommendations: Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend ARTICLE 3 – RESTORE FUNDING OF DIGITAL PHOTOGRAMMETRIC CONCEPT To see if the Town will transfer from available funds a sum of money for the purpose of paying for the Digital Photogrammetric Concept previously approved under Article #6, Motion 1, item #2, with said funds to be expended under the direction of the Information Technology Department; or take any action in relation thereto. Proposed by the IT Director and Finance Director     Page 3 of 9  Explanation: This Article was accidentally closed to free cash at the end of FY19. There was an active Purchase Order on file that had already been approved for the purpose of this article and an invoice has been received waiting for payment. Recommendations: Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend ARTICLE 4 – FUND COLLECTIVE BARGAINING AGREEMENTS To see if the Town will transfer from available funds a sum of money for the purpose of funding the cost items of the first fiscal year of collective bargaining agreements between the Town and any one or more of the following employee organizations for the fiscal year commencing on July 1, 2019:        Duxbury Police Union, MCOP Local 376B Duxbury Police Commanders Association Duxbury Public Safety Dispatchers, MCOP Local 376A Duxbury Free Library Employees, Service Employees International Union, Local 888 Duxbury Permanent Firefighter’s Association, International Association of Firefighter’s Local 2167 Duxbury Municipal Employees, AFSCME, Council 93, Local 1700, Duxbury DPW Employees Town of Duxbury Secretaries and Clerks, SEIU Local 888 ; or take any action in relation thereto. Proposed by the Board of Selectmen Explanation: This article will fund collective bargaining agreements for positions in each of the contracts to be noted in the motion to be made at Town Meeting. Recommendations:   Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend   Page 4 of 9  ARTICLE 5 – FUND 53RD WEEK PAYROLL (NON-UNION SALARIED PERSONNEL) To see if the Town will transfer from available funds a sum of money for the purpose of correcting the FY20 budget to reflect a 53rd week of payroll for Non-Union Salaried Personnel; or take any action in relation thereto. Proposed by the Finance Department Explanation: Unlike the previous Article 4 to fund Collective Bargaining Agreements retroactively, this article is not to fund a pay increase. This one-time budget correction is needed to meet the current obligations of the Town for salary and wage calculations in excess of the normal 52-week pay periods that is not currently budgeted for in FY20. The Town of Duxbury has had a bi-weekly pay in place since 2001, and in that nearly 19 years (4 leap years ago) this is the first time the Town has had to make a budget adjustment for the additional pay week(s) for this group of employees. Recommendations: Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend ARTICLE 6 – SPECIAL EDUCATION RESERVE FUND To see if the Town will transfer from available funds a sum of money to fund the Special Education Reserve Fund; or take any other action in relation thereto. Proposed by the School Business Manager and Finance Director Explanation: The Special Education Reserve Fund, pursuant to the Municipal Modernization Act, allows savings to be set aside to offset the impact of any unanticipated, unbudgeted Special Education costs. Funds may be used to pay for Special Education expenses related to contracted services, out of district tuition and transportation. The fund allows us to make payments within a school year without forcing cuts to other school services.  Recommendations: Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend ARTICLE 7 – PENSION RESERVE FUND To see if the Town will transfer from available funds, a sum of money to be added to the Pension Reserve Fund; or take any action in relation thereto. Proposed by the Finance Department Explanation: The purpose of this article is to fund the Town’s municipal pension reserve fund. It has been the practice of the Town over the last several years to transfer funds from the Pension Reserve Fund to the General Fund to offset increases in the Town’s Contributory Pension Assessment to Plymouth County. Since FY06, the fund has provided over $1,150,000 to the     Page 5 of 9  General Fund. These are monies that would otherwise have to be found within the Tax Levy. Although financial markets have begun to improve in recent years, we need to continue to replenish this valuable reserve in order to support future funding. The balance in the fund as of December 31, 2019, is $1,391,202. The Town of Duxbury’s Financial Management Policies recommends the Pension Reserve be funded annually at a minimum of 0.125% of general fund operating revenues. Approval of this transfer of $91,500 from Free Cash will continue the replenishing the fund, thereby providing a higher earnings potential. Recommendations: Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend ARTICLE 8 – OTHER POST-EMPLOYMENT BENEFITS To see if the Town will transfer from available funds a sum of money to be added to the Other Post-Employment Benefits Trust Fund; or take any action in relation thereto. Proposed by the Finance Department Explanation: Employees of state and local governments may be compensated in a variety of forms. In addition to a salary, many employees earn benefits during their years of service that will not be received until after their employment with the government ends. The most common type of these post-employment benefits is a pension. Post-employment benefits other than pensions generally take the form of health insurance and dental, vision, prescription, or other healthcare benefits provided to eligible retirees, and may also include some type of life insurance. As a group, these non-pension benefits are referred to as Other Post-Employment Benefits (“OPEB”). In FY13, the voters at Town Meeting, with the support of the Board of Selectmen and the Finance Committee, established an OPEB Trust Fund. The Town currently funds retiree health insurance on a pay-as-you-go basis. This amount