Report of the Capital Expenditures Committee

The Capital Expenditures Committee (“CapCom”) is dedicated to ensuring that the Town of Southwick has the infrastructure necessary to provide quality services to its residents with minimal impact to the property tax rate. The Committee is also working to preserve Southwick’s strong financial position and higher-than average bond rating while maintaining our assets at a level which is adequate to protect the Town’s capital investment and minimize future maintenance and replacement costs.
 

Fiscal year 2010 brought reductions in State aid and revenues, which left limited funding available for capital projects. CapCom worked carefully to prioritize each capital request with the understanding the many projects would need to be deferred until funding is available. The committee faces similar budget challenges each year and works diligently to approve the projects with the greatest benefit to the health and welfare of Southwick’s residents.
 

The Capital Expenditures Committee (“CapCom”) was formed by Town Meeting vote on May 2, 1998. The Committee reviews all capital outlays defined as the acquisition, construction or repair to real or personal property or public improvement of the Town, whose useful life is greater than three years and whose anticipated cost is $25,000 or greater and for which the town may incur debt under MGL.Chapter 44, Section 7 or 8, but not including projects to be paid for by state or federal funds. Recommendations are then made to the Finance Committee.
 

The mission of the Capital Expenditures Committee is to provide a centralized, cross sectional representation of the Town dedicated to the thorough study, evaluation, and recommendation of financially sound, adequately funded, and logically prioritized capital expenditures both to the Board of Selectmen and Finance Committee pursuant to Chapter 13 of the Southwick Town Code.
 

On November 3, 2003, the Board of Selectmen voted to adopt new Comprehensive Capital and Debt Policies for the Town of Southwick.
 

This document incorporates several separate but related policies: the Capital Budget Policy, the Debt Management Policy, and the Capital Asset Policy.

The Comprehensive Capital and Debt Polices also establish a more refined method for ranking each capital project submitted for approval. In addition, the newly revised Capital Budget Request form will require the identification of the source(s) of funding for each capital project; information that will assist in the creation of long-term debt management plan.
 

The Committee meets several times in January, February, and March to review capital budget request. CapCom is composed of seven appointed members as follows:

The members serve for a term of three years. Of the two registered voter members, one will represent the community business interest.
 

Respectfully submitted,
 

Arthur G. Pinell, Chairman

Robert A, Horacek, Vice-Chairman

Karl J. Stinehart

Linda Bathel

Cal Chunglo

Charles Condron

Fred Hanks

Robin Solek, Secretary