These Changing Timez, On The Money with Peter Hebert, May 4, 2011‏

This segment of On The Money with Peter Hebert is a two hour segment that addresses the Obama Administration's announcement of the death of Osama bin Laden. Hebert states that the only people who believe the establishment line are True Believers (read Eric Hoffer's book by that title) or those just beamed down to earth with no context or frame of reference.(Listen to the show here).

Join your host Peter Hebert, author of Mortgaged and Armed (A key to understanding mortgage industry tactics.), as he discusses the important issues surrounding the financial world and wall street events, what they mean to you the average person, and how you can navigate the swiftly moving currents and unseen perils of these changing times.

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No Increase In Taxes say Lisbon's Officials of budgets presented Oh Really?

All Lisbon Residents:

I had the pleasure and honor to witness a real live miracle last night at the Public Hearing on the 2011-2012 Budget. I could not believe it was possible but both the School and Town budgets are NOT going to raise our taxes this year according to the Town Manager.

First, I want to compliment Mr. Green for an excellent presentation outlining the School budget process and detailing what they had done to reach their goal of keeping the budget so there would be no increase in our taxes.

However, on the town side I can not say the same. The handout provided at the Public Hearing outlined the budget much better but still needs a lot of work like explaining when you transfer accounts from one line item to the other. It appears the town did some very “creative accounting”.

The Town Manager gave a presentation of the town budget but never mentioned whether or not the resident of Lisbon’s taxes would be increasing this year. I would think this might be a critical point in his presentation, however, he never mention the impact the budget would have on taxes. Included in the proposed budget is still a wage increase of 1.75% to ALL town employees; losses of jobs for four or five individuals, and an 8% increase to two individuals for taking on additional duties. Also, the Town Manager and his secretary’s professional development are still in the budget proposal.

After the Town Manager’s presentation I asked the Town Manager: “What was the bottom line on whether or not the residents of Lisbon will experience a tax increase this year.” The Town Manager’s response was “There will be NO tax increase this year.”

I want you to know the town must have done a lot of “creative accounting” to have so much increase in spending and not raise our taxes. Makes you wonder why it was not done before.

In all honesty, I have to tell you, all my dealing with the Town Manager he has never told me the truth. Remember last year, when the Town Manager stated there was nothing the town could do because we had a “valid commitment” and come to find out there was no “valid commitment”. This cost the town an additional $10,000 dollars to correct. The Town Manager stated the investigation into the $32,500 in the Economic Development Department was over and come to find out the State Attorney’s General office had to send a special letter to clarify the situation. There have been many more situations where the input received from the Town Manager was incorrect. If you attend the Town Council meetings, you will witness items come before the Town Council for a vote and some of the Councilors were never notified or provided any information prior to the meeting.

I can almost guarantee you your taxes will go up at least $.35 per thousand this year, if not more. The residents of Lisbon need to start paying more attention to what is going on in this town. I advise all residents to review the public hearing on Thursday, May 5, 2011 on Channel 7 at 7:00PM. I am sure you will find it as entertaining as I did.

Larry A. Fillmore

Concerned Citizen

Last Night's Town Council Meeting

All Residents of Lisbon

At the Public Hearing last night, a member of the council tried to slip an additional item on the agenda. Thank goodness Roger Cote was there to put a stop to it because it concerns all the residents of Lisbon.

The issue is the Town Council Working Rules. Councilor Pomelow has stated in a prior meeting, she wants to do away with the Audience Participation at council meetings. Councilor Pomelow believes this is not allowing the council to be as effective as it can be. I believe it is because some of the council members do not want the residents to know what is going in this town.

In the Town of Lisbon, it is the “Good Old Boys” controlling the town. Let’s take for example the Dragon Pit off Route 196. This area sits on the Town’s water supply and has been labeled a “Residential Area” for many years. Now someone is trying to change the Lisbon Comprehensive Plan to change this area to “Commercial”. This Dragon Pit has not been utilized for a while and yet now, without a change in status, is being developed without any permits. Do you think someone has a plan they are not telling the residents about? Do you think there are any underhand dealings going on with this property? Why would any one spend money developing an area unless they had a guarantee it was going to be rezoned?

There are members of the Town Council who do not want the residents to know what is going on in this town. Another example is the town owned property a 4 Campus Avenue (old school house) valued at $265,050.00 was sold by the town to the Brunswick Housing Authority (BHA) for $1.00. I am sure the town is getting its monies worth on this deal. Also, the name on the deed is Housing Associates of Lisbon, LP. I had no idea who this was so I called BHA to find out if it was true they purchased the property and sure enough it had and deeded it to Housing Associates of Lisbon, LP so Bath Savings could purchase Tax Credits on the property once it was renovated. Very strange dealings! I wonder what other deals are going on we do not know about?

I believe the problem is not with the audience participation but with the town not providing ALL available information being discussed at these meetings to the councilors and the public well in advance of the meeting so everyone can study up on the issue and talk about it intelligently without having to bring the public and some councilors up to date on what is going on. We have elected these councilors to represent us in town matters but they also have an obligation to keep us informed so we can render an opinion prior to them voting on any issue. This is not being done.

The pure fact the Town Council is trying to eliminate any interaction between residents and the council is outrageous. The residents of the town are the “people” and we need to have a say in what is going on at these council meetings.

