2024-12-04: Select Board

Click timestamps in the text to watch that part of the meeting recording.

Swampscott Select Board Meeting Review: December 4, 2024

1. Agenda

Based on the transcript, the likely agenda for the meeting was:

  1. Call to Order & Pledge of Allegiance 0:09:35
  2. Public Comment 0:10:10 (Initial 5-minute period announced, but extended significantly)
  3. Joint Meeting with Finance Committee: Tax Classification Hearing 0:38:03
    • Presentation by Assessor 0:39:58
    • Presentation by Finance Department Staff (Tax Bills, Peer Comparisons, Policy Options, Reserves, Gateway Reports) 0:45:29
    • Discussion and Finance Committee Consideration 1:03:53
    • Close Public Hearing 1:12:53 / Close Finance Committee Meeting 1:12:39
  4. Annual Permit Renewals 1:13:01
  5. Review and Vote on Special Town Meeting Warrant Articles 1:37:07
    • Article 1: Prior Year Bills 1:38:38
    • Article 2: Amend FY25 Budget (AFSCME Contract) 1:39:12
    • Article 3: Homeless Foster Care Transportation Fund 1:39:22
    • Article 4: Unitarian Universalist Church Eminent Domain Settlement 1:41:13
    • Article 5: Use of Free Cash to Reduce Tax Rate 1:47:12 (Tabled pending FinCom vote)
    • Article 6: Capital Improvement Plan Funding 1:48:00 (Tabled pending CIC meeting)
    • Article 7: Wetlands Bylaw Enforcement (State Statute Acceptance) 1:48:37 (Likely Pass Over)
    • Article 8: Wetlands Bylaw (Alternate Members) 1:49:30
    • Article 9: Demolition by Neglect Bylaw 1:50:16 (Tabled for final vote)
  6. Discussion and Vote: Land Disposition Agreement (LDA) & Ground Lease for 10 New Ocean St / 12-24 Pine St 2:05:06
  7. Consent Agenda 3:14:11
    • Approval of Minutes (Pulled) 3:14:21
    • One-Day Liquor License (Senior Center Winter Festival) 3:14:31
    • Peddler License 3:14:37
  8. Adjournment 3:14:45

2. Speaking Attendees

  • MaryEllen Fletcher (Select Board Chair): [Speaker 1] (Also likely some interjections tagged [Speaker 9] later in the meeting)
  • Katie Phelan (Select Board Member): [Speaker 2] (Also likely some interjections tagged [Speaker 14] during license discussion [1:32:46+])
  • Doug Thompson (Select Board Member): [Speaker 3]
  • Amy Sarao (Finance Director/Town Accountant): [Speaker 4]
  • David Eppley (Select Board Member): [Speaker 5]
  • Danielle Leonard (Select Board Member): [Speaker 6] (Also likely some interjections tagged [Speaker 21] throughout)
  • Paul Klufe (Town Assessor): [Speaker 7]
  • Matthew Dewless (Police Dept. Licensing): [Speaker 8] (Also referred to as Matt)
  • Mary DiCillo (Resident / TMM / VFW Auxiliary): [Speaker 9] (Initial use; tag possibly reused for Chair Fletcher later)
  • Patrick Lutte (Finance Department Staff): [Speaker 10]
  • Finance Committee Chair (Name Not Stated): [Speaker 11] (Also likely [Speaker 20] at 39:40)
  • Kurt Schwartz (Town Counsel): [Speaker 12]
  • Connor Shanahan (Resident): [Speaker 13] (Initial use)
  • Katie Arrington (Resident): [Speaker 14] (Initial use)
  • Susan Bishop (Resident/VFW Supporter from Salem): [Speaker 15] (Initial use; likely other interjections later)
  • Resident Demento (Name stated by Chair): [Speaker 16] (First instance)
  • John Ellis (Resident): [Speaker 16] (Second instance [36:20+])
  • Alicia McCarthy (Resident): [Speaker 17]
  • Steve Peterson (Online Commenter): [Speaker 18]
  • Liz Smith (Water & Sewer Committee Chair): [Speaker 19]
  • Cesar Mejia (Resident): [Speaker 20] (Initial use; tag possibly reused for FinCom Chair 39:40 and Matt Dewless 1:22:06)
  • Pledge Leader / Online Finance Committee Member / Danielle Leonard (Select Board Member): [Speaker 21] (Tag used inconsistently; mapped based on context for Pledge, FinCom close actions, and general Board participation)