for fiscal year 2020 is approximately $1,726,790. Through various health plan changes coupled with increased funding, our Actuarial Accrued Liability at June 30, 2018 is $32,704,030. In order to control this liability, the Town’s actuary has recommended a minimum annual contribution of $300,000. We must make every effort to fund this liability. Through December 31, 2019, the balance in the fund has reached $2,616,979. The Town of Duxbury’s Financial Management Policies recommends a minimum annual requirement of $300,000. The transfer of $300,000 from Free Cash is an important step in recognizing our obligation while being in compliance with Town policy. Recommendations:   Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend   Page 6 of 9  ARTICLE 9 – ACCRUED LIABILITIES AND COMPENSATED ABSENCES FUND To see if the Town will transfer from available funds, a sum of money to be added to the Accrued Liabilities and Compensated Absences Fund; or take any action in relation thereto. Proposed by the Finance Department Explanation: Each year the Town experiences separations of employee service. These separations may include, but are not limited to, terminations, retirements, and even loss of life. At the time the annual departmental budgets are presented for Town Meeting approval no allowances are made for potential circumstances. The Town of Duxbury’s Financial Management Policies recommends that the balance of such fund shall not be less than 2 times the average payments made over the last 5 years. The balance in the fund at December 31, 2019 was $0. The average payments made over the last 5 years is $113,498. Approval of this transfer in the amount of $275,000 from Free Cash will bring us in compliance with town policy and provide some level of comfort that such payouts would not come from the individual departmental budgets. Recommendations: Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 7-1 to Recommend ARTICLE 10 – UNEMPLOYMENT FUND To see if the Town will transfer from available funds, a sum of money to be added to the Unemployment Fund; or take any action in relation thereto. Proposed by the Finance Department Explanation: Since Fiscal Year 2011, Town Meeting has provided funding for the Unemployment Trust Fund as allowed under M.G.L. Chapter 40, Section 5E. The Town of Duxbury’s Financial Management Policies recommends that the balance of such fund shall not be less than 2 times the average benefits paid out over the last 5 years. The balance in the fund by June 30, 2019 is estimated to be roughly $119,030 and the estimated average benefits paid out over the last 5 years would be $47,738. Approval of this transfer in the amount of $50,000 from Free Cash will bring us in compliance with town policy and ensure that we have enough to cover benefits through FY21. Recommendations:   Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend   Page 7 of 9  ARTICLE 11 – STABILIZATION FUND To see if the Town will transfer from available funds, a sum of money to be added to the Stabilization Fund; or take any action in relation thereto. Proposed by the Finance Department Explanation: It has been the practice of the Town over the last several years to transfer available funds into the Stabilization Fund. The Town of Duxbury’s Financial Management Policies recommends the Stabilization Fund should be maintained at 5% to 10% of general fund operating expenditures net of exempt debt. The balance in the Town’s Stabilization Fund at December 31, 2019 is $4,887,846 or 6.67% of general fund operating expenditures. Duxbury continues to enjoy a Standard & Poor’s rating of AAA and a Moody’s Rating of AA1. The enhancement of this reserve is a major factor when rating agencies consider upgrades. With the approval of this transfer, coupled with projected earnings for FY20, this will provide an end-of-year balance exceeding $5,000,000. This amount will equal slightly more than 6.83% of the Town’s operating expenditures net of debt. Approval of this transfer in the amount of $50,000 from Free Cash will ensure that our reserves are maintained at levels that will likely appeal to bond rating agencies. Increases to reserves are critical to maintaining our bond rating and ensuring the best interest rates possible on future borrowing. Recommendations: Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend ARTICLE 12 – CAPITAL STABILIZATION FUND To see if the Town will vote to raise and appropriate and/or transfer from available funds, a sum of money to the Capital Improvement Stabilization Fund; or take any action in relation thereto. Proposed by the Finance Director, Town Manager, and Finance Committee Explanation: To continue funding a Capital Improvement Stabilization Fund. Per M.G.L. Chapter 44, Section 20, Surplus proceeds of any amount may be appropriated for any purpose for which the town or district may borrow for an equal or greater term than the term for which that loan was issued. By closing projects and providing additional funding to a Capital Reserve Fund, the intent is to use these monies and future contributions to defray the cost of the Town’s next major project(s). Recommendations:   Board of Selectmen Vote: Available at Town Meeting Finance Committee Voted 8-0 to Recommend   Page 8 of 9  AND YOU ARE HEREBY DIRECTED TO SERVE THIS WARRANT by posting attested copies thereof as prescribed by M.G.L. Chapter 39, Section 10 and by Chapter 2, Section 2.3 of the Town of Duxbury General By-laws, and by publishing a copy of this Warrant in a Plymouth County Newspaper, as prescribed by Article 2, Section 2.3 of the Duxbury By-Laws, at least fourteen (14) days before the time of holding said Meeting. Hereof fail not and make due return of this Warrant, with your doings thereon, to the Town Clerk, at the time and place of this meeting. Given under our hands this 10th day of February, 2020. Plymouth ss: February 19th, 2020 Pursuant to the warrant I have this day notified and warned the inhabitants of the Town of Duxbury, herein described, to meet at the time and place and for the purposes as described by the By-laws of the Town. A TRUE COPY ATTESTED     Page 9 of 9