Larry A. Fillmore

Concerned Citizen

TIF What are they and How are they suppose to work

How's Your TIF Program working for you Lisbon? 

A TIF Policy
(from Maine Townsman, January 1997)
by Michael Starn, Editor

This Maine Municipal Association publication is presented for "Classroom Use Only."  Its intended use is to stimulate and aid in discussion and role playing within a classroom setting.

---

Tax increment financing (TIF) is one tax incentive program for economic development that is available to all Maine local governments. TIF uses property tax dollars that are generated by new development and applies some or all of those dollars to the project.

Like any tax incentive program, a TIF when properly used can be a real catalyst to local economic development. Used improperly, or perhaps unwisely, a TIF can turn around and bite the hand that feeds it.

While Maine has not experienced any of the "tax break" nightmares that other states have encountered, any tax incentive program can be a double-edged sword. Consider the Michigan city that gave a hugh tax break to General Motors only to have GM move its plant to Texas after the tax benefits had been exhausted. Or, how about the deal that Alabama gave Mercedes Benz to locate a manufacturing plant in Tuscaloosa? Some economists have estimated that deal would cost the state about $40,000 for every job created.

A public frenzy often accompanies news about proposed economic development. People want and need jobs so news or even rumors about economic development attracts their attention. However, proposed economic development projects inevitably have a lot of "what ifs" connected to them. Unfortunately, key players in these projects sometimes overstate the benefits - jobs, improved retail activity, other businesses locating in the area, etc.

Given the high level of public interest in proposed economic development projects and considering the increased media attention given to these projects and any "tax breaks" associated with them, it is easy to see how the situation can quickly get out of control.

TIF policies provide a mechanism for municipal officials to keep these types of economic development projects under control. A TIF policy can help to provide clarity and understanding about how a TIF program works in a particular community. Businesses which are potential TIF applicants can get a preview of the the application process, get a better understanding of how their business needs match up to the program, and have a clearer picture of any parameters that the community may have set for the program. After a brief discussion of State law relating to tax increment financing, this article looks at the purpose, common elements, and the need for flexibility in a municipal TIF policy.

History of TIF In Maine
 
Tax increment financing has existed in Maine law since 1977 although municipalities showed little interest in the program until the mid-1980’s. The original intent of tax increment financing was to promote economic development through improvements to public infrastructure financed by the additional property tax revenues generated by the project. 

The mechanics of a TIF program have remained the same since its legislative adoption. Basically, a municipality designates a Municipal Development District (intended for blighted areas or sections of a community in need of redevelopment) where development will occur and tax increment financing will be used to assist that development. Property values within the "district" are frozen. When improvement are made within the district and value increases, the difference between the frozen value and the new value is called the "captured value". Property taxes generated by that captured value are used to support the development project.

Two major changes have occurred to the TIF program that have increased municipal interest in it. One change, in the mid-1980’s, excluded the "captured value" from state valuation, thereby sheltering the municipality from reduced state aid in programs such as General Purpose Aid to Education and State-Municipal Revenue Sharing. The second change was an amendment to the TIF statute in 1993 allowing credit enhancement agreements (CEAs).

Credit enhancement agreements permit the "captured" property tax dollars to be channeled directly to the business doing the development. The money must be used for the project but the business is given considerable latitude in its use of these funds, unless stipulated otherwise by the municipality.
CEAs have infused new life into the tax increment financing program. Since the CEA change, TIF activity has skyrocketed. Over the past two years, according to Alan Brigham at the Maine Department of Economic and Community Development, there have been 33 approved projects, most of them using credit enhancement agreements.

Businesses appear to like the flexibility that a CEA has in directly reducing their development costs. Communities without infrastructure needs are able to offer a tax incentive to potential developers. Municipalities also like CEAs because they carry less risk - they are performance based. Unlike infrastructure investments that involve long-term payments which continue whether or not the project is successful, CEAs are paid out each year based on what development has actually occurred .

State Guidelines for TIF
 
State law does provide minimum guidelines for all TIF programs. A few specific requirements are that the total area of a single development district may not exceed 2% of the total acreage of the municipality; that all development districts may not exceed 5% of the municipality’s total acreage; that the property value of the district may not exceed 5% of the municipality’s state valuation; and that the aggregate value of indebtedness of TIF districts within a county may not exceed $50 million.
A change was made this past legislative session to allow waiving of the 5% valuation limit if the multiple TIF districts are on one contiguous piece of property. This amendment was intended to primarily benefit paper mill towns.

Purpose of A Municipal Policy
 
A municipal policy or guidelines can provide structure and shape to the TIF program. A policy can help to take some of the uncertainty out of the program for potential applicants. A policy also provides valuable information about the program that lets applicants know beforehand what is required of them, how their application will be evaluated, who will review their application, and what criteria will be used to evaluate the application.

In Portland, TIF guidelines make it clear that the program is primarily for large scale economic development projects. The city council’s approved guidelines specify that projects must create significant new tax value equal to or greater than $2 million. A primary reason why TIF was targeted by the council for big projects was that the city already has a number of incentive programs available to smaller economic development projects.

Environmental projects are given priority for TIF funding in Westbrook. A few years ago the city recognized that it had a problem in some of its industrial zones where a few businesses had no means of utilizing their property without wetland mitigation. City Planner Jim Fisk did an inventory of 50 existing industrial lots in the city and found that 26 were non-expandable because of wetland issues. Several were receiving tax abatements due to their limitations, totaling about $30,000 a year, says Fisk.