(Note: Several speaker tags ([Speaker 9], [Speaker 13], [Speaker 14], [Speaker 15], [Speaker 16], [Speaker 19], [Speaker 20], [Speaker 21]) appear to be reused or assigned inconsistently in the transcript. Assignments above reflect the most likely speaker based on context for primary contributions, with notes on potential reuse.)

3. Meeting Minutes

1. Call to Order & Pledge: Chair MaryEllen Fletcher called the meeting to order slightly late 0:09:35. The Pledge of Allegiance was recited 0:09:55.

2. Public Comment: 0:10:10 Chair Fletcher opened the floor for public comment, limiting speakers to 3 minutes each and reminding attendees the Board could not respond directly.

  • Susan Bishop (VFW Supporter, Salem) 11:39: Criticized the potential displacement of the VFW for affordable housing, highlighting the VFW’s community contributions and alleging a lack of compassion from the Board.
  • Katie Arrington (Resident) 13:44: Urged the Board to take no action on the VFW/Pine St. project, citing her pending Open Meeting Law complaint and the Attorney General’s warning that votes could be nullified if violations are found. She alleged a lack of transparency regarding changes to the project plan.
  • Resident Demento 15:57: Spoke in favor of the affordable housing project, emphasizing the need for veteran housing and suggesting the former American Legion post on Burrell St. could accommodate the VFW.
  • Liz Smith (Water/Sewer Committee Chair) 16:56: Pleaded with the Board to keep ARPA funds allocated for Fisherman’s Beach water quality improvements intact, citing severe pollution findings and the necessity of planned pipe repairs.
  • Mary DiCillo (Resident/TMM/VFW Aux) 18:45: Recounted Swampscott’s development history, particularly west of Rt 1A, arguing the area is overburdened. She urged compromise on the Pine St. project, supporting veteran housing but expressing concern about the scale and density, calling for give-and-take.
  • Member Eppley reading for Krista Burke (Resident/TMM/VFW Aux) 23:04: Read a statement imploring the Board to table the LDA vote, calling the potential VFW displacement a betrayal of promises made at Town Meeting and to veterans. Burke argued the Rechards/Burrell St. option was not viable and urged finding a solution that honors commitments.
  • Alicia McCarthy (Resident) 25:14: Expressed concerns about unusable beaches due to pollution, questioning the town’s ability to handle more residents. She also cited privacy issues related to the nearby dispensary and safety concerns about a bus stop location, stating a lack of confidence in the town’s consideration for her family.
  • Cesar Mejia (Resident) 27:34: Stated he wasn’t against housing but opposed the project’s size, citing concerns about neighborhood character, traffic, parking, and transparency. He asked the Board to consider a smaller design.
  • Connor Shanahan (Resident) 28:57: Criticized a lack of transparency regarding the project’s history (demolition notice) and construction noise. He agreed the proposed 42 units were excessive for the street, while supporting veterans’ needs.
  • Dave Reynolds (Resident) 32:12: Expressed frustration with existing issues near Pine St (dispensary traffic, alleged late-night VFW activity) and strongly opposed adding 42 units.
  • Steve Peterson (Online Commenter) 33:35: Suggested exploring oyster reefs as a potential pilot solution to supplement efforts mitigating beach water pollution, citing examples elsewhere.
  • Marsha Dalton (Resident) 35:07: Agreed with prior neighbor concerns, adding information allegedly from DPW about potential water pressure issues with old pipes if a large building is added. She reiterated support for veterans and smaller-scale housing.
  • John Ellis (Resident) 36:20: Spoke online about the proposed building being too large (five stories) for the neighborhood character, anticipating significant impact from construction and increased residency/traffic. He hoped for a consensus on a scaled-down development.

3. Joint Meeting with Finance Committee: Tax Classification Hearing: 0:38:03 Chair Fletcher opened a public hearing 0:39:17.

