MINUTES
Meeting of September 9, 1997
The Legislative Oversight Committee on Restructuring Education met at 9:45 a.m. in the Legislative Lounge of the State House.
MEMBERS PRESENT: Sens. Cheryl P. Rivers, Chair; Nancy I. Chard; Helen S. Riehle; Reps. John S. Freidin; David C. Hathaway; Martha P. Heath; Karen M. Lafayette.
STAFF PRESENT: Bill Russell, Emily Tartter, Anne Winchester and Rachel Levin of the Legislative Council; Steve Klein of the Joint Fiscal Office.
Senator Rivers called the meeting to order at 9:45 a.m.
1. APPROVAL OF 8/26/97 MINUTES
On a motion made by Sen. Chard, the committee approved the minutes of the August 26, 1997 meeting, as submitted.
2. REPORT FROM SECRETARY OF ADMINISTRATION, KATHY HOYT
Secretary Kathy Hoyt discussed a memo dated September 9, 1997 to the committee in regard to the Administration’s implementation of Act 60. She noted that a Request for Proposal for assistance with the public information program on Act 60 was issued last week.
Sectary Hoyt announced that the Governor has made his appointments to the Commission on Quality Appraisals and Equalization and that the group will be meeting frequently over the next few months. She said they will "review the practices and methods of real estate appraisal in the state, the methods used to equalize appraisal values uniformly throughout the state. The needs for quality appraisals and the requirements for comprehensive state-wide equalization as directed by Act 60. The commissioner shall consider revisions to the real estate appraisal practices and requirements, particularly as they may relate to improvements in methods for equalizing fiance burdens and property taxes." The group will be assisted by the Division of Property Valuation and Review staff.
She also announced that Sean Campbell has joined the Administration as Deputy Tax Commissioner and Special Assistant to the Secretary for education reform.
3 REPORT FROM COMMISSIONER OF EDUCATION, MARC HULL
Commissioner Marc Hull reviewed a draft memo dated September 9, 1997 to Superintendents,
Business Managers, and School Board chairs in regard to FY 1999 budget preparation; a memo dated September 8, 1997 to the committee in regard to the Education Department’s update; as well as a document called a "Progress Report" which was printed from the Department’s web site.
The draft memo addresses the subject of preparation of school budgets. It addresses key dates in the budget process, new requirements that apply to budget preparation, tools to assist with budget preparation and budget issues under discussion. He noted that this is the first in a series of memos which will explain the process.
Commissioner Hull updated the committee on communications, including handbook preparation, budget guidance, presentations and internal speakers bureau; work in progress, including standards review, ensuring quality, budget preparation, calendar; and help needed including property tax adjustment claims and accounting basis. He noted that the Department is interviewing for staff positions which will assist in the growing demands for responses to technical assistance. He also said they are interviewing for a person to assist Gerry Cassell.
He discussed the accounting issue which arises when some towns are on a cash basis and others are on an accrual basis and asked for the committee’s assistance in thinking through the process of having all towns provide the budgeting information which is necessary for implementation of Act 60.
4 REPORT FROM COMMISSIONER OF TAXES, ED HASSE
Commissioner Ed Haase distributed four documents for review with the committee: a draft memo dated September 10, 1997 to Town Treasurers, Clerks and Listers; a draft letter dated September 12, 1997 to Officers of Vermont Cities and Towns; a draft Notice and Explanation for Inclusion in the Income Tax Booklet; and a 1998 Credit Computation sheet.
Commissioner Haase said that the memo to Town Treasurers, Clerks and Listers is to inform them of what will be happening over the next six months, noting that a letter will be sent later in the week which describes how a new computer system can be purchased, or if already computerized, how a reimbursement can be applied for. He adds that the Department is hiring new personnel to help get computers set up.
The draft letter of follow up outlines the premises and guidelines for computer procurement and/or reimbursement.
The committee gave the Commissioner suggestions on how to revise the two draft letters as well as the 1998 Credit Computation.
Rep. Freidin moved that the Department of Taxes develop a form to enable it to help taxpayers determine their eligibility for a 1998 property tax relief check. This form should require as few pieces of information as possible from the taxpayer and enable the Department to do the necessary calculations on its own computer. The motion was seconded by Rep. Heath and passed unanimously
5. REPORT FROM DIRECTOR OF PROPERTY VALUATION AND REVIEW,
BILL JOHNSON
Bill Johnson presented the committee with two documents: Valuation Views, dated September 1997 and Plans for Assisting Municipal Officials with Implementation of Act 60.
Bill Johnson said Valuation Views is a monthly newsletter which will be mailed to Listers. It addresses personnel changes, has an overview of Act 60, notes about the April 1, 1998 Grand List, the Education Property Tax Grand List, the Equalized Education Grand List, homestead, non-residential real property, preparing for change, computer update, Tax Department access to any information in a town’s computer system, Q & A section, Property Valuation and Review update, and education opportunities. The committee gave Bill Johnson suggestions for the newsletter and said they would like to see the final version at the next meeting.
Bill Johnson introduced Theresa Knight, Chief of Operations who was hired in June to coordinate and oversee Division activities and reviewed plans for assisting municipal officials.
6. REPORT FROM LEGISLATIVE COUNCIL ON RESPONSE TO 8/8/97 MAILING
TO LOCAL OFFICIALS
Bill Russell of the Legislative Council and Steve Klein of the Joint Fiscal Office reviewed activities for the committee for the meetings of September 16 and 23. They outlined written materials which will be provided to the committee for review including a Questions and Answer document developed in response to the committee’s August 8, 1997 letter to local officials, Technical Corrections Act which addresses technical issues raised and proposed corrections and the Letter of Intent which is being prepared by the conferees for issuance. They also reviewed specific work responsibilities under Act 60, Section 90.
7. FUTURE COMMITTEE PLANS
The committee discussed the importance of keeping colleagues informed and suggested arranging two formal sessions with the Administration to go over materials relating to public information.
It was suggested that the minutes should be made available to the weekly newspapers and the public and that the issues the committee is discussing should be identified. Members talked about the difference between minutes and public information. It was decided the minutes as well as the full agenda would be posted on the web.
Committee requests for information, actions which will be taken:
1. names and titles of expanded Leadership Group from Secretary of Administration
2. a chapter or two from Commissioner Hull’s primer
3. a request that Commissioner Hull keep a list of communities which are requesting
assistance
4. a request that Commissioner Hull write a letter to school board chairs letting them
know that information is on the way and requesting that they pass the letter on to all
the school board members
5. a request for Bill Johnson to provide the final version of Valuation Views
6. a request that Steve Klein draft a proposal for a report on economic development
and ACT 60
7. a list of local officials who have agreed to serve on the Local Officials Advisory
Committee and a draft "charge" for the committee
8. a request was made that Steve Klein draft a letter for the Chair to sign to the State
Treasurer to encourage him to communicate with the committee prior to January
9. a mailing to original list of local officials with Q and A enclosed with letter from
Chair
10. a request that Bill Russell draft a proposal for the committee to consider for two
presentations sponsored by the committee for legislators in two locations to take
place this Fall
11. a request that the full agenda and minutes be posted on the web
8. AGENDA FOR NEXT MEETING
The agenda for the next meeting is attached.
The meeting adjourned at 3:00 p.m.
Respectfully submitted,
Rachel Levin