The Westbrook City Council established a non-profit corporation called the Westbrook Environmental Improvement Corporation, composed of business and municipal representatives, to address these environmental issues. Tax increment financing was one of the tools given to the corporation which has responsibility for evaluating TIF applications before they go to the city council for approval. The WEIC also coordinates funding from other sources for environmental improvement activities in the city.

The Town of Unity decided it needed a TIF policy after Avian Farms, a large poultry breeding corporation, suggested that the town give them a 80% tax break for 10 years on five chicken barns the company was proposing to build there.

Recalling the Avian Farms proposal, Planning Board Member John Piotti says there was a lot of emotional response to it with "some people willing to give away the store." Piotti, the chief architect of the Unity TIF Policy, said, "It (the proposal) created a lot of confusion and a lot of questions among the townspeople."

Without any professional staff, town officials realized that if a number of these types of (TIF) proposals were to come before them, they would not be able to handle them. Town officials also wanted to be in a position to offer a more reasoned, less emotional response to TIF proposals.

The Unity TIF policy was adopted in January 1996. The town’s first, and to this point only,TIF was approved at last year’s annual town meeting in March. Ironically, the Avian Farms proposal never came together. The approved TIF was for a local business that was constructing an office building in the downtown area. The TIF revenues are being put into a downtown improvement fund that town officials are hoping will leverage other grant monies for infrastructure improvements.

Two objectives behind the policy, according to Piotti, were: (1) there can’t be any development that is inconsistent with local land use policies and ordinances; and (2) there has to be a shared benefit between the business and the town.

"With the TIF policy we wanted to let the business community know that the town was interested in economic development and that it was specifically interested in economic development that fit with the community," says Piotti.

Town officials in Sanford were interested in promoting economic development, but at the same time they didn’t want the expense of TIF developments, or even the applications, to be borne by the existing property taxpayers. The current policy, approved by the Board of Selectmen in September 1995, is being updated.

Sanford’s draft policy says that "to minimize the risk to the citizens of the Town of Sanford" TIF funding will be providing only through credit enhancement agreements. The policy further states that TIF agreements of five years or less are highly preferred.

Common Elements
 
Although the TIF policies reviewed for this article were quite different in their purpose and scope, some common elements could be gleaned so as to give guidance to other communities contemplating a TIF policy.

Review Process
 
All four policies had language that explained the review process for TIF applications. The reviewing authorities in each of the communities were different.

TIF applications are submitted to the City of Portland’s economic development department, then reviewed by the Community Development Committee before being submitted to the city council for approval.

In Sanford, TIF applications are considered by the Chamber of Commerce Economic Development Committee, and reviewed by the town treasurer, board of selectmen and warrant committee before being voted on by the (representative) town meeting.

In Unity, the budget committee and planning board screen applications before they are submitted to the town meeting.

Westbrook, as previously mentioned, has formed a non-profit corporation to coordinate environmental remediation activities in the city and oversee the creation of tax increment financing districts. The corporation members review TIF applications and forward them to the city council for approval.

Criteria for Judging Applications
 
Essential to any TIF policy is the criteria upon which applications will be judged.
Westbrook’s environmental priorities include land, water, air and solid waste improvements. Wetlands mitigation, elimination of straight pipe discharge into water bodies, mitigating sulfur emissions at the paper mill, and solid waste incineration (due to a landfill closing need) are listed as environmental improvements that would receive high priority.

The Town of Unity lists both company and community benefits as standards to be reviewed. Favorable ranking is given to applications that propose activities consistent with the town’s comprehensive plan; those that minimize traffic impacts and do not contribute to commercial sprawl; and non-agricultural activities that do not result in a net loss of productive farmland.

Portland’s policy contains guidelines that must be met and some that merely help to prioritize applications. An example of a mandatory guideline is that the applicant must demonstrate that the city’s participation is economically necessary and involvement by the city is needed in order for the project to be undertaken. Prioritizing guidelines include such criteria as level of employment created; if the project improves a blighted area; if public infrastructure improvements are made that have application beyond the particular project; and if the project supports other community projects or creates public benefits.

Limitations
 
Two policies - Sanford and Portland - limit participation in the TIF program to credit enhancement agreements only. 

Sanford and Unity, albeit with different language, forbid "double dipping". A basic provision of the Sanford policy states: "The applicant is obligated to apply for any State reimbursement programs for personal property and/or real estate taxes. The proceeds from this application will be returned to the Town and placed in the 'Public Improvement' Account."

Unity’s policy states, "In no instance may the direct benefit provided to a company be so high that - when combined with other governmental benefits for which it is eligible - the company is eligible to be refunded more than 100% of its tax burden in any given year."

The Portland policy sets a limit of 75% on the incremental taxes (from the captured value) that can be returned to the company in the form of a credit enhancement agreement.

Unity’s policy states that no more than 50% of the financial benefit from the "captured value" may go directly to the company.

Need for Flexibility
 
By their very nature, TIF policies restrict or contrain a community’s negotiating position. Policies need to be flexible. In most cases, they do not carry the same legal weight as an ordinance. The legal force of a policy depends on how it was adopted, by whom and for whom.

The TIF policy in Portland was adopted by the council for the council. It can be changed at any time by the council, which also must approve TIF applications. Sanford’s TIF policy was adopted by the board of selectmen for themselves and therefore can be changed by the board. In Unity, however, the town meeting adopted the TIF policy. Unless the town meeting changes that policy, those committees and boards reviewing TIF applications must abide by it.