  • Presentation: Town Assessor Paul Klufe 0:39:58 reviewed the assessment process, noting values increased slightly (approx. 2.5% average for single families). He mentioned Swampscott’s low commercial/industrial property (CIP) percentage and detailed new growth figures ($400k). He stated the process was running late but hoped for DOR approval soon. Finance Director Amy Sarao 0:45:29 presented data showing Swampscott’s average single-family tax bill ranking improved relative to peers and Essex County over 10 years. Average values increased slightly more than the county average. Commercial property values and tax bills remain significantly higher than county averages. Finance Dept. Staff Patrick Lutte 0:53:08 reviewed state aid (up 4.7%), local receipts (tracking budget), and the calculation of the tax levy ($59M before free cash).
  • Reserves & Tax Impact: Finance Director Sarao discussed free cash ($3.7M certified, 5.5% of budget) and stabilization funds (General at 9.05%, Capital at 2.02%, both near policy minimums) 0:57:54. She presented tax impact scenarios 1:02:26: using $850k free cash (recommended by finance team) would result in an average single-family tax bill increase of ~$315 (with max 1.75 shift) or ~$352 (with 1.70 shift), aligning with the ~$1/day impact promised for the new school debt.
  • Discussion: Member Phelan requested clarification on the tax shift 1:04:38. Assessor Klufe explained the shift moves burden from residential to the small commercial base 1:05:21. The Finance Committee Chair noted free cash was higher than anticipated but reserves are near policy floors, supporting the $850k figure 1:03:53. He stated the FinCom would vote on the $850k use on Monday before Special Town Meeting 1:11:51. The Board discussed the tax rate impact of 1.70 vs 1.75 shift; the commercial rate would decrease slightly in either scenario compared to last year [1:09:15 - 1:10:40]. Chair Fletcher noted the Assessor’s office staffing and reliance on consultants contribute to the late timeline annually, though it’s improving slightly 1:51:59.
  • Closing: The Finance Committee 1:12:39 and the Select Board 1:12:53 voted to close their respective meetings/hearing.

4. Annual Permit Renewals: 1:13:01 Matthew Dewless (Police Dept. Licensing) presented the renewal applications 1:14:20. Due to pending items (inspections, payments, manager changes), the Board decided to approve compliant applications and table others until the Dec 18th meeting.

  • Liquor Licenses: A motion was made by Member Phelan to approve licenses for Cafe Avellino, G Restaurant, Mexicali, Mission on the Bay, NY Haven, Paradiso, Tyerific, Swampscott Club, Burrill St Liquors, Vinnin Sq Liquors, Eris Express, Richdale 1:24:55. Dockside Pub was pulled for separate discussion regarding operating hours 1:25:19. The motion for the others passed (Vote count not stated, assumed unanimous unless noted). Dockside and other pending licenses (Chai Asian/Gourmet Garden, Pomona, VFW, St. John’s, Little Jeep) were tabled 1:30:48.
  • Common Victualler Licenses: A motion was made by Member Phelan to approve endorsed licenses (excluding Dockside, Five Guys, Cookie Monster, Bertucci’s, OYO, Pomona, Renzo’s, Starbucks which were pending/closed) 1:33:17. The motion passed 1:34:05 (Vote count not stated). Dockside and other pending licenses tabled.
  • Entertainment Licenses: Due to uncertainty about status, all entertainment licenses were tabled 1:34:32.
  • Class 2 Motor Vehicle Licenses: Four Seasons Motor Group and Paradise Auto Sales applied. Member Thompson raised concerns about Four Seasons potentially exceeding vehicle limits 1:35:54. A motion to approve both passed 1:36:46 (Vote count not stated), with a request for police follow-up on adherence.

5. Special Town Meeting Warrant Articles: 1:37:07 The Board reviewed and voted recommendations for the upcoming Special Town Meeting warrant.

