New Bedford Finance Committee refers most free-cash transfers to full council; major votes on audits, fire and waste

The Committee on Finance of the New Bedford City Council met on April 16 and considered a package of free-cash transfer orders from Mayor Mitchell covering elections, environmental monitoring, facilities work, assessor services, workers' compensation, tourism, information technology, the city audit contract, public infrastructure monitoring, solicitor outside counsel, fire personnel services and solid-waste fees. Chair Councilor Linda Morehead presided.

The most important outcomes: the committee approved funding for the city's external audit contract and for information-technology security and postage needs, referred a $731,000 transfer for fire personnel costs to the full council with a member condition about surplus funds, and approved (as amended) a transfer to cover last-year solids-waste settlement and higher tonnage charges. Several other transfers were referred to the full council for final action.

Why it matters: These votes move one-time free-cash appropriations and urgent charges that affect the city's fiscal year-end position and near-term budget stability. Committee members repeatedly stressed the narrow free-cash balance, the city's limited ability to absorb unbudgeted mandates, and the potential to direct any unexpected surpluses into long-term liabilities such as OPEB or the pension fund.

Key discussion points and staff responses

- Elections transfer (item 1): City finance staff (identified in the meeting as Bob, chief financial officer) told the committee that election-related expenditures were initially charged to the city because the grant paperwork arrived after expenses were paid. Bob said, "the grant paperwork is in now. The grant hasn't been received yet, but the paperwork is good enough for us to set up ... an online budget, and we'll be reclassifying that $15,500 to the grant fund, which is what the intention was all along." Councilors moved to refer the item to the full council for "no further action."

- Environmental monitoring (item 2): The $20,500 request covered mandated monitoring at the Shawmut Avenue landfill and advisory monitoring at the Tabor Mills site. Bob said the Shoremut/Shawmut Avenue monitoring was mandated by the Massachusetts Department of Environmental Protection (MassDEP). Councilors expressed concern about recurring mandated costs and limited free-cash. The committee vote resulted in a 5-5 tie and the item did not pass as presented.

- Assessor and facilities items (items 3 and 4): A $28,000 design request for the assessor's office (item 3) to develop stamped professional plans was presented as a one-time renovation-design request; that transfer failed on a 6-4 roll call. A separate $40,000 request (item 4) to fund assessor contractual valuation services (vendor referenced as Splice in committee discussion) passed on a 7-3 roll call.

- Workers' compensation settlement (item 5): The committee considered a $42,000 transfer to fully settle a workers' compensation claim. Bob said the payment would settle the claim other than future medicals. The committee referred the item to the full council; the committee recorded the item as passing unanimously at the committee level (vote recorded in the transcript as 9-0 at the referral step).

- Tourism and special events (item 6): Councilors discussed a $45,000 request (tourism) that included $25,000 proposed for fireworks and $20,000 for a city billboard. Tourism staff (identified in the meeting as Christina, tourism staff) said the billboard skin had been in place since 2018 and had become out of compliance with MassDOT because it contained for-profit sponsor content on a city-owned sign. The committee referred the request to the full council for approval; several councilors asked for more information about sponsorships and use of outside donations for fireworks.

- MIS (item 7): The committee approved a $54,000 request for MIS, split into $40,000 for postage driven by large mail-ballot volumes and $14,000 for firewall and cybersecurity improvements. Bob described recent near-attempts to breach a staff email account and characterized the firewall work as an "insurance policy" against costly breaches. The committee voted to refer the transfer to the full council (committee tally 8-2).

- Annual audit contract (item 8): The committee considered an $84,238 appropriation to make the annual audit contract whole after earlier cuts reduced the prior year's funding. Bob explained Hagan Sahadi (audit firm) has been the low bidder for years and cautioned that underfunding the audit could lead to litigation and difficulty attracting bidders. The committee voted 10-0 to refer the transfer to the full council for approval.

- Sullivan's Ledge inflow/infiltration monitoring (item 9): Public infrastructure staff described additional study work required beyond the budgeted $200,000 for Sullivan's Ledge work; the committee discussed safeguards that any unspent funds be returned to free cash or reserved for Sullivan's Ledge. The committee recorded a referral to the full council (committee tally 7-3).

- Solicitor/outside counsel (item 10): The administration requested $150,000 for outside legal counsel and related expenses (environmental and labor representation were highlighted). Several councilors, including Councilor Ian Abreu and Councilor Ryan Perera, pressed the administration on the recurring reliance on outside counsel for labor negotiations and urged greater in-house capacity; administration representatives said the solicitor's office is currently thinly staffed and that outside counsel will still be needed in the short term. The committee voted to refer the transfer to the full council (7-3).

