►
From YouTube: Committee on Ways & Means on July 31, 2017
Description
Docket #1001- Submission to the Massachusetts School Building Authority for projects at various schools.
Docket #1002- Increase to the cost-of-living adjustment ("COLA") case from $13,000 to $14,000 for all retirees and beneficiaries of the Boston Retirement System
A
This
includes
the
payment
of
all
costs
incidental
or
related
thereto,
and
for
which
the
city
of
Boston
may
be
eligible
for
a
grant
from
the
Massachusetts
School
Building
Authority
set
amount
to
be
expended
under
the
direction
of
the
public
facilities
Department.
On
behalf
of
the
bumble,
Boston
Public
Schools
I'd
like
to
remind
folks
that
this
hearing
is
being
broadcast
and
recorded
on
Comcast
channel
8,
RC
n
channel
2,
as
well
as
Verizon
FiOS.
A
We
encourage
public
testimony
would
appreciate
it
if
you
would
sign
in
and
check
off
the
box
to
testify.
We
also
encourage
written
testimony
via
email
or
or
mail,
and
finally,
we've
asked
everyone.
Please
silence
any
electronic
devices,
and
with
that
we
are
here
with
Brian
McLaughlin
welcome,
Brian
and
to
give
us
an
overview
of
this
project.
Thank.
B
Council
the
Masters
in
school
building
Authority
is
a
state
authority
that
oversees
the
funding
of
public
school
construction
projects
within
the
Commonwealth.
The
MSP
is
a
reimbursement
agency
and
it
works
with
local
communities
to
figure
out
the
most
fiscally
responsible
and
educationally
appropriate
solution
for
various
issues
that
may
be
insert
in
their
facilities.
B
The
authority
is
funded
through
one
penny
of
each
of
the
sales
tax
in
Massachusetts
mayor
Walsh
has
made
it
a
point
to
try
to
utilize
this
agency
moreso
than
in
past
years
with
within
the
city
of
Boston,
and
he
successfully
done
so
over
the
past
two
years,
specifically
with
the
accelerator
repair
program,
the
first
step
in
the
MSBA
process
to
submit
a
statement
of
interest
to
the
MSBA.
This
allows
districts
to
notify
the
school
building
authority
that
there
are
certain
issues
within
a
facility.
B
The
MSP
will
review
the
Assessor
eyes
and
then
figure
out
what
the
solution
would
be
for
a
specific
problem.
Msp
a
has
two
programs:
they
have
the
core
program,
which
is
for
major
renovations,
large
repairs
in
new
school
construction
and
then
there's
the
accelerated
repair
program.
That's
strictly
for
roofs
windows
and
boilers,
and
otherwise
structurally
sound
facilities
again
Emmett's
the
ARP
is,
is
limited
to
roof
windows
and
boilers.
B
Working
with
the
city
of
Boston
Boston
Public
Schools
facilities,
team
in
gathering
information
from
Phil
bps
master
plan
city
submitted
eleven
statements
of
interest
to
the
MSBA
for
the
accelerator
repair
program
which
you
listed
previously,
they
were
boilers
at
East,
Boston,
high
school
O'donnell,
Sumner,
Timothy
and
Tobin.
We
also
submitted
Roos
for
the
Curley
Russell
windows
for
the
chidduck
Kilmer
Marshall
up
Academy
in
the
Perry
school.
Through
their
review
process.
They
moved
forward
seven
schools
at
this.
The
most
recent
board
meeting
in
June.
B
The
four
schools
that
didn't
were
not
move
forward
were
a
result
of
a
review
of
the
statement
of
interest
which
is
more
or
less
the
MSB
application
and
a
visit
out
to
those
schools.
After
talking
the
MSP
this
year,
they
had
to
do
things
well
differently
because
they
received
so
many
statements
of
interest.
So
the
way
they
reviewed
these
was
was
changed
a
little
bit
in
the
past
that
building
systems
had
to
be
at
least
20
years
old,
but
this
year
they
bumped
up
to
30.
B
So
some
of
the
four
schools
that
were
passed
on
this
time,
we
will
have
a
will
have
the
ability
to
resubmit
in
future
the
schedule
going
forward.
If
you
want
me
to
run
through
it
real
quick,
you
know
these
schools
sure.
Obviously
today's
hearing
first
vote,
hopefully
on
Wednesday
I,
believe
the
next
city
council
meeting
is
August
28
2028.
B
So
that
will
be
the
second
vote.