  • Article 1 (Prior Year Bills): Recommended Approval (Motion Thompson, unanimous Aye) 1:38:49.
  • Article 2 (AFSCME Contract Funding): Recommended Approval (Motion Thompson, unanimous Aye) 1:39:13.
  • Article 3 (Homeless Foster Care Transport Fund Transfer): Recommended Approval (Motion Thompson, unanimous Aye) 1:41:13.
  • Article 4 (UU Church Eminent Domain Settlement - $490,698): Recommended Approval (Motion Fletcher, unanimous Aye) 1:46:55. Discussion clarified the amount covers the settlement principal ($450k), interest, and legal fees, funded initially by free cash but expected to be offset by National Grid energy rebates related to the school project.
  • Article 5 (Use Free Cash for Tax Rate Reduction): Tabled pending Finance Committee vote on Monday 1:48:00.
  • Article 6 (Capital Plan Funding): Tabled pending Capital Improvement Committee meeting 1:48:11.
  • Article 7 (Wetlands Enforcement Statute): Discussion indicated this might be passed over as the statute may have been previously accepted in 2009 1:48:37. No vote taken.
  • Article 8 (Wetlands Alternate Members): Recommended Approval (Motion Thompson, unanimous Aye) 1:50:00. This allows ConCom to appoint alternates per state law.
  • Article 9 (Demolition by Neglect Bylaw): Extensive discussion occurred 1:50:16. Town Counsel indicated existing authority exists but adopting the bylaw aligns with best practices. Concerns were raised about potential burdens on homeowners, enforcement mechanisms (town repairs costs becoming liens), funding for repairs (requiring appropriation), and the Historical Commission’s role vs. Select Board/Building/Health. The Board decided to table taking a final position until their pre-Town Meeting meeting on Monday 2:04:20.

6. Land Disposition Agreement (LDA) & Ground Lease - Pine Street Affordable Housing: 2:05:06 Chair Fletcher introduced the item for a vote. Member Eppley raised the issue of a pending citizen petition seeking to revoke the Board’s authority on this matter 2:06:23 and the AG’s OML investigation 2:14:03, arguing for delay.

  • Debate: A lengthy and sometimes tense debate followed.
    • Member Phelan 2:08:59 and Finance Director Sarao 2:09:30 emphasized the December 31st ARPA deadline to obligate $1.76M used for the property purchase, stating failure to sign an agreement (like the LDA) would risk having to return the funds and require borrowing, creating a new tax burden.
    • Member Eppley 2:12:52 argued the town was acting in good faith towards ARPA compliance by having an RFP process and partner, negating the immediate deadline pressure. He cited the citizen petition, the AG investigation, and credibility issues related to changing plans for the VFW as reasons to pause and ensure the project is done “right.”
    • Chair Fletcher 2:16:43 contrasted the previous acceptance of a larger building with the VFW next door versus the current plan (smaller building, VFW relocated to Burrell St. at town expense). She stressed the importance of the 40 veteran preference units and the need to move forward after extensive discussion.
    • Member Leonard 2:19:49 forcefully argued against delaying, recounting the lengthy process, the financial risk of losing ARPA funds, the need for affordable housing, and the offered solution for the VFW at 89 Burrell St. She defended the Board’s process and criticized the timing of the objections and the OML complaint. She stated the previous plan (VFW co-located) faced significant hurdles (flood zone, height).
    • Member Thompson 2:28:15 acknowledged the technical ARPA deadline but sought a path forward that didn’t “slam a door,” noting the division and the potential impact on the developer relationship. He questioned if the LDA could allow flexibility to still explore including a (potentially smaller) VFW post on-site.
    • The discussion explored the feasibility, cost implications, and previous communications regarding including a VFW post within the new building versus relocating it. Town Counsel Kurt Schwartz joined 3:06:23 and confirmed adding language to the LDA to keep the on-site post as an option (to be decided during due diligence) was feasible and aligned with earlier project concepts 3:08:16.
  • Motion & Vote: Chair Fletcher moved to approve the LDA and Ground Lease 2:08:33. After extensive debate and clarification with Town Counsel, the motion was effectively amended to approve the LDA/Ground Lease with the condition that language be added (subject to developer agreement) presenting two options: one with the VFW post relocated (current draft’s assumption), and one exploring inclusion of a post on-site, with a final decision on the path forward to be made during/after the due diligence period [3:06:49 - 3:09:24]. The amended motion passed 4-1 3:13:00, with Member Eppley voting no. Chair Fletcher initially voted no out of concern for risking the deal but changed her vote to yes [3:09:45, 3:11:05].

