Town of Shirley - Shirley, MA

Dear Residents of the Town of Shirley:TOWN TREASURERI am pleased to provide you with my 19 th annual report for the Treasurer's Office. Theannual budget process continues to be affected by reductions in State Aid revenue since FY2008 placing significant pressure on the municipal tax rate and other local revenues tosupport local government operations. The struggling budget process leaves limited cashresources available to commit to rebuilding the stabilization fund balance to the acceptablelevel of 5-10% of the annual budget. I am pleased to report that through this extensiverecession, Shirley’s Standard & Poors bond rating of ‘A’ remains in place.The duties and responsibilities of the Treasurer's Office include cash management, payroll,accounts payable processing, benefits & personnel administration, debt management, taxtitle administration, support to other town departments, interaction with outside agenciesand Ambulance Department billing. I am a member of the Middlesex County RetirementSystem Advisory Council, and serve on the Sub-Committee on Assessments and FundingSchedules.General fund investment income remains a consistent, although significantly reduced,source of revenue for the Town. The continuing recession and decreased prime lendingrates by the Federal Reserve have significantly reduced rates paid by banks on deposits.Tighter annual budgets and establishment of the Ayer Shirley Regional School Districthave reduced daily cash balances resulting in reduced investment income; lower investmentincome from bank deposits is expected to continue for the near term as the economycontinues a slow recovery. Investment income for the past five years is listed.FY08 FY09 FY10 FY11 FY12$58,060 $19,789 $15,920 $15,370 $11,767The Treasurer’s Office staff worked on several projects during FY 2012 including the TaxTitle Collection process, collecting $97,594 in FY12 and a total of $633,225 since FY2009; a cash flow model for the first operational year of the Ayer Shirley Regional SchoolDistrict; a successful implementation of a “cy pres” ruling for the Grace Winslow Trustfund providing a current day application of a gift to the town; and issued $103,000 ofexcluded capital plan debt under the State House Note program taking advantage ofreduced interest rates.I extend my thanks and appreciation to my colleagues in Town Government; our success isa direct result of their dedicated service and cooperation. I extend special thanks toAssistant Treasurer Janet Poitras for her continued commitment and support.Our Town, its residents and its businesses are our first priority. We welcome visitors andwill treat everyone with courtesy and respect; we will perform our duties in aknowledgeable and responsible manner while maintaining the highest standard of integrity;we will work with our colleagues, appreciate their unique individual talent, and recognizethat it is through our combined efforts that we are best able to serve our community. Thestaff in the Treasurer's Office is available to answer any questions regarding our areas ofresponsibility within the Town government. Please contact us at the Town Offices, byphone at 978-425-2600, x215, or by e-mail at treasurer@shirley-ma.gov .Respectfully submitted,Kevin A. JohnstonTreasurer141