- Fire personnel (item 11): The committee reviewed a $731,000 transfer to cover a personnel-services shortfall in the Fire Department caused by low vacancy savings and several long-term leaves. Bob explained the department has limited vacancy savings because firefighting vacancies have not materialized as projected. Committee members asked for biweekly two-week projections of payroll through year end; Councilor Perera offered a condition: any surplus above $10,000 remaining in the Fire Department 100 account after year-end should be submitted to the council as a transfer to either OPEB or the pension fund. The committee voted to refer the item to the full council for approval (committee roll call 10-0 on the referral).

- Solid waste and collection (item 12): The committee reviewed a transfer originally requested at $805,559 to cover two things: (1) a settlement payment to E.L. Harvey for services performed in June before the transition to the successor contractor and (2) higher-than-expected tonnage charges billed by the successor contractor, Capital Waste Services. Committee members pressed for invoices, proof-of-service and for future contract provisions to reduce abuse (examples discussed: limits on bulky-item pickups per household, appointment systems, and operational responsiveness). After discussion the committee amended the order downward (to $795,558.77) and referred the amended total to the full city council (committee tally 7-3). Committee members also asked administration to compile detailed tonnage and pickup audit information for the council and to ensure the next contract procurement includes clearer service expectations, reporting and options to limit per-household bulk pickup abuse.

Votes at a glance (committee actions)

- Item 1 — Elections: Transfer $15,500 to elections capital outlay; referred to full City Council for no further action (committee referral vote recorded in transcript as passing by the committee and placed on the full council agenda).

- Item 2 — Resilience & environmental stewardship: Transfer $20,500 for DEP-mandated and advisory monitoring (Shawmut Avenue landfill and Tabor Mills); committee vote tied 5-5; item did not pass as presented.

- Item 3 — Facilities & fleet (assessor office design): Transfer $28,000 for design work; failed committee vote 6-4.

- Item 4 — Assessor purchase of services: Transfer $40,000 for assessor contract/valuation services (Splice referenced); passed committee 7-3 and referred to full council.

- Item 5 — Workers' compensation settlement: Transfer $42,000 to settle one workers' comp claim (addresses indemnity except future medicals); committee referral recorded at committee level and referred to full council (vote at committee level recorded as 9-0).

- Item 6 — Tourism: Transfer $45,000 (proposed $25,000 for fireworks, $20,000 billboard); referred to full council for approval (committee referral; additional details requested on sponsorship/donations and billboard MassDOT compliance).

- Item 7 — MIS: Transfer $54,000 (approximately $40,000 postage for increased mail ballots; $14,000 firewall/cybersecurity); committee referred to full council (vote 8-2).

- Item 8 — Audit: Transfer $84,238 to fund the city audit contract (Hagan Sahadi); referred to full council (vote 10-0).

- Item 9 — Public infrastructure (Sullivan's Ledge monitoring): Transfer $93,100 for required additional monitoring; referred to full council (vote 7-3). Committee requested commitment that any surplus in the prior Sullivan's Ledge allocation be reserved for that project or return to free cash.

- Item 10 — Solicitor/outside counsel: Transfer $150,000 for outside legal counsel (labor/environmental); referred to full council (vote 7-3). Committee asked administration to evaluate expanding in-house capacity for labor negotiations.

- Item 11 — Fire personnel services: Transfer $731,000 to cover personnel-services shortfall in the Fire Department; committee referred to full council with condition that any surplus over $10,000 in the Fire Department 100 account be presented as a transfer to OPEB or pension (committee referral vote 10-0).

- Item 12 — Waste collection & disposal: Transfer (amended) $795,558.77 to cover a settlement with E.L. Harvey and higher tonnage charges billed by Capital Waste Services; amended amount approved and referred to full council (committee vote 7-3). Committee requested detailed tonnage and invoice audits and asked administration to incorporate stronger service and anti-abuse provisions in the next procurement.

Discussion vs. formal action

Committee members repeatedly distinguished discussion items (questions about operational details, contract terms and future procurement strategies) from decision items (formal motions to refer or approve transfers). Multiple councilors requested follow-up information to be provided to the committee or full council before final action: two-week payroll projections for the Fire Department; itemized prior renovation costs in City Hall; the detailed audit bid timeline and invoices for waste tonnage; documentation of billboard compliance and sponsor arrangements.

Ending

The committee concluded after roughly two-and-a-half hours of discussion and moved the referred items to the full City Council for final action. Members signaled an intent to follow up with administration on the longer-term issues raised in the meeting, including auditor procurement, in-house legal capacity for labor negotiations, procurement controls for solid-waste services, and options to direct any unspent transfers into OPEB or the pension fund as a hedge against long-term liabilities.