7. Consent Agenda: 3:14:11 Minutes were pulled. A motion to approve the one-day liquor license for the Senior Center Winter Festival and a peddler license passed (Motion Eppley, unanimous Aye) 3:14:37.

8. Adjournment: 3:14:45 A motion to adjourn passed (Motion Eppley, unanimous Aye).

4. Executive Summary

This meeting addressed several critical issues for Swampscott, dominated by the controversial VFW / Pine Street affordable housing project and preparations for the upcoming Special Town Meeting focused on the town’s finances.

Pine Street Affordable Housing Project & VFW Relocation: Extensive public comment [0:10:10 - 0:38:03] overwhelmingly focused on the proposed 40-unit veteran-preference affordable housing project at 12-24 Pine Street and the related plan to relocate VFW Post 1240 from 10 New Ocean Street. Residents and VFW supporters voiced strong opposition to relocating the VFW, citing broken promises, lack of transparency, and the inadequacy of the proposed alternative site (89 Burrell St.). Neighbors expressed concerns about the project’s size, density, potential traffic/parking impacts, and construction disruption.

After a lengthy and contentious debate [2:05:06 - 3:13:05], the Select Board voted 4-1 to approve the Land Disposition Agreement (LDA) and Ground Lease with the developer, B’nai B’rith Housing. Significance: This vote allows the project to proceed but includes a key compromise amendment. The agreement will now contain language (subject to developer approval) keeping the option open to include a VFW post within the new Pine Street building, alongside the option of relocating the VFW to 89 Burrell Street. A final decision on the VFW’s location will be made during the project’s due diligence phase after further exploration and public input. Board members supporting the vote stressed the need to meet a critical December 31st federal ARPA deadline 2:09:30 to secure $1.76 million used for the land purchase, avoiding a significant burden on taxpayers. Member Eppley voted against, citing process concerns, a pending citizen petition, and an ongoing Attorney General investigation 2:12:52. Impact: The project moves forward, but the VFW’s final location remains subject to further negotiation and analysis during the due diligence period. The ARPA funds appear secured for now.

Tax Rate and Budget: The Board held its annual Tax Classification Hearing jointly with the Finance Committee 0:38:03. Key takeaways:

  • Property values saw modest increases 0:41:08.
  • Swampscott’s average tax bill remains higher than peers but the gap has narrowed 0:45:29.
  • The Finance team recommended using $850,000 from Free Cash (surplus funds) to offset the FY25 tax rate increase, largely driven by new elementary school debt 1:02:26. This aims to keep the school’s impact near the ~$1/day promised to voters.
  • The Finance Committee supports this use of free cash and will vote formally on Monday [1:03:53, 1:11:51]. The Select Board will also formally set the tax rate (including the residential/commercial shift) early next week after final DOR certification 0:50:25. Significance: Approval of the free cash use at Special Town Meeting is expected to mitigate the tax increase for residents compared to what it would be otherwise. Reserve funds remain near policy minimums.

Special Town Meeting Warrant: The Board reviewed articles for the December 9th Special Town Meeting 1:37:07. They recommended approval for funding prior year bills, the AFSCME union contract, homeless student transportation, the UU Church eminent domain settlement ($490k, offset by rebates) 1:46:55, and a technical wetlands bylaw change. Decisions on using free cash for tax relief and capital funding were tabled pending committee votes 1:48:00. A proposed “Demolition by Neglect” bylaw aimed at preserving historic buildings was discussed extensively and tabled for a final decision Monday 2:04:20. Significance: These votes set the Select Board’s position heading into Town Meeting, guiding members on key financial and policy decisions.

Licensing: Numerous annual business licenses (Liquor, Common Victualler, Auto Dealer) were reviewed 1:13:01. Many were approved, but several (including Dockside Pub’s liquor/victualler license and all Entertainment licenses) were tabled until December 18th due to pending paperwork, inspections, or specific questions regarding operating hours (Dockside) [1:30:48, 1:34:32]. Impact: Most businesses are clear to operate in 2025, while others require follow-up before renewal.

