Reading Financial Forum: Where Do We Go From Here?

The task seemed easy enough. Attend Wednesday's Financial Forum and get the answer to a simple question: "Now what?"

But after one power-point presentation, two hours of discussion, and a handout that included close to 2,500 figures spread over 12 pages, there was no conclusion, except maybe that it was clear my last math class was 36 years ago.

The failure of the October override vote that would have added $7.5 million to town coffers is going to force some difficult decisions and there will be cuts. That much everyone agreed on. But you didn't hear specifics at the Pleasant Street Senior Center. As a Reading resident for more than three decades I've never been at one of these meetings. And apparently I'm not alone. In a town with more than 23,000 residents, about 30 made it to the senior center.

One thing was immediately clear: it helps to understand the players before you watch the game.

The meeting was centered around the nine-member Finance Committee, composed of chairman Mark Dockser, along with Paula Perry, Anne Johnson Landry, Vanessa Alvarado, Paul McNeice, David Neshat, Marc Moll, Peter Lydecker, and Eric Burkhart. They were joined by town accountant Sharon Angstrom and town manager Bob LeLacheur. These aren't the people who will lay off your child's teacher, assuming of course the town is headed in that direction.

Think of it this way. Your son or daughter asks for $15. But you give him/her $10. You're playing the role of Finance Committee and regardless of whether you'd like to provide $15, you don't have it to give.

Or do you? The term "free cash" was heard early and often. Like candy in your pumpkin bucket, it's always there, tempting you to help yourself. If health care costs go up more than expected, stick your hand in the candy bucket and grab what you need. If state aid comes up short, stick that hand back in the bucket and help yourself. Need a few million to help pay the $6 million tab for the high school litigation settlement, grab some "free cash." The good news is that the town had more than $9 million in free cash for the projected 2017 fiscal year. That was on page 3 of the handout, right above something called the "favorable variance from operations." If you're looking for an explanation on that, give a call to your cousin the accountant. You won't find it here.

The point is, free cash is the town's rainy day fund and it's in good supply, all things considered. But it should be used carefully. If treated like Halloween candy the bucket will soon be empty. Then what happens when we get snow like two winters ago? What happens when health care costs soar or state aid plummets? Some wondered why the state is having 4.5% growth but state aid is at 2.5%.

For these reasons, the people in control of your tax dollars seem to be preparing for the worst. A hiring freeze is in place for the town, and various capital improvement projects are on hold including Birch Meadow field lights, the Killam field regrading, and the DPW Cemetary Building. Others, like roof repairs at school and town buildings, have been pushed back. So you probably haven't seen the last of those "Yes for Reading" signs. Another override is coming but it won't be soon (override votes are called by the Selectmen, the town's chief elected officers).

"I can't project that voters are going to go from 60% no to 51% yes in a year," said LeLacheur, referring to the results of the override vote. "So I have to plan for further cutbacks."

The School Committee and Board of Selectmen are now on the clock. And soon after that, Town Meeting members. You may not have heard the discussion, but it started Wednesday night. Selectman John Arena asked, "What are you going to write, that it's confusing?"

Yes, and the question remains. Now what?