Town of Warner trustees approve minutes and flag shrinking capital reserves

Trustees of the Town of Warner approved reconstructed minutes and reviewed the town's investment portfolio, with trustees noting that capital reserve funds have been drawn down by recent expenditures and lease payments.

Speaker 1, who spoke throughout the financial review and identified the figures, told the board the town's investment market value was $656,005.41 and that unrealized gains totaled $166,007.70. "We earned all that interest," Speaker 1 said, noting that Bar Harbor and Fidelity-managed holdings showed appreciation.

The review highlighted that recent withdrawals exceeded recent deposits. Speaker 1 said the trustees added roughly $605,000 to the portfolio over the period discussed but also recorded withdrawals totaling about $1,000,002.20 plus an additional roughly $28,000, which, the trustees said, has reduced capital reserve balances and raised concerns about funding for future maintenance and capital projects. "If the trustees weren't investing the money, that money wouldn't even be there," Speaker 1 said, urging caution about relying on reserves for operating needs.

Speaker 2 asked whether lease payments for two pieces of equipment were charged to capital reserves; Speaker 1 confirmed the first-year lease payments were paid from those funds. Trustees also noted a $28,004.76 request that was paid from income rather than principal, and discussed how relying on income balances limits available funds.

On year-end distributions, Speaker 1 said the trustees distribute income balances to named beneficiaries and listed recipients including the United Church of Warner, the Free Library, Pierce High School and the Town of Warner. As an example of small income balances, the Parsonage Fund showed an income balance of $15.55. Trustees discussed that many funds are restricted to specific purposes and that releasing principal or reallocating funds would require select board authorization and could entail legal costs.

The trustees reviewed cemetery perpetual-care funds and market values for individual cemeteries; Pine Grove Cemetery was cited at roughly $112,000'00,000 in market value, while other smaller cemeteries held more modest sums. Trustees noted perpetual-care payments on plot sales (about $200) produce limited annual income and that available space at some cemeteries is constrained.

Procedurally, Speaker 1 explained that Bar Harbor uploads the town's data to the state portal but that trustees must officially submit the report and that the state commonly returns items for correction. Speaker 1 said they typically handle the submission and expected further state review.

The meeting included a motion to approve reconstructed minutes from July 23 and a December 8 draft; the motion was made by Speaker 1, seconded, and approved by vocal assent. Speaker 1 also reported that Judy has offered to serve again as a trustee as a write-in candidate and asked attendees to spread the word. The trustees moved to close the meeting by motion and adjourned.

Next steps: Trustees will submit the annual report via the state portal and monitor any state feedback; trustees signaled they will continue to review capital reserve policies and the town's approach to restricted fund expenditures. The meeting closed after routine final remarks.