Decision on draining reserves for Amherst school project may come Monday

By SCOTT MERZBACH

Staff Writer

Published: 04-02-2023 6:32 PM

AMHERST — The Finance Committee is expected to decide Monday night after a public forum whether to recommend that the Town Council use $9.29 million in capital reserves for the new elementary school project.

The committee has already voted unanimously to advise the council to add $5 million in capital reserves to the financial order for the $97.5 million school project, which would leave $4.29 million in reserves that the town has set aside for future projects, including a new fire station in South Amherst.

If the Finance Committee votes to support the extra money and the council agrees, it would drain the reserve account for the time being, though some of the reserves are expected to be replenished through renewable energy reimbursements from the federal Inflation Reduction Act.

The council is expected to take up the issue Monday night as well.

A lengthy discussion at last Tuesday’s Finance Committee meeting revealed divisions in views, forcing the committee to put off an advisory on potentially using more capital reserves until after a public forum on the appropriation and debt authorization public forum being held at 6 p.m. Monday.

Council President Lynn Griesemer, who serves on the Finance Committee, made a motion to ask Town Manager Paul Bockelman to issue a new financial order or amend the existing financial order so that the entirety of the capital stabilization account, or $9,287,465, would be directed to the school project that is subject to a Proposition 2½ debt-exclusion vote May 2.

Griesemer said it was painful motion, as reserves have been built for many things, but the right approach because the town needs to focus on getting the school project passed.

“It’s become clearer and clearer to me that we’re spending our time and energy on the wrong discussion,” Griesemer said. “If this is what it takes to get enough votes to build the school, then I just have to say I pledge to do everything I can and will continue to do to bring in other reserves to build our other projects, I’m not walking away from them.”

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District 5 Councilor Ana Devlin Gauthier said the town can’t push the fire station, which may be built on a portion of the former Hickory Ridge golf course, farther into the future, and that $5 million in reserves is sufficient.

“$5 million from our reserves is a significant step,” Devlin Gauthier said. “To go beyond that does make me very uncomfortable.”

Similarly, Matt Holloway, a community member of the Finance Committee who also co-chairs the Yes for Our Schools campaign, said the fire station should be a priority and that those who are going to vote against the school project won’t be swayed by reducing the property tax burden.

“I don’t feel the use of reserves on the school project is the answer or even the beginning of the answer to address housing affordability in Amherst,” Holloway said.

Bob Hegner, another community member, said it’s clear the school project is a lightning rod and he doesn’t want to see the bad feelings that split the town in 2016 and 2017 over a failed twin school project.

“I don’t want to see us repeat that again,” Hegner said.

Griesemer motioned to postpone her motion until after the public forum.

“My goal is to get this school built and my goal is to let the council have all the options, and to provide them with good financial advice,” Griesemer said.

Devlin Gauthier said she was worried the committee wouldn’t be providing the best financial advice if it gave a positive recommendation.

“For us to vote in the affirmative simply to give the council something else to discuss is not actually following that responsibility, so I’m very uncomfortable with that,” Devlin Gauthier said

Finance Director Sean Mangano and Bockelman will do research to find out what the options are for the Finance Committee. “It feels like there is sufficient confusion at this point,” Mangano said.

Those who offered public comments appealed to use as much reserves as possible.

District 3 Councilor Dorothy Pam said it is not about stripping all the reserves but about ensuring that supporters of the school are not gambling on a successful vote. “Have you thought about what happens if the vote fails?” Pam said.

Similarly, Vince O’Connor of Summer Street praised the process so far, noting that he has seen two previous elementary school projects fail, the twin school in 2016 to 2017 and one on Old Farm Road in the early 1990s.

“This is the first clean elementary school project we’ve had in 30 years,” O’Connor said.

“I think that it is better to do what you can to make this pass on the first go around than to have to come back in the fall with a second go around,” O’Connor said.

Scott Merzbach can be reached at smerzbach@gazettenet.com.]]>