1998-07-13
SPECIAL TOWN BOARD MEETING
JULY 13, 1998
7:00 P.M.
BOARD MEMBERS PRESENT
SUPERVISOR FRED CHAMPAGNE
COUNCILMAN RICHARD MERRILL
COUNCILMAN THEODORE TURNER
COUNCILMAN DOUGLAS IRISH
COUNCILMAN PLINEY TUCKER
TOWN OFFICIALS
Henry Hess, Controller
GUESTS
Mike Dier, Investment Advisor for Service Award Program
Wendy West, Peneflex (assists the town administering program)
Ed Holohan, Peneflex
Richard Collin, Queensbury Central Vol. Fire Company
Michael Nigro, resident
Nick Nicholson, resident
Dennis Brower, resident
DISCUSSION - FIRE SERVICE AWARD PROGRAM
Supervisor Champagne called meeting to order....
Councilman Tucker questioned Controller if he was happy with the program?
Henry Hess, Controller noted, I haven't seen the financial score, the most recent but as far as the program
itself goes, yes, I am.
Supervisor Champagne gave background on the program which started in 1993 by referendum and passed
by a sizable majority. At that time, there were some very restricted limitations on the investment options...
the board in 1995 decided to open the gates on the investments.... first couple of years, by the time they
paid off the bank and the investors plus Peneflex there wasn't an awful lot of money left, it was actually
kind of holding it's own... our contribution of about four hundred dollars a year per man or woman really
wasn't demonstrating any growth.
GLENS FALLS NATIONAL
Mr. Michael Dier submitted Investment Report dated July 13, 1998 and reviewed submittal with the board
giving a detailed performance summary on the town's investment funds for the Volunteer Fire Service
Award Program... (report on file in Town Clerk's Office)
Mr. Ed Holohan explained the purpose of the program and how the program works.
Councilman Merrill questioned the investment fee structure?
Mr. Dier noted, it's less than one percent a year, one percent of the market value. The fee right now is
seven tenths of one percent and that's on a schedule so that there's a break point at three hundred thousand
so that as the portfolio grows the bank earns more money but it's at a much lower rate, I believe it's three
tenths of one percent. When we get to a million dollars, then it goes down lower, I think it's two tenths of
one percent.
Councilman Irish questioned whether there's been a projection done of a point of where there's actually
enough money that the town no longer has to contribute?
Mr. Holohan noted, this is not that kind of a plan.... these are simply stated in pension plan vernacular
account balance plan... if you're an active volunteer fire fighter, every year that you make the points,
another four hundred dollars gets added to your account plus what ever share of the investment income the
funder is allocated to your account.
Councilman Irish questioned how the benefits are paid once the fireman retire?
Mr. Holohan noted, they've been paid in a lump sum but down the road by Town Board Resolution, we can
always add some other alternatives.
Councilman Tucker questioned whether this affects the social security?
Mr. Holohan noted, it does not affect social security but it is taxable income when they get their check, it's
subject to Federal and State Income Tax.
PENEFLEX
Mr. Holohan introduced Peneflex giving brief description of their company and the service they provide...
reviewed summary page with the board... referred to proposed change amending the amount from four
hundred to four hundred and eighty dollars and that it would have to go to referendum for that change.
Supervisor Champagne noted that he distributed a draft copy of the proposed referendum tonight.... it
doesn't add to the amount of money but it does take a look at the local law, invalidates that so we're only
dealing with the state statute.... noted the amount of money has not been discussed as of yet and would be
discussed at a committee meeting.
Mr. Holohan agreed that before any changes can be made the town has to scrap the local law and then
strictly the governing statue is the general municipal law.
Town Board held discussion regarding program.... will continue discussions further.
OTHER DISCUSSIONS
Town Board held discussion regarding proposed construction and demolition landfill and the permit
process involved.... board agreed to meet with DEC to start process.
Councilman Irish referred to the Cracker Barrel Rezoning issue and recommended bringing project back to
the table for a vote.... board held discussion, agreed to hold for further discussions...
Town Board held discussion regarding updating some assessment records in North Queensbury on the
lake... discussion held regarding reva1...
No further action taken.
On motion, meeting was adjourned.
RESPECTFULLY SUBMITTED,
DARLEEN M. DOUGHER
TOWN CLERK
TOWN OF QUEENSBURY