We'd
have
the
money
in
hand
20
days
later,
MSBA
would
assign
OPM
in
design
of
probably
sometime
in
February.
I
would
work
with
them
and
through
the
beginning
of
next
year,
hopefully
get
pitiable
documents
in
the
spring,
and
these
projects
would
hopefully
be
in
construction
next
summer.
The
one
project
that
might
be
delayed
to
the
following
year
is
windows,
because
the
lead
time
associated
with
window
projects
is
so
long
that
sometimes
they
get
bumped
out
full
school
year.
B
Currently,
over
the
past
few
years,
the
council
has
approved
money
for
12
accelerated
repair
program
projects
that
are
currently
in
construction
throughout
the
city.
So
with
the
2015
submission,
we
have
a
total
project,
butter
about
29
million
dollars
and
we're
getting
sixteen
point.
Four
million
dollars
reimbursed
through
the
state,
the
2016
round
of
statements,
event,
MSBA
accelerator,
repair
program
projects
we're
getting
about
over
six
million
dollars
on
nine
million
dollars
in
construction.
At
five
schools.
C
A
D
C
B
When
we
get,
we
get
the
OPM
in
the
OPM
comes
on.
First,
okay,
on
this
project
manager,
home
that's
requirement
through
the
MSB
a
accelerator
pair
program;
appointment,
they
appoint
them.
It's
our
randomly
selected.
They
come
on
board.
They
help
us
negotiate
the
fee
for
the
designer
that
comes
on
board.
B
C
B
D
A
B
B
Sure
yeah,
we
have
12
underway
right
now:
seven
windows,
three
boilers
and
two
roofs.
The
boils
and
roofs
are
more
easily
manageable
because
they
is
less
impact
directly
to
the
students
with
these
projects,
because
it
kind
of
we
can
get
them
done
soon
in
the
basement
of
the
roof
right.
So
the
windows
working
closer
would
be
will
be
with
VPS.
B
We've
worked
over
the
past
hour
months
with
the
school
leaders
had
masses
principals,
knowing
that
there's
going
to
be
some
work
remaining
likely
into
September,
but
we're
trying
to
minimize
the
impact
on
the
educational
spaces
right.
So
we're
focusing
on
getting
all
the
the
classrooms
done
this
summer,
and
maybe
some
of
the
nine
occasional
spaces
may
linger
into
September,
but
all
the
work
will
be
done
once
school
starts
after
school
hours.
Great.
C
B
A
A
Of
ways
and
means
in
the
Austin
Brighton
district
city
councilor
today
is
Monday
July
31st.
We
are
here
to
review
docket
one
zero,
zero,
two
message
in
order
approving
an
increase
of
the
cost-of-living
adjustment,
the
cola
base
from
13,000
to
14,000
for
all
retirees
and
beneficiaries
of
the
Boston
Retirement
System
I
am
joined
by
my
good
friend
from
West
Roxbury
JP.
A
Madam
Ali
I
asked
folks
in
the
chamber,
if
you'd
like
to
testify
to
sign
in
and
indicate
on
the
sheet
that
you'd
like
to
testify.
Please
state
your
name
address
and
any
affiliation
I
also
like
to
let
folks
know
that
this
hearing
is
both
being
broadcast
and
recorded
on
our
CN
channel
82
in
Comcast
channel
eight
and
I'd.
Ask
folks
in
the
chamber
to
silence
their
electronic
devices.
I
would
like
to
welcome
to
the
chamber
Alan
McCarthy,
Ragan
and
Tim
Smith
for
their
presentation
on
this
docket.
A
E
You
very
much
counselor
again.
My
name
is
Timothy
Smith
I'm,
the
executive
officer
of
the
Boston
Retirement
System
and,
as
you
mentioned
to
my
right,
is
Ellen
McCarthy
she's,
our
interim
comptroller,
and
to
my
left,
is
product
line
in
that
general
counsel.
Just
briefly,
as
you
indicated,
we're
here
for
the
call
of
Base
Massachusetts
pension
law
allows
us
to
increase
the
cola
base
under
certain
circumstances.
As
you
may
know,
Kohler
is
based
on
a
percentage.
It's
historically.
The
Boston
Board
is
granted
a
3%
Cola
year
after
year,
but
it's
based
on
a
base.
E
It's
not
based
on
a
person's
complete
retirement
allowance.
Since
August
10
2012,
the
cola
base
has
been
$13,000,
so
it's
3
percent
on
3rd
presently
3%
on
$13,000.
