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North Adams City Council Accepts Insurance Report

By Tammy DanielsiBerkshires Staff
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NORTH ADAMS, Mass. — The City Council formally accepted the findings of the Scanlon & Associates report at its meeting Tuesday night.

The move was not surprising since the majority of the councilors have sat in on the Finance Committee meetings with the mayor, business manager and the city's administrative officer.

The financial report, commissioned by Mayor Richard Alcombright, showed the city had failed to adequately to fund its share of the self-insurance trust to the tune of nearly $2 million over the last several years.

The Finance Committee, made up of Chairman Michael Bloom, Alan Marden and David Bond, recommended the council not only accept the report but urged the mayor to follow state statute and appropriately fund the Medical Trust Fund going forward. It also recommended the city review its procedures for handling "runouts," or claims that fall beyond the fiscal year they are accrued in.

The council approved all the recommendations with little comment.

The recommendations came from the latest Finance Committee on Monday, a lengthy discussion several councilors described as "interesting." (iBerkshires normally attends but blanked on this one).

 For Those Just Tuning In
• North Adams Researching Insurance Claims

• Report: North Adams Underfunded Insurance Trust by...

• North Adams Needs $396,000 to Fund Insurance Trust

•North Adams Insurance Bill at $500K

The Scanlon report

Councilor Keith Bona said he was disappointed in the failure to determine how the city came to underfund the account in the first place during the last administration. (Then Mayor John Barrett III has said the account was properly funded. There is no indication that any claims were not paid or any money diverted, but the city's full share of the premiums were not budgeted to the account).

"There really isn't a clear answer why it was done the way it was done," he said. "You came right out and asked the city treasurer and the answer we got was 'I don't know.'"

The account will be fully funded in this fiscal year using monies from various accounts. The mayor is negotiating with the public unions on a settlement for the past two years (the report goes to 2007) but Bloom cautioned the even a 50 percent settlement could be devastating.

"This negotiation is being carefully presented with the understanding the city is already under incredible financial strain because of the proposed cuts in state aid and a major decrease in projected local receipts and lack of available funds from city reserve accounts," said Bloom.  

The city will have to look at its excess tax capacity, a meals tax, sewer fee or other fees to meet its commitment or face "expensive legal action" by the unions or the Department of Revenue.

In other business:
  • The council appointed Christopher Gelinas and Gregory Onorato as permanent police officers.
  • Approved a resolution by submitted by Councilor Michael Boland recognizing the efforts of the MCLA Center for Service and Citizenship and the city of North Adams. The resolution referred to a community day being planned and based on a service day instituted by the college 18 years ago. The scope of the volunteer effort is being widened; more information can be found at NorthAdamsIdeas.com and iBerkshires will have more information as the day approaches.
  • Heard a communication also by Boland on the development of a Youth Commission.
  • Approved a resolution supporting the funding of the regional library system submitted by Councilor Gailanne Cariddi.
  • Approved a sewer connection request by Jeffrey Lincoln for Lot 17 Morris Drive, Clarksburg. The Clarksburg Selectmen approved the request at its meeting two weeks ago. The Hoosac Water Quality District must also OK the connection.
  • Renewed secondhand licenses for Jeffrey Hudson's operation of Hudson's at 1112 Mass MoCA Way and for Timothy Randall's operation of Sanford & Kid at 160 Houghton St.
Resolutions are below.
North Adams City Council Resolutions 4_13_2010
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Letter: CDBG Funding for Housing Fix-Up, Purchase Assistance, and Affordable Housing Trust

Letter to the Editor

To the Editor:

At the public hearing (03/25/26) on the Community Development Block Grant (CDBG) Application submitted by North Adams, the presentation indicated that no funding was allocated to assisting residents with housing fix-up and housing purchase.

North Adams remains the only jurisdiction in Berkshire County that does not include these types of programs in their CDBG application. The grant application also misses an opportunity to fund the newly created Affordable Housing Trust which receives CDBG funds in other jurisdictions.

North Adams funded housing fix-up and housing purchase assistance in the past and these programs helped many residents with home upkeep and purchases. The need for these programs has only increased since they were abandoned by North Adams.

For the median income resident of North Adams the median home price is $40,000 more than they can afford. Over 27 percent of homeowners spend more than 30 percent of their income on housing and 12.5 percent of homeowners spend more than 50 percent of their income on housing. Over 20 percent of properties in North Adams are rated as below average condition by the North Adams assessor.

There should be no doubt that North Adams needs both fix-up and home purchase assistance programs and a well supported Affordable Housing Trust. I urge North Adams residents to advocate for funding for these programs during the upcoming budget review meetings.

Virginia Riehl
North Adams, Mass. 

Riehl is co-founder of the North Adams Community Housing Organization (NACHO)

 

 

 

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