All of those interviewed for this article say it is important to keep flexibility in TIF policies. Sanford Treasurer Elizabeth Thayer says that the board of selectmen were very sensitive to the wording in the policy "so as not to knock Sanford out of its competitive position for TIF projects." Thayer says the policy is a work in progress and continues to be refined.

Portland’s Economic Development Director Kathleen Brown says the city’s guidelines are so flexible that the city council and developer can negotiate any deal they wish. For example, a recent project in the city didn’t meet the mandatory $2 million taxable value guideline because part of the project included exempt property. The city council negotiated a separate PILOT (payment in lieu of taxes) for the exempt portion of the project.

Conclusion
 
While any policy ties your hands to some degree, municipal TIF policies can make dealing with TIF applications a lot simpler. A policy can help make it clearer to the prospective TIF customer how the proposed project fits into the municipal economic development scheme.

Because of the media publicity surrounding TIFs, a number of business people are approaching municipalities with preconceived ideas about what the community can do for them via a TIF. Some view the TIF program as a "tax break" entitlement. Business people who are interested in the bottom line want to be sure that they take advantage of any tax break available to them.

Some of the miscommunication is due to an information gap that exists between corporate finance officers and municipal officials, according to Roland Miller, Auburn’s CD Director and a key person in the development of Maine’s TIF program. "They are not familar with the way we operate and we aren’t that familar with how they operate," says Miller.

Having a better understanding of the position of each side entering the TIF application process will make the program work better. A municipal TIF policy should articulate the position of the community. "With a policy," says Miller, "you won’t be making things up as you go along in the process. [The process] won’t boil down to ‘let’s make a deal’."



http://www.freeportmaine.com/page.php?page_id=180


http://www.graymaine.org/Pages/GrayME_BComm/TIF

Town of Gray, Maine

24 Main Street, Gray, ME 04039 ph: 207-657-3339 begin_of_the_skype_highlighting              207-657-3339      end_of_the_skype_highlighting

Tax Increment Financing (TIF) Guidelines

http://www.maineco.org/Tax_Incentives.php	POLICY GUIDELINES ALL Tax Increment Financing [TIF] applications shall be reviewed by the Community Economic Development Committee [CEDC], the Town Treasurer and the Gray Town Council.  The CEDC shall have the responsibility to study, review and submit a recommendation to the Gray Town Council concerning the application.  The application must meet a majority of the following guidelines: Notwithstanding compliance with any or all of the guidelines, the creation of a TIF district is a policy choice to be made by the Gray Town Council and the citizens of Gray on a case-by-case basis.  A TIF district is not a right under Maine law and meeting these guidelines, in whole or part, does not create a right or entitlement in any applicant. BASIC PROVISIONS 1.      In order to minimize risk to Gray, Tax Increment Financing [TIF] will be provided via Credit Enhancement Agreements only.  The applicant must provide any and all other documentation that will protect the Town’s economic and financial position, and that confirm both the letter and spirit of the underlying agreement between the applicant and the Town. 2.      The Town shall not issue general obligation bonds to support development of any TIF project. 3.      The amount of funding available to the Town of Gray shall not decrease significantly due to the effect of any Tax Increment Financing [TIF] plan over the life of the TIF district [revenue neutral to the Town]. 4.      The maximum value of the captured assessment in a single TIF district shall be limited to 2% of the equalized value in the base year of each TIF district [1996 equalized value: $318 million x 2% = $6.3 million]. GUIDELINES THAT MUST BE MET In all instances, applicants requesting Tax Increment Financing [TIF] demonstrate: 1.      The Town’s participation is economically necessary and involvement by the Town is needed in order for the project to be undertaken.  Justification for economic need and Town Involvement must be demonstrated by: a.      A need to offset economic advantages available to the corporate entity if it should build or expand outside of the Town of Gray. b.      A need to offset infrastructure costs unique to the site. 2.      The project must be primarily industrial or commercial in nature and no uses which are principally consumer retail. 3.      The project creates significant, new, assessed tax value equal to or greater than $250,000. 4.      The project produces additional, permanent employment. 5.      Financial capability to undertake the project must be evidenced prior to review. 6.      Compliance with all statutory and regulatory guidelines of the State and the Town. TOWN OF GRAY TAX INCREMENT FINANCING [TIF] GUIDELINES GUIDELINES TO DETERMINE THE TOWN’S LEVEL OF PARTICIPATION Although an applicant need not meet each of the following criteria, these criteria will be used to determine the level of participation by the Town: 1.      The project assists an established business in the Town of Gray, thus retaining existing employment. 2.      The project creates significant, long-term employment. 3.      The project improves the general economy of the community 4.      The project improves and broadens the tax base. 5.      The project improves a blighted building or area in need of [re]development. 6.      The project creates public infrastructure / facilities which have application beyond the particular development such as traffic upgrades, public parking facilities, etc. 7.      The project will support community projects or create public benefits such as providing job training or supporting local contractors and supplies, etc. STANDING OPERATING PROCEDURES The Town Treasurer, in coordination with the Community Economic Development Committee [CEDC], acts as a liaison and coordinates all activity regarding Tax Increment Financing [TIF] proposals.  Working with potential applicants, the Town Treasurer and Committee will: 1.      Provide information on Tax Increment Financing [TIF] 2.      Discuss project proposals and accept Application Information Sheets from applicants. 3.      All applicants will be required a sign a Legal Fee Consent form agreeing to reimburse the Town for all legal costs and any out-of-pocket expenses incurred as a result of the Tax Increment Financing [TIF] proposal, whether or not the TIF is approved. 4.      Review the Application Information Sheet based on policy guidelines, in consultation with the Town Assessor and the Town Attorney. 5.      Assist applications to complete a final application suitable for presentation to the Town Council for formal review and recommendation. 6.      Following a review and evaluation of the application, the Community Economic Development Committee [CEDC] will present a written recommendation to the Town Council and the Town Manager will advise the applicant that application is ready for Town Council consideration by the Town Council and the citizens of Gray. 7.      Upon receipt of the final development plan and the Credit Enhancement Agreement, the applicant will present the plan to the Town Treasurer, accompanied by a nonrefundable $250.00 application fee. 8.      The Town Treasurer will notify the Chair of the Town Council that the review process is completed and the application is in accordance with policy and guidelines as stated herein. TOWN OF GRAY TAX INCREMENT FINANCING [TIF] GUIDELINES 9.      The Town Treasurer, in consultation with Town staff and officials, will: a.      Verify Tax Shift Formulas b.      Verify calculations in various exhibits which at a minimum, will show development cost, tax shifts and revenue return percentages over the duration of the Tax Increment Financing [TIF]. c.      Verify the revenue amounts to be returned to the applicant over the life of the Tax Increment Financing [TIF]. d.      Act as the liaison between the applicant, the Town Council and the Town Attorney. e.      Make financial recommendations to the Town Council as requested. 10.     Upon completion of the review by the Town Treasurer, the applicant will be required to: a.      Submit to the Town Treasurer a development program, which in turn will be introduced at a regular scheduled Town Council meeting. b.      Request the Town Council to schedule a Public Hearing with at least a ten [10] day Public Notice. c.      Attend the Public Hearing to answer any questions that may arise at the Public Hearing. d.      Attend any subsequent Town Council meeting to answer any questions that may arise at the Council meeting. 11.     The Town Manager will submit the application to the State, based upon the direction of the Town Council. 12.     Any out of pocket expenses incurred by the Town in connection with the Tax Increment Financing [TIF] proposal will be reimbursed by the applicant, whether or not the TIF is approved. 12.     The CEDC will monitor the progress of the project. 13.     If the applicant transfers ownership of property in the district, the applicant must notify the Town Manager, in writing prior to finalizing the transfer.  The new owner must agree, in writing, to accept the provisions of the agreement as presented to and approved by the Town Council, before the Town Treasurer will release any further TIF reimbursements. 14.     Application Information Sheets will be provided by: The Gray Town Office 6 Shaker Road Gray, Maine 04039 Note:  Underlined is added                               Crossed Out is deleted Electronic Version created 09-09-05 http://www.maineco.org/Tax_Incentives.php