5. Analysis

The December 4th Select Board meeting transcript reveals a board grappling with complex, divisive issues under significant pressure, particularly concerning the Pine Street affordable housing project and its implications for VFW Post 1240.

Pine Street/VFW Dynamics: The extended public comment period [0:10:10 onwards] effectively set the stage, dominated by passionate arguments against the VFW’s displacement and project scale/impact. Resident arguments centered on transparency (Arrington 13:44, Shanahan 28:57), neighborhood character/burden (DiCillo 18:45, Mejia 27:41, Ellis 36:41), and perceived betrayal of veterans (Bishop 11:39, Burke 23:04). These comments appeared influential, framing the subsequent board debate.

The Board’s own debate on the LDA [2:05:06 onwards] exposed deep divisions and competing pressures. Members Phelan and Leonard presented pragmatic, forceful arguments emphasizing the imminent ARPA deadline [2:09:30, 2:19:49] and the financial consequences of inaction ($1.76M risk). Their position appeared grounded in fiduciary responsibility and the difficulty of reversing prior Town Meeting authorizations and financial commitments. Member Eppley countered effectively by leveraging procedural concerns – the pending citizen petition 2:06:23, the AG investigation 2:14:03, and the perceived credibility gap stemming from shifting plans – arguing for a pause to “get it right” 2:16:43. Member Thompson acted as a mediator 2:28:15, acknowledging the financial realities while persistently seeking compromise and more process to potentially integrate the VFW on-site, reflecting sensitivity to the political fallout. Chair Fletcher seemed torn between moving forward and the potential risks/division [2:16:43, 3:09:49].

The eventual 4-1 vote for a conditional LDA approval, brokered with Town Counsel’s input 3:06:23, represents a significant, albeit perhaps fragile, compromise. It allowed the majority to address the ARPA deadline while offering an olive branch (keeping the on-site VFW option alive) to dissenters and the concerned public. However, Member Eppley’s continued ‘No’ vote 3:09:43 signals the underlying conflict remains unresolved. The effectiveness of this compromise hinges entirely on the developer’s reaction and the outcomes of the due diligence period. The discussion suggested B’nai B’rith may be losing patience 3:02:29, making the next steps crucial. The Board majority effectively prioritized avoiding the immediate ARPA financial penalty, while deferring the politically harder decision on the VFW’s final location.

Financial Management: The tax classification hearing 0:38:03 highlighted competent financial stewardship (improved tax bill ranking 0:45:29, conservative budgeting yielding free cash 0:57:54), but also systemic issues (late assessment process [0:50:52, 1:51:59]). The finance team’s recommendation to use $850k free cash seemed well-justified to honor the commitment made regarding the school’s tax impact 1:02:26, demonstrating political awareness alongside fiscal management. The discussion about the tax shift 1:04:45 showed the Board considering impacts on different taxpayer classes, though the commercial base’s small size limits the practical effect 1:05:21.

Warrant & Bylaw Discussions: The review of warrant articles was mostly routine, except for Article 9 (Demolition by Neglect) 1:50:16. The lengthy debate revealed uncertainty about its necessity (given existing powers) and potential unintended consequences (financial burden, enforcement complexity) [1:52:14, 1:59:07]. Tabling the decision reflected appropriate caution on a potentially impactful bylaw needing further vetting, despite apparent support from the Historical Commission liaison (Thompson).

Overall Meeting Dynamics: The Chair managed a long and often tense meeting, allowing extensive public input and board debate, particularly on the LDA. The interactions revealed significant internal board disagreement and communication challenges (evidenced by differing recollections of developer communications [2:34:21 vs 2:34:38]). The reliance on Town Counsel late in the LDA debate proved critical in finding a path forward 3:06:23. The meeting underscores the difficulty of balancing development goals, community character, financial constraints, and deeply held constituent concerns in Swampscott’s governance structure. The conditional LDA vote kicks the can down the road on the core VFW conflict but addresses the most pressing financial deadline, setting the stage for further intense negotiations.