That
is
what
a
retiree
from
Boston
receives
as
a
cola
year
after
year,
when
making
a
request
today
to
increase
that
base
to
$14,000
Massachusetts
law
requires
that,
after
the
board
vote,
that
would
be
approved
by
City
Council,
which
is
obviously
where
we
at
today.
Just
to
give
you
some
background
on
the
board,
I
did
pass
out
this.
E
Ms
McCarthy
was
very
kind
to
boil
down
in
this
in
this
document
here
that
we
passed
out
the
costs
associated
with
with
this
Cola
bass
increase.
Currently
a
year-to-date
way
return,
we're
plus
eight
point:
six
percent,
Netta
fees.
We've
already
hit
our
target,
which
we're
obviously
delighted
about,
but
we
still
have
a
number
of
months
to
go
to
the
years
old,
so
we're
not
counting
our
chicken,
Jeff
and
I
would
like
to
turn
it
over.
If
you
have
any
questions
or
our
thanks
to.
A
A
E
A
A
C
Don't
other
than
to
really
thank
Angela
Christiana
and
her
team
for
pushing
this
I'm
proud
to
support
it.
Your
predecessor,
mr.
chairman,
famously
said
that
in
this
room
we
often
lose
both.
So
it's
nice
to
court
or
some
good
sense
legislation
that
I
think
it's
fair,
modest.
Obviously
we
can
afford
it
so
I
think
it
is
so
proud
to
be
in
support
of
it.
Thank
you,
Tim
and
your
team
for
a
great
work.
Thank
you
very
much.
We.
A
G
Mr.
chairman
and
member
of
the
record,
my
name
is
Sam
Tyler,
president
of
the
Boston
Red
Bull
Research
Bureau
and,
unlike
previous
speakers,
I'm
here,
to
oppose
the
$14,000
base
and
suggest
that
the
council
keep
it
at
13,000.
Our
concern,
as
you
know,
from
prior
testimonies,
is
that
the
city
do
nothing
to
increase
the
liability,
but
to
ensure
that
they
that
the
city
maintains
a
schedule
through
reach
full
funding
and
pension
liability
by
2025
and
as
you've
already
heard,
this
vote
would
increase
the
pension
liability
by
2025
by
twenty
five
point:
four
million
dollars.
G
G
That's
an
increase
of
172
point,
six
million
dollars
or
78
percent
over
seven
years.
I
think
that
is
concerning,
of
course,
this
year
budget,
at
least
in
terms
of
what
was
approved
by
the
City
Council.
The
budget
for
the
pension
system
will
increase
by
11
percent,
while
the
overall
city
budget
increased
only
by
4.9
percent,
and
that's
one
of
the
issues
were
seeing
also
in
over
the
you
know,
trends
over
the
years
that
the
mandatory.
G
Non
discretionary
expenses
are
increasing
at
a
much
faster
pace
than
the
departmental
services.
Basically,
you
know
separate
percent
to
5
percent
or
actually
4.9
percent,
and
that
trend
is
troubling
if
that
were
to
continue-
and
this
will
add
to
that-
you
know
the
Overland
restart
numbers
were
over
the
last
four
years.
G
The
retirement
board's
investment
return
on
a
market
basis
was
six
point,
two
eight
percent,
which
is
I,
think
a
more
reliable
basis
than
the
actuarial
numbers
that
you
heard
and
we've
also
looked
at
other
states
where
there's
more
of
a
tendency
to
not
include
not
allow
any
Cola
increase
until
that
retirement
system
reached
80%
of
funding,
and
you
know
we
were
at
69%,
so
our
recommendation
has
been
follow.
That
pattern
not
increase
the
cola
base
increase.
We
have
supported
the
3%
of
the
13,000
Cola,
but
not
not.
G
The
base
of
the
14,000,
so
basically
for
all
those
reasons
and
the
fact
that
you
know
support
the
regional
funding
of
the
pension
liability
by
2025.
So
you
can.
The
city
can
really
seriously
address
the
two
point:
two
six
billion
moped
liability
and
the
pensions
liability
and
the
change
in
the
base.
So
it
will
have
no
impact
on
okay,
since
that's
based
on
the
retirement
of
excellent
sorry.
But
the
health
insurance
liability,
but
you
know,
reaching
reaching
full
funding
by
2025
means
that
basically
84%
of
what
is
paid
2025
pensions
goes
away.
G
G
The
recent
metal
included
a
three
million
dollar
increase
of
the
pension
appropriation
because
of
of
increasing
it
would
be
anticipated
both
by
the
City
Council,
to
approve
the
bass
increase
and
that
$3,000,000
will
increase
each
year
up
until
25
2025.