Argentina & America Think Similarities Read slideshow / Watch video... "Don't Cry For Me,,, America" .. a history lesson

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Why What Happens In Rumford Is Important For Lisbon Residents Part II

Dear Lisbon Area Residents,

The time has come for me to make this announcement.

Finally, a light can be seen at the end of the tunnel for you folks.  As the investigation into Rumford's latest issues proceeds, you can all be assured that it will include Lisbon.

Three years ago is when I got involved to learn more about the recent hiring  of Lisbon Town Manager, Stephen Eldridge.

A tremendous amount of valid information has been gained about just how the Good Ole Boy Network runs things in Lisbon and other connected communities.

The River Valley Sun's Reporter Candace Casey will be a great source to follow for up to date, accurate, un-muddied  sterile press releases from town offices, for  information.

by:candice at 2011-04-30 

While this was uncovered in an investigation as reported to you as it has been unfolding, I also immediately contacted Town Manager Carlo Puiia upon learning the Auditor was not licensed for what we have now learn is many more than 5 years, has been conducting the towns audits without a license and illegally. I spoke with him to notify him while he was at his office on Wednesday. I called him at home where he immediately took my call when I learned that the Town Attorney during much of that time and current chairman of the finance committee connection after the town offices closed also on Wednesday. I met with the Town Manager at his office on Thursday morning after my interview with the Police Chief. I also spoke with him by phone on Friday afternoon as we both spent much of the day talking to a variety of state agencies ranging from the Attorney General's Office to the Bureau of Accountancy, and he continued to consult Maine Municipal Association. Thus far I am comfortable with the Town Managers cooperation with the River Valley Sun as the Press uncovering and breaking this, and in its format best to provide information to the public able to keep the public informed on an ongoing basis as it becomes available.

A core group of citizens that have stayed true to course for the voyage, have endured a lot through this process.  Some have come and some have gone.  Some no longer stand beside.

Lisbon residents, listen up.  Roger Cote, Dot Fitzgerald, Larry Filmore and other's, that have stood and continue to stand up for the citizens, need not to be taken lightly anymore.  If you are interested and want to help get with them and see where you might.

A new course is being plotted out now for a new voyage in my life and some much needed defrag/ reprogram time.  I want you all to know that I was sincere with my efforts.



But everything you could and would want to know about small town "good ole boy" government is on this page, the River Valley Sun, It all starts with abuse of the Home Rule law. - TC

Thank you ALL!
Good Luck Lisbon!

"It's now how you get to the top that matters the journey taken keeps it meaningful"

"Clear Prop!"

 "Bye Bye Now!"

Carry In Carry Out

"Happy May Day!!!"

LIVE      LOVE     LAUGH

Life in Lisbon

Some  Duck & Cover, others  Ride Like the Wind



Have A Fantastic Weekend!

More News on Rumford's Investigation

Rumford's Accounting/Audit Situation Being Investigated

Candice Casey

Rumford, Maine-With the discovery that Rumford’s Town Auditor,  Harold Blake has been performing the Town’s audits without being properly licensed for the years 2006, 2007, 2008, 2009, and 2010, the Town has lost all assurance as to the correctness of accounting practices, the validity and reliability of the books,  whether the town is in compliance with accounting standards,  whether the town is meeting the conditions of grants as well as state and federal funds received , and most importantly the security of the towns monetary assets.  

For fiscal year 2007-2008 the town spent $57,557.50 with the auditor, in fiscal year 2008-2009 $28,025, fiscal year 2009-2010 $20,000 and $12,625 had been spent as of July 1, 2010, all paid to Harold Blake.  After putting the audit out for bid for 2010-2011, the Finance Committee awarded the bid to a new Auditing Firm RH Smith.  Discussions with Finance Committee member Vincent Caruso and RH Smith were promising in producing an excellent expectation of an audit cost of $15,000 or less.  This was based on the two years of successive “unqualified audit reports,” reports stating no errors were found by Harold Blake before it was discovered the audits aren’t worth the paper they are printed on.  What the cost will be now is anyone’s guess as it must be decided how far back to conduct audits under the circumstances.  It would seem wise to go back to the last valid audit, 2005, conducted by a licensed auditor which is going to be at considerable expense, but the only way to correct errors, bring the books into order and compliance, uncover any irregularities, and criminal acts that may have taken place.

Mr. Blake and his firm of one have long been being represented by Jennifer Kreckel as disclosed by records from the Board of Accountancy which revealed to the River Valley Sun that the town auditor was and continues to be unlicensed, Mrs. Kreckel served as Rumford’s Town Attorney for three of the years in question according to Town Manager Carlo Puiia. 

Dr. Kreckel, the former Town Attorney’s husband, has been serving on the Finance Committee and is the current Chairman.  It is the Finance Committee which retains the services and oversees the auditor and finance director.

The discovery of the auditor’s license status was made by Candice Casey while investigating growing number of concerns over accounting practices disclosed at a number of Selectpersons and Finance Committee Meetings by the Town Manager and Finance Director.  After a statement made by Finance Director Debbie Lauranitis on at Tuesday, April 26th Ordinance Hearing on top of the many other issues, Candice felt compelled to contact the State for advice and clarification. 

First contacting Mike Rogers of the Department of Revenue for direction on who would be the proper person to address the concerns to, she was transferred to the State Audit Department.  Work is expected to continue with that department as the result of the discussion based on the concerns.  In the course of the discussion, it was suggested by the audit department person that she check the disciplinary record of the town’s auditor.  The state audit department staffer worked to guide her through the Maine.gov site to where we could run a check.  The check failed and the person offered to try it for her.  She had not to this point given the name of the auditor.

Immediately upon stating the name, Harold Blake, she  was told he didn’t need to run the name.  Harold Blake was well known at the state for being unlicensed and continuing to do business.  She was immediately directed to the Board of Accountancy.

The Director of Accountancy  stated that she could not say much as there is open ongoing litigation since Mr. Blake continues to perform services despite not having a license for years.  She said she could not say more and would direct her to the compliance/complaint officer who provided River Valley Sun with the documentation posted along with our previous article of April 27, 2011, “Rumford’s Town Audits Invalid for the Past 5 Years, Auditor NOT Licensed!”   This individual advised Candice that the Town of Rumford had been notified of Mr. Blake’s status.  She were also sent a complaint form to complete for his having done the audit he signed August 2010, as Harold A. Blake CPA which she immediately completed and returned adding this to the existing open complaints.  She was told this is not the only one from Rumford.

Candice then notified Town Manager Carlo Puiia and has provided him with the contact information for the state officials she has been working with.  She has also provided information to Selectman Mark Belanger.  Before learning of the unusual connections between the Finance Committee Chair and the Audit she left a message for the Kreckel to call her.  He did not return her call.  She has spoken with Selectman Volkernick.  She has left messages for Sterling, Buccina, and Adley (many for Adley) and received no return calls.  She left a message for the Vice Chair of the Finance Committee who is out of town and has spoken with two current members notifying them of the situation.  She has also left messages or spoken with previous Finance Committee members who served during the 2006-2010 audits to make them aware of the situation so they would not be surprised by news reports.

There are open investigations at the local and state law enforcement levels involving various agencies which Candice and others with information are cooperating with to the fullest. 

Uh Oh,,, Is this where Lisbon's "Good Old Boy's wonder if there might be some 'trickle down-stream' fallout? 

Such a revelation could not have come at a worse time for Rumford with the proposed TIF Districts by Selectmen and “maybe” interest from a motel developer, “maybe” something for the “Gateway” and “maybe” something for the industrial park.  Rumford did not need something else to tarnish its reputation at this time. 