So
clearly,
in
your
deliberations
with
other
departmental
spending,
I
think
you
could
identify
other
areas
where
three
million
dollars
could
come
in
very
handy
in
lieu
of
you
know:
increasing
the
pension
appropriation
so
going
holwell's
the
vote
on
Wednesday.
G
A
A
E
D
A
Just
you
know,
I
think,
with
being
the
responsible
generation
right
now
we're
paying
down
this
liability
and
it's
it's
basically
falling
on
the
shoulders
of
our
current
retirees
and
to
Sam's
point
when
we
do
fund
this
in
2025
and
start
chipping
away
at
our
open
liability.
This
generation
of
city
workers
will
have
paid
that
down
after
assuming
the
liability
for
generations
past.
So
you
know
again
we're
trying
to
balancing
balance.
A
H
You
counselor,
my
name
is
Lawrence
Connolly
I'm,
the
co-chair
of
the
BQ
retired
teachers.
Chapter
legislative
committee
we've
been
working
on
trying
to
increase
this
call
of
up
quite
a
while.
We
worked
on
the
state
level
to
get
it
enabled
and
we've
been
working
on
the
city
level.
I
appreciate
the
fact
that
there's
an
unfunded
liability,
but
that's
not
the
fault
of
the
retirees
they
paid
their
percentage
in
which
was
required
every
year.
H
It's
up
to
11%
now
on
teachers,
which
is
one
of
the
highest
in
the
nation,
and
the
unfunded
liability
was
because
the
retirement
system
prior
to
1987
was
basically
a
Ponzi
scheme.
Money
came
in,
it
was
paid
out
to
the
people
that
retire
and
very
little
of
it
was
was
invested,
so
it
it
really
wasn't
sustainable.
H
The
way
it's
being
run
now
is
responsible,
but
unfortunately
the
burden
has
been
placed
on
the
people
that
have
currently
retired.
They
shouldn't
have
to
accept
the
entire
burden.
Mr.
Koller
referred
to
the
fact
that
some
systems
in
other
states
are
not
currently
giving
colas
and
that
that's
true,
but
some
states
retirees
obtain
nothing
into
their
retirements.
As
you
all
remember,
the
big
to-do
in
Wisconsin,
when
they
people
were
sitting
in
that's
because
they
were
going
to
raise
the
they
were
going
to
charge
retirees
five
percent
for
that
pension.
H
These
other
systems
that
are
not
paying
colas
paying
into
Social
Security,
with
one
of
seven
states
that
do
not
pay
into
Social
Security.
If
we
were
paying
into
Social
Security
that
the
city
would
be
paying
6.2
percent
on
whatever
earnings
someone
made,
people
then
would
get
up
about
twenty
seven.
Twenty
eight
thousand
dollars
in
Social
Security
benefit
benefits
that
Massachusetts
retirees
do
not
get.
You
get
a
cola
increase
every
year,
based
on
the
CPI.
We
don't
get
that
so
there
there
are
some
old
Kemp
liabilities
down
the
line,
we're
talking
about
apples
and
oranges.
H
Not
every
retiree
gets
health
benefits
from
the
city.
We
don't
know
what
is
going
to
come
down
the
line,
the
city's
in
its
first
year
back
in
2010,
safe
equals
mm
yeah
2010.
They
saved
seventeen
and
a
half
million
dollars
when
they
mandated
Medicare.
Now
that
meant
that
retirees
would
have
obtained
Medicare
benefits
on
earnings
that
they
made
outside
the
Retirement
System
and
the
benefits
that
the
city
never
matched
to
retire
as
a
social
care
payments
on
so
I
don't
like
to
minimize
the
old
cut
benefits,
but
that's
something
completely
different.
H
We
could
have
national
health,
nobody
knows
what's
going
to
happen
in
Congress,
that
could
be
single-payer
health
insurance
and
that
wipes
out
the
entire
hope
it
benefits.
So
I
think
we
should
concentrate
just
on
the
retirement
benefits.
That's
what
the
liability
is,
and
the
city
says
the
the
mayor's
financial
advisor
who's.
The
Sweeney
said
that
the
city
can
handle
an
increase
to
a
thousand
dollars.
Boston
is
booming.
On
top
of
their
two
and
a
half
percent
tax
ability,
they
could
75
million
dollars
more
kind
of
Alysha.
The
retiree
should
share
in
some
of
that
benefit.