With the Wind Power ordinance possibly winding down after two years,  so much to do from that, possible economic development including new TIF districts, and two new Selectmen about to be elected this is not a good time to have the Board and town leadership distracted with such a tremendous, time consuming, and high risk matter as this.  The existing Board of Selectmen, Finance Committee and Town Manager are already concerned about voters rejecting some or the entire budget on Election Day and repeating last year.  Having to deal with major accounting issues on top of all these other crisis in the town will surely have a significant  impact.

http://rivervalleysun.com/1501/rumfords_accountingaudit_situation_being_investigated/

FRAUD, Phony, Fake,,Words for this day, this country, this county, this community..!

Obama's Birth Certificate: The "copy" the White House released is not a copy. It is manufactured. This video goes through the proof, and it's much more than the Illustrator "breadcrumbs" that others have found and talked about.

You've been had America, and the White House was dumb enough to stick proof of it on their own web server.

Uh Oh!!! Will Lisbon's Trouble Grow, Amid Rumford's Latest News?

Lisbon's current town manager, Stephen Eldridge, was the manager in Rumford during the initial years of this pending financial investigation dealing with what appears to be UNQUALIFIED people.

Rumford's Town Audits Invalid for the Past 5 Years, Auditor NOT Licensed!

Candice Casey 
Rumford, Maine-Last week the River Valley Sun reported concerns on the Town of Rumford’s accounting practices.  Those concerns were repeated and expanded upon last night with the report on the Selectmen’s ordinance hearing.

Today we have uncovered the Town has been using an unlicensed CPA/CPA firm with a long standing record of negative peer reviews going back at least as far as 2002 after which required corrective action and reviews where not taken by the auditor/firm.

The auditor has continued to conduct business without correcting the deficiencies or holding proper licenses including Rumford’s 2006, 2007, 2008, 2009, and 2010 annual audits.

Complaints continue to be filed with the State Board of Accountancy in regard to Harold Blake, the auditor the Town of Rumford used for what now would appear to be invalid audits not worth the paper the town had the reports printed on.

It looks like the Town of Rumford will have to retain the services of a qualified firm to come in and audit 2006-2010 if the people are to know if the books are in order and what if any deficiencies exist requiring correction or other action.

We will continue to post documentation and provide updates as we receive it

http://rivervalleysun.com/1490/rumfords_town_audits_invalid_for_the_past_5_years_auditor_not_licensed/

Bravo to the Rumford Selectmen for taking the appropriate action.  If Lisbon could only be as fortunate to have a panel of administrators with Integrity instead of such as, oh I don't know,   How 'bout a  "Swingin Good 'Ole Boy' Time" attitude.

How's It Working out for you now Lisbon?

Was Someone Else's Number Used?

Sharon Rondeau - Results of [Obama Birth] Investigation

Obummer

Pay Raises ?‏

Social Security hasn’t increased SSI payments for the cost of living since 2008.

The government has frozen federal wages for the next two years.

(granted there are exceptions but I won’t go there…)

The Federal minimum wage hasn’t increased since July 24, 2009.

So can someone explain to me the justification for pay raises in Lisbon, Maine?

The Lisbon School District pushes every year to decrease their budget in response to the state not paying their full share. (Want to guess what would happen if I didn't pay my fair share ... but that’s a whole different topic)

Our property taxes increased to cover last year’s school budget in light of the states ever decreasing subsidy - so be it ... I think we are getting the dirty end of the stick, but we either pay it to the town or let the state bump up taxes to cover their share ...

Let’s face it, if they aren’t getting all they can out of Mr Green's department, more than likely they will be making more work for Mr. Brooks' department.  I for one would rather see them graduated than incarcerated. 

Our property taxes increased more than expected to cover a town budget shortfall and human error - I can live with that ... I'm not happy about it but its water under the bridge now.

The operation of the town is the responsibility of the Town Manager ... the town manager is the responsibility of the town council ... WE are responsible for the town council...

If you have a problem with the town council, don’t complain here, complain to your councilors ... we elected them and it’s their job to make those decisions.

The Town Manager's contract was extended ... so be it ... but given the errors in last year’s taxes and budget, how do you even think to justify a raise in pay. 

Am I missing something here?? 

Gregg Garrison

THINGS THE TOWN OF LISBON DO NOT WANT YOU TO KNOW‏

TO THE RESIDENTS AND TAXPAYERS OF THE TOWN OF LISBON

THINGS YOU NEED TO KNOW

LEGAL NOTICES PRINTED IN THE APRIL 25, 2011 EDITION OF THE LEWISTON SUN JOURNAL

(In fine print)

PUBLIC HEARING

TOWN OF LISBON

The Lisbon Town Council  will hold a public hearing Tuesday, May 3, 2011 at 7 p.m. in the Lisbon Community School, 33 Mill Street, Lisbon to discuss the amendments to the Board of Assessment Review Ordinance. Copies of the proposed text may be reviewed or obtained at the Town Clerk's Office, 300 Lisbon Street, Lisbon or online at www.lisbonme.org.

Lisbon Town Council

April 21, 2011

PUBLIC HEARING

TOWN OF LISBON

The Municipal Officers of the Town of Lisbon, being the Lisbon Town Council, are considering approval of an Order providing the issuance of General Obligation Securities (*) for the purpose of providing up to $520,000 for the replacement of the MTM Center Roof, MTM Center Windows, Public Works Garage, Fisher Road Bridge, and E.T. Smith Siding/Electric Work .

The funding of this project requires that the Town issue General Obligation Securities pursuant to Sections 6.09 and 8.011(b)(2) of the Charter of the Town of Lisbon.

Approval of the issuance of General Obligation Securities requires that a public hearing be conducted concerning said issuance.

Therefore, pursuant to authority under Sections 6.09 and 8.11(b)(2) of the Charter, a public hearing shall be held on the 3rd day of Mat, 2011 at 7 p.m. at the Lisbon Community School Cafeteria, 33 Mill street, Lisbon for the purpose of hearing public comment on the Bond Order intended to raise up to $520,000 for the replacement of the MTM Center Roof, MTM Center Windows, Public Works Garage, Fisher Road Bridge, and E.T. Smith siding/Electric Work.

Copies of the proposed text may be viewed or obtained at Town Clerks Office, 300 Lisbon Street, Lisbon, or online at www.lisbonme.org.

Lisbon Town Council

April 21, 2011

TOWN OF LISBON

PUBLIC HEARING

2011-2012 Town and School Budgets

The Lisbon Town council will hold a public hearing for public comments and questions on Tuesday May 2, 2011 at 7 p.m. at the Lisbon Community School, 33 Mill Street. The proposed budget
022 Town
and School Budgets

summery by department will be available at the Town Office or on-line at www.lisbonme.org.

In summary, the Town Budget, as proposed by the Town Council:

Total Expendures: $46,912,895 a 2% decrease from 2010-2011.

Total revenue: $2,616,300 a 6.6% decrease from 2010-2011.

The proposed expenditures include a 1.75% wage increase and increases in healthcare and other insurance costs. It also includes a $50,000 for matching funds to pave Rt. 196 as well as a proposed bond for infrastructure improvement and town-wide revaluation. It includes It includes personnel cuts and 2 part-time positions.

In Summary, the School Budget, as proposed by the Superintendent of Schools and the School Committee:

Total expenditures: $13,937,754  8% decrease from 2010-2011.

Total State Subsidy: $8,018,977 a 2.4% reduction from 2010-1011.

Total Local Funding: $5,455,469  3.4% increase from 2010-2011.

These proposed budgets could increase the municipal tax rate by approximately 35 cents. The council will consider public comments and questions in reviewing the budgets at a public meeting on May 3. Meeting includes the Budget Advisory Board. Citizens are encouraged to attend the hearing and ask questions or provide advice.

Lisbon Town Council

April 21, 2011

Note. Written word for word as printed in the April 25, 2011 edition of the Lewiston Sun Journal.

Note: * General Securities Obligations is bonding.

Also on a need to know:

At the April 26 2011 Town Council meeting the council approved on a vote of 6 in favor and one opposed, to spend $5,700.00 to move a two car garage now located at 42 Village Street, Lisbon, to the site next to the E. T. Smith Co., the property formerly owned by Mr. Reggie Thibitout, prepare the site and pour a floating slab to accommodate said two car garage.

Lisbon Emergency recently purchased the property for the sum of $150,000, cash, and offered the garage to the fire station

It would seem that our Town Officials think that money grows on trees here in Lisbon. I say, if the E.T. Smith Co. wants the garage they should find the savings within their department budget to pay for it. Or have fundraising spaghetti supper.

What say you, Citizens and Taxpayers of the Town of Lisbon? Let your voice be heard!

Dorothy B. Fitzgerald

A Concerned Citizen, Trying to keep Citizens informed.

Responsibility?

WOW

Reading all of Town Engineer(?) Ryan Leighton's duties and responsibilities I'm wondering how he can possibly take on any additional duties and responsibilities? And do them well! Town Manager Eldridge and Town Council, with the exception of one councilor, are making him Department Head of the departments of Solid Waste and Public Works.

Button Beals has done an outstanding job heading up the Public Works Department, so why replace him? Managing the Department of Public Works is a four -season full time job. From where I sit at 6 School Street, near the intersection of School Street and Route 196, I have a view towards Main Street, and Route 196, towards the high school and downtown, plus a garden area. Streets are plowed, swept, repaired, gardens are raked and mowed, hats off to Faye Brown and her workers who do an outstanding job, all in a timely fashion. The public works department workers work well together, so why change it? Why fix what is not broken? Does Mr. Leighton even live in town? Is this an excuse to give him a raise? Not that Eldridge and town council, all but one, need an excuse to give raises.

This is a BAD idea.

There is a budget workshop this Tuesday, April 26, 2011 at 7 p.m. at the town office. The audience cannot speak, but can surely listen.



There is also a public hearing on the budget next Tuesday, May 3, 2011at 7 p.m. at the Community School.



One has to read the small print legal notices in the newspaper to know what is going on in town, can usually be found in the sports section, at the bottom of the page. And no, Fern, I do not read those before the funnies. I save the best for last.



Also on the Tuesday, May 3rd agenda is a large bond issue, including $135,000 to replace the roof at the MTM Center; $115,000 to finish replacing windows and insulation at the MTM Center; Lisbon Fire Station, $35,000 for siding and electrical work; $100, 000, replace the Fisher Road Bridge; plus another bond to the tune of $310,000 for a

revaluation. Did I leave anything out?

To the citizens and taxpayers of Lisbon

BE INFORMED

BE INVOLVED

Dot Fitzgerald

A Very